Board Meeting AGENDA August 20, 2013, Noon-1:30 pm (Networking lunch 11:30) HOST: Brookfield Properties Ernst & Young Plaza, 725 South Figueroa Street, Suite 1850, LA CA 90017 (VALIDATED Parking: Entrance on 7th Street, half a block east of South Figueroa on south side) OR Conference call-in: 1.800.977.8002 passcode 77252989#

1. Welcome and Introductions: LaDonna DiCamillo, BizFed Chair

2. Host Appreciation: David Foley, Brookfield Properties

(p2) 3. Welcome New and Renewing Members and Investors: Tracy Rafter (p3-4) Welcome & Introduction of Special Guests: Christine Essel, President, Southern California Grantmakers Rob Lapsley, President, California Business Roundtable (p5) 4. Minutes of June 18, 2013: Pilar Hoyos

(p6-9) 5. Operations Report: Steve Bullock, Jim Wullschleger ● June/July Financials

(separate pkt) SPECIAL BRIEFING: What Planet Are We On? Cutting through the “Blah, Blah, Blah” with the stats and facts on SoCal’s Economy ~ Judi Erickson, David Englin

6. Committee Reports, a. ADVOCACY: Robb Korinke, Larry Kosmont, MC Townsend

ACTION ITEMS (p10-13) 1. CALIFORNIANS FOR AFFORDABLE AND RELIABLE ENERGY. Request to join coalition. Patty Senecal/Robb Korinke

(p14-18) 2. AB 900. Request support to preserve Medi-Cal funding at hospital-based nursing facilities. Jaime Garcia/Jessica Duboff

(p19-23) 3. CITY OF LA HEALTH DEPARTMENT MEASURE. Request oppose pending ballot measure. Jaime Garcia/Jessica Duboff

HOT ITEMS (p22-26) 1. BIZFED INSTITUTE MONTEREY SHALE FORUM. Aug.14 dialogue at Woodbury University David Fleming/Don St. Clair

(p24-34) 2. CEQA REFORM. Join CEQA Working Group trying to turn SB 731 into real reform legislation. Jessica Duboff (separate pkt) ● Other Targeted Bills. Status/action needed in final few weeks of session. Judi Erickson

(p35-34) 3. SPEAKER PRO TEM NORA CAMPOS VISIT. 9/17 Bd Mtg and AB 690. Randal Hernandez/Susan Sifuentes-Trigueros

(p37-40) 4. PENSION REFORM. Transit union appeal/DOL ruling; looming financial impact on Metro. Michael Turner/Raffi Hamparian

COMMITTEE REPORTS ● Energy/Environment. Mike Lewis, Construction Industry Air/Water Coalitions; Patty Senecal, WSPA (p41-42) ● SoCal Business Coalition. CEO meeting recap; Coalition launching work groups. Patty Senecal/Mike Lewis (p43) ● LA County Storm Water. Meeting with Sup. Ridley-Thomas and next steps. Mike Lewis/Tracy Rafter ● Transportation. David Grannis, Point C, LLC; Hilary Norton, Fixing Angelenos Stuck in Traffic (p44) ● Congestion Mitigation Fee. BizFed-led coalition effort to set aside fee on new development. Michael Turner (p45) ● Metro Business Roundtable. Join BizFed leadership in dialogue with Metro. Tracy Rafter ● International Trade. Steve Ly, San Gabriel Valley Regional Chamber; Hugo Merida, LA Metro Hispanic Chamber (p46-49) ● Colombia Trade Mission. BizFed July trip success; participants including Assemblyman Medina. Hugo Merida (p50) ● Mexico Trade Mission. November with new Dept of Commerce Secretary Penny Pritzker. Tracy Rafter ● Polling & Research. Joe Ahn, Northrop Grumman; Lisa Bailey, Irwindale Chamber (p51-54) ● LA County Supervisor Meetings. Three so far; Molina set for 8/21 3pm; Knabe pending. David Englin ● Land Use/Housing. Carlene Matchniff, Centennial Founders, LLC; Will Wright, AIA (p54-55) ● LA County General Plan. Push for fiscal impacts analysis. Holly Schroeder

7. BizFed PAC: Laura Olhasso (p56-57) ● November LA County Local Races. Consultant engagement to target impact for business.

8. Early Warnings: (p58) ● Unemployment Insurance. Potential payroll tax increase proposal from Brown Administration. (p59-63) ● County RDA Dissolution Funds. Supervisors allocated $75M for affordable housing. (p64-65) ● Hoeven Amendment. Would ban LEED in federal projects in Shaheen-Portman Bill.

9. Other Business: (p66 & sep pkt) ● Events & News of BizFed Interest, including BizFed 2009 Chair Holly Schroeder’s new position (seperate pkt) ● Issues Tracking

10. Next Board Meeting: TUESDAY September 17, 12pm-1:30pm. Host: NBCUniversal. Venue: To Be Announced Shortly!

Welcome ~ New & Renewing BizFed Members and Investors June/July 2013

NEW MEMBER: Burbank Association of Realtors

RENEWING: Antelope Valley Board of Trade; Asian Business Association; Beverly Hills Chamber; City National Bank; Englander, Knabe & Allen; Glendale Chamber; KP Public Affairs; Hollywood Chamber; League of California Cities – Los Angeles; Malibu Chamber; Metropolitan Water District; Majestic Realty Co.; Mission Valley Bank; National Association of Women Business Owners (NAWBO-LA); Pasadena Chamber; Port of Los Angeles; Southern California Gas Co.;

SPECIAL THANK YOU ~ Voluntary Dues Doubling: Arcadia Chamber; Apartment Assn, CA Southern Cities; LA Shares; San Gabriel Valley Economic Partnership

SPECIAL THANK YOU ~ Sponsorships: BNSF Railways, Exxon Mobil, Western States Petroleum Association CHRISTINE ESSEL

Christine Essel is the President of Southern California Grantmakers (SCG), a regional association of philanthropic leaders whose mission is to support and advance effective, responsible philanthropy for the public good. SCG’s members include family, community, private, corporate and public foundations, as well as individual grantmakers. As president, Ms. Essel sets the strategic direction and priorities for the organization, overseeing programming, communications, member services and public policy.

She joined SCG as President on February 1, 2013.

Prior to joining SCG, Ms. Essel held leadership roles in the government, corporate, philanthropic and nonprofit sectors, where she has shaped legislation and public and corporate policy. Ms. Essel brings a wealth of experience to SCG including a deep knowledge of the region and a passion for forging creative solutions to complex community challenges, along with extensive relationships and expertise in corporate philanthropy, finance, real estate development, government and community relations.

For over three decades, Ms. Essel worked at Paramount Pictures, serving for many years as Senior Vice President, Government and Community Affairs, a department she built from the ground up. In that role, she was responsible for the studio’s philanthropic efforts and for shaping Paramount’s civic presence while managing all political and legislative activity, corporate social responsibility and fundraising activities. During her tenure she was also responsible for overseeing in excess of $500 million in real estate development projects on the studio lot.

Most recently, she served as CEO for the Community Redevelopment Agency of the City of Los Angeles (CRA/LA), with an annual budget exceeding $600 million, a staff of 260 employees and 32 project areas throughout the City of Los Angeles. In response to a statewide call by the legislature, Ms. Essel's leadership helped lay a critical foundation for the dissolution of the agency, leading to a successful redistribution of resources for schools and local governments, while ensuring the completion of many crucial affordable housing projects and other developments vitally important to the economic growth of the region.

Ms. Essel has been named to numerous Boards and Commissions over the years, serving as chair of the California Film Commission, the Los Angeles Community Redevelopment Agency, the Hollywood Community Advisory Council, Alternative Living for the Aging and Central City Association. She also served as Vice-Chair of the California Workforce Investment Board and FilmLA and was a member of the powerful Los Angeles World Airports Commission, Grand Avenue Project Joint Powers Authority and Los Angeles Development Fund. Ms. Essel has been honored by esteemed organizations such as City of Hope, National Women’s Political Committee, Alternative Living for the Aging, Weingart Center Partners, National Association of Corporate Real Estate Executives, Central City Association and the Hollywood Chamber of Commerce. ROBERT LAPSLEY

Robert C. Lapsley is President of the California Business Roundtable. The Roundtable is a a non-partisan organization comprised of the senior executive leadership of the major employers throughout the state – with a combined workforce of more than half a million employees. For more than thirty-five years the Roundtable has identified the issues critical to a healthy business climate and provided the leadership needed to strengthen California’s economy and create jobs.

Previously, Lapsley was with the California Chamber of Commerce, responsible for CalChamber public affairs activities, including its Advocacy Council, a political advisory committee made up of major members; its candidate recruitment and support program; and its political action committees — CalChamberPAC, which supports pro-jobs candidates, and CalChamberBusPAC, which qualifies, supports and/or opposes ballot initiatives.

He also served as the CalChamber executive director of JobsPAC, a broad, employer-based, bipartisan committee that supports pro-jobs candidates.

Lapsley has more than 20 years of experience in public affairs and business, most recently serving as president of RCL Consultants, a firm specializing in business, regulatory, political and public affairs consulting. He also has served as vice president of Arnel Development, where he was responsible for new business projects.

As a presidential appointee, Lapsley served as special assistant to U.S. Ambassador to Spain, George Argyros. While with the U.S. State Department and in addition to his diplomatic duties, Lapsley coordinated strategies with private sector firms and the U.S. Department of Commerce in the Spanish-American and European Union business arenas.

He also was a long-time policy and political aide to former Secretary of State Bill Jones, serving as Undersecretary of State from 1995 to 1998 and from 1999-2001 and managing both of Jones’s successful campaigns for that constitutional office.

Lapsley is a graduate fellow of the Coro Foundation and is a veteran of the U.S. Air Force. He holds a B.S. in biology and political science from Illinois State University. LOS ANGELES COUNTY BUSINESS FEDERATION BOARD MEETING, Tuesday, June 18, 2013 MINUTES

Members present: Ron Adams, hristine Aghassi, Pat Anderson, Steve Arakawa, Lou Baglietto, Lisa Bailey, Dustan Batton, Steve Bullock, Andrea Ceragioli, Christina Davis, LaDonna DiCamillo, Bruce Ferguson, David Fleming, Charles Gale, David Grannis, Kristine Guerrero, Dan Hoffman, Pilar Hoyos, Laurie Hughes, Mohammed Islam, Gilbert Ivey, Brad Jensen, John Kelsall, Robb Korinke, Weston Labar, Bill LaMarr, Mike Lewis, David Libatique, James W. Litz, Carlene Matchniff, Vicki Medina, Hilary Norton, Laura Olhasso, Tracy Rafter, Jack Sample, Holly Schroeder, Patty Senecal, Don St. Clair, Paul Taylor, Ivan Tether, Ken Tiratira, MC Townshend, Francesca Vega, Martha Welborne, Mark Wilbur, Will Wright, Jim Wullschleger, David Yale (Christina Hounanian, David Englin, Judi Erickson)

Guests: Assemblyman Bob Blumenfield; Shayna Englin, Englin Consulting; Bryan Starr, OCBC

Welcome/Introductions: Meeting called to order at 12:01 by Chair LaDonna DiCamillo. Introductions. Host Employers Group recognized. New and renewing members recognized.

Minutes May 21, 2013 Secretary/Treasurer Pilar Hoyos presented minutes. Approved. (m/Fleming; s/Gale). Abstention: Baglietto

Operations: Steve Bullock, Jim Wullschleger I. May 2013 financials. Jim Wullschleger recapped, noted year-to-date ahead of budget. Members urged to remit dues in timely fashion. ACTION: Financials approved (m/Korinke; s/Fleming) II. Enhanced Online Engagement. Steve Bullock introduced Shayna Englin, consultant to BizFed working to boost online tools and member engagement. S. Englin provided overview of work. Tracy Rafter noted members providing special investment for effort; urged others to contact her.

Special Presentation: Bay Delta Conservation Plan. Gil Ivey and Steve Arakawa of MWD reviewed current status of BDCP plan for increasing ecologically and environmentally sustainable San Joaquin/Sacramento Bay Delta water supply. Outlined next steps with Secretary of Interior, water bond efforts, and critical need. BizFed members urged to stay informed and inform their own members. Next critical junctures expected in November.

Committee Reports: Advocacy: Robb Korinke, Larry Kosmont, MC Townsend

Action Items I. SB 7. Kristine Guerrero outlined bill inserting Sacramento into local decision making for charter cities by withholding state funds unless certain criteria are met. ACTION: Board voted to oppose SB 7. (m/Bailey; s/Aghassi) Abstentions: Lewis, Norton

II. Measure R Acceleration. Hilary Norton summarized Metro effort to accelerate Measure R funding (in wake of Measure J not passing on ballot). David Yale explained financing mechanisms that would include long-term borrowing against Prop. A & C funds, allow accelerated schedule on construction of Measure R transit projects. Some member concerns on Gold Line status and 710 tunnel. ACTION: Board voted to support Metro’s plan for accelerating Measure R funding. (m/St. Clair; s/Lewis) Opposed: Bailey, Olhasso. Abstentions: Anderson, DiCamillo, Hoffman, Jensen, Korinke, Labar, Townsend

III. Ontario Airport. Advocacy Chair MC Townsend noted member request after Advocacy Committee consideration to temporarily table full Board consideration on this item pending City discussions. ACTION: Board concurrence

Hot Items I. ACA8. Assemblyman Bob Blumenfield joined by phone to update on Assembly approval of BizFed-supported ACA8 (ballot measure that would seek to lower voter threshold for transportation/infrastructure projects). Thanked BizFed members for support. Next step: Senate.

II. Congestion Mitigation Fee. David Grannis noted positive discussions with Metro executives and Board members on efforts to set aside proposed fee on new development. Noted Board member Richard Katz motion to address underlying statute. Metro Board to consider June 27.

III. LA City Mayor-Elect. Laura Olhasso and Pilar Hoyos noted opportunity for business community to engage in development of new city team/appointees. Members urged to contribute.

Committee Reports I. Energy/Environment. AQMD Business Roundtable. Mike Lewis updated on Coalition engagement, including focus on 2015 AQMP and appointments to the AQMD Board. Business Forum Monterey Shale. Tracy Rafter noted expert educational forum at Woodbury University Aug. 14, hosted by BizFed Institute. Members urgd to RSVP. Stormwater. Rafter noted upcoming Supervisor meeting has agendized the issue; expected to be the requested “report back” by DPW. BizFed monitoring/on alert.

BizFed PAC: Laura Olhasso I. November Elections. Laura Olhasso noted BizFed PAC focus on November LA County local elections. Consultant engaged. Urged members to join PAC.

Early Warnings I. SB 751. Bryan Starr joined by phone and outlined legislation to amend Brown Act to require publishing of individual Board member votes. ACTION: Board voted to support (m/Hoyos; s/Olhasso) Abstention: Korinke

Meeting adjourned at 1:39 p.m. Minutes submitted by Judi Erickson August 18, 2013

Los Angeles County Business Federation Balance Sheet

Last Month Comparison Last Year Comparison June 30 2013 May 31 2013 June 30 2012

ASSETS Current Assets Cash: Checking Account 51,769 41,575 24,676 Savings Account 1,027 1,027 1,026 $ 52,796 $ 42,602 $ 25,702 Advances to Affiliates BFI 1,793 2,793 13,793 PAC - - - $ 1,793 $ 2,793 $ 13,793

Receivables $ 149,100 $ 220,000 $ 167,600

TOTAL ASSETS $ 203,689 $ 265,395 $ 207,095

LIABILITIES AND NET ASSETS Current Liabilities Accounts Payable $ - $ - $ - Accrued Expenses - - -

Total Current Liabilities $ - $ - $ -

Net Assets Unrestricted Net Assets 203,689 265,395 207,095

TOTAL LIABILITIES AND NET ASSETS $ 203,689 $ 265,395 $ 207,095

C:\Users\Public\Documents\OPS\2013 Ops Packet\07-08 Aug 15 for MEs June and July\June 2013\3.1 June ME BS DRAFT3.1 June ME BS Los Angeles County Business Federation Statement of Activities For The Six Months Ended June 30, 2013

Month Year To Date Variance Favorable (Un- Annual Actual Actual Budget favorable) % Budget REVENUES AND SUPORT: Membership Dues $ 4,000 $ 20,600 $ 12,500 $ 8,100 65% $ 29,100 Investors Sponsorships 53,000 331,100 312,000 19,100 6% 734,600 Contract/ Fee for Service - - Grants/STEP 10,700 10,700 20,000 (9,300) -47% 40,000 Needs adjstmt. Miscellaneous Income 5,000 10,000 (5,000) -50% 10,000 Total Revenues and 67,700 Support 367,400 354,500 12,900 4% 813,700 EXPENSES: Mgmt. Srvcs. 15,000 90,000 90,000 - 0% 180,000 Advo-Internal 10,800 66,570 69,480 2,910 4% 138,960 Not fixed. Dev-Internal 6,667 40,000 39,000 (1,000) -3% 78,000 contract ∆ Accounting 500 3,000 3,000 - 0% 6,000 * Mbrsp Srvcs 2,500 15,000 10,860 (4,140) -38% 24,116 * Bkpg/Admin 500 3,000 1,848 (1,152) -62% 4,173 PAC Administration 3,000 6,000 6,000 - 0% 12,000 Intnl Comms - 4,000 10,152 6,152 61% 119,600 Budgeted Qtrly Advo-External 1,500 6,000 6,000 - 0% 12,000 BFI Extrnl Comms - 4,000 4,000 100% 8,000 contract elimination Audit and Legal - PAC 2,055 7,151 11,232 4,081 36% 22,464 Health Insurance 1,800 3,600 3,600 - 0% 7,200 Advertising - - - - Mktg & Media 7,759 34,844 32,900 (1,944) -6% 53,350 Program 750 876 15,000 14,124 94% 20,000 STEP Polling & Research 220 5,970 6,750 780 12% 13,500 DB Fee- Mapping - 2,500 2,500 100% 5,000 Strategic Planning - 2,100 2,100 100% 4,200 Assoc. Mgmt. Sys. - 1,200 1,200 100% 2,400 Web Design/ Tech Support - 4,000 4,000 100% 10,000 Event Expenses - 11,699 11,650 (49) 0% 16,000 Intern Stipend - 3,200 3,200 100% 10,400 Travel & Parking 785 3,218 4,350 1,132 26% 8,700 * Rent Expense 1,460 8,760 7,008 (1,752) -25% 15,423 * Meals and Meetings 810 4,245 3,558 (687) -19% 7,245 Website Hosting 135 1,310 750 (560) -75% 1,500 July corrects Office Expenses 85 892 2,502 1,610 64% 5,000 * Copies & Printing 1,000 5,642 3,038 (2,604) -86% 5,639 Volume increase * Tele. & Comm. 264 1,703 1,704 1 0% 3,656 Equip. & Sftwre 63 1,642 2,780 1,138 41% 3,560 * USPS & Delivery 135 1,049 648 (401) -62% 1,424 Srvc Level Increase D&O & Gen. Liability Insurance - 1,629 2,000 371 19% 2,500 Timing Other 717 2,210 - 2,198 (12) -1% 4,396 Total Expenses 58,505 330,011 365,008 34,997 10% 806,406

CHANGE IN NET ASSETS$ 9,195 $ 37,389 $ (10,508) $ 47,897 456% $ 7,294 * Reduction due to monthly repayment of advances to BFI till August 2013.

C:\Users\Public\Documents\OPS\2013 Ops Packet\07-08 Aug 15 for MEs June and July\June 2013\3.2 June Stmt of Actvs3.2 June Los Angeles County Business Federation Balance Sheet

Last Month Comparison Last Year Comparison July 31 2013 June 30 2013 July 31 2012

ASSETS Current Assets Cash: Checking Account 26,676 51,769 23,410 Savings Account 1,027 1,027 1,026 $ 27,703 $ 52,796 $ 24,436 Advances to Affiliates BFI 793 1,793 12,793 PAC - - - $ 793 $ 1,793 $ 12,793

Receivables $ 217,100 $ 149,100 $ 167,200

TOTAL ASSETS $ 245,596 $ 203,689 $ 204,429

LIABILITIES AND NET ASSETS Current Liabilities Accounts Payable $ - $ - $ - Accrued Expenses - - -

Total Current Liabilities $ - $ - $ -

Net Assets Unrestricted Net Assets 245,596 203,689 204,429

TOTAL LIABILITIES AND NET ASSETS $ 245,596 $ 203,689 $ 204,429

C:\Users\Public\Documents\OPS\2013 Ops Packet\07-08 Aug 15 for MEs June and July\July 2013\3.5 July BS3.5July ME BS Los Angeles County Business Federation Statement of Activities For The Seven Months Ended July 31, 2013

Month Year To Date Variance Annual Actual Actual Budget Favorabl % Budget REVENUES AND SUPORT: Membership Dues$ 1,100 $ 21,700 $ 17,000 $ 4,700 28% $ 29,100 Investors Sponsorships 35,500 366,600 354,500 12,100 3% 734,600 Contract/ Fee for Service - - Grants (3,300) 7,400 20,000 (12,600) -63% 40,000 $4.4K Refund Miscellaneous Income - 5,000 10,000 (5,000) -50% 10,000 Total Revenues and Support 33,300 400,700 401,500 (800) 0% 813,700 EXPENSES: Mgmt. Srvcs. 15,000 105,000 105,000 - 0% 180,000 Advo-Internal 10,800 77,370 81,060 3,690 5% 138,960 Not fixed. Dev-Internal 6,667 46,667 45,500 (1,167) -3% 78,000 contract ∆ Accounting 500 3,500 3,500 - 0% 6,000 * Mbrsp Srvcs 2,500 17,500 12,670 (4,830) -38% 24,116 * Bkpg/Admin 500 3,500 2,156 (1,344) -62% 4,173 PAC Administration 1,000 7,000 7,000 - 0% 12,000 Intnl Comms - 4,000 10,152 6,152 61% 119,600 Budgeted Qtrly Advo-External 1,500 7,500 7,000 (500) -7% 12,000 BFI Extrnl Comms - - 4,000 4,000 100% 8,000 contract terminated Audit and Legal - PAC 1,779 8,930 13,104 4,174 32% 22,464 Health Insurance 600 4,200 4,200 - 0% 7,200 Advertising - - - - Mktg & Media 2,100 36,944 47,900 10,956 23% 53,350 Timing Program 8,457 9,333 15,000 5,667 38% 20,000 STEP Polling & Research 4,750 10,720 13,500 2,780 21% 13,500 DB Fee- Mapping - 2,500 2,500 100% 5,000 Strategic Planning - 2,450 2,450 100% 4,200 Assoc. Mgmt. Sys. - 1,400 1,400 100% 2,400 Web Design/ Tech Support - 5,000 5,000 100% 10,000 Event Expenses - 11,699 11,650 (49) 0% 16,000 Intern Stipend - 4,400 4,400 100% 10,400 Travel & Parking 239 3,457 5,075 1,618 32% 8,700 * Rent Expense 1,460 10,220 8,176 (2,044) -25% 15,423 * Meals and Meetings 377 4,622 4,151 (471) -11% 7,245 Website Hosting (365) 945 875 (70) -8% 1,500 Office Expenses 892 2,919 2,027 69% 5,000 * Copies & Printing 550 6,192 3,146 (3,046) -97% 5,639 * Tele. & Comm. 282 1,985 1,988 3 0% 3,656 Equip. & Sftwre 112 1,754 2,910 1,156 40% 3,560 * USPS & Delivery 135 1,184 756 (428) -57% 1,424 D&O & Gen. Liability Insurance 165 1,794 2,500 706 28% 2,500 Other 286 2,497 2,564 67 3% 4,396 Total Expenses 59,394 389,404 434,202 44,798 10% 806,406

CHANGE IN NET ASSETS$ (26,094) 11,296$ $ (32,702) $ 43,998 135% 7,294$

* Reduction due to monthly repayment of advances to BFI till August 2013.

C:\Users\Public\Documents\OPS\2013 Ops Packet\07-08 Aug 15 for MEs June and July\July 2013\3.6 July Stmt of Act3.6 July

Californians for Affordable and Reliable Energy

THE ISSUE: Californians for Affordable and Reliable Energy (CARE) is a coalition being formed among businesses, local officials, statewide associations, energy providers, and other stakeholders to promote the need for a comprehensive state energy plan on fuels and electricity that prioritizes affordability, reliability, and adequate supply. The coalition is planning a launch event for August 19 in Los Angeles.

BIZFED ACTION REQUESTED: BizFed Advocacy Committee recommends BizFed join this coalition.

SUPPORTING VIEWS:

“Despite assembling an ambitious agenda that has gained the world’s attention, the state has failed to develop a comprehensive, energy strategy with clearly delineated priorities to ensure that policies are not working at cross-purposes and that California achieves its environmental stewardship goals.”

-- Little Hoover Commission

“Our review and preliminary assessment of the state’s major energy incentive programs finds that the state currently lacks a comprehensive framework that fully coordinates these activities to help ensure that the state’s goals are being achieved in the most cost-effective and cost-efficient manner.”

-- Legislative Analyst’s Office

“We have identified some of the key stresses that have arisen in California as the state moves toward its renewable and distributed generation goals: a web of complex programs, rising system costs, and controversial cost allocation. Left unaddressed, these issues potentially impede progress towards policy goals and/or negatively impact consumers.”

-- Hoover Institution at Stanford University

We need to control the rising costs of energy and ensure that we have the supply needed to keep our state running and our economy growing.

There are many state mandated programs and requirements that are rapidly increasing energy costs compared to the rest of the nation – making our business climate even more challenging.

For businesses to grow in CA, they need to know that their electricity, transportation and natural gas costs will be manageable. But our already expensive rates will continue to rise:

• Electricity rates from CA utilities are projected to increase between 26% and 42% from 2012 to 2020 (CEC: CA Energy Demand 2014-2024 Preliminary Forecast Vol. 1, May 2013)

• Natural gas rates are projected to increase between 62% and 77% from 2012 to 2020 (CEC: CA Energy Demand 2014-2024 Preliminary Forecast Vol. 1, May 2013)

• Transportation fuels are projected to increase by $0.49-$1.83/gallon by 2020 due to AB 32 (Cap & Trade and Low Carbon Fuel Standard) (Boston Consulting Group: Understanding the Impact of AB 32, June 2012)

-- Californians for Affordable and Reliable Energy Fact Sheet

OPPOSING VIEWS:

There is no known formal opposition to this coalition. However, one can surmise that the environmental advocates who have been the driving force behind AB 32, many of the more onerous CARB and AQMD regulations, etc., would consider themselves counterpoints to a coalition seeking to bring a more balanced and comprehensive approach to energy policy. “Despite assembling an ambitious agenda that has gained the world’s attention, the state has failed to develop a California is approaching an energy crisis – state policies comprehensive, energy are forcing higher costs and reliability problems. strategy with clearly delineated priorities to ensure that policies ACTION NEEDED! are not working at cross-purposes and We need to control the rising costs of energy and ensure that we that California achieves have the supply needed to keep our state running and our economy its environmental growing. stewardship goals.” – Little Hoover Commission There are many state mandated programs and requirements that are rapidly increasing energy costs compared to the rest of the nation – making our busi­ness climate even more challenging. “Our review and preliminary assessment For businesses to grow in CA, they need to know that their electricity, of the state’s major transportation and natural gas costs will be manageable. But our energy incentive already expensive rates will continue to rise: programs finds that the state currently • Electricity rates from CA utilities are projected to increase lacks a comprehensive between 26% and 42% from 2012 to 2020 (CEC: CA Energy Demand 2014- framework that fully 2024 Preliminary Forecast Vol. 1, May 2013) coordinates these • Natural gas rates are projected to increase between 62% and 77% activities to help ensure from 2012 to 2020 (CEC: CA Energy Demand 2014-2024 Preliminary Forecast Vol. that the state’s goals are 1, May 2013) being achieved in the most cost-effective and • Transportation fuels are projected to increase by $0.49-$1.83/ cost-efficient manner.”– gallon by 2020 due to AB 32 (Cap & Trade and Low Carbon Fuel Legislative Analyst’s Office Standard) (Boston Consulting Group: Understanding the Impact of AB 32, June 2012)

Join us in advocating for a state energy plan that prioritizes “We have identified some of the key stresses affordability, reliability and adequate supply. that have arisen in California as the CARE is a coalition of small businesses, community groups, local state moves toward officials, local business organizations, statewide associations, and its renewable and large energy consumers that are calling on policy-makers to ensure distributed generation that we have a responsible energy plan that protects our state’s goals: a web of complex economy. programs, rising system costs, and controversial cost allocation. Left unaddressed, these issues potentially impede progress towards policy goals and/or negatively impact consumers.” – Hoover Institution at Stanford University

To join, contact Alison MacLeod at [email protected]

CONTACT: Alison MacLeod (916) 225-6317

New Report Identifies Key Drivers Behind California’s Rising Cost of Energy Coalition Launches to Promote Affordable and Reliable Energy Supply

August 19, 2013, Los Angeles, CA - In an effort to address growing concerns about costs and unintended consequences of California’s energy policies, a consortium of statewide associations, local business groups, elected officials, and industry leaders have formed Californians for Affordable & Reliable Energy (CARE) – a coalition designed to highlight the state’s energy challenges and promote the need for a comprehensive state energy plan that prioritizes affordability, reliability and adequate supply.

CARE released a report today, prepared by Navigant Consulting, which examines the underlying cost drivers associated with California’s aggressive energy mandates and highlights the unintended consequences that can result from California’s complex energy landscape. The report echoes similar findings from policy experts like the Little Hoover Commission emphasizing the risks that California faces from not having a comprehensive energy plan. Our state is currently implementing a broad range of costly and often conflicting regulatory programs and there is little discussion amongst policymakers about the cumulative impact of these actions.

“There is not a single, credible source of analytics and data that can inform companies and policymakers regarding the cumulative costs of these AB32 policies and regulations in combination with many other recently approved and/or proposed energy-related policies,” said Patrick Mealoy, Managing Director in the Energy practice at Navigant Consulting, Inc. “The uncertainty about cumulative impacts is a serious challenge for decision-makers.”

Navigant examined key cost drivers of three prominent energy programs and issued the following warnings:

• Renewable Portfolio Standard: The 33% RPS requirement will likely lead to increased prices and rates as utilities attempt to incrementally phase in renewable energy to their portfolios—while adjustments already made have created challenges in the industry’s ability to provide reliable electric service. • Cap and Trade: Implementation of AB 32 has added to electricity prices attributable to the “carbon component” of energy costs. The impact of these carbon price increases on electricity bills will be felt disproportionately by end consumers. • Low Carbon Fuel Standard: The California Air Resources Board’s assumptions that full compliance with the LCFS will result in negligible price increases have been called into question by a number of detailed studies. Additionally, considerable uncertainty lies in the eventual cost impacts and litigation to date regarding the legality of its rules, along with the uncertainty regarding the potential supply of alternative fuels and associated infrastructure required.

According to Navigant, the difference in energy costs between California and its neighboring states impacts business, job creation and local communities. Such effects include increased costs for city or county vehicle fleets, heating and cooling costs for schools, electricity costs at water treatment facilities, and costs for providing other essential public services. Californians hear consistently about the state's march towards being an environmental trailblazer as a result of our regulations and policies. Unfortunately, they rarely hear about the associated costs that will be triggered across our economy. The industrial community alone has dropped 17 percent of its electricity demand in the last two decades, in part because of implementing its own efficiency measures.

“Our businesses and communities need a more comprehensive energy policy that balances economic considerations with environmental goals,” said Rob Lapsley, president of the California Business Roundtable and member of the CARE coalition. “Because of the threats outlined by Navigant and other experts, we are asking for the state to avoid implementing any new energy laws until they’ve developed a clear strategy that is consistent with our job growth priorities and will enhance our economic recovery.”

The CARE coalition has pointed to numerous other studies by academic and policy experts who are concerned about the lack of coordination in California’s energy policies. According to the Little Hoover Commission, “In a short period, the state has adopted a series of transformative policy initiatives, any of which taken individually would take years of careful planning to implement. The policies were adopted one at a time without the benefit of a cohesive design. Now they are being implemented simultaneously without an overarching plan. The state has not produced a comprehensive assessment of the total cost of implementing this group of policies, inhibiting consumers and businesses in their ability to plan for this new future.”

The CARE coalition was launched today in Los Angeles with a presentation by both Navigant Consulting and the Little Hoover Commission. Coalition members held a dialogue about how rising energy costs and uncertainty with reliability impacts their various business sectors and regions. They highlighted their desire for policymakers to find the most cost-effective methods for achieving environmental goals – an approach that would incorporate a more comprehensive view of regulations that considers the wide spectrum of direct and indirect costs, benefits to the environment, impacts to jobs, and other related outcomes.

Bob Massman, vice president of Dependable Highway Express, hosted the event at his logistics warehouse facility in Los Angeles. He stated, “Our company is committed to implementing environmentally-sustainable business practices and we have installed the world’s largest rooftop solar system on an industrial high-rise. But despite this and similar steps by DHE, we are still very much impacted by the rising costs of electricity and fuel. We are worried about the layers of different mandates, and whether we will be able to afford them, or even comply.”

The California Energy Commission has projected electricity rates to increase between 26 to 42 percent by 2020. The Boston Consulting Group has projected fuel costs to rise between $0.49 and $1.83 per gallon by 2020 due to Cap and Trade and LCFS.

Consumers are about to get hit with the first big electricity rate increase from the California-only renewable power requirement. It's important to understand that California’s environmental policies will consistently increase energy costs in the coming years -- even with the most conservative estimates.

“Small businesses are operating on narrow budgets, doing all they can to be successful and contribute positively to California’s economy,” said Betty Jo Toccoli, president of California Small Business Association. “But rapidly rising energy costs will be more than some businesses can handle. We need to be thoughtful about the most efficient and cost-effective ways to achieve the state’s goals.”

Californians for Affordable & Reliable Energy is a non-partisan coalition advocating for a comprehensive state energy plan on fuels and electricity that prioritizes affordability, reliability and adequate supply. For more information please visit CAREaboutEnergy.org or connect with the coalition on twitter @CAREaboutEnergy.

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AB 900: Medi-Cal Reimbursement

THE ISSUE: Existing law provides for the Medi-Cal program, which is administered by the State Department of Health Care Services, under which qualified low-income individuals receive health care services. The Medi-Cal program is, in part, governed and funded by federal Medicaid Program provisions. Existing law requires, except as otherwise provided, Medi-Cal provider payments to be reduced by 1% or 5%, and provider payments for specified non-Medi-Cal programs to be reduced by 1%, for dates of service on and after March 1, 2009, and until June 1, 2011. Existing law requires, except as otherwise provided, Medi-Cal provider payments and payments for specified non-Medi-Cal programs to be reduced by 10% for dates of service on and after June 1, 2011.

AB 900 (Alejo) bill would instead require that this payment reduction not apply to skilled nursing facilities that are a distinct part of a general acute care hospital, for dates of service on or after July 1, 2013, subject to necessary federal approvals.

BIZFED ACTION REQUESTED: BizFed Advocacy recommends BizFed join the coalition supporting this legislation (draft support letter follows). Letter is requested prior to August 23 Senate hearing.

SUPPORTING VIEWS:

Medi-Cal beneficiaries make up nearly 80 percent of the patients receiving hospital-based skilled nursing care. These are patients requiring specialized and medically complex care that freestanding nursing facilities and other health care providers will not or cannot accept.

If the funding cuts are allowed to stand, hospital-based skilled nursing facilities, already decimated by low Medi-Cal rates that don’t cover the cost of current care, will lose another 25-40 percent of the funding. AB 900 restores these cuts and saves these skilled nursing facilities from closing or drastically reducing essential services.

The complex rehabilitative care provided by hospital-based skilled nursing facilities is cost-effective by helping patients recover and return to their homes more quickly. Without hospital-based skilled nursing care, patients will remain in the acute-care hospital longer, adding much greater costs to the health care system than the dollars “saved” through the proposed cuts.

Statewide, approximately one-third of the state’s hospital-based skilled nursing facilities have closed within the last five years, putting increased pressure on the availability of acute and emergency room care for the general population in many regions.

-- AB 900 Sample Support Letter, California Hospital Association

OPPOSING VIEWS:

While there has been no official organized opposition registered to this bill, analysis provided by the Assembly Committee on Appropriations note the following fiscal impact estimates to the state budget:

• FY 2012-13: greater than $140 million • FY 2013-14: greater than $573 million • FY 2014-15: greater than $680 million • FY 2015-16: greater than $450 million

Additionally, that same analysis provides the following rationale for the original policy this bill seeks to correct: Due to the economic downturn in 2008, and in the face of significant state budget deficits, the Legislature adopted a number of Medi-Cal rate freezes and/or rate reductions. AB 900 – Restoring Medi-Cal Reimbursement Rates Support List (Partial List)

Community Organizations Shasta Regional Medical Center Alzheimer’s Association Sonora Regional Medical Center Children Now Southern Inyo Hospital Children's Defense Fund - California St. Mary’s Medical Center The Children's Partnership Surprise Valley Health Care District PICO California Trinity Hospital United Ways of California California Democratic Party Labor Organizations SEIU-UHW Health Care Organizations SEIU California Alameda County Medical System Laborers’ Locals 777 & 792 Alameda Hospital National Union of Healthcare Workers Antelope Valley Hospital Barton Health Local Government Bear Valley Community Hospital Association of California Healthcare Districts Biggs-Gridley Memorial Hospital California State Association of Counties Bruceville Terrace City Council of Escondido California Advocates for Nursing Home Reform City of Coalinga California Association of Neurological Surgeons City of Poway California Coverage and Health Initiatives City and County of San Francisco California Hospital Association (Sponsor) County of Alameda Supervisor Wilma Chan California Hospital Medical Center County of Inyo California Pacific Medical Center County of Monterey Californians for Patient Care County of Napa Supervisor Brad Wagenknecht Catalina Island Medical Center County of Napa Supervisor Bill Dodd Coalinga Medical Center County of Napa Supervisor Mark Luce Colusa Regional Medical Center County of Plumas Community Medical Centers Health Care, Fresno County of Riverside Daughters of Charity Health System County of San Bernardino Eastern Plumas Health Care County of San Diego Emanuel Center County of Santa Barbara George L. Mee Memorial Hospital County of Sonoma Hi-Desert Medical Center County of Shasta John C. Fremont Healthcare District County of Sierra Hospital Council of Northern and Central California, County of Tuolumne Fresno-Madera Section Fresno Council of Governments Hospital Council of Northern and Central California, Kern- John Benoit, Riverside County Board of Supervisors, Eastern Sierra Section District 4 Kaiser Foundation Health Plan, Inc. Kaweah Delta Health Care District Business Groups Laborers’ Locals 777 & 792 Chamber of Commerce Alliance of Ventura/Santa Barbara Lompoc Valley Medical Center Counties Los Medanos Community Healthcare District Escondido Chamber of Commerce Mayers Memorial Hospital District Fresno Chamber of Commerce Modoc Medical Center Los Angeles Area Chamber of Commerce Mountains Community Hospital Poway Chamber of Commerce Motion Picture & Television Fund Sacramento Metro Chamber Oak Valley Hospital District San Diego Regional Chamber of Commerce Ojai Valley Community Hospital San Francisco Chamber of Commerce Palomar Health South Bay Association of Chambers of Commerce Pacific West Pharmacy Valley Industry & Commerce Association San Benito Healthcare District (Hazel Hawkins) San Francisco General Hospital Individual Supporters Sharp HealthCare More than 2,000 individuals

Updated July 24, 2013

Impact of Medi-Cal Funding Cuts to Hospital-Based Skilled Nursing Facilities Questions and Answers

Q: What is a Distinct Part Skilled Nursing Facility (DP/SNF)? How are they different from free- standing skilled nursing facilities? A: As compared to free-standing nursing facilities, distinct part skilled nursing facilities (DP/SNFs) care for patients of greater medical complexity and are often the only option for patients with specialized medical or behavioral needs or for individuals living in rural areas. DP SNFs are owned and operated by hospitals.

Q: Where are DP/SNFs located? A: The remaining are located throughout the state, including many rural areas, where they are often the only skilled nursing facilities in the community. In urban areas, DP/SNFs are an essential part of the health care safety net. In the last five years, approximately 40 hospital-based skilled nursing facilities in California (about one-third) have closed due to financial pressures.

Q: How are services provided by DP/SNFs paid for? A: Medi-Cal beneficiaries make up nearly 80 percent of the patients receiving hospital-based skilled nursing care. Currently, Medi-Cal payments cover just 84 percent of costs and many facilities report greater shortfalls. Medi-Cal’s per diem rates are established based on cost reports submitted by each facility to the state Department of Health Care Services. Facilities are paid a rate equal to their reported costs or the median cost for facilities across the state, whichever is less.

Q: What is AB 97? What effect did AB 97 have on DP/NFs? s A: Passed by the California state legislature in 2011, Assembly Bill (AB) AB 97 reduces Medi-Cal reimbursement rates for services for DP/SNFs to rates that were applicable in the 2008-2009 rate year, less 10%. The legislation authorized application of the rate cut retroactively to June 1, 2011.

Implementation of the rate cut was initially prevented by a lawsuit brought by several provider groups. A subsequent court decision in December 2012, reversed the previous decision. The state plans to proceed with implementation of the cuts and retroactive recoupment to June 2011, in the coming months.

Q: What will happen if the AB 97 cuts are implemented? A: The pending cuts will cause many DP NFs to close or reduce services and the state has no plan to provide any patients who will be displaced with appropriate alternative settings. There aren’t enough available spots for these patients, even if they are moved away from their families and communities.

The reduction of rates to 90 percent of 2008 -2009 Medi-Cal funding levels results in an average effective rate decrease of 25-40 percent from current rates. Funding for care in

several facilities will be reduced by many millions of dollars. Retroactive recoupment for the period of time since June 1, 2011 will result in devastating financial hardship for many hospitals.

In rural areas, where DP SNFs often provide essential infrastructure to the overall hospital operation, the loss in funding will undermine the financial viability of the hospital as a whole and will put at risk the availability of all hospital services if they are forced to close.

Throughout California, remaining skilled nursing facilities in hospitals are already full to capacity and have long waiting lists. If additional facilities close, many displaced patients will have no place to go, and patients will lose access to medically necessary care.

Q: Is DP/SNF care cost effective? A: Rehabilitative care provided by hospital-based skilled nursing facilities is cost-effective by helping patients recover more quickly and return to their homes. Without hospital- based skilled nursing care, patients will remain in the acute-care hospital longer, adding greater costs to the health care system than any short-term savings claimed through the proposed cuts.

Patients and residents have shorter lengths of stay and achieve better outcomes better outcomes when compared to patients and residents of freestanding skilled nursing facilities. Acute hospital readmissions are lower for hospital-based skilled nursing facilities.

Q: What are the community impacts of these funding cuts? A: Hospital-based skilled nursing facilities support timely transition of patients from the acute hospital setting by providing medically necessary care and ensuring that acute hospital services are available for other patients who need them.

If the funding cuts happen, many elderly and disabled Medi-Cal patients will end up staying longer in acute-care beds because there is simply nowhere else for them to go.

Chambers of Commerce DRAFT Agoura-Oak Park-Conejo Valley-Calabasas Alhambra Arcadia Armenian American August 21, 2013 Bell Gardens Beverly Hills Burbank Century City Honorable Kevin De Leon Chinese Chamber LA Claremont California State Capitol, Room 5108 Culver City El Monte Sacramento, CA 95814 Filipino American Filipino American South East Corridor Glendale Greater Lakewood Re: Support Assembly Bill 900 (Alejo) - Stops Funding and Service Cuts to Greater Los Angeles African American Harbor City / Harbor Gateway Hospital-based Skilled Nursing Care for Seniors, and Medically Complex and Hollywood Irwindale Disabled Patients on Medi-Cal Korean American Los Angeles Area LAX Coastal Area La Canada Flintridge Long Beach Area Los Angeles Metropolitan Hispanic Dear Senator De Leon: Malibu Manhattan Beach Montebello On behalf of the Los Angeles County Business Federation (BizFed) – representing over Pacific Palisades Pasadena 100 business groups with more than 250,000 business owners across our region – we Pomona Redondo Beach are writing to urge you to support Assembly Bill 900 and spare hospital-based Regional Black Regional Hispanic skilled nursing facilities from devastating Medi-Cal cuts. Regional San Gabriel Valley Rosemead San Pedro Peninsula Santa Clarita Valley These facilities are often the only option available to the most medically vulnerable Santa Monica South Bay Association seniors and other Medi-Cal beneficiaries with complex physical and behavioral needs. Toluca Lake Torrance Area Medi-Cal beneficiaries make up nearly 80 percent of the patients receiving hospital- United Chambers San Fernando Valley Universal City North Hollywood based skilled nursing care. These are patients requiring specialized and medically Vernon Vietnamese American complex care that freestanding nursing facilities and other health care providers will West Hollywood West Los Angeles not or cannot accept. Westside Council Wilmington Woodland Hills–Tarzana Trade Associations and Minority Business Groups If the funding cuts are allowed to stand, hospital-based skilled nursing facilities, AIA Los Angeles American Beverage Association already decimated by low Medi-Cal rates that don’t cover the cost of current care, will Antelope Valley Board of Trade Apartment Association, CA Southern Cities lose another 25-40 percent of the funding. AB 900 restores these cuts and saves Apartment Association of Greater Los Angeles Arcadia Association of Realtors these skilled nursing facilities from closing or drastically reducing essential Asian American Business Women Association Asian Business Association services. Associated Builders and Contractors - LA/Ventura Beverly Hills / Greater LA Association of Realtors British American Business Council Statewide, approximately one-third of the state’s hospital-based skilled nursing Building Industry Association, LA / Ventura Building Owners & Managers Association, LA facilities have closed within the last five years, putting increased pressure on the California Apartment Association, LA California Contract Cities Association availability of acute and emergency room care for the general population in many California Grocers Association California Independent Bankers regions. California Metals Coalition California Small Business Alliance Carson Dominguez Employers Alliance Central City Association The complex rehabilitative care provided by hospital-based skilled nursing facilities is Citrus Valley Association of Realtors Construction Industry Air Quality Coalition cost-effective by helping patients recover and return to their homes more quickly. Construction Industry Coalition for Water Quality Employers Group Without hospital-based skilled nursing care, patients will remain in the acute-care Entrepreneurs' Organization LA Fixing Angelenos Stuck In Traffic (FAST) hospital longer, adding much greater costs to the health care system than the dollars FuturePorts Gateway to LA “saved” through the proposed cuts. Glendale Association of Realtors Greater Asian Business Federation Greater LA New Car Dealers Association Harbor Association of Industry & Commerce For these reasons, we urge you to support AB 900. Harbor Trucking Association Hospital Association of Southern CA Hotel Association of Los Angeles Industry Manufacturers Council Thank you for your consideration. LA SHARES League of California Cities Los Angeles County Economic Development Corp. Los Angeles County Waste Management Association Sincerely, Motion Picture Association of America NAIOP Southern California Chapter National Association of Women Business Owners, LA National Latina Business Women Association New Majority Los Angeles Signatures pending Board approval Overseas Chinese Business Exchange Pasadena-Foothills Association of Realtors Recording Industry Association of America San Gabriel Valley Economic Partnership Santa Clarita Valley Economic Development So Cal Minority Supplier Development Council LaDonna DiCamillo David Fleming Tracy Rafter South Asian Business Alliance Network South Bay Association of Realtors BizFed Chair BizFed Founding Chair BizFed CEO South Park Stakeholders Group Southland Regional Association of Realtors Long Beach Area Chamber Latham & Watkins LLP IMPOWER, Inc. Tri-Counties Association of Realtors Valley Economic Alliance Valley Economic Development Center Valley Industry Association of Santa Clarita Valley Industry & Commerce Association Valley International Trade Association West San Gabriel Valley Association of Realtors Western States Petroleum Association

1000 N. Alameda St. #240 Los Angeles, California 90012 T: 213.346.3282 F: 213.652.1802 www.bizfed.org

City of Los Angeles Health Department Measure

THE ISSUE: The AIDS Healthcare Foundation has collected a sufficient number of signatures to qualify its “City of Los Angeles Public Health Protection Act” for the ballot in June of 2014. If passed by a majority of the voters, the act would require the City to establish its own Public Health Department within 120 days after the ordinance is enacted. At the same time, the City would be prohibited from working with the County in enforcing public health laws. Los Angeles City Council members agreed to place a measure in the June 2014 ballot asking voters to determine whether the city should create the independent health agency. At the same time, Council members also agreed to file a lawsuit challenging the validity of such a measure.

BIZFED ACTION REQUESTED: BizFed Advocacy recommends BizFed oppose this measure.

SUPPORTING VIEWS:

Currently, the Los Angeles County Department of Public Health oversees health services in 85 of the 88 cities in the County--including the City of Los Angeles. Advocates believe the County public health system is too vast and inefficient a bureaucracy that oftentimes jeopardizes the public's health. The City of L.A. last had its own independent Public Health Department in 1964, and thereafter has contracted with the County for its public health services.

"A lack of professional leadership and accountability in the Los Angeles County Public Health Department has led to rampant cronyism and a repeated refusal to adhere to standing state and federal laws. The County oversees health services in 85 of the 88 cities in the County, and the fact that its director answers to no one- -coupled with under-the-table dealings and favoritism within the institution--has left the people living in those cities--in particular, those in the City of Los Angeles, at high risk for medical inefficiencies in the event of a virus outbreak or epidemic," said Michael Weinstein, president of AIDS Healthcare Foundation and one of the five named proponents of the ballot initiative.

-- AIDS Healthcare Foundation News Release, Feb. 18, 2013

OPPOSING VIEWS:

The initiative undermines the deployment and coordination of resources that currently exist in the areas of lab testing, disease control and surveillance, among others; creating a new public health department is a costly option; and fees alone will not adequately fund this department, thus requiring the City’s General Fund to backfill at a time when the Fund itself is already projected to incur a deficit for FY 2014-15.

-- Hospital Association of Southern California

“We are concerned that it could result in duplication of services and a reduction of public health protection of LA city residents.”

-- Jonathan Fielding, LA County Health Department Director

It is estimated that it will cost approximately $333 million per year over a one to two year period to build an independent city-run health department. Once it is built, however, there is still great fear that the facility will not be able to effectively support all of the public health needs of Los Angeles’ vast population. Many factors come into play including financial resources needed for implementation. If the initiative is approved it will have to be implemented within 120 days of the approval. This will be next to impossible due to the need to find a space, setup all of the required programs, as well as hire nearly 2,000 new workers.

“It would be very difficult, if not impossible, for the city to get in the business of healthcare," said Santana, who noted that policymakers are already struggling to maintain police, fire and other essential services despite looming budget deficits. "The city is simply not in a position to take this on.”

-- Miguel Santana, City Administrative Officer “City of Los Angeles Public Health Protection Act.” TEXT OF PROPOSED MEASURE: Section 1. Title.

This ordinance shall be known and may be cited as the “City of Los Angeles Public Health Protection Act.”

Section 2. Findings and Declarations.

The people of the City of Los Angeles hereby find and declare all of the following:

(a) The promotion and protection of public health is one of the highest duties of government; (b) Despite this importance, the City of Los Angeles does not have its own ability to promote and protect the public health of its citizens. Instead, it currently contracts out this responsibility to the County of Los Angeles; (c) This arrangement has resulted in a waste of money, as fees paid to Los Angeles County under this arrangement have subsidized the healthcare needs of other areas of the County; (d) This arrangement has also resulted in failures to prioritize the healthcare needs of the residents of the City of Los Angeles, to their detriment.

Section 3. Purpose and Intent.

The people of the City of Los Angeles hereby declare their intent and purpose in enacting this ordinance to be to better promote and protect the public health of the City of Los Angeles by establishing a City of Los Angeles Department of Public Health, which will be responsible for promoting and protecting the public health, and enforcing public health laws of the City of Los Angeles.

Section 4.

Section 31.10 is hereby added to the City of Los Angeles Public Health Code to read as follows:

Section 31.10. Protection of Public Health.

(a) The people of the City of Los Angeles wishing to place the highest priority on the protection of the public's health have voted to re-establish an independent city health department. Since 1964, the City of Los Angeles has contracted with Los Angeles County for health services despite the fact that the largest share of funding for health services flowing from state and federal sources is directed at City residents. As such, City resources are going to subsidize wealthier cities (per capita) with much smaller populations of needy people. Three cities in Los Angeles County - Long Beach, Pasadena and Vernon - have retained their own health departments which are better able to address the needs of these individual cities. (b) The City of Los Angeles shall establish a Los Angeles Health Department (“Department”) to administer and enforce public health laws in the City of Los Angeles. (c) All costs for the establishment of the Department shall be derived from current fees collected and paid to Los Angeles County as a result of its activities to enforce public health laws in the City of Los Angeles. (d) Future revenue for the Department shall be generated from the collection of all fees, including, license, permit, and/or certification fees generated by the enforcement of the Public Health Code. (e) The Department shall be established within 120 days after this ordinance is enacted. (f) The City of Los Angeles shall be the only governmental entity able to enforce the public health laws of the City and/or the County of Los Angeles within the City of Los Angeles. The City of Los Angeles shall not contract with or otherwise provide for enforcement of public health laws to the County of Los Angeles.

Section 5. Severability.

If any portion of this ordinance is for any reason held to be unconstitutional, invalid or unenforceable by a court of competent jurisdiction, that invalidity shall not affect the remaining portions of this ordinance which can be implemented without the invalid provision, and, to this end, the provisions of this ordinance are severable.

Section 6. Competing Measures.

In the event that this measure and another measure or measures relating to the establishment of a health department in the City of Los Angeles shall appear on the same ballot, the provisions of the other measures shall be deemed to be in conflict with this measure. In the event that this measure shall receive a greater number of affirmative votes, the provisions of this measure shall prevail in their entirety, and the provisions of the other relating to the establishment of a health department in the City of Los Angeles shall be null and void.

Section 7. Amendment and Repeal.

The provisions of the Los Angeles Municipal Code added by, amended by, or contained in this initiative measure may be amended to further its purposes by ordinance passed by a majority vote of the Council and approved by the Mayor. The provisions of the Los Angeles Municipal Code added by, amended by, or contained in this initiative measure shall not be repealed, except by an ordinance adopted either by petition or by the Council at its own instance and adopted by a vote of the electors, or by an amendment of the Charter superseding the aforementioned provisions.

Monterey Shale Business Forum

More than 100 top business leaders attended the BizFed Institute’s Monterey Shale Business Forum at Woodbury University on August 14 for a frank, spirited, and illuminating discussion of the opportunities and challenges associated with accessing the massive oil and gas deposits contained in the Monterey Shale formation.

Many thanks to the following people for making this groundbreaking event possible:

Don St. Clair, Woodbury University; Patty Senecal, WSPA; Jenny Dudikoff, KP Public Affairs; Randy Witt, Randy Witt Productions

Special thanks to Kelly Dodge, Woodbury University, and the entire Woodbury University team for providing a first-class venue and support.

And of course, the forum was a great success because of our speakers and panelists, all of whom are leading experts in their respective fields:

Susan Kennedy, Senior Policy Advisor, Alston & Bird, LLP

The Los Angeles Times called Kennedy "the most enduring force in state government of the last decade." She has been recognized by Democrats and Republicans, as well as business and labor unions, as a key factor in "getting it done" in Sacramento. Kennedy has built a formidable reputation over two decades at the highest levels of state and federal government, most recently as chief of staff to Republican Governor Arnold Schwarzenegger, as deputy chief of staff and cabinet secretary to Democratic Governor Gray Davis, and as communications director for California's senior U.S. Senator, Dianne Feinstein. Kennedy also served for three years on California's Public Utilities Commission, where she led

groundbreaking efforts to streamline government regulation and promote investment in California businesses.

Bill Allayaud, California Director of Governmental Affairs, Environmental Working Group

The Environmental Working Group is the nation's leading environmental health research and advocacy organization. Their mission is to serve as a watchdog to see that Americans get straight facts, unfiltered and unspun, so they can make healthier choices and enjoy a cleaner environment. As their California Director of Governmental Affairs, Allayaud brings to his work a career of environmental protection that includes: 20 years with the California Coastal Commission as a planner, permit analyst, and legislative liaison; service as an urban planner with two cities; service as the state director of Sierra Club California. He has a B.A. from U.C. Santa Cruz in Environmental Studies and Politics and a Master's from Cornell University in Regional Planning.

Catherine Reheis-Boyd, President, Western States Petroleum Association

As President of the Western States Petroleum Association since January 1, 2010, Reheis-Boyd oversees the trade organization’s operations and advocacy in six Western states – California, Arizona, Nevada, Washington, Oregon and Hawaii. She has been affiliated with WSPA since 1990 and previously was the Association’s Executive Vice

President. Reheis-Boyd manages a broad range of Association activities, including legislative and regulatory issues associated with transportation fuels policy, air and water quality, climate change, renewable fuels and alternative energy issues, crude oil and natural gas production and many other issues in WSPA’s six states, and beyond those borders into

Canada and abroad.

Mark Nechodom, Director, California Department of Conservation

Nechodom has dedicated his professional life to integrating conservation, regulation and development on the land, on the farm, and in the forest to inspire sustainable production and practices while maintaining a sensible balance between economic opportunities, environmental health and human well-being. Prior to his appointment as DOC Director, he was a Senior Policy Advisor to the Secretary of the US Department of Agriculture (USDA), which he represented on the team that negotiated California’s greenhouse gas reporting protocol for forestry, and he provided scientific and technical support to the California Air Resources Board and the Board of Forestry in the development of the AB 32 state climate strategy.

Kevin Hopkins, Director of Research, The Communications Institute

Hopkins was coauthor of Powering California: The Monterey Shale & California's Economic Future, an in-depth research study on California's energy future cosponsored by the USC Viterbi School of Engineering and the Price School of Public Policy with The Communications Institute. He previously served as Director of the White House Office of Policy Information and Research Counsel for the White House Office of Science and Technology Policy, and was a Senior Fellow at the Hudson Institute, a public policy research center, where he directed numerous large-scale economic research studies for agencies and departments of the U.S. government. He has also been a Senior Contributing Editor at Bloomberg

Business Week.

Tim Kustic, State Oil and Gas Supervisor, Division of Oil, Gas, and Geothermal Resources

Working for the California Department of Conservation for nearly 30 years, Kustic has a keen understanding of the complex challenges faced by the oil, gas, and geothermal industries as well as by the Division, which is mandated to encourage the wise development of California’s energy resources while protecting the environment. Most recently, Kustic served as the Division’s Technical Service Manager, but he has also served as a field engineer in the Bakersfield and Santa

Maria district offices, as manager of the Sacramento district office, and as the Division’s Facilities Program Manager. He began his career in the petroleum industry.

PLEASE SEE THE ATTACHED NEWS RELEASE FOR A DETAILED RECAP OF THE EVENT.

FOR IMMEDIATE RELEASE MEDIA CONTACTS: Tracy Rafter, 818.429.0862 August 16, 2013 David Englin, 703.505.6045

Forum Highlights Monterey Shale Energy Opportunities and Challenges

BizFed Institute convenes top experts to educate business leaders about potentially transformative economic issue

LOS ANGELES, CA – The BizFed Institute convened more than 100 top business leaders at Woodbury University in Burbank Wednesday for a frank and spirited discussion of the opportunities and challenges associated with accessing the massive oil and gas deposits contained in the Monterey Shale formation, located primarily in California’s Central Valley. Over the course of three hours, participants heard directly from leading economic, regulatory, environmental, and industry experts.

"The BizFed Institute brings together diverse and sometimes conflicting voices to have frank and mature conversations about challenging issues affecting our communities and our economy, and that's exactly what we're doing today," said David Fleming, BizFed's founding chair. Fleming argued in remarks during the forum that California will have no choice but to access the Monterey Shale's energy resources to help America ultimately become a net energy exporter.

Kevin Hopkins, director of research with The Communications Institute, presented the findings of the in-depth economic study of the Monterey Shale, which he co-authored. The report, “Powering California: The Monterey Shale & California's Economic Future,” cosponsored by the USC Viterbi School of Engineering and the Price School of Public Policy with The Communications Institute, details the economic potential of the Monterey Shale, including up to:

• $24.6 billion in new state revenue • 2.8 million new jobs • $222.3 billion in new personal income • 14.3% increase in state GDP

Hopkins made clear that the report did not examine any environmental issues related to accessing energy resources in the Monterey Shale, and he acknowledged that more research must be done to ensure those issues are addressed.

Moderated by Susan Kennedy, former Schwarzenegger Administration and Davis Administration senior official, the panel discussion created a critical opportunity for open dialogue between industry, environmental advocates, and regulators. Her key takeaway from the discussion was that, before addressing the details of hydraulic fracturing, or fracking, California must first decide whether to extract its own oil and gas resources or continue to import them from other countries. It was noted that over 60 percent of California’s transportation fuel energy comes from outside of the state and the country.

The panel Kennedy moderated included Tim Kustic, California’s state oil and gas supervisor, Bill Allayaud, California director of governmental affairs for the Environmental Working Group (who joined via Skype from Sacramento), and Catherine Reheis-Boyd, president of the Western States Petroleum Association.

Kustic made the point that, after 60 years of hydraulic fracturing in California, state regulators are not aware of any incidents of groundwater pollution or any other ill effects. He provided detailed insights from the perspective of state regulators, elaborating on some of the technical questions that had been brought up throughout the morning. He supported his agency’s work, noting that their legislative mandate is to ensure public and environmental safety while also enabling access to California’s oil, gas, and geothermal sources.

Allayaud explained that, rather than initially seeking a ban or moratorium on hydraulic fracturing, the Environmental Working Group is first trying to ensure the state regulates the practice in a way that promotes transparency and accountability and protects public health and safety. He confirmed that environmentalists are not responding to reported problems from hydraulic fracturing in California. Rather, they are seeking to ensure we get on top of the process to avoid any chemical pollution or water supply issues with a possible increased use of hydraulic fracturing or other forms of well stimulation, such as acidizing. However, he also criticized state regulators for not doing enough over the years to identify where fracking is occurring and what chemicals are used in the process. He questioned whether, without knowing what chemicals to look for, the state can really say that there have been no cases of environmental contamination. He also questioned the results of the USC economic study on Monterey Shale, which Hopkins vigorously defended from the audience.

Reheis-Boyd detailed California’s rising demand for oil and gas, explaining that nearly all oil and gas produced in California is used in California. She explained that the current demand far outpaces the in-state supply, and she noted that allowing access to the Monterey Shale reserves would create millions of new jobs. On the issue of hydraulic fracturing, she reiterated the industry’s long history and strong safety record in California and highlighted the industry’s voluntary efforts to publicize the chemicals used in the process. She also reinforced the point that hydraulic fracturing is merely one method of accessing shale reserves, as is horizontal drilling. The combination of the two technologies makes accessing the Monterey Shale more viable.

In each case, and throughout the discussion, Kennedy pressed each panelist to clarify their points, truly respond to critiques from other panelists, and validate their facts and positions, ensuring a full and open exchange.

At the beginning of the program, Mark Nechodom, director of the California Department of Conservation, set the stage with an overview of the energy potential contained in the Monterey Shale formation, which lies 3,000 feet below ground level, primarily in the Central Valley. He noted that hydraulic fracturing is merely one method of accessing those oil and gas resources. Nechodom explained that, while hydraulic fracturing has been happening in California for decades, the Brown Administration is working to ensure new regulations will continue to protect the environment while enabling access to this California formation that constitutes two-thirds of all shale reserves in the United States.

“The Institute is a complement to BizFed, engaging civically minded, nonprofit, academic, and regional thought leaders for the purpose of building strong communities propelling a robust economy,” said Tracy Rafter, BizFed CEO. “True to BizFed form, we don’t shy away from the interesting, the challenging, the diverse, or the outliers. Rather we get motivated, get connected, get informed and engaged.”

BizFed, the Los Angeles County Business Federation, is a grassroots alliance of over 100 existing business organizations with more than 250,000 businesses whose goal is to effectively mobilize the collective voice of the Los Angeles County business community. The BizFed Institute is BizFed’s nonprofit educational arm.

For more information please visit bizfedinstitute.org.

Photo Cutline: Left to Right: Kevin Hopkins, The Communications Institute; Dan St. Clair, Woodbury University, BizFed Chair-Elect; Tracy Rafter, BizFed CEO: David Fleming, Latham & Watkins, LLC, BizFed Founding Chair; Catherine Reheis-Boyd, Western States Petroleum Association; Tim Kustic, State Oil and Gas Supervisor; Susan Kennedy, Senior Policy Advisor, Alston & Bird, LLP; Mark Nechodom, Director, California Department of Conservation. Photo courtesy of Harvey Branman.

###

July 23, 2013

Senate President Pro Tem Darrell Steinberg State Capitol, Room 205 Sacramento, CA 95814

RE: Amendments Needed to SB 731 (Steinberg) to Achieve Meaningful CEQA Reform

The CEQA Working Group is a broad coalition of business, local government, housing, clean tech, transit, education, transportation and other advocates that have come together to advance meaningful CEQA modernization legislation in 2013. We want to thank you for your continued leadership in advancing the cause of CEQA reform and for your introduction of Senate Bill 731. We also want to thank you for establishing a stakeholder process to negotiate changes to SB 731 with the goal of enacting meaningful reform and we look forward to a positive outcome.

As we enter into the final months of the legislative session, we believe it is critical to significantly amend SB 731 to achieve meaningful reform that stamps out widespread abuses of CEQA that are serving as roadblocks to environmentally responsible projects that create high-value jobs and economic growth.

Unfortunately, as drafted, SB 731 would not advance true CEQA reform and, in fact, could make approval of worthy and responsible projects even more difficult. In its current form we believe SB 731 would introduce new requirements for lead agencies and project proponents and create more opportunities for meritless lawsuits against projects that have otherwise complied with CEQA and other stringent state and local environmental and planning laws and requirements.

We know you share our goal of trying to achieve something meaningful and lasting this year. In that spirit, we respectfully urge you to consider the following principles to amend SB 731 in order for the legislation to achieve the goal of true CEQA reform:

• Incentivize Projects that Help California Achieve Its Aggressive Greenhouse Gas Reduction and Land-use Planning Goals. In recent years, California has adopted the world’s most significant land-use planning and greenhouse gas reduction legislation in the form of SB 375 and AB 32. SB 731 should be amended to provide increased certainty for projects that comply with SB 375 and AB 32 and help the state and individual regions meet our aggressive Greenhouse Gas Reduction (GHG) goals. We must reduce duplicative environmental reviews and reduce meritless lawsuits against such projects. We also need to amend SB 731 to provide greater certainty to renewable energy projects.

(more) • Increase Transparency in CEQA Litigation. Under current law, parties to CEQA litigation can remain anonymous by filing under the name of unincorporated associations with shadow members and hidden interests. We should amend SB 731 to require disclosure of any party that has financially contributed to CEQA litigation, similar to campaign finance disclosure laws and court mandates for third parties seeking to file advocacy briefs in lawsuits.

• Ensure CEQA Litigants Have Skin in the Game. Under current law, CEQA plaintiffs have no responsibility for the costs of litigation, which encourages frivolous challenges. CEQA plaintiffs should be required to pay for the lead agency’s preparation of the record required for CEQA litigation.

We respectfully urge you to consider these principles. We want to thank you for your leadership and look forward to our continued partnership to enact meaningful reform this legislative session.

Sincerely,

Carl Guardino, President & CEO Gary Toebben, President & CEO Silicon Valley Leadership Group Los Angeles Area Chamber of Commerce

Hasan Ikhrata, Executive Director Tim Colen, Executive Director Southern California Association San Francisco Housing Action Coalition of Governments Rick Bishop, Executive Director Thomas G. Duffy, Legislative Director Western Riverside Council of Governments California’s Coalition for Adequate School Housing Gabriel Metcalf, Executive Director San Francisco Planning + Urban Research Richard Schmidt, President UnitedAg Rex Hime, President & CEO California Business Properties Association Lacy Kelly, Chief Executive Officer Association of California Cities – Orange Bill Dombrowski, President & CEO County California Retailers Association

Jeanne Cain, Executive Vice President, Policy Rob Lapsley, President California Chamber of Commerce California Business Roundtable

Lucy Dunn, President & CEO Bill Allen, President & CEO Orange County Business Council Los Angeles County Economic Development Corporation Richard Lyon, Senior Vice President

California Building Industry Association Jelisaveta Gavric, Legislative Advocate

California Association of REALTORS®

Jim Wunderman, President & CEO

Bay Area Council Tracy Rafter, CEO

Los Angeles County Business Federation

Dennis Frank, President

Southwest California Legislative Council Jack Stewart, President California Manufacturers & Technology Association (more)

Cynthia Murray, President & CEO Oscar Garcia, President & CEO North Bay Leadership Council Chamber of Commerce Mountain View

John A. Coleman, Executive Director Vicki Medina, Executive Director Bay Planning Coalition Antelope Valley Board of Trade

Paul Granillo, President & CEO Rosanne Foust, President & CEO Inland Empire Economic Partnership San Mateo County Economic Development Association

Cynthia Kurtz, President & CEO Ken Dunham, Executive Director San Gabriel Valley Economic Partnership West Coast Lumber & Building Material Association

Robert Freed, President & CEO Keri Bailey, Senior Vice President SummerHill Homes California Grocers Association

Gary Hambly, President & CEO Joe Ahn, Board Chairman California Construction and Industrial Materials South Bay Association of Chambers of Commerce Association Brendan Huffman, Executive Director Tom Holsman, CEO Chambers of Commerce Alliance of Ventura Associated General Contractors of California and Santa Barbara Counties

Darius Assemi, President Steve Van Dorn, President & CEO Granville Homes Santa Clara Chamber of Commerce

Jerry Sanders, Executive Director R. Scott Kurtz, President San Diego Regional Chamber of Commerce Harbor Association of Industry & Commerce

Mark Christian, Director of Legislative Affairs Marna Smeltzer, President & CEO American Institute of Architects California Council Redondo Beach Chamber of Commerce

Paul J. Meyer, Executive Director Leron Gubler, President & CEO American Council of Engineering Companies Hollywood Chamber of Commerce California Brian Ling, Executive Director / CEO James V. Camp, President Sonoma County Alliance NAIOP of California Laurel Abbott, President Kent Jeffreys, Staff Vice President Santa Barbara Association of REALTORS® International Council of Shopping Centers Paul Stewart, Government Affairs Director Scott Raty, President & CEO San Mateo County Association of REALTORS® Pleasanton Chamber of Commerce Constance Lynch, CEO Jim Lazarus, Senior Vice President, Public Policy Southwest Riverside County Association San Francisco Chamber of Commerce of REALTORS®

Ted LaDoux, Executive Director Christine Dwiggins, 2013 President Western Wood Preserver’s Institute San Francisco Association of REALTORS®

Cc: Governor Jerry Brown

Members, California State Legislature

Coalition List

www.CEQAWorkingGroup.com

 California Alliance for Jobs  San Diego Regional Economic  Silicon Valley Leadership Group Development Corporation  California’s Coalition for Adequate  East Bay Economic Development School Housing Alliance  California Hospital Association  California Chamber of Commerce  Transportation California  National Federation of Independent  Southern California Association of Business California Governments  Los Angeles Chamber of Commerce  San Bernardino Associated  Greater Antelope Valley Economic Governments Alliance  Western Riverside Council  Bay Area Council Of Governments  Central California Council  California Transit Association  North Bay Leadership Council  Riverside County Transportation  Orange County Business Council Commission  Sonoma County Alliance  California Housing Consortium  La Jolla Association  San Diego Housing Commission  Southwest California Legislative  San Francisco Housing Action Council Coalition  San Gabriel Valley Economic  SummerHill Apartment Communities Partnership  UnitedAg  Inland Empire Economic Partnership  California Small Business  Valley Industry and Commerce Association Association  San Francisco Planning + Urban  Los Angeles County Business Research Federation  Bay Planning Coalition  Harbor Association of Industry and  Association of California Cities Commerce Orange County  Antelope Valley Board of Trade  Central City Association of Los  American Council of Engineering Angeles Companies of California  Southern California Water  American Institute of Architects Committee California Council  Pacific Merchant Shipping  American Institute of Architects Los Association Angeles  Associated General Contractors of  West Coast Lumber and Building California Material Association  Los Angeles County Economic  Associated Builders and Contractors Development Corporation Of California  Santa Clarita Valley Economic  Long Beach Area Chamber of Development Corporation Commerce  San Mateo County Economic  San Francisco Chamber of Development Association Commerce (more)

 Oakland Metropolitan Chamber of  Contra Costa Association of Commerce REALTORS®  Hollywood Chamber of  San Francisco Association of Commerce REALTORS®  South Bay Association of Chambers  Santa Barbara Association of of Commerce REALTORS®  Chambers of Commerce Alliance of  Bay East Association of Ventura and Santa Barbara REALTORS® Counties  Rancon Real Estate  Brea Chamber of Commerce  Beal & Associates Inc.  Fresno Chamber of Commerce  The High Country Group  Pleasanton Chamber of Commerce  Temecula Homes and Land  Silicon Valley Chamber of  Atlantis Group Commerce  United Country Coast Central Realty  San Diego Regional Chamber of & Auction Services Commerce  Chamber of Commerce Mountain View  Santa Clara Chamber of Commerce  Greater Bakersfield Chamber of Commerce  Redondo Beach Chamber of Commerce  California Association of REALTORS®  California Construction & Industrial Materials Association  California Building Industry Association  Building Industry Association of Southern California, Los Angeles/ Ventura Counties Chapter  California Business Roundtable  California Business Properties Association  California Retailers’ Association  Arcadia Association of REALTORS®  Southwest Riverside County Association of REALTORS®  Humboldt Association of REALTORS®  Placer County Association of REALTORS®  San Mateo County Association of REALTORS®  Ventura County Association of REALTORS®

www.CEQAWorkingGroup.com

Engagement Form

YES! I/we agree to participate in the CEQA Working Group and support the policy reforms developed by the group. We believe that thoughtful CEQA changes will preserve the original intent of CEQA -- environmental protection -- while also enhancing our economy, creating jobs, and promoting community renewal.

Please select a category:  Organization  Company  Individual

Please complete the following information:

Company or Organization Name/Employer

Name Title/Occupation

Street address

City State Zip County

Phone number Fax number

E-mail Address

Signature (Required) Date

I / we will help in the following ways:  Provide local CEQA case studies  Outreach / coalition partner recruitment

 Help with legislative meetings  Media (opeds, letters-to-the-editor)

 Financial contributions to the CEQA Working Group (Will be contacted to discuss further)

Email or fax this form to: [email protected] or 916-442-3510 (fax)

Job and Economic Development Meetings with Speaker Pro Tem Nora Campos

Assembly Speaker Pro Tempore Nora Campos (D-San Jose) is flying to Los Angeles on Tuesday, September 17 to meet with BizFed and Latino business leaders. The purpose of her visit is to brief us on the Assembly session, which will have just ended, and to strategize about advancing AB 690, the Jobs and Education for California Act. BizFed’s Larry Kosmont, Kosmont Companies, is the intellectual force behind this legislation, and BizFed has been working closely with Campos throughout the legislative process.

BizFed’s Advisory Committee, co-chaired by Randal Hernandez, Union Bank, and Susan Sifuentes-Trigueros, Southern California Gas Company, is developing the program for her visit. Her visit will include:

VIP Reception with Speaker Pro Tem Nora Campos WHEN: Tuesday, 9/17/13, 11:15 a.m. WHERE: NBCUniversal

Briefing from Speaker Pro Tem Nora Campos at BizFed Board Meeting WHEN: Tuesday, 9/17/13, Noon – 1:30 p.m. WHERE: NBCUniversal

Roundtable with Speaker Pro Tem Nora Campos WHEN: Tuesday, 9/17/13, 2:30 p.m. – 3:30 p.m. WHERE: NBCUniversal

Campos has sponsored these economic development bills this year:

AB 690 – Jobs For California Act (Infrastructure Financing Districts) Provides tax incentives to private companies to invest in projects that generate permanent good paying jobs through public-private partnerships. It specifically uses tax increment financing (TIF) to bring jobs to high unemployment areas throughout the state.

AB 837 – Small Business Assistance Seeks to provide permanent state funding for federal Small Business Development Centers (SBDCs) by formally recognizing them in state law. SBDCs help startup companies by providing various business services to them. California is one of only two states that do not guarantee annual state matching funds for SBDCs (the other is Arizona).

For more information, contact:

David Englin, [email protected]

FOR IMMEDIATE RELEASE: CONTACT: Linda Rapattoni February 21, 2013 (916) 319-2027 (916) 747-5950 (cell)

Assemblymember Campos Introduces Jobs Bill AB 690 Targets Areas of High Unemployment

SACRAMENTO – Assembly Speaker pro Tempore Nora Campos (D-San Jose) introduced Assembly Bill 690 today, a job creation measure that uses tax increment financing (TIF) to stimulate local hiring and reduce unemployment.

“Unemployment is the new blight,” Campos said. “Though our economy is showing signs of improvement, there are still 1.8 million Californians who are looking for work. California needs a program to help local communities attract and keep jobs. I developed AB 690 in partnership with leading business organizations and economists, such as the Los Angeles County Business Federation (BizFed) and Larry Kosmont, to allow local governments to use tax increment financing in public-private partnerships to create new jobs.”

AB 690 is designed to expressly create jobs in California through the establishment of Jobs and Infrastructure Districts, which will provide incentives to the private sector to create new jobs and provide workforce training.

Tax increment financing is one of the most powerful financing tools available to state and local governments for encouraging economic development. In contrast to the 48 other states that have a TIF program, California lost this mechanism when redevelopment was eliminated in 2011. When applied to job creation, TIF could create funding for jobs at a new supermarket, at a once empty warehouse retrofitted into a manufacturing facility, or a new local restaurant in a distressed neighborhood by borrowing against the future increase in the property tax revenues in these areas.

With statewide unemployment at 9.7 percent, AB 690 will directly benefit key job sectors including construction, manufacturing, retail and other vital industries.

AB 690 also includes built-in accountability tools as well as objective, measurable results that will directly address high unemployment by requiring 10 permanent, full-time prevailing wage jobs to be created for every $1 million invested. In addition to adding jobs and strengthening our economy, AB 690 also provides a long term solution to the state’s structural budget deficit.

The 27th Assembly District includes roughly half of the City of San Jose in Santa Clara County – the tenth largest city in the nation, and third largest in California. Assemblymember Campos served as a San Jose City Councilwoman before she was elected to the Assembly in 2010.

UPDATE: Feds delay threat to withhold billions in California transit funds while negotiations continue

Associated Press – Aug. 17, 2013

SACRAMENTO, California — The federal government on Friday delayed its threat to withhold billions of dollars in California transportation grants in a dispute over public pension reforms while negotiations continue with Gov. Jerry Brown's administration.

The U.S. Department of Labor warned this month that the pension reforms pushed successfully last year by the Democratic governor appear to violate a federal regulation requiring that transportation agencies protect employees' collective bargaining rights.

But department spokesman Michael Trupo said in an email that the government "is working closely with the Governor's Office to resolve the issues involved in certifying federal grants to California's transit districts. While those efforts continue we will hold off on making any decisions about individual grants."

A decision on nearly $268 million in grants to the Los Angeles County Metropolitan Transportation Authority had been expected Friday. Funding for projects in Orange and Sacramento counties also are jeopardized by the pension dispute.

The disagreement imperils more than 100 federal grants, potentially costing the state $1.6 billion in federal money statewide this year alone.

"This is very important to the People of California — both for jobs and pension reform," Brown hand- wrote at the bottom of a letter to the federal agency in May, urging the release of the money. The governor noted that he signed the original law granting collective bargaining rights to state employees. That was in 1977, during his first term as governor.

Brown argued that California's relationship with unions stands in stark contrast with other states that acted to limit public employees' collective bargaining rights. The pension changes, intended to deal with a massive unfunded liability, were enacted through the legislative process rather than through negotiations with the unions.

Jim Evans, a spokesman for the governor, said the administration is gratified by the delay and said the state and federal governments are working to solve the problem.

The problem began with a new state law that increases local and state government employees' pension contributions and provides lower retirement benefits for newly hired employees. That harms transit employees' current and future collective bargaining rights in violation of federal regulations, labor unions and the federal agency said.

The administration is considering seeking legislation that would temporarily exempt transportation employees from the pension law while transit districts sue over the federal interpretation.

Tuesday | Aug. 13, 2013

Transportation Funding on a Crash Course

In September of last year, Gov. Jerry Brown signed an important bipartisan pension reform bill designed to increase the retirement age for new employees, cap the annual payout, eliminate numerous abuses of the system and require workers who are not contributing half of their retirement costs to pay more. The Public Employee Pension Reform Act affects all state public workers hired after Jan. 1, 2013, as well as local governments that participate in the State's pension funds. It was an important first step towards reducing the hundreds of billions of dollars in underfunded pension liability.

Among those affected are the transit unions, who appealed the reforms to the U.S. Department of Labor (DOL), claiming that this change was not negotiated and is therefore inconsistent with federal law. The DOL ruled in favor of the unions and informed Gov. Brown that the State has until Aug. 16 to comply with federal law, or risk decertifying California transit agencies as grant recipients for federal dollars.

The impact of this ruling could be devastating to Los Angeles and undermine what we set out to accomplish through the passage of Measure R in 2008 and the inclusion of America Fast Forward in the federal surface transportation bill in 2012. Transit funds lost to L.A. County would exceed $2 billion.

That’s a loss of $856 million for the Westside Subway and $160 million for the Regional Connector, plus more than 1 billion dollars for other projects like the Orange Line expansion, Expo Phase I operations, bus acquisitions and necessary preventative maintenance.

Los Angeles has earned national recognition for our innovative transportation work over the last decade. We cannot risk the loss of these federal funds sending us backwards. Gov. Brown, labor unions and the federal government have until this Friday to come to an agreement that will not jeopardize the funds, jobs and quality of life that comes from transportation infrastructure investments throughout California. It is essential that all parties stay at the table to quickly find a resolution that continues the federal share of transportation investment in California and L.A. County.

And that's The Business Perspective.

The Business Perspective is a weekly column by Gary Toebben, President & CEO of the Los Angeles Area Chamber of Commerce, produced with the input of Public Policy staff.

13c-PEPRA Talking Points August 5, 2013

PEPRA changes public employee pensions for people hired after January 1, 2013.

The transit unions appealed to US DOL claiming that this change was not negotiated and is, therefore inconsistent with the provisions of 13c in federal law.

US DOL has ruled in favor of the unions and has indicated that PEPRA was not agreed-to under the terms of good faith bargaining.

As of last Friday, the US DOL is indicating that, effective August 16, 2013 it will no longer certify California transit agencies as grant recipients due to the inconsistency of PEPRA with 13c.

This decision jeopardizes all transit funding for such projects as the Subway and the Regional Connector and could cost California billions of dollars in federal assistance.

The loss of funding for just the Subway and the Connector would eliminate more than 40,000 jobs.

There are two basic options available:

1. Amend PEPRA to exclude transit workers covered by 13c so that the California agencies can be certified by DOL 2. Sue the DOL. This will take significant time, will delay resolving the issue, and very likely cost- at least hundreds of millions of lost funds while the case is adjudicated

We recommend legislation be quickly agreed to and passed to exempt those workers covered by 13c. LACMTA Fiscal Yr. & Calendar Yr. 2013 FTA Grant Applications for U.S. Dept. of Labor (DOL) Review

Received Grant Federal Amount Type of Federal Funds Project Description Objection Letter(s)

Submitted CA-95-X042-02 $8,633,000 CMAQ Acquisition of up to 16 40-ft buses (part of 550 base order) ATU, UTU CA-04-0232-01 $10,000,000 Section 5309 State of Good Repair Acquisition of up to 22 40-ft buses (part of 550 base order) ATU, TCU Construction of underground pedestrian passage between MOL CA-04-0261 $10,000,000 Section 5309 Livability Initiative and North Hollywood MRL ATU, TCU ATU, UTU, TCU, CA-90-Y717-07 $5,111,239 FY12 Section 5307 FY2013 bus preventive maintenance AFSCME CA-90-Z054 $159,345,882 FY13 Section 5307 FY2013 bus preventive maintenance UTU CA-05-0273-02 $2,879,547 FY12 Section 5309 FY2013 rail preventive maintenance CA-54-0011 $42,015,000 FY13 Section 5337 SGR FY2013 rail preventive maintenance CA-95-X176-01 $26,593,000 CMAQ Operating assistance for Expo I CA-95-X227 $1,010,000 CMAQ LA Trade Tech College Pedestrian Enhancements CA-95-X227 $1,986,000 CMAQ LA City College Pedestrian Enhancements Subtotal $267,573,668

To Be Submitted $65,000,000 FY14 Section 5309 New Starts Westside Subway Extension $65,000,000 FY14 Section 5309 New Starts Regional Connector $45,441,000 FY13 STP (RIP) LRV P-3010 $7,699,762 FY13 Section 5340 Growing States FY2013 rail preventive maintenance $36,593,680 FY13 Section 5337 State of Good Repair - Fixed Guideway FY2013 & FY2014 rail preventive maintenance $5,640,671 FY13 Section 5337 - High Intensity Motor Bus Capital projects $22,751,717 FY13 Section 5339 Bus & Bus Facilities Bus capital projects $766,524 FY11 Section 5307 (from other UZA's) FY2014 bus preventive maintenance $886,256 FY12 Section 5307 (from other UZA's) FY2014 bus preventive maintenance $721,267 FY13 Section 5307 Associated Transit Improvements $1,857,282 FY12 JARC Capital and Operating projects $1,245,415 FY12 New Freedom Capital and Operating projects $3,650,000 CMAQ City of Glendale CNG Facility $1,500,000 CMAQ City of Glendale Acquisition of Buses $1,941,000 CMAQ City of Pasadena Acquisition of Buses $2,400,000 FY12 Ferry Boat Discretionary City of Avalon Cabrillo Mole Ferry Terminal Rehab $160,000 CMAQ City of Cerritos Transit Amenities $257,000 RSTP City of Malibu Bus Stop Improvements $64,000,000 CMAQ Regional Connector $41,786,160 RSTP LRV P-3010 $58,213,840 RSTP ($28.214 mil); CMAQ($30mil) Crenshaw Subtotal $427,511,574

Total Grants for DOL Review $695,085,242 Note TIFIA Loan application approval for Regional Connector ($160M) and Westside Subway ($856M) will also require Depart. of Labor certification before those loan agreements are finalized.

Prepared by Regional Grants Management

Macintosh HD:Users:dlenglin:Dropbox:BizFed:Wrkig_Stndg:PEPRA_13:Copy of FY13 pending grants 8 5 13.xls 8/7/13

BizFed - Southern California Business Coalition Planning for 2015 Air Quality Management Plan

Status: BizFed has conducted four Southern California Business Coalition AQMD Strategic Planning Sessions and held productive meetings with AQMD Executive Officer Barry Wallerstein and his senior staff. The next Southern California Business Coalition AQMD Strategic Planning Session is scheduled for September 9:

WHAT: BizFed-Southern California Business Coalition AQMD Strategic Planning Session WHEN: Monday, 9/9/13, 1 p.m. – 4 p.m. WHERE: Southern California Association of Governments, Suite 1200, 818 W 7th St, Los Angeles, CA 90017 – Board Room HOST: Southern California Association of Governments

Recent Developments:

July 11 SCLC Meeting: On July 11, SCLC hosted a meeting between top-level CEOs/business community leaders and AQMD Executive Officer Barry Wallerstein. At that meeting Wallerstein again stated his commitment to a renewed relationship with the business community, indicating a number of substantive areas where he need business community input.

July 24 BizFed-Southern California Business Coalition AQMD Strategic Planning Session: A key take away from the July 11 meeting was the need for the business community to develop detailed information to support our assertions about job losses resulting from AQMD rule making, as well as make a detailed case on the public health effects of poverty. Additionally, there was discussion about the need for a political strategy focused on the AQMD Governing Board. Therefore, the following working groups are in development:

• Metrics to Narrative Cttee • Health Effects of Poverty • Political Action

For more information on how to engage with the coalition, contact David Englin, [email protected].

Background: BizFed’s Southern California Energy Collaborative’s expert working group held numerous meetings and submitted multiple comment letters and testimony during the 2012 AQMP process. The working group – organized and led by Matt Petteruto, Vice President of Government and Community Affairs, Orange County Business Council – submitted its final comment letter directly to the South Coast Air Quality Management District Governor Board on November 30, 2012. On Dec. 7, 2012, the South Coast Air Quality Management District Governing Board voted unanimously (with two members absent) to adopt new air quality rules with some changes, including a delay in addressing a controversial measure affecting our region’s ports. Then, on Feb. 1, after appearing first to support a Ports-proposed compromise, AQMD blindsided the ports by voting to implement the original measure. BizFed is leading the BizFed-Southern California Business Coalition. We are working to enhance the business community’s engagement for the 2015 AQMP process, which has already begun.

At our March 28 meeting, Dr. Wallerstein agreed to engage in the concept of a more formalized working relationship with the business community, along the lines of SCAG's GLUE Council. Dr. Wallerstein asked us to come back to him with some specific ideas about how to structure that relationship, and who should participate. He specifically mentioned a number of business entities, not currently engaged in the various SCAQMD committees, that he would value having at the table as well. He also shared some insight into the process for the 2015 AQMP socioeconomic analysis, letting us know their plan to announce the RFP in April or May, with the intention of beginning the work in October. He and his team were very aware of our critiques of the 2012 AQMP socioeconomic analysis, and he asked for a prioritized list of items we would like to see included in the 2015 socioeconomic analysis. These are clearly positive developments. At our April 19 follow-up meeting, we presented our proposal for a GLUE Council-like entity and our prioritized criteria for the socioeconomic analysis for the 2015 AQMP. We had a frank discussion about the merits of creating a formal, AQMD-chartered entity, versus the business community creating an entity of our choosing, with which AQMD will engage. From that discussion, we came to a mutual agreement that the latter is the preferred option, as long as Dr. Wallerstein is fully committed to engaging with us as the appropriate level. The good news is that Dr. Wallerstein clearly sees value in such a relationship, and he committed to being fully engaged, both personally and with his senior staff. Subsequent to the April 19 meeting, Elaine Chang, AQMD Deputy Executive Officer, and Sue Lieu, AQMD's chief economist, engaged is in a point-by-point conference call review of our comments on the socioeconomic analysis.

After multiple conversations among the coalition and with AQMD and senior business leaders, the following outline has been determined for the ongoing business relationship with AQMD:

• The Southern California Business Coalition will continue to meet regularly as a coalition and, as needed, with AQMD executive leadership and Governing Board members. • The Southern California Leadership Council, which already convenes the region’s most senior business and civic leaders, will become the venue for AQMD executive leadership to meet with CEO-level leaders periodically as needed.

BizFed Storm Water Working Group

This month, BizFed will reconvene Water Quality Parcel Tax Working Group as the Storm Water Working Group, chaired by Mike Lewis, CIAQC/CICWQ. Stay tuned for imminent notice. For more information, contact David Englin, [email protected].

L.A. County liable for storm-water pollution, court rules

LA Times, August 8, 2013 A federal appeals court dealt Los Angeles though that monitoring is explicitly intended to County a blow on Thursday in a long-running assess whether Permittees are in compliance" lawsuit over storm-water pollution when it with discharge limitations, the opinion said. issued an opinion that the county is liable for excessively high levels. The case will go back to the federal district court to determine how the county Environmental groups sued the county and its will be required to fix the violations flood-control district in 2008 over pollution in unless the county appeals again. Mark the Los Angeles and San Gabriel rivers, saying Pestrella, assistant director of the the entities had violated storm-water permits county's Department of Public Works, said based on high pollution readings at monitoring the agency is not ready to give up. stations in the rivers. "We can't consider just having [the case] sit as County officials argued that they are not it's been decided," he said. Pestrella said the primarily to blame, because dozens of court was taking a "literal, black and white" cities discharge polluted runoff upstream interpretation of a complicated issue. from the monitoring sites. In 2011, the U.S. 9th Circuit Court of Appeals ruled that the "This is what happens when the courts get county was liable for pollution in the rivers. involved with nature," he said. "The problem that we are facing does not work well when The county appealed the case to the U.S. you prescribe one specific method to comply, Supreme Court, which ruled in January that and the NRDC is well aware of that." water flowing from one "concrete" section of the river to another section cannot be deemed Steve Fleischli, senior attorney and director of a "discharge" of pollutants and sent the case plaintiff Natural Resources Defense Council's back to the appeals court. The high court did national water program, called the decision "a not rule on other issues raised in the lawsuit. significant milestone."

The 9th Circuit issued an opinion "I think this case demonstrates that there is Thursday saying that the county is still accountability built into the system, and if the liable for high pollution levels detected at county avoids that, they will be held liable," he the monitoring stations. The panel found said. that accepting the county's interpretation of the permit requirements would lead to "an Separately, the county's Board of Supervisors unreasonable result." had considered putting a measure to voters asking for a new parcel fee that would go "Under the County Defendants' reading of the toward storm-water cleanup projects, but Permit, individual Permittees could discharge members decided to shelve the initiative in an unlimited amount of pollutants ... but never March after it drew widespread public be held liable for those discharges based on opposition. the results of the emissions monitoring, even

LA County Congestion Mitigation Fee Status & Next Steps

On June 27th, the Metro Board approved a motion that effectively SETS ASIDE the proposed Congestion Mitigation Fee (CMF) while Metro staff explores legislative options to the state- mandated Congestion Management Program (CMP, which essentially fueled this countywide new development fee proposal.)

A broad and diverse Coalition of 54 business organizations had joined together to work with Metro Board members, staff and executives, to write letters and emails, make calls, and talk to the media – all of which led to development of a proposed solution and the decision by the Metro Board.

WHAT’S NEXT: • In coming months, Metro staff will work with Sacramento lawmakers to investigate, hold hearings and determine whether – in light of major advances in transportation metrics and objectives in the past 20 years (such as AB32, SB375, SCAG’s RTP/SCS, and Measure R)– the CMP is still a relevant tool.

• Staff then will report back to the Board – sometime no later February 2014, when Metro must determine LA County’s 88 cities’ compliance with currently existing CMP statute – and work with stakeholders including business to develop a recommendation on meeting CMP requirements.

• Metro committee and Board meetings are canceled this month (August); next discussion potential in September. BizFed Transportation Co-Chairs are working with Metro to schedule the next meeting of the Business Transportation Roundtable.

The New Metro Board With the July 1 installation of a New LA City Mayor, the Metro Board composition has changed:

• New Mayor Eric Garcetti takes the place of Antonio Villaraigosa

• Mayor Garcetti also named replacements for the 3 seats on the Board appointed by the Mayor. The new members are: • City Councilman Mike Bonin • City Councilman Paul Krekorian • Community leader Jackie Dupont-Walker

These members replace: Former Assemblyman Richard Katz, City Councilman Tom LaBonge and Community leader Mel Wilson

For the Record The CMP motion was made by then-Metro Board member Richard Katz.. Approved on consent by the full Board (m/Ridley-Thomas; s/Knabe) with no discussion.

The motion also achieved unanimous approval at Metro’s Executive Management & Audit Committee on June 20. Vote: 4-0 (m/Katz; s/DuBois)

The LA County Supervisors also unanimously approved a related motion by Metro Board member/Supervisor Don Knabe at the Board of Supervisors meeting June 25. Vote: 5-0 (m/Knabe; s/Yaroslavsky) LA County Transportation Roundtable

Summary: Securing Metro’s commitment to formalize their relationship with the business community through this new entity was an important outcome of BizFed’s Measure J advocacy. (Inaugural meeting was held March 27)

Roundtable Co-Chairs: David Grannis, Point C, LLC; Hilary Norton, Fixing Angelenos Stuck in Traffic (FAST)

Overview: Rather than forming to address a specific, imminent issue, this new entity is a long-term endeavor that allows for a collaborative platform for regularly working together to leverage and share information, insights, ideas, and needs. With transportation issues consistently ranking among the TOP concerns for BizFed members – and Metro’s myriad projects under way that mark historic changes for the region – it is a prime opportunity for meaningful increased engagement and development of a visionary model program.

Inaugural Meeting: Focused on Roundtable collaborative brainstorming about top-of-mind potential short- and long-term priorities. Among initial issues broached included need for Green Line extension to LAX, need for FTA Full Funding Grant Agreements for the Regional Connector and Westside Subway Extension (see more information in this packet), increased education on public-transit options, CEQA modernization, resolution of the 710 gap, easing of federal rules for local-hiring preferences, continued development of ExpressLanes.

Next Meeting: Date TBD.

 The basic platform of the Roundtable will be on Education, Collaboration and Innovation

Education… • An opportunity to create economic literacy • Learning how we both understand, practice and implement economic principles will hopefully yield both common understanding and lead to… Collaboration… • A basic foundation is to collaborate on issues, projects, programs, legislation, initiatives • A focus on policies and funding to build a vibrant, sustainable economy • Developing pilot programs/initiatives through the Roundtable can lead to significant… Innovation… • In partnerships that hone performance criteria, in - Performance criteria – outcomes that meet with intentions - Investment metrics – creating a broader platform and deeper understanding of investment and the returns that can be achieve (economic, environmental, etc.) - Project delivery – money is found on both end of the bookshelf…in identifying funds and in identifying savings. Delivery methods and approaches matter - “Triple P” outcomes – tangible benefits for people, the planet, and profit.

Business Representatives in attendance at inaugural meeting: Mark Wilbur, Past BizFed Chair and Employers Group Tracy Rafter, BizFed CEO Steve Bullock, Cerrell Associates Inc. Bart Doyle, San Gabriel Valley Economic Partnership David Dutchen, Enterprise Rideshare Division Jeff McConnell, Englander, Knabe & Allen Vicki Medina, Antelope Valley Board of Trade Maria Mejia, Grassroots Lab Sandy Sanchez, Building Industry Association – LA/Ventura John Tang, Imprenta Communications MC Townsend, Regional Black Chamber SFV Will Wright, AIA-LA Metro Representatives in attendance: Art Leahy, Metro CEO // Paul Taylor, Deputy CEO Roger Moliere, Chief, Real Property Management & Development Martha Welborne, Executive Director, Countywide Planning Brad McAllester, Executive Officer, Long-Range Planning & Coordination Lynda Bybee, Interim Chief Communications Officer Michelle Caldwell, Chief Administrative Services Officer BizFed Colombia Trade Mission July 14-19 2013

Summary: The Los Angeles County Business Federation (BizFed) and Los Angeles Metropolitan Hispanic Chambers of Commerce, in conjunction with U.S. Commercial Service --- and with funding from the Small Business Administration/CA State Trade and Export Promotion program --- led a trade and business development mission capitalizing on the U.S.-Colombia Free Trade Agreement signed last year. The mission was open to small- and medium-sized businesses from a cross section of industries with potential for growth in Colombia, but focusing particularly on best prospects in agricultural, commercial/food packaging and infrastructure sectors.

Success: The mission included several highly successful briefings and one-on-one meetings with business prospects. ALL of the companies on the mission reported strong potential contacts for future contracts!

Attendees included companies/representatives: • Jacob Cluver, International Trade Manager, Cluver International • Jonathan Carp, President, Miracle Noodle • Susan Carp, Executive Director, Miracle Noodle • Victor Florian, President, Rocca Internatiional

Officials attending included: • Jose Millan, STEP compliance officer, Federal SBA Export Program • Assmblyman Jose Medina • Bobby Hines, Senior Trade Officer, U.S. Commercial Services • Hugo Merida, Chair, LA Metro Hispanic Chamber • Marialuisa Vela, President, LA Metro Hispanic Chamber • Tracy Rafter, BizFed CEO • Judi Erickson, BizFfed

Mission briefings included: • Anthony J. Gilbert - Agricultural Attaché, American Embassy Bogota • Anne McKinney – Executive Sub Director, Colombo American Chamber of Commerce (AMCHAM) • Mónica de Greiff - Executive President, Bogota Chamber • Dr. Rafael Bernal - Business Arbitration and Conciliation, Bogota Chamber • Dr. Martin Salcedo - One Stop Shop, Bogota Chamber

Market Opportunities: Colombia has become an attractive country for business and investors. During the past five years, the Colombian economy grew by 4% per year; in 2009, Colombia’s GDP registered an increase of 0.4%, a positive growth during global recession; it is the second country in the region with the most qualified workforce, it has a strategic geographic location, which allows reaching markets in the United States, Europe, Asia, Latin America and the Caribbean; it is the third most business-friendly country in Latin America according to the World Bank, as well as the first country in the region that best protects business and investment, with a fifth worldwide position.

FTA Opportunities: Colombia offers a range of opportunities in a variety of sectors. Approval of the U.S.- Colombia Trade Promotion Agreement (TPA) is supporting more American jobs, increasing U.S. exports, and enhancing U.S. competitiveness. This comprehensive trade agreement is eliminating tariffs and other barriers to U.S. exports, expanding trade between the two countries and promoting economic growth for both.

The International Trade Commission (ITC) has estimated that the tariff reductions in the Agreement will expand exports of U.S. goods alone by more than $1.1 billion, supporting thousands of additional American jobs. The ITC also projected that the Agreement will increase U.S. GDP by $2.5 billion. The Agreement will provide significant new access to Colombia’s $166 billion services market, supporting increased opportunities for U.S. service and product providers. U.S. goods exports to Colombia in 2010 were $12.0 billion.

Key U.S. exports gained with the FTA immediate duty-free access to Colombia, including almost all products in these sectors: agriculture and construction equipment, aircraft and parts, auto parts, fertilizers and agro- chemicals, information technology equipment, medical and scientific equipment, and wood. Many agricultural commodities also will benefit from the Agreement, as more than half of current U.S. farm exports to Colombia became duty-free, and virtually all remaining tariffs will be eliminated within 15 years.

Agroferia: The BizFed mission attendees also got exclusive access to the Agroexpo at Corferia Convention Center in Bogota, this expo is the most important specialized event in the agriculture and livestock sector of Colombia, Central America and the Caribbean, and one of the most representative events in Latin America.

Mexico Trade Mission November 2013

The News: Commerce Secretary Penny Pritzker’s first trade mission will be to Mexico, a major trading partner, when she visits Mexico City and Monterrey Nov. 18-22.

About the Mission: This mission will promote U.S. exports to Mexico by helping export-ready U.S. companies launch or increase their business in a number of key industry sectors, including: advanced manufacturing, information and communications technology, and health IT and medical devices.

In announcing the mission, Secretary Pritzker said, “Exports are an essential component for spurring growth and creating jobs in America. The United States and Mexico have strong business ties and increasing opportunities for trade and collaboration between our two nations will help bolster economic success across our border.”

Earlier this summer, President Obama and President Peña Nieto met to underscore and discuss the strategic importance of the bilateral relationship between the United States and Mexico. In so doing, they noted the potential for mutual economic gains by strengthening commercial ties between the countries.

Secretary Pritzker’s mission to Mexico will support the President’s call for increased economic cooperation by highlighting new U.S. business opportunities with Mexico. Mexico’s proximity to the United States, its growing middle class, and the full implementation of the North American Free Trade Agreement (NAFTA) have created a market ripe for U.S. companies.

Proof of this lies in the numbers: bilateral trade between the U.S. and Mexico was almost half a trillion dollars in 2012, and there are more U.S. exports to Mexico than to all of Brazil, Russia, India and China combined.

• For more information about the upcoming trade mission, please visit: www.export.gov/MexicoMission2013.

About Pritzker: The Chicago business executive, entrepreneur, civic leader, and philanthropist was sworn in recently as new U.S. Secretary of Commerce.

In her role, Pritzker has promised to serve as a bridge between the White House and the business community. Among other duties, will serve on the President’s Export Council that BizFed member Gene Hale (chair of the Greater LA African American Chamber) and BizFed CEO Tracy Rafter also serve on.

(Pritzker replaces John Bryson, who stepped down in June 2012 because of health concerns).

Pritzker is a member of the President's Council on Jobs and Competitiveness and also served on the President's Economic Recovery Advisory Board. She is founder, chairman and CEO of PSP Capital Partners and Pritzker Realty Group. She also co-founded and chairs Artemis Real Estate Partners, and her father is a co-founder of the Hyatt hotels chain. Read more about Pritzker here.

BizFed Supervisor Meetings

We are currently actively engaged in BizFed’s annual meetings with the LA County Supervisors. These valuable relationship-building opportunities have facilitated our success working with the Board of Supervisors on issues like the storm water parcel tax and Metro's congestion mitigation fee.

Completed Meetings: • Supervisor Mark Ridley-Thomas, July 29 • Supervisor Zev Yaroslavsky, July 31 • Supervisor Mike Antonovich, July 31

Meetings with Supervisors Molina and Knabe pending

NOTE: The meeting with the Office of Supervisor Gloria Molina scheduled for 8/21/13 is being rescheduled at their request.

Key Talking Points:

I. BizFed’s 2013 Annual Member Survey • Top 5 Business Owner Priorities • District-by-District Comparison of Business Owner Sentiment • Hiring, capital investment and economic outlook

II. LA County General Plan Update • Still seeking Fiscal Impacts Analysis for LA County General Plan Update

III. Regional Transportation Issues • Status of Measure R project funding • Congestion Mitigation Program – Thank you, and next steps

IV. Bay Delta Conservation Plan • Critical threat to our region's water supply • Request support for BDCP from Southern California elected officials

Supervisor Mark Ridley-Thomas ~ July 29, 2013

BizFed Attendees: Tracy Rafter, BizFed CEO; Will Wright, AIA-LA; Holly Schroeder, BIASC; Carlene Matchniff, Centennial Founders LLC; Ken Tiratira, Employers Group; Casey Barnes, Enterprise Holdings; Hilary Norton, Fixing Angelenos Stuck in Traffic – FAST; Frank Hileman, LKQ Corporation; Peter Villegas, JPMorganChase; Gilbert Ivey, Metropolitan Water District; Ron Adams, West Los Angeles Chamber of Commerce; David Englin, BizFed

Supervisors’ Team: David Riccitiello, Senior Deputy for Economic Development, Sustainability & Mobility; Vincent Harris, Senior Advisor & Special Assistant

Meeting Discussion Overview

BizFed’s 2013 Annual Member Survey: Spirited discussion of business perception that taxes, fees, and regulations are challenging issues. Supervisor stated his interest in receiving a detailed compendium of specific taxes, fees, and regulations that are concerns for BizFed members. Discussion included role of banks in business lending in stressed communities. Supervisor argued that elected officials have an opportunity to set a business friendly tone and a context, pointing to the Martin Luther King, Jr. Multi-Service Ambulatory Care Center as an example of his approach to economic development.

LA County General Plan Update: We explained the need for a Fiscal Impacts Analysis for LA County General Plan Update and gave him the heads up that we are continuing to push this item with County staff. This discussion also led to a discussion of RDA Dissolution Funds and the Supervisor’s efforts and desire to ensure that $75 million stays in affordable housing.

Regional Transportation Issues: Supervisor supports Measure R2 funding and emphasized that Metro and transit investments must benefit quality of life throughout the entire region.

Bay Delta Conservation Plan: Supervisor understands the issue and the need for elected officials to weigh in and support the initiative.

Additional Discussion: After Supervisor left, Vince Harris engaged us in a spirited discussion on tax and regulatory reform issues. He urged us to examine and take a position on reforming the Prop 13 loophole that allows some massive property transfers to avoid reassessment. He also urged us to examine how alternative criminal sentencing could relieve pressure on public budgets.

Zev Yaroslavsky ~ July 31, 2013

BizFed Discussion Leader: David Fleming, BizFed Founding Chair, Latham & Watkins LLP

BizFed Attendees: Tracy Rafter, BizFed; Will Wright, AIA Los Angeles; Andy Sywak, Beverly Hills Chamber of Commerce; Martha Cox-Nitikman, BOMA Greater Los Angeles; Carlene Matchniff, Centennial Founders LLC; Mike Lewis, CIAQC/CICWQ; Frank Hileman, LKQ Corporation; Corinne Verdery, NBCUniversal; Joe Ahn, Northrop Grumman; Victor Viereck, Universal City North Hollywood Chamber of Commerce; Ken Tiratira, Employers Group; David Englin, BizFed

Supervisors’ Team: Alisa Belinkoff Katz, Chief Deputy, Ben Saltzman, Planning Deputy

Meeting Discussion Overview

BizFed’s 2013 Annual Member Survey: Supervisors requested comparison between business outlook perceptions in 2009 and today to see if there has been improvement. The tax increment financing questions and results spurred a spirited conversation about enterprise zones and public resources to spur business investment. Supervisor made very clear his skepticism and opposition to using public resources to incentivize existing large businesses. That discussion led to a discussion of RDA Dissolution Funds and the Supervisor’s efforts and desire to ensure that $75 million stays in affordable housing.

LA County General Plan Update: Supervisor and staff strongly questioned the need for a fiscal impacts analysis and kept coming back to an argument that such an analysis would only further delay the General Plan Update. At one point, the Supervisor argued that a general plan is “an environmental document, not an economic document,” questioning, “Why get into the fiscal issues at all?” Staff stated that a redlined revision of the General Plan Update would be coming out soon, asserting that this would address most of the business community’s concerns.

Regional Transportation Issues: Supervisor made a passionate case that the Beverly Hills City Council is harming their own community by opposing / resisting a Metro stop there. In terms of Measure R Acceleration, he made a strong argument that the Crenshaw Line was a wrong decision (too expensive for expected ridership), held up the Orange Line as an example of success, and argued that residents and businesses ought to accept less expensive but still effective transit solutions.

Bay Delta Conservation Plan: Supervisor understands the issue and the need for elected officials to weigh in and support the initiative.

Completed: Supervisor Mike Antonovich ~ July 31, 2013

BizFed Discussion Leader: Steve Bullock, Glendale Chamber of Commerce

BizFed Attendees: Tracy Rafter, BizFed; Owen Guenthard, Alhambra Chamber of Commerce; Holly Schroeder, BIASC; Carlene Matchniff, Centennial Founders LLC; Hal Dash, Cerrell Associates; Ken Tiratira, Employers Group; Casey Barnes, Enterprise Holdings; Hilary Norton, Fixing Angelenos Stuck in Traffic – FAST; Pat Anderson, La Canada Flintridge Chamber of Commerce; Gilbert Ivey, Metropolitan Water District; Peter Herzog, NAIOP; Laura Olhasso, Pasadena-Foothills Association of REALTORS Bill LaMarr, Small Business Alliance; Ron Adams, West Los Angeles Chamber of Commerce; David Englin, BizFed

Supervisors’ Team: Edel Vizcarra, Planning Deputy; Jennifer Brogan, Transportation Deputy

Meeting Discussion Overview

BizFed’s 2013 Annual Member Survey: Supervisor emphasized that the broad business perception results aren’t reflective of his district, which includes several business friendly cities. Once we briefed the district-by-district results, he and staff were pleased to learn that his district scored well on that front. Tax increment financing questions generated great interest from staff, who requested more information and follow up on AB 690.

LA County General Plan Update: We reminded him about the need for a Fiscal Impacts Analysis for LA County General Plan Update and gave him the heads up that we are continuing to push this item with County staff. Staff has been helpful on this issue, and Supervisor is supportive, calling for sensible planning and development rules.

Regional Transportation Issues: Supervisor emphasized his desire to figure out a future transportation funding measure that is fair throughout the region and could actually pass. He also expressed his strong desire for transit to include a complete rail network connecting all of the region’s airports.

Bay Delta Conservation Plan: Supervisor understands the issue and the need for elected officials to weigh in and support the initiative.

Additional Discussion: Supervisor shared his philosophy for job creation and economic development, arguing that we must fix our failing schools and renew emphasis on public safety. He cited numerous shocking statistics about crime increases, connecting them to AB 109 corrections system realignment. He also intimated that addressing this issue might be a reasonable use of RDA Dissolution Funds.

Business Community Still Seeking Fiscal Impacts Analysis of LA County General Plan Update

A Fiscal Impacts Analysis is urgently needed to provide the Board of Supervisors with key information so that all involved in the development process have a clearer understanding of the likely results of implementing the vision of the General Plan.

BizFed has been urging action on this point since at least March 2012. While we appreciate the Department of Regional Planning’s recent expression of amenability toward conducting such analysis, it is still necessary

March 22, 2012 – Letter from BizFed to LA County Board of Supervisors urging the County to include a detailed fiscal impact analysis as part of General Plan update.

April 4, 2012 – BizFed’s 100+ member organizations begin reaching out to LA County Board of Supervisors urging the County to include a detailed fiscal impact analysis as part of General Plan update.

August - October, 2012 – BizFed Leadership Delegation raises issue with LA County Supervisors and their staffs during annual small-group meetings.

Feb. 13, 2013 - Letter from BizFed to Department of Regional Planning noting that nearly a year has passed with no definitive answer from Regional Planning on whether a Fiscal Impacts Analysis will be completed.

Feb. 19, 2013 – Letter from Department of Regional Planning indicating that they are amenable to performing a fiscal impacts analysis.

Aug. 1, 2013 – Letter from BizFed to LA County CEO sharing concerns and requesting meeting to discuss details path forward.

Next Steps: There remain numerous unanswered questions about exactly how the Department of Regional Planning intends to move forward to ensure a comprehensive fiscal impacts analysis of the LA County General Plan update provides necessary information for all key stakeholders.

Chambers of Commerce August 1, 2013 Agoura-Oak Park-Conejo Valley-Calabasas Alhambra Arcadia Armenian American William T. Fujioka Bell Gardens Beverly Hills Chief Executive Officer Burbank Century City Kenneth Hahn Hall of Administration Chinese Chamber LA Claremont 500 West Temple Street Culver City El Monte Los Angeles, CA 90012 Filipino American Filipino American South East Corridor Glendale Greater Lakewood Re: County of Los Angeles General Plan Update – Fiscal Analysis Greater Los Angeles African American Harbor City / Harbor Gateway Hollywood Dear Mr. Fujioka, Irwindale Korean American Los Angeles Area LAX Coastal Area On behalf of BizFed, the Los Angeles County Business Federation, representing La Canada Flintridge Long Beach Area over 100 business organizations with more than 250,000 businesses across our Los Angeles Metropolitan Hispanic Malibu region, we are writing to express concern about the potential impact of the proposed Manhattan Beach Montebello General Plan Update on businesses in LA County. We request a meeting with you to Pacific Palisades Pasadena discuss the business perspective on issues surrounding the fiscal impacts of policies Pomona Redondo Beach proposed in the General Plan update. We have been corresponding with Director of Regional Black Regional Hispanic Regional Planning Richard Bruckner about our concerns and began dialogue regarding Regional San Gabriel Valley Rosemead a Fiscal Impacts Analysis about 16 months ago. While Mr. Bruckner has indicated that San Pedro Peninsula Santa Clarita Valley Regional Planning will analyze fiscal impacts of the General Plan Update, there Santa Monica South Bay Association appears to be a lack of concrete progress, and we have yet to see a framework for the Toluca Lake Torrance Area Fiscal Impact Analysis or a schedule for its completion, including opportunities for United Chambers San Fernando Valley Universal City North Hollywood business community input and review. This is despite the fact that the Department of Vernon Vietnamese American Regional Planning has released another of the many revised schedules showing Draft West Hollywood West Los Angeles Environmental Impact Report (DEIR) circulation in early 2014. Westside Council Wilmington Woodland Hills–Tarzana We believe that an appropriate framework to analyze fiscal impacts is critical Trade Associations and Minority Business Groups AIA Los Angeles to ensure that the General Plan adequately addresses not only regional economic American Beverage Association Antelope Valley Board of Trade impacts, but also fiscal impacts – the very direct and relevant economic impacts on Apartment Association, CA Southern Cities Apartment Association of Greater Los Angeles Los Angeles County – which will provide an analysis of costs and revenues generated Arcadia Association of Realtors Asian American Business Women Association by growth projections and proposed land use assumptions. Such information is Asian Business Association Associated Builders and Contractors - LA/Ventura important for the Board of Supervisors to fully understand the potential impact of the Beverly Hills / Greater LA Association of Realtors British American Business Council General Plan Update on businesses and region-wide economic development strategy. Building Industry Association, LA / Ventura Building Owners & Managers Association, LA California Apartment Association, LA California Contract Cities Association As you know, many businesses are still struggling to find their footing in the California Grocers Association California Independent Bankers wake of the recent recession. The General Plan update proposes several new policies California Metals Coalition California Small Business Alliance with potential far-reaching impacts. These include the expansion of Transit Oriented Carson Dominguez Employers Alliance Central City Association Districts without redevelopment agency funds, expansion of Significant Ecological Citrus Valley Association of Realtors Construction Industry Air Quality Coalition Areas, and changes to overall patterns of growth and employment centers Construction Industry Coalition for Water Quality Employers Group countywide. Done properly, the Fiscal Impacts Analysis would provide valuable data Entrepreneurs' Organization LA Fixing Angelenos Stuck In Traffic (FAST) and insight on these major proposed policy shifts and provide a better picture of costs FuturePorts Gateway to LA and revenues to the Board of Supervisors as they consider the future implications of Glendale Association of Realtors Greater Asian Business Federation approving the General Plan update. Greater LA New Car Dealers Association Harbor Association of Industry & Commerce Harbor Trucking Association BizFed is eager to continue working with Regional Planning to develop a robust Hospital Association of Southern CA Hotel Association of Los Angeles Fiscal Impact Analysis. As always, BizFed seeks to work in partnership with our Industry Manufacturers Council LA SHARES government leaders to create a vibrant economic and environmental future for our League of California Cities Los Angeles County Economic Development Corp. residents. We look forward to meeting with you to follow-up on this letter and Los Angeles County Waste Management Association Motion Picture Association of America further discuss our concerns. NAIOP Southern California National Association of Women Business Owners, LA National Latina Business Women Association New Majority Los Angeles Sincerely, Overseas Chinese Business Exchange Pasadena-Foothills Association of Realtors Recording Industry Association of America San Gabriel Valley Economic Partnership Santa Clarita Valley Economic Development So Cal Minority Supplier Development Council South Asian Business Alliance Network South Bay Association of Realtors South Park Stakeholders Group Southland Regional Association of Realtors Tri-Counties Association of Realtors ! ! Valley Economic Alliance Valley Economic Development Center LaDonna DiCamillo David Fleming Tracy Rafter Valley Industry Association of Santa Clarita Valley Industry & Commerce Association BizFed Chair BizFed Founding Chair BizFed CEO Valley International Trade Association West San Gabriel Valley Association of Realtors Long Beach Area Chamber Latham & Watkins LLP IMPOWER, Inc. Western States Petroleum Association 1000 N. Alameda St. #240 Los Angeles, California 90012 T: 213.346.3282 F: 213.652.1802 www.bizfed.org

BizFed PAC Fact Sheet

Why Should I Get Involved? To ensure L.A. County and state public officials are supportive of business, we need the right policies and laws. To get them, we need to help elect the right candidates and pass the right ballot measures.

Whether your organization already has a PAC or not, by uniting with BizFed PAC you’ll be joining myriad other businesses to create an unprecedented ability to affect the outcome of strategic and key elections in L.A. County and throughout the state. By pooling our resources into a single voice, we will increase our impact on L.A County’s direction and economic health.

Forging and reinvigorating cooperative ties has proven, real-life results: In a heated March 2011 LA City Council race in which business was outspent by labor 10-to-1 and the margin of victory was razor-thin, the strategic coordination and contributions of more than a dozen business PACs won the day for a key business- friendly, pro-jobs, incumbent.

How Does it Work? There are two membership levels available in the BizFed PAC:

Voting Member: $5,000 Benefits Include: Voting seat on the PAC Board on all actions Access to all information and intelligence-sharing Access to all PAC special events

Non-Voting Member: $500 Benefits Include: Access to information and intelligence-sharing Access to PAC special events

If you would like to join, just fill out the attached BizFed PAC contribution form.

Can I Recommend Others for Membership? Yes. If you know of others who would be interested in joining the BizFed PAC or who should be invited to future BizFed PAC events, just let us know:

Name ______

Company/Organization ______

Phone ______

Email ______

BizFed’s Political Action Committee: Dedicated to strengthening and unifying the voice and influence of the broad business community as a catalyst in campaigns on significant ballot initiatives and in identifying, training, and electing moderate, business-supportive candidates for elective offices within Los Angeles County who are committed to meaningful change, economic progress, job creation and strong, healthy communities.

THE POWER OF ONE -- MULTIPLIED THROUGH THE BIZFED PAC EQUALS SUCCESS IN ELECTIONS

BizFed PAC Meeting Aug. 27, 2013

The BizFed PAC has engaged a special consultant to develop a strategic analysis of the 25 LA County Local November Races

~ BizFed PAC Consultant Mike Madrid, Madrid & Associates

Next PAC Meeting: Tuesday Aug. 27, 1:30pm-3:00pm

CHAIR: Laura Olhasso, Burbank Assn or Realtors, Glendale Assn of Realtors, Pasadena Foothills Assn of Realtors & West San Gabriel Valley Assn of Realtors

For More Information contact: Judi Erickson, BizFed PAC, [email protected]

BIZFED PAC,

A PROJECT OF LOS ANGELES COUNTY BUSINESS FEDERATION

SS  YES, I want to support BizFed PAC, A Project of Los Angeles County Business Federation! Enclosed is my contribution in the amount of $______. Please make checks payable to: BizFed PAC (ID#1305594) and mail to:

BizFed PAC 1321 Seventh Street, Suite 205 Santa Monica, CA 90401

Personal Information

TO COMPLY WITH STATE LAW, WE MUST USE OUR BEST EFFORTS TO OBTAIN THE FOLLOWING:

Name: ______

Company Name (if applicable): ______

Street Address (no PO boxes):  work or  home ______

City: ______State: ______Zip: ______

Business Phone: ______FAX: ______Cell: ______

Email: ______

Employer: ______Occupation: ______(If Self-Employed, Name of Company)

Contributions may be accepted in any amount. The BizFed PAC, A Project of Los Angeles County Business Federation, is a committee organized under the California Political Reform Act primarily to support or oppose candidates for office through independent expenditures with no coordination with any candidate’s campaign. All contributors must be United States citizens or permanent residents. Contributions may be accepted from corporations, partnerships, and political action committees.

Contributions to BizFed PAC, A Project of Los Angeles County Business Federation, are not deductible for federal income tax purposes.

Paid for by BizFed PAC. Not Authorized by a candidate or committee controlled by a candidate.

For more information please call 213.346.3282.

CBRT IN THE NEWS

Brown Aims To Fix State's Unemployment Insurance Program

Gov. Jerry Brown wants to fix the state's financially fraught unemployment insurance program and he wants state's employers to foot the bill.

With the program insolvent, Brown's labor secretary is meeting with business groups and employee unions for input on how to solve the deficit. One idea is to raise the payroll tax. Employers contribute about 6.2 percent on a worker's first $7,000 of wages into the unemployment fund -- a figure that hasn't changed in nearly three decades.

The Brown administration won't detail its proposal, but California could follow 48 other states and raise that $7,000 wage threshold."When you look at the size of the debt, that means there's going to be for business, large and small, at least a $25 an employee increase over the next couple of years at a minimum," said Rob Lapsley from the California Business Roundtable.

Brown aims to fix state's unemployment insurance program Monday, July 29, 2013

SACRAMENTO, Calif. (KGO) -- Gov. Jerry Brown wants to fix the state's financially fraught unemployment insurance program and he wants state's employers to foot the bill.

Normally, up to 26 weeks of unemployment benefits are available. However, as the recession worsened, Congress loaned out money to states extending that period people can receive a check to 99 weeks.

"What we have now is something that's every antiquated," said Loree Levy from the California Employment Development Department.

Now the tab is due and EDD says the balance is now $10 billion. "What happened was we just couldn't collect enough from employers to offset what was being paid out to unemployed workers," said Levy.

With the program insolvent, Brown's labor secretary is meeting with business groups and employee unions for input on how to solve the deficit. One idea is to raise the payroll tax. Employers contribute about 6.2 percent on a worker's first $7,000 of wages into the unemployment fund -- a figure that hasn't changed in nearly three decades. The Brown administration won't detail its proposal, but California could follow 48 other states and raise that $7,000 wage threshold.

"When you look at the size of the debt, that means there's going to be for business, large and small, at least a $25 an employee increase over the next couple of years at a minimum," said Rob Lapsley from the California Business Roundtable.

While California's economy is improving with more jobs being created, the California Small Business Association says this is hardly the time to raise taxes on employers.

"The thing we worry the most about today is they will down size on the number of jobs because they have to pick up the amount of money from some place to pay the increased tax," said Betty Jo Toccoli from the California Small Business Association.

"The aim here is to get to a point where you can continue to cover the cost of regular unemployment benefits, to eliminate that deficit and interest payments being paid, and to come up with a rainy day fund," said Levy.

To get rid of the state deficit, they could also cut benefits, which in California is up to $450 a week. But that too is an unpopular idea since the maximum time period people can be on unemployment with extensions has just been shortened to 73 weeks.

(Copyright ©2013 KGO-TV. All Rights Reserved.)

Hoeven Amendment to Shaheen-Portman Energy Efficiency Bill

THE ISSUE: A proposed amendment to the Shaheen-Portman Energy Efficiency Bill being offered in the U.S. Senate would weaken or eliminate energy efficiency performance standards for federal buildings. The proposed amendment by Sen. John Hoeven (R-ND) would prevent the Department of Energy from implementing a provision from the Energy Independence and Security Act of 2007. That provision, known as Section 433, requires that federal buildings be designed to reduce their energy consumption and greenhouse gas emissions. Stakeholders from varying industries have been working with DOE to implement this rule in a way that is smart, efficient, and effective.

BIZFED IS MONITORING THIS ISSUE.

VIEWS OPPOSING HOEVEN AMENDMENT:

Lead by example, it is often said. And when it comes to making buildings more sustainable and use less energy, architects are worried that the Federal government could soon abandon that worthy role.

According to the Department of Energy’s Energy Information Administration, the building sector accounts for 39 percent of total U.S. energy consumption, more than both the transportation and industry sectors. The same study found that buildings are responsible for 71 percent of U.S. electricity consumption; they alone account for almost 10 percent of carbon dioxide emissions worldwide.

Requiring significant energy reduction targets in new and majorly renovated federal buildings demonstrates to the private sector that the federal government is leading by example. It is helping spur the development of new materials, construction techniques, and technologies to make buildings more energy efficient. And it is showing that significant energy reductions are both practical and cost-effective.

Some have argued that these requirements are not achievable. The facts tell a different story. Building professionals are already succeeding in making federal facilities meet sustainability targets, including the retrofit of the Wayne N. Aspinall Federal Building in Grand Junction, CO, which will be the federal government’s first site net-zero energy building on the National Register of Historic Places. The result is better energy performance for federal agencies and lower overall costs for taxpayers. More importantly, private sector owners are increasingly adopting these technologies and strategies for their buildings.

Despite these facts, opponents of the provision claim that it actually is bad for our energy policy and want to throw it away. Such a move would dramatically harm the federal government’s ability to design and build facilities that use less energy, save taxpayers money, and protect the environment. That’s why not only architects, but more than 300 other groups oppose efforts to weaken these energy-saving policies.

-- American Institute of Architects

VIEWS SUPPORTING HOEVEN AMENDMENT:

As a private, non-profit organization, USGBC’s non-science based standards are dictating government policies and are relied upon by the General Services Administration (GSA) as the exclusive system to certify its 40,000 federal buildings as “green.” Since 2010, GSA has mandated LEED gold standards for all new federal buildings along with 35 states and over 170 cities that require LEED certification or give builders tax breaks for building to its specifications.

New [LEED] standards under consideration would be harmful for taxpayers and businesses by explicitly offering a significant competitive advantage to favored industries and implicitly discouraging and unfairly targeting other industries.

-- Taxpayers Protection Alliance

Despite its dominance of the green building market, concerns about LEED have led to an emerging public debate over the appropriate role of green buildings programs and how they are developed, especially given the federal government’s reliance on LEED. Developed by the nonprofit U.S. Green Building Council, LEED has been criticized for shutting out many stakeholders, being unbalanced in its committee representation and lacking transparency.

These shortcomings are evident in the July 2 approval of an updated version of LEED. The council did not include public disclosure of the number and nature of ballot votes against the new version of LEED. Furthermore, it did not even finish reviewing and responding to (not to mention resolving) the comments and objections raised by the public and impacted stakeholders.

-- American High Performance Buildings Coalition, a group representing a number of chemical and material manufacturers.

BizFed Member Event

3rd Annual City Economic Development Conference

Dynamic discussion among public and private leaders on issues impacting job creation, business attraction and retention and trade, creating a collaborative forum for strengthening Los Angeles' regional economy.

WHAT: 3rd Annual City Economic Development Conference WHEN: August 28, 2013, 9 a.m. - 2:30 p.m., followed by a tour of the Port of Los Angeles, ending at 4 p.m. WHERE: Crowne Plaza Los Angeles Harbor Hotel, 601 S Palos Verdes St. San Pedro, CA

REGISTER: http://www.lacities.org/econ_dev_2013

Here's the list of featured speakers:

• Keynote Presentation: Kish Rajan, Director of the Governor's Office of Economic Development • John Chiang, California State Controller • Robert Kleinhenz, PhD, Los Angeles Economic Development Corporation • Art Leahy, LA County Metropolitan Transportation Authority • Tracy Rafter, Los Angeles County Business Federation • Craig Johnson, California Association of Enterprise Zones

BizFed 2013 Meetings September to December 2013 (Advocacy=1st Thursday/month; Operations=2ndThursday/month; Board=3rd Tuesday/month; Call-in #s distributed with all agendas) If you would like to host a BizFed Board meeting in 2013, please contact Tracy Rafter. It's a privilege open to all BizFed members in good standing. Date Time Meeting Location/Host Address September Thursday - 5 2:00-3:30p.m. Advocacy Committee Kosmont Companies 865 South Figueroa Street, Suite 3500 LA CA 90017 Tuesday - 17 11:30am-1:30pm Board of Directors NBCUniversal TBD October Thursday - 3 2:00-3:30p.m. Advocacy Committee Kosmont Companies 865 South Figueroa Street, Suite 3500 LA CA 90017 Tuesday - 15 11:30am-1:30pm Board of Directors TBD November Thursday - 7 2:00-3:30p.m. Advocacy Committee Kosmont Companies 865 South Figueroa Street, Suite 3500 LA CA 90017 Tuesday - 19 11:30am-1:30pm Board of Directors TBD December Thursday - 5 2:00-3:30p.m. Advocacy Committee Kosmont Companies 865 South Figueroa Street, Suite 3500 LA CA 90017 Board Meeting & 3rd annual Holiday All Tuesday - 17 4PM/6PM Cities Event TBD If you would like to host a BizFed Board meeting in 2013, please contact Tracy Rafter. It's a privilege open to all BizFed members in good standing. BizFed 2013 New Member Referral

Help Unite and Strengthen the Voice of Business Today! Just fill out this form with your referral and send to BizFed's Christina Hounanian - [email protected]

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