May 15
Member Luncheon
May 16
TOBY & Earth Awards
Info Workshop
May 21
Emergency 101 Workshop
June 5
Golf Tournament
July 24 - Save the date!
President's Mixer

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New Members!

Please welcome our newest members:

Sonia Ayala
Orchard Commercial

Melissa Freeman
Fernmar Management, Inc.




The Byline
  MAY 2014

President's Message

Gizelle LambHappy May everyone and Happy Mother's day to all the Moms!  I am definitely looking forward to summer. I am also looking forward to the BOMA-Silicon Valley Sherri Dunn Annual Memorial Golf Tournament coming up on June 5th!  Make sure you register now as this event is always a sell out!

April was a very busy month for BOMA members with the famous Associates Night (which was a great success and a lot of fun!), the BOMA 360 workshop, Annual Roof Walk, Budgeting & Accounting RPA class and our monthly luncheon which gave us a lot of important information on the drought situation here in the Bay Area. I hope you were able to take advantage of all of these great events!

June is also the month that BOMA International holds its Annual Convention and this year it will be in Orlando, Florida.  I know there are several members who will be attending this event. We look forward to hearing from some of those members as they share their experience perhaps in an upcoming newsletter.

Please look for the registration information in the next few weeks for the President's Mixer on July 24th. We will be tasting some great wine from two California Wineries. Feel free to check out their websites: Estrella Creek from Paso Robles and Inspiration Vineyards from Santa Rosa.  The winemakers will be pouring their best and they will have wine to sell as well. There will be raffle prizes to win, and if you feel like it, you can play some volleyball or shoot some hoops!!  This will be a great way to celebrate summer!

See you soon!
Gizelle Lamb, RPA/FMA

Up on the Roof

On April 24 J&J Air Conditioning and DAVCO Waterproofing presented their annual Roof Walk for the twenty-sixth year.  This outstanding program gives attendees new tools and strategies to make educated decisions on their air conditioning and roofing problems.  Generations of Silicon Valley property managers and facility engineers have benefited from this in-depth training.

This year 50 attendees were hosted at a vacant building provided by MWest Properties.  They began the day with classroom background lectures on HVAC and roofing.  They progressed through hands-on activities examining and discussing roofing materials and various HVAC equipment options before heading up to the roof of the building for on-site detailed instruction.

BOMA thanks and congratulates the teams at J&J Air Conditioning and DAVCO for continuing this important educational tradition!

Member Updates

Congratulations to Persis McGinn, WG Construction on her election to the BOMA Silicon Valley Board of Directors as the new Associates Representative.  The Associates Representative is the bylaws-designated "voice" of our Associate members.

McGinn replaces former Associates Representative Tracy Ward.  Ward resigned as she is no longer an Associate member.  Congratulations, Tracy on joining Harvest Properties as a Property Administrator.
The Silicon Valley Business Journal's Technology Reporter, Jon Xavier, recently interviewed the most recent addition to the Cosmopolitan Catering staff, Chef Scott Sasaki.  Formerly with Google, Chef Sasaki will enhance Cosmopolitan Catering's "virtual café" model.  (Food prepared at a central kitchen then quick shipped to various tech and office locations appears…and tastes…as if the kitchen is just hidden behind the cafeteria wall.)  Congratulations to the Cosmopolitan Catering team for adding Chef Sasaki to your enterprise!
BOMA Silicon Valley thanks member Terry Riecken of CMD Builders for his generous donation of office supplies

Critical Issues: Government Affairs Committee Update

As in any election year, our legislature is hard at work, cranking out bills that they believe will win the hearts and minds of their constituents.  Unfortunately for us, commercial real estate is an easy target because office buildings do not vote.  Your Government Affairs Committee, in conjunction with the other BOMA locals in California and other trade groups representing commercial real estate, are hard at work to protect the rights of building owners and property managers.  But the fight is real and ongoing.  Here are a couple of the big items that are at the top of our list now and for the rest of this legislative term.

While all of us want to support efforts to be more environmentally friendly, commercial real estate is facing attack by legislators who want to create mandates that force property owners to incur significant expenses to support other people's efforts to be green.  The latest version of this is a bill to require the installation of electric car recharging stations.

When we first took on this legislation, the proposal was to require every off-street parking lot or structure that had fifty spaces or more to install electric vehicle recharging stations.  Through diligent efforts to educate our legislators, we have convinced the proponents to soften their position, but it is unlikely that we will be able to eliminate the issue altogether.  For now, our efforts are focused on limiting the requirements to situations where tenants already have exclusive parking and where they are willing to pay all the costs associated with installing, maintaining, insuring and removing the charging stations, including capital improvements necessary to run power to the station location.

Please check your weekly updates from BOMA California to follow our progress in this area.

It is probably no surprise to anyone that each year the specter of split roll tax rears its ugly head again.  Its current two incarnations present extremely vexing problems for all commercial real estate owners.

One current version of split roll suggests that the voters agree to allow different types of parcels to be charged parcel taxes at different rates.  For example, imagine a parcel tax, to benefit schools or libraries or firefighters or something else that people like, where a residence parcel is charged $20 per parcel and a commercial parcel is charged $1 per rentable square foot.  The general public will probably vote yes on a tax like that because it is only $20 added to their home and the commercial rent increase is not their problem.  So far, the law does not allow this sort of differentiation between different types of parcels in the same municipality.  But some members of the legislature are trying to make this a reality.

Another split roll bill that is being pushed is a proposal to consider it a change of ownership when more than fifty percent of the ownership of any business entity changes hands.  That means that if you have an owner who holds one quarter of a property, for example, and that owner dies and passes it on to their child, and the child then gets divorced and gives the ownership to their spouse in the property settlement, the property would be reassessed since 25% plus 25% = 50% has transferred.  There is no requirement that the fifty percent transfer all at once or that it be made up of different shares.  In the original version of this, they were counting it as a change of ownership when a number of shares equal to one half ownership changes hands for a publicly traded company.  Under that standard, many high tech companies might be changing ownership every month.

While there are some legal loopholes that these legislators are using as the basis for their legislation, the reality of what they have drafted goes far beyond that.  For these legislators, if they can't eliminate Proposition 13 entirely, they will try to kill it by inches.

We are working hard to educating legislators on the devastating business effects of these types of bills, especially on small business which is renting its space on a gross or triple net basis, but it is an uphill battle against unions, public school teachers and others who want more money for their interest group.

Please read your weekly BOMA California update to see how we are doing on these split roll proposals.

Our next event is the California Commercial Real Estate Summit in Sacramento on June 10 and 11.  We will meet with officials from the Governor's office and state legislators to discuss our issues and receive briefings on our efforts in Sacramento.  On the afternoon of June 11, we will have our next BOMA California meeting in Sacramento, where we discuss the positions that we want our lobbyists to take in the coming months and receive updates on legislation affecting commercial real estate in California.  Please let us know if you are interested in joining us for either of these events.  All are welcome.

Sarahann Shapiro
Pahl & McCay

Government Affairs Committee Chairwoman


Presented by the Energy & Sustainable Management Committee

This is the beginning of a long, hot, DRY summer.  These simple tips will make a difference in keeping your landscaping alive with the most efficient use of a very precious commodity: water.

  • The best time to water your turf is between 2am and 5am.
  • Perform deep tine aeration of your lawn. This will allow water, oxygen, and nutrients to better penetrate into the soil.
  • Apply 'cycle soak' method of irrigation watering. This will allow water to percolate into the soil and force roots deeper.
  •  Application of mulch in shrub areas will hold moisture in soil longer requiring less water.

Michael McCormick
Del Conte's Landscaping, Inc.
Energy & Sustainable Management Committee Member