01/10/2025

News

Democrats choose union over Tesla in California cap-and-trade deal

Democratic lawmakers are siding with organized labor in its battle with automaker Tesla, inserting a provision in a last-minute bill to spend $1.5 billion in cap-and-trade money. The package largely spends funds on a variety of anti-pollution programs, such as those to retrofit and replace smog-belching big rigs and buses. But the legislation, amended late Monday to be ready for votes before lawmakers adjourn for the year on Friday, also would inject the state into an increasingly acrimonious union organizing campaign at automaker Tesla’s Fremont plant. Companies that want to be eligible for the state’s zero-emission vehicle rebate program – a major driver of Tesla sales – would need to be certified by the state labor secretary “as fair and responsible in the treatment of their workers.”

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California Politicians Not Serious About Fixing Housing Crisis

California’s political leaders, having ignored and even abetted our housing shortage, now pretend that they will “solve it.” Don’t bet on it. Their big ideas include a $4 billion housing subsidy bond and the stripping away of local control over zoning, and mandating densification of already developed areas. None of these steps addresses the fundamental causes for California’s housing crisis. Today, barely 29 percent of California households, notes the California Association of Realtors, can afford a median-priced house; in 2012, it was 56 percent. At the heart of the problem lie “urban containment” policies that impose “urban growth boundaries” to restrict — or even prohibit — new suburban detached housing tracts from being built on greenfield land. Given the strong demand for single-family homes, it is no surprise that prices have soared. Before these policies were widely adopted, housing prices in California had about the same relationship to incomes as in other parts of the country. Today, prices in places like Los Angeles, the Bay Area and Orange County are two to three times as high, adjusted for incomes, as in less-regulated states. Even in the once affordable Inland Empire, housing prices are nearing double that of most other areas, closing off one of the last remaining alternatives for middle- and working-class families.

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California legislators grant ‘great exceptions’ to laws others must obey

Brown has, instead, continued the recent practice of giving big projects with heavyweight support – especially major sports venues – full or partial exemptions from CEQA procedures. The current session, in fact, has still another proposed CEQA break for a proposed arena in Inglewood for the Los Angeles Clippers, which were recently purchased by Steve Ballmer, the billionaire former Microsoft CEO. Meanwhile, another bill would prohibit developers who run afoul of CEQA red tape from seeking project approvals via local ballot measures, as many have done. Tellingly, construction unions that use CEQA as a bludgeon are prime sponsors of the bill. It’s another indication that instead of fiddling with CEQA, and probably making it worse, Brown and the Legislature should overhaul it. If, as Brown says, it is truly “the Lord’s work,” then why aren’t they doing it?

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Accountability depends on transparency, which is under siege

And then there’s the Public Records Act, California’s landmark law giving the public, mostly via news media, access to official documents, with some exceptions. Unfortunately, the list of PRA exceptions seems to be growing as legislators, who are not inclined toward openness in the first place, protect their fellow officials and/or do the bidding of powerful interests. The current session has had 79 bills involving the PRA. While most of the proposals amount to innocuous boilerplate, the Legislature is moving those that create more exceptions and blocking those that would expand access.

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Germany Isn’t Anywhere Close to Its 2020 Climate Target

Germany has fashioned itself a new brand for the 21st century as the global green leader, but it’s nowhere close to meeting the ambitious greenhouse gas (GHG) reduction targets it set for itself. The German government has targeted a 40 percent reduction of GHG emissions by 2020, as compared to 1990 levels, but with less than three years to go the country remains far from achieving that goal. Berlin already admitted that the 40 percent goal likely wasn’t possible, and instead lowered its sights to a 35 percent reduction, but even that seems unlikely now. A new study from the green think tank Agora Energiewende says Germany is likely to achieve only a 30-31 percent reduction.

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They come hat in hand for California’s ‘green’ money

It should come as no surprise that when the California Legislature recently began the process of divvying up proceeds from the state’s cap-and-trade auctions, a cavalcade of local officials, community activists and lobbyists rushed to Sacramento, with hands out.

Billions of dollars burning a hole in the state’s pocket has that effect on people, and the competition is fierce. Appeals from advocates to fund pet projects were spread over two days in late August, in windowless rooms before sometimes distracted officials. The requests are for cash for electric vehicles, to create green spaces, even for machines to cut pollution from cow manure.

Brevity is prized in this legislative equivalent of speed dating, which plays out in front of committees in the Senate and Assembly. There’s scant time to make the case for your cause. Talk too much, and you risk irritating the panelists. Nobody wants the stink eye from the people with the purse strings.

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U.S. Cities Have A Glut Of High-Rises And Still Lack Affordable Housing

One common refrain among housing advocates and politicians is that high-rise construction is a solution to the problem of housing affordability. The causes of the problem, however, are principally prohibitions on urban fringe development of starter homes. Critics also note that high-rises in urban neighborhoods often replace older buildings, which are generally more affordable. One big problem: High-density housing is far more expensive to build. Gerard Mildner, the academic director of the Center for Real Estate at Portland State University, notes that development of a building of more than five stories requires rents approximately two and a half times those from the development of garden apartments. Even higher construction costs are reported in the San Francisco Bay Area, where the cost of townhouse development per square foot can double that of detached houses (excluding land costs) and units in high-rise condominium buildings can cost up to seven and a half times as much.

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California lawmakers pitch a break from a key environmental law to help L.A. Olympic bid, Clippers arena

California lawmakers introduced legislation Friday to bypass a key state environmental law that would dramatically ease the construction of rail, bus and other transit projects connected to Los Angeles’ bid to host the Olympic Games in 2028. Under the bill, any public transportation effort related to the city’s Olympics bid would be exempt from the California Environmental Quality Act, the state’s primary environmental law governing development. The law, known as CEQA, requires developers to disclose and minimize a project’s impact on the environment, often a time-consuming and costly process that involves litigation. The measure, Senate Bill 789, also provides major CEQA relief to help the construction of an NBA arena for the Los Angeles Clippers in nearby Inglewood.

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Governor, Legislative Democrats At Odds Over Inclusionary Housing For Rental Units

More than 100 local governments have inclusionary ordinances. But a 2009 state appeals court ruling exempted rental units.

So as part of an overall package of housing bills, Democratic lawmakers want to overturn that exemption. Two identical bills are under consideration in the Legislature, AB 1505 and SB 277.

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In St. Louis, a Rare Effort to Lower the Minimum Wage

The minimum wage in St. Louis falls by $2.30 an hour Monday, making it a rare city to buck the national trend of municipal pay floors rising above federal and state levels.

Many low-wage workers in the Gateway City will lose raises they received in May, when the minimum wage increased to $10 an hour. A state law taking effect Monday mandates that Missouri municipalities follow the state minimum of $7.70 an hour, nullifying the higher wage St. Louis officials had sought since 2015.

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California cap-and-trade program gets a shot in the arm with strong permit auction results

During August’s auction, every emission permit offered by the state was sold, and prices reached their highest level since the program launched five years ago. The auction results, announced Tuesday, were the first since Gov. Jerry Brown signed legislation continuing cap and trade until 2030, erasing some of the political and legal uncertainty that had dogged the program.

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Report: California needs to address housing crisis to meet long-term climate change goals

California’s economy grew robustly during the past decade even as state-imposed environmental standards to combat climate-change helped lower greenhouse gas emissions. But authors of a report released Tuesday cautioned that the future might not be so rosy: They found that transportation-related emissions have begun to rise due in part to longer commute times for California workers who can’t afford to live in the cities where they work. The report cautioned that the affordable housing issue must be addressed by policymakers for the state to meet its ambitious longer term emissions goals.

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Real Reforms Needed to Stop Abusive Business-Killing Lawsuits

California is one of the most expensive states for businesses to operate in–in large part due to lawsuit abuses that unfairly target businesses–earning the state the unflattering distinction of being the worst “judicial hellhole” in the nation. Making this even worse is the fact that the targets of these frivolous lawsuits are often the 3 million California small businesses that make up the backbone of our economy.

The breeding ground for these lawsuit abuses is created via the Private Attorney General Act (PAGA). Under PAGA, employers are being sued minor for frivolous items such as typos on a paycheck or not having a beginning and ending date on a pay check stub. Hard working employees ultimately bear the cost of these lawsuits.

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California Proves That Environmental Regulations Don’t Kill Profits

To anyone who believes environmental regulation is poison for profits, California must be infuriating. The state’s pollution policies rarely wilt its perennially blooming economy. For the past nine years, a Golden State-centric think tank Next 10 has been releasing its California Green Innovation Index. The results this year show a continuing trend: For two and a half decades, California’s GDP and population have continued to rise, while per capita carbon dioxide emissions have stayed flat. But California isn’t done yet. It has two major upcoming goals: reducing emission to to 1990 levels by 2020, and 40 percent below that a decade later. So while California has continued to grow during phase one of its environmental overhaul, it’s still a question whether its long-term green ambitions will turn its economy as chilly as a San Francisco summer.

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California stays on track for 2 million new-car sales in 2017

With light-truck sales exceeding passenger car transactions for the first time in recent history, California’s new-car sales are again expected to exceed 2 million vehicles in 2017, according to the Sacramento-based California New Car Dealers Association. CNCDA released its second-quarter 2017 report Tuesday, showing 1.026 million new-car sales in the January-to-June period, down 2 percent year over year. That slight decline was no surprise, as numerous experts have been saying that California’s red-hot auto sales market will slow down throughout 2017. Even so, CNCDA projected 2.05 million new-vehicle sales statewide by the conclusion of this year.

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