Legislative Update

By now you're likely aware that earlier this year Congress introduced S.560/H.R. 1409, the so-called Employee Free Choice Act (EFCA)  that would for all practical purposes eliminate the secret ballot and replace it with a card check process for determining whether a workforce is to be unionized. In addition, the bill also contains a less known provision that would impose government-mandated labor contracts on employers who are unable to reach agreement with unions after only four months of negotiations. BOMA International now needs your help conveying the negative impacts of binding arbitration on the commercial real estate industry and ask your senators to vote 'No' on CLOTURE on S.560/H.R. 1409, the Employee Free Choice Act.

ACT NOW! FIGHT LARGE TAX INCREASE ON COMMERCIAL REAL ESTATE
Legislation Would Double Tax on Development 

The House of Representatives recently passed legislation that would more than double the tax on real estate development by changing the tax rate on carried interest to that of ordinary income (nearly 40%), rather than capital gain (15%). Now the bill moves to the Senate for consideration.  BOMA International needs your help telling your senators to oppose raising this tax as it will have a significantly negative impact on the future of commercial real estate investment.

Act Now to Oppose Energy Legislation 

On Friday, May 15, Rep. Henry Waxman (D-CA), Chairman of the House Energy and Commerce Committee, introduced H.R. 2454 - the American Clean Energy Security Act of 2009.
 
H.R. 2454 includes language for "Greater Energy Efficiency in Building Codes," which sets extremely aggressive targets for the 2010 version of ASHRAE 90.1 Standard - 30% more energy efficient as compared to the 2004 version. By 2016, a 50% reduction is required, with an additional 5% every three years thereafter, reaching 75% in 2030.

In addition to the unrealistic energy efficiency targets, new language providing for legal cause of action and civil penalties was added to the latest version of the bill. Through the amendment process, BOMA, the Real Estate Roundtable (RER), the National Association of Real Estate Investment Trusts (NAREIT), and the International Council of Shopping Centers (ICSC) were able to chip away at some of the most onerous parts of the enforcement language; however we remain strongly opposed to the entire building codes section of the bill.

Please take action now! The Energy and Commerce Committee is expected to pass the bill (along party lines), and it is anticipated to hit the House floor in late June or July. We need to begin now to educate all legislators on the devastating effects the building codes section of the bill will have on our industry. Visit BOMA's Legislative Action Center to email your representative now.

This month’s column is composed of BOMA International legislative updates. Sarahann’s column will return next month.