Event Coverage

C.A.R. Chief Lobbyist stresses importance of lobbying and getting politically involved

Of about 5,000 bills proposed during a two-year legislative session, between 1,200 to 1,500 pieces of legislation are real estate-related and in some way, shape or form impact  the Realtor®’s ability to do business, California Association of REALTORS® Senior Vice President  and Chief Lobbyist Alex Creel stressed to SILVAR members at Monday’s Menlo Park/Atherton District’s Quarterly Meeting.

Creel, who is a lawyer and has been C.A.R.’s Chief Lobbyist since 1987, updated Realtors on state legislation and emphasized the importance of lobbying local, state and national officials. He remarked that the 2,000 Realtors who flock to Sacramento each year on Legislative Day make an impact on state legislators.

“When you clog the hallways of the State Capitol, it sends a very strong message to the legislators,” said Creel.

Lobbying is especially important this year, said Creel. “We’re operating in a legislative environment where almost 50 percent of legislators – 36 of them – are new to the State Capitol.”

New legislators do not have the institutional memory that longtime legislators have, said Creel, so relationships will need to be established, these leaders will need to be trained and educated on interests of the real estate industry, which center on the protection of homeownership and private property rights.

Creel said this year, C.A.R. intends to take a stand on six pieces of legislation which impact Realtors:

1. C.A. R. seeks to prohibit the private transfer tax, which enables developers to pass on a tax of as much as 1.75 percent of the purchase price to those who purchase homes in their developments, for as long as 20 years or in perpetuity.

2. The private transfer tax is currently being imposed and many homebuyers do not realize it until it is too late. C.A.R. is seeking the disclosure of pre-existing private transfer taxes.

3. C.A.R would like to require local governments to disclose the impact local land use decisions would have on housing.

4. C.A.R. would like to have local governments make staff reports available before a hearing or public meeting. Right now, local government staff analyses are presented at the time of the meeting, which gives other parties little time to analyze the reports and form a rebuttal. C.A.R. would like to tie the staff analysis reports to the agendas, which are required to be made available to the public 72 hours before a public meeting.

5. C.A.R. would like more careful scrutiny of agents of equity, the so-called “equity pirates” who help sellers in foreclosure.

6. C.A.R. is seeking to require higher standards for “degree brokers.” Right now, it appears the requirement that individuals have a college degree “with a specialization in real estate” is being ignored and individuals with just any degree can become brokers.

“Right now, we are seeing individuals with no experience supervising people with no experience,” said Creel.

Creel said C.A.R. would like the DRE to put out regulations to meet the required standard and “spell out what specialization in real estate means.”

The Government Affairs staff of each Realtor association watches over Realtor interests at the local level. Creel said C.A.R. seeks to support them at the grassroots level. Realtors can do their share by developing relationships with local and state legislators, attending Legislative Day, and contributing to the REALTOR® Action Fund.

Through the REALTOR Action Fund, C.A.R. and SILVAR support the people who make policy on matters affecting your business. C.A.R. estimates that state and local advocacy in 2006 saved each Realtor an average of $12,000 last year. Statewide successes included:  stopping costly point-of-sale mandates, protecting the mortgage interest deduction, blocking a new transfer tax, opposing the expansion of Mello-Roos Tax Districts, preserving dual agency and preventing frivolous lawsuits. Yet, incredibly only three out of 10 Realtors support this crucial effort.  Every SILVAR REALTOR® is asked to make this voluntary contribution of $197 for 2007.

With your support, C.A.R. and SILVAR can continue fighting transaction taxes, point-of-sale mandates, attacks on private property rights, and exposure to frivolous lawsuits that could put you out of business. Your contribution to the REALTOR® Action Fund is an investment in your future and insurance that protects your rights and your business.

The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.

The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.

For further information, please contact Rose Meily at SILVAR Public Affairs, e-mail , or phone (408) 200-0109.

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