The real estate industry and real estate property? managers have seen some seismic shifts over the past few years. Even before the pandemic, there were the rules and policies developing over rent control, companion animals, the Americans with Disabilities Act, affordable housing, the SAFE Banking Act, and more. These concerns continue to command the attention of our profession.
To effect positive change, we need to advocate for legislation that supports and can advance our industry. It’s more than taking a position – it’s about building relationships with key legislators, educating them, and sharing your expertise on critical issues.
IREM’s annual Advocacy Impact Day, held March 9, 2022, touched on the pulse of public policies impacting the real estate world the most today, right now, in this moment. From the potential impact of the war in Ukraine, to the lingering effects of the eviction moratorium, the future of the Build Back Better Bill, and the growing affordable housing crisis, the event’s speakers provided attendees with up-to-the minute updates on the important challenges we currently face.
Frank Sesno
Event sessions kicked off with political journalist Frank Sesno, who gave us an overview of the political climate in Washington, D.C. In his words, “Putin tore up the rule book, “and his actions are reshaping the balance of geopolitics, the world economy, the price of oil, (roughly 40% of Russia’s economy is based on oil production), and its impact on buildings and energy costs. Sesno assessed the political polarization in Congress, which has “never been so divided,” and the expectations for this year’s mid-term elections. With these fluid dynamics, the future of the Build Back Better Bill remains uncertain. Depending on how mid-term elections go, the Build Back Better Bill may continue to be picked apart, with no action, and no result.
On properties, office space in particular, we’re, “at an inflection point driven by COVID, technology, and demographics.” COVID has kept us apart and away from the office, but technology has allowed us to remain productive, while the labor shortage has made businesses take a long hard look at their policies to attract, gain, and keep the talent they need. In other words, not everyone wants to work in an office, especially those who entered the workforce during the pandemic, and never had to work in an office. Developers, owners, and real estate managers are wrestling with this upheaval in the way we work as they re-think how space is used, and what future office space may look like.
Fireside chat with national leaders
Our industry panel with IREM President Barry Blanton, CPM®, CCIM President Leslie G. Callahan III, NMHC Chair Kan Valach, moderated by Mindy Gronbeck, CPM®, CSM, CRX, gave us a look into how construction sites were able to stay open throughout the pandemic, creating jobs and keeping workers employed. And yet, the current labor shortage has had a crippling effect on construction and so many other industries. While consumers may be thrilled to have new restaurants and industry in their communities, the reality is that the broken supply chain, combined with a fierce worker shortage, is making it close to impossible to meet demand. So much so that the State of Idaho is considering lowering the age at which servers can serve alcohol, in an effort to save the many restaurants suffering from a lack of workers.
What are the issues?
IREM’s Andy Lomo moderated a conversation with Erin Stackley, NAR Senior Representative on Commercial Legislative Policy, Jennifer Schwartz, Director of Tax and Housing Advocacy for the National Council of State Housing Agencies, and Greg Brown, the NAA’s SVP of Government Affairs. Erin cleared up common misconceptions about the SAFE (Secure and Fair Enforcement) Banking Act, which creates a safe harbor for federally insured financial institutions to provide banking services for legitimate cannabis-related businesses. Last year the cannabis industry generated $92 billion in revenues, and it’s expected to grow to $160 billion by 2025 – only 3 years from now.
It’s much more than simply allowing cannabis growers and dispensaries to accept debit and credit card payments. It’s about allowing them to participate in the federal banking system to make deposits, make payments, and generally manage their businesses safely. In the current environment, many of these businesses can only accept cash payments, making it difficult to pay employees and vendors, pay rent, and make tax payments. Some providers literally drive to their closest IRS offices to pay taxes in cash! Also, cash-only businesses are unsafe for security reasons. In short, a failure to pass the SAFE Banking Act has a negative impact on the communities these businesses serve.
Jennifer Schwartz gave us a rundown on the state of the Emergency Rental Assistance Program (ERAP). On the bright side, the Federal Government’s efforts to keep renters in their homes by way of the ERAP proved to be greatly successful in helping many families make ends meet. While these programs made a huge difference, it wasn’t enough to meet demand. Today’s supply shortage suggests that additional government assistance will be necessary.
Greg Brown provided an overview of the Choice in Affordable Housing Act (S. 1820/H.R. 6880) which increases investment and reduces programmatic barriers to attract and retain robust housing provider participation in the Section 8 Housing Choice Voucher (HCV) program.
Critical reforms in the bill include providing $500 million to create a Housing Partnership Fund. The funds would be distributed for: Public Housing Authorities (PHAs) to offer a signing bonus to a landlord with a unit in an area with less than 20% poverty; PHAs to provide security deposit assistance, so that tenants can better afford to meet required deposits and landlords are assured greater protection against damages; and provide a financial bonus to PHAs that retain a dedicated landlord liaison on staff.
Meeting with legislators
Armed with new knowledge, you’re eager to meet with legislators and fill in any gaps in their knowledge of how the latest legislative actions may impact real constituents like you. Here’s what you should know:
- Identify your legislators. IREM has made it easy with our Legislator Lookup Tool
- Remember to use your home address
- Submit a meeting request by going to your legislator’s web page and finding the link to send an email or otherwise request a meeting – they all have one.
- If you’re unsure about how to approach them in an email, it’s suggested you use this letter template, but some offices will require you to fill out the meeting request form on their website
- You may also be asked to provide topics when scheduling.
- Ask for 30 minutes, but be prepared to accept 15. Legislators are busy.
- Specify where you’d like to meet (In their DC office, district office, or virtually)
- Always follow up with a phone call
- Let IREM know about your meeting
- Once your meeting is confirmed, please submit the meeting details to IREM Headquarters. You can always edit the information if anything changes.
For more detailed information on how to identify, schedule, and conduct effective meetings with federal legislators check out our “Meet with Legislators” page.
If you were unable to attend IREM’s Advocacy Impact Day, or you missed some of it, don’t worry. You can always listen to the replay.