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Business News

Feinstein joins coalition in support of McGuire’s vacation rental legislation

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Written by: Editor
Published: 27 May 2015

NORTHERN CALIFORNIA – United States Sen. Dianne Feinstein joined a broad coalition of public safety officials, housing advocates, senior organizations, business organizations and California cities and counties this week in support of State Sen. Mike McGuire’s online vacation rental legislation, SB 593.

McGuire’s bill, co-authored by state Sen. Mark Leno, has been approved by both the Senate Transportation and Housing Committee as well as the Senate Governance and Finance Committee.

This simple legislation continues to gain momentum in its effort to provide California communities the resources they need to thrive by reinforcing local laws already on the books.

“I am grateful for Sen. Feinstein’s hard work and support on this critical issue. The senator has seen first-hand the struggle San Francisco and other communities have had simply trying to enforce the laws that are already on the books in 431 cities and 56 California counties. This bill is simple – it doesn’t add new taxes or take away anyone’s privacy – all it does is make online vacation rental businesses follow local laws, just like the rest of us,” McGuire said.

In her letter of support for SB 593, Senator Feinstein wrote: “I support local governments’ ability to pass and enforce ordinances on short term rentals, particularly those negotiated through online reservation systems. The unrestricted rise of online hosting companies for short-term stays in private homes has made it more difficult to track and regulate these properties. Many cities and counties have expressed concern about protecting the residential nature of neighborhoods and collecting transient occupancy taxes.”

SB 593 – the Thriving Communities and Sharing Economy Act – will empower local control by providing the basic data required to gather desperately needed funding for parks, road improvements, fire and police services, and promote safe neighborhoods.

The bill requires online vacation rental businesses to provide municipalities the same information that 431 cities and 56 counties currently require via their local tourist tax laws: home business address, number of room nights stayed by the tourist and the room rate.

“We have seen, in many cities, management companies buying up hundreds of apartments or condos in what was a traditional neighborhood and renting them out as lodging units, leading to significant conflict due to congested streets, lack of parking and full time residents having to deal with a new hotel popping up in their neighborhood – not to mention the loss of affordable housing units for working families and seniors,” McGuire said.

After passing two committees in the Senate, SB 593 is headed to the Senate floor for a vote.

Thompson introduces New Energy for America Act; legislation supports clean energy, continued job growth

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Written by: Editor
Published: 20 May 2015

WASHINGTON, D.C. – U.S. Rep. Mike Thompson (CA-5), a senior Member of the House Ways and Means Committee, on Tuesday introduced, H.R. 2412, the New Energy for America Act which extends investment tax credits (ITC) for energy efficient residential and commercial property through 2021.

“The ITC is one of the most important tools we have that supports the deployment of solar energy in the United States,” said Thompson. “Since 2006, when the residential and commercial ITCs first took effect, employment in the U.S. solar industry has grown to 175,000 jobs at more than 8,000 solar companies. It has a proven track record of success and it’s important that we extend it.”

“The solar Investment Tax Credit (ITC) is paying huge dividends for America. Today, the solar industry is pumping $18 billion a year into our economy and creating tens of thousands of new jobs,” said Rhone Resch, president and CEO of the Solar Energy Industries Association (SEIA). “By 2016, we will be generating enough clean solar energy nationwide to power 8 million homes, offsetting 45 million metric tons of damaging carbon emissions – the equivalent of removing 10 million cars off our roads and highways. We applaud Congressman Thompson for his continued leadership on issues vital to our economy and environment – and thank all of the original co-sponsors for joining him in this important effort to build a clean energy future for America.”

In 2008, the ITC was extended for eight years. Over the past eight years, the ITC has leveraged billions in investment in American solar facilities, resulting in installed capacity equal to 97 percent of total solar in America.

The installed cost of solar power has also fallen by 73 percent since 2006, and prices continue to drop while efficiencies of solar panels have increased.

However, the U.S. solar energy is facing a steep cliff with the looming expiration of the residential and commercial ITCs at the end of 2016. If the credits are allowed to expire, these gains in the solar industry will be placed at risk before the cost of solar energy reaches parity with traditional energy resources.

Thompson’s bill addresses this by extending residential and commercial ITCs for an additional five years, the point at which many energy analysts believe that the cost of solar will reach grid parity in most U.S. electricity markets.

The New Energy for America Act would also extend the ITC credits for other promising clean energy technologies, such as fuel cells, stationary microturbines, combined heat and power property, small wind and geothermal heating and cooling property.

H.R. 2412 has been referred to the House Committee on Ways and Means.

Thompson represents California’s Fifth Congressional District, which includes all or part of Contra Costa, Lake, Napa, Solano and Sonoma counties.

CDFA announces 2015 funding for the State Water Efficiency And Enhancement Program

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Written by: Editor
Published: 19 May 2015

The California Department of Food and Agriculture (CDFA) has begun accepting applications for the State Water Efficiency and Enhancement Program (SWEEP), authorized by emergency drought legislation (Assembly Bill 91). 

An estimated $10 million will be available for competitive grant funding to provide financial assistance to implement irrigation systems that reduce greenhouse gases and save water on California agricultural operations.

The funding is made available through the Greenhouse Gas Reduction Fund, the proceeds of California’s greenhouse gas Cap and Trade program.

Agricultural operations can apply for funding up to $150,000 per project. The funding can be supported by a broad range and/or combination of irrigation and water distribution-related practices that provide quantifiable water savings and greenhouse gas reductions.

Prospective applicants must access the “Application Guidelines” at www.cdfa.ca.gov/go/SWEEP for detailed information on eligibility and program requirements.

To streamline and expedite the application process, CDFA is partnering with the State Water Resources Control Board, which hosts an online application using the Financial Assistance Application Submittal Tool (FAAST).

All applicants must register for a FAAST account at https://faast.waterboards.ca.gov .

Growers will be able to access the FAAST application system on May 18 at 8 a.m. PDT.

Applications and all supporting information must be submitted electronically using FAAST by Friday June 29, 2015 at 5 p.m. PDT.

CDFA will hold five application workshops to provide information on program requirements and the FAAST application process (see below).

CDFA staff will provide guidance on the application process, provide several examples and answer any questions. There is no cost to attend the workshops.

Individuals planning to attend should email This email address is being protected from spambots. You need JavaScript enabled to view it. with their contact information, number of seats required and workshop location.
 
SWEEP application workshops:

Sacramento - May 28, 2015
1 to 4 p.m.
California Department of Food and Agriculture
1220 N St., Auditorium
 
San Martin- June 1, 2015
1 to 4 p.m.
Santa Clara County Agricultural Commissioner's Office
80 W. Highland Avenue, Building K
 
Tulare- June 2, 2015
1 p.m. to 4 p.m.
Tulare County Agricultural Commissioner’s Office
4437 S Laspina
 
Ventura- June 3, 2015
1 p.m. to 4 p.m.
Ventura County Cooperative Extension
669 County Square Dr., Suite 100

Oroville – June 9, 2015
1 p.m. to 4 p.m.
Butte County Farm Bureau
2580 Feather River Blvd.

Prospective applicants may contact CDFA’s Grants Office at This email address is being protected from spambots. You need JavaScript enabled to view it. with general program questions.

Online vacation rental legislation approved in second Senate committee, heads to Senate floor

Details
Written by: Editor
Published: 14 May 2015

NORTHERN CALIFORNIA – With a broad show of support, Senator Mike McGuire’s Online Vacation Rental legislation, SB 593 was again approved Wednesday by a second Senate committee with a 4-2 vote from members of the Governance and Finance Committee.

Last month, SB 593 was also approved with a unanimous vote in the Senate Transportation and Housing Committee.

After approval on Wednesday, Senator McGuire’s critical legislation regulating Online Vacation Rental Businesses will now proceed to the Senate floor for a vote.

The premise of SB 593 – the Thriving Communities and Sharing Economy Act – is simple. This bill reinforces local laws already on the books.

Where vacation rentals are legal, the bill will assist local jurisdictions in their regulation and collection of tourist taxes.

Where vacation rentals are illegal by local ordinance, the bill will prohibit online vacation rental businesses (OVRB’s) from making a rental.

“As with any business that starts up and finds success, there are challenges and I hope we can work together to tackle the issues associated with home sharing and the impacts countless California communities and neighborhoods have witnessed over the last several years as this industry has taken off. This business of home sharing has evolved from its roots of couch surfing – this is a multibillion-dollar business. Our bill is simple: All it does is make online vacation rental businesses follow local laws, just like the rest of us,” Sen. McGuire said.

SB 593 – the Thriving Communities and Sharing Economy Act – will empower local control by providing the data required to gather desperately needed funding for parks, road improvements, fire and police services and promote safe neighborhoods.

“As cities and counties have witnessed, online vacation rental businesses are often about one-way sharing. They share all the benefits of a local community’s services, but they often share none of the responsibilities. Local governments are left to shoulder the burden of enforcement and expense associated with this expanding industry,” McGuire said.

Airbnb’s efforts to try to resolve these issues on a city by city basis have not worked. Even after a deal had been struck, in San Francisco for example, there is no enforcement mechanism in place, which is why the San Francisco Planning Department reported that their newly adopted ordinance isn’t working.

In the case of the city of Malibu, the city council even had to subpoena records from Airbnb, just to kick-start negotiations, which ultimately led to a settlement this week requiring Airbnb to directly collect the tourist tax on behalf of the residents sharing their homes.

“While many vacation rental hosts are simply trying to pay their bills and follow the laws, there are exceptions in every industry. These exceptions are very costly to the communities we represent. We have seen, in many cities, management companies buying up hundreds of apartments or condos in what was a traditional neighborhood and renting them out as lodging units, leading to significant conflict due to congested streets, lack of parking and full time residents having to deal with a new hotel popping up in their neighborhood – not to mention the loss of affordable housing units for working families and seniors,” McGuire said.

SB 593 simply requires Online Vacation Rental Businesses to provide municipalities the same information that 431 cities and 56 counties currently require via their local tourist tax laws: address, number of room nights stayed by the tourist and the room rate. That’s it.

SB 593 has garnered broad support.

California State Association of Counties Executive Director Matt Cate said, “The California State Association of Counties (CSAC) greatly appreciates Senator McGuire’s leadership in making sure local communities have the ability to regulate on-line hosting platforms. In particular, we support the Senator’s legislation to ensure cities and counties can collect transient occupancy taxes that fund critical services in our communities.”

Since the last hearing in Senate Transportation and Housing – which received an 8-0 vote in support, there has been a lot of discussion about the issue of privacy.

Airbnb has already been providing the same nonpersonal information SB 593 would require in the State of New York, San Francisco, and Portland.

In addition, the city of Portland already requires platforms to provide the address information and more to be given to the cities in order to uphold their ordinances.

Airbnb has already stated in a letter to their hosts that they provide this information to the city of San Francisco. This bill seeks to provide the same information to the remaining cities in California that need the information in order to uphold their own ordinances.

Within the terms of service for many platforms including HomeAway, VRBO, and Airbnb, the platforms state that at their discretion, the hosts authorize the platforms to provide information to local governments relating to the collection of Tourist Taxes or administrative proceedings.

As a Sonoma County supervisor, McGuire worked to create a system that actually increased the number of vacation rentals in his region.

Testifying in support of SB 593 at Wednesday morning’s Senate hearing were: West Hollywood Mayor Lindsey Horvath, Santa Monica City Councilmember Gleam Davis, Truckee Police Chief Adam McGill and Sonoma County small businesswoman Liza Graves.

McGuire (D-Healdsburg) represents Northern California’s Second Senate District, which includes Lake County.

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