Quick Hits Because The World Does Not Stop Even If I Do
A couple tidbits to consider on which I will expand next week…
There is opposition to 797. Working through the details but it is there for those tracking. The opposition is not insignificant. Those calculating the Bill in their plans should be aware.
The Opportunity Zone Proposal has really interesting potential. Working on the language still but a conversation made me realize the scale could be bigger than just the taxes, which needs to be threaded with the federal pieces, further dwarfing the potential of TIFs. The teaser is, if structured right, there are almost $100 billion of capital gains as assets available to incentivize to be “invested” in CA annually assuming capital gains at 10% of the $130 billion in taxes received at 13.3% income tax rate. Creating a way to keep the funds in CA and help the rebuild would be far greater in scope than the $750mm film tax credit for the Governor and State. Working on the details. Anyone know a bill to “gut and amend” meaning it is on life support and through to the second house (i.e. SB 549)? More to come.
Promises are being made to community groups re SB782 being a “funder” of their efforts. Would say to them “beware of Greeks bearing gifts.” The promises are being made to quiet everyone but there no money to pay for them. Ask for the proof before hearing it. Do not let rhetoric distort reality. I would also caution organizations expecting a “payoff” on TIFs that the districts have to pay off investors so the impression of the model of homelessness being the future of Altadena is not likely or realistic. Moreover, the affordable housing world is changing dramatically per the WSJ, potentially forcing people to reshuffle the deck for money and less for community groups in the future as the focus on supports for renters will be needed (i.e. economic development). More when I am off vacation.
Just thought I would update folks on all the tidbits.