In This Issue:
State Tuned:
Breaking News: BOMA Signs MOU with Clinton Climate Initiative
BOMA International and the Clinton Climate Initiative (CCI) of the William J. Clinton Foundation have signed a Memorandum of Understanding to define the collaborative relationship between CCI and BOMA to accomplish shared goals of improving energy efficiency and reducing greenhouse gas emissions in the world’s large cities, as well as throughout major national and international real estate portfolios. Read More
Contact: Laura Horsley, (202) 326-6315, lhorsley@boma.org.
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Ask Congress to Oppose a Tax Hike on Carried Interest
Legislation is pending before both the House and the Senate that would change the tax treatment of the carried interest in a partnership from a capital gain (currently taxed at a 15% rate) to that of ordinary income (for most, a 35% tax rate). Carried interest is the additional percentage of the profits offered to the general partner as incentive to make the investment prosperous without contributing any capital of their own. It is paid only when, and if, the real estate investment actually is successful.
If put in place, this tax increase would severely impact the commercial real estate industry by hindering investment and risk taking by commercial real estate entrepreneurs. BOMA needs your help to tell Congress the story of the unintended consequences of this tax hike!
Visit BOMA’s Legislative Action Center to write your Congressman today.
Contact: Jason Todd, (202) 326-6356, jtodd@boma.org.
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BOMA Chairman addresses ICC Board
BOMA International Chairman Brenna Walraven addressed the Board of Directors of the International Code Council (ICC) at their recent meeting during ICC’s Annual Conference and Education Program in Reno, NV. Brenna was invited by ICC President Wally Bailey to address the Board to highlight her goals as BOMA’s chairman, discuss the ongoing strategic partnership between BOMA and ICC, and to address BOMA’s concerns with recent code changes impacting high-rise buildings and the changing dynamics of the code change process. Brenna’s visit with the ICC Officers and Board is a continuation of similar meetings between ICC and BOMA leaders over the past several years.
Brenna emphasized BOMA’s commitment to codes and standards advocacy on behalf of the commercial real estate industry. She also urged ICC to work with BOMA and other real estate trade groups to ensure the consideration of the economic and societal impacts of far-reaching changes proposed to the ICC codes as a result of the study of the collapse of the twin towers at the World Trade Center by the National Institute of Standards & Technology. Finally, Brenna underscored BOMA’s pledge to work with ICC to ensure greater participation by municipal and state code officials in the code development process. A number of possible avenues of cooperation between ICC and BOMA to address these issues will be followed-up by BOMA and ICC staff in the coming weeks.
Contact: Ron Burton, (202) 326-6350, rburton@boma.org.
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House Committee Passes Residential Catastrophic Insurance Reform
The House Financial Services Committee last week passed legislation aimed at making catastrophic insurance more affordable for the residential real estate market. Though commercial real estate was not included in the bill (H.R. 3355), it is possible that language to aid the commercial industry’s ability to obtain affordable coverage will be crafted and inserted in the bill when it reaches the House floor. The timetable for floor debate on the bill is unclear at the moment. BOMA continues to work with the National Catastrophic Policyholders Coalition in advocating for more affordable catastrophic coverage for commercial real estate.
Contact: Jason Todd, (202) 326-6356, jtodd@boma.org.
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Invitation to BOMA Members to Participate in “TOPOFF” 4 Exercise
BOMA members are invited and strongly encouraged to participate in the Department of Homeland Security's 2007 Top Officials or "TOPOFF" 4 exercise, the fourth Biennial National Terrorism Exercise. The exercise runs the week of October 15 with the most intense play on October 16 and 17.
The exercise involves thousands of federal, state, and local officials, in addition to volunteers from the private sector. They engage in various activities as part of a full-scale simulated response to a multi-faceted threat, including a terrorist attack involving weapons of mass destruction.
To ensure your ability to participate, and to coordinate the real estate industry’s participation, please contact immediately the Real Estate Roundtable’s coordinator of this initiative, Liz Karch at lkarch@rer.org or (202) 639-8400 with the contact information for all players and your organization's key point of contact.
Over 50 members from the real estate community participated in the exercise in 2005 during “TOPOFF” 3, and this year 250 industry members, including many from BOMA, participated. The results will be discussed at BOMA’s Preparedness Committee that is meeting during the BOMA Winter Business Meeting on January 25-28, 2008 in Miami, Florida.
Contact: Dave Johnston, (202) 326-5357, djohnston@boma.org.
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State Tuned:
BOMA San Francisco Receives Preliminary Injunction against City Restrictions on Independent PACs
BOMA San Francisco, in conjunction with the Committee on Jobs, a local association representing San Francisco's largest employers, garnered a huge victory when the U.S. District Court for the Northern District of California issued a preliminary injunction against the city’s contribution limits to independent expenditure political action committees (PACs). Independent expenditure PACs are committees which raise funds to become involved in candidate or issue elections but are run completely "independent" of any association or in conjunction with a candidate’s campaign.
BOMA San Francisco established such a PAC ten years ago, but was restricted to only receiving $500 or less in individual or corporate contributions. The association’s Political Action Committee Board of Directors has continuously objected to this artificial contribution limit and never thought it would stand constitutional muster. In August, 2007, BOMA San Francisco formed a coalition with the Committee on Jobs to challenge the city’s contribution limits law. This win is particularly sweet as the city has tried to do everything it can to limit the involvement of the business community in the local political process.
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James Cox, Director of State and Local Affairs, to Leave BOMA
We are sad to announce that James Cox, Director of State and Local Affairs, will be leaving BOMA and will be moving on to the American Land Title Association (ALTA) to start their state legislative and regulatory program. In his three and a half years at BOMA, James has accomplished some great things, most notably his consistent dedication to working with our network of local associations in support of their advocacy efforts. James’ knowledge of the state political process and his understanding of our federal initiatives have greatly helped us to build a cohesive advocacy program. ALTA has definitely chosen the right person to build their program, and we wish him all the best. Should you have any questions concerning state and local affairs, please contact either Lindsay Tiffany, Advocacy Assistant, at (202) 326-6365, ltiffany@boma.org; or Karen Penafiel, Vice President, Advocacy, at (202) 326-6323, kpenafiel@boma.org.
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