By Jack Hargrove
As state legislatures are convening to begin the next two years of policymaking, many NAIOP chapters around the country are hosting a Day at the Capitol. These events, in which NAIOP owners and developers travel to their state capital to talk policy with their elected representatives, are among the most effective forms of advocacy. If you are interested in hosting a Day at the Capitol in your state, the examples below provide you with models for how to begin.
Last month, members from all four NAIOP chapters in Ohio hosted a luncheon in Columbus for their annual meeting and facilitated a legislative Day at the Capitol. The luncheon set an attendance record for the event, with nearly 100 members and guests present to celebrate the last year in Ohio commercial real estate.
The luncheon program was led by Mike Sikora, NAIOP of Ohio’s president. He handed out awards for excellence in real estate and public service to state legislators and NAIOP members, with President of the Ohio Senate Rob McColley receiving the Champion of Public Service Award and delivering the keynote speech, and NAIOP of Ohio Treasurer Josh Gerth receiving the President’s Award for Excellence. Ohio House Majority Whip Steve Demetriou also delivered a speech, and a bipartisan group of Ohio legislators were honored as Allies of Economic Development.
After the luncheon, dozens of NAIOP of Ohio members went to the Statehouse to discuss their priority legislative issues with members of both chambers, including efforts to:
- Reauthorize the tax credit for the Transformational Mixed-Use Development (TMUD) program. TMUD projects are improvements of vacant buildings or new construction that will serve as a starting point for major economic development in the surrounding area. NAIOP requested a tax credit of $50 million per year for TMUD projects.
- Reauthorize and increase the tax credit for the Opportunity Zone (OZ) program. Opportunity zones are historically underserved areas that can be improved through targeted investment and were established federally through the 2017 Tax Cuts & Jobs Act. NAIOP requested an increase of the OZ tax credit from $25 million per year to $75 million per year.
- Reauthorize the Historic Preservation Tax Credit (HPTC). The HPTC promotes the rehabilitation and re-use of historically significant buildings. NAIOP requested a tax credit of $120 million per year, as well as relaxing certain eligibility criteria.
- Reauthorize the Brownfield Remediation Program. Brownfield projects are built on sites subject to environmental contamination, and the Brownfield Remediation Program is an important incentive for cleaning up these sites and making them productive. NAIOP requested funding for this program of $100 million per year.
- Support Senate Bill 6 – Revises Building Inspection Laws. This bill, which has passed the Senate, expedites the process of obtaining permits from the Ohio Board of Building Appeals. NAIOP requested that the House pass this bill as well.
NAIOP Utah demonstrates another approach to a Day at the Capitol. They also held their legislative day last month in Salt Lake City, and their meeting included remarks from both the speaker of the Utah House of Representatives and the Utah Senate president. The primary focus of the legislative day was power generation for increased commercial development. NAIOP supported policy that would allow customers with large load requirements to use alternative electrical providers and generators that are “behind the meter,” or electricity that is generated and stored on-site instead of in large power plants. These “behind-the-meter” systems include rooftop solar panels and battery storage. At the end of the event, NAIOP hosted a networking lunch for both members and legislators.
After NAIOP Utah’s Day at the Capitol, both chambers of the Utah legislature unanimously passed SB 132, a bill that contained many of the energy generation policies for which our members had advocated. This was a significant legislative victory that illustrates how effective Days at the Capitol can be.
These two Days at the Capitol are just recent examples of successful events. Many other NAIOP chapters, including Massachusetts, Colorado, Northern and Southern Nevada, and the six California chapters, have held highly successful legislative days in the past, and are planning for more in the future. If you belong to a NAIOP chapter that would like to set up a legislative day of your own, please don’t hesitate to reach out to NAIOP Corporate for assistance. A Day at the Capitol is one of the most effective advocacy strategies that NAIOP local chapters have to promote sensible and pro-growth commercial real estate policies in their states.
