Daily Business Report-Feb. 27, 2019
A new bill brings more sales taxes to online shoppers. (CALmatters image)
Get ready to pay tax on online sales
Sellers who gross $500,000 or more would have to collect and remit sales taxes
By Dan Morain | CALmatters
Expect sales taxes on all virtually items sold over the Internet, under legislation that cleared its first hurdle on Monday.
California would follow 33 other states in implementing a U.S. Supreme Court decision, South Dakota v. Wayfair, that authorized states to levy sales taxes on online sellers.
Sellers who gross $500,000 or more would be required to collect and remit sales taxes. The bill is by Assemblywoman Autumn Burke of Los Angeles and Sen. Mike McGuire of Healdsburg, sponsored by Treasurer Fiona Ma.
To be determined:
• Whether online retailers should have to remit taxes on past sales. They’re lobbying against any such requirement and Burke said Monday the issue of retroactivity would be dealt with in a separate bill.
• Whether plaintiffs’ attorneys should have the right to sue on behalf of consumers if retailers over-collect sales taxes.
The bill is on a fast-track and could be enacted by April 1. Without the legislation, the California Department of Taxation and Fee Administration could begin requiring out-of-state online retailers with $100,000 or more in in-state sales to register and begin collecting taxes.
The goal is not small fry, but rather online retailers who make tens and even hundreds of millions in sales in California, including sellers based offshore.
The state’s levy on wine, beer and spirits is America’s lowest. (CALmatters photo)
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One tax California won’t increase
CALmatters
State lawmakers this year have introduced new or higher taxes on soda, water, batteries, oil, dialysis clinics, concealed weapons permits, bullets, and more. But one tax hike is unlikely: California’s levy on wine, beer and spirits, which is the lowest in the U.S.
Alcohol taxes haven’t increased since 1991 in California. That was during a recession when the budget was hemorrhaging. Several legislators have tried, without success.
Democratic Sen. Jim Beall of San Jose tried in 2010 to add a dime a drink to alcohol fees to generate $1.4 billion a year for alcohol-related services, but the bill didn’t get out of its first committee. That same year, the wine, beer and liquor industry spent $1.7 million to help pass an initiative requiring a two-thirds vote to approve any new fees.
And then-San Francisco Mayor Gavin Newsom vetoed a local measure to raise liquor fees to fund pay alcohol-related costs.
Alcohol’s toll in California was $38 billion annually then in lost productivity and costs for health care and criminal justice.
Booze still results in 10,000 premature deaths a year in this state, the Centers for Disease Control and Prevention says.
— Dan Morain
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Gretchen Rubin: Outer Order, Inner Calm
For most of us, outer order contributes to inner calm. And for most of us, a rigid, one-size-fits-all solution doesn’t work. The fact is, when we tailor our approach to suit our own particular challenges and habits, we’re then able to create the order that will make our lives happier, healthier, more productive, and more creative.
Gretchen Rubin has found that getting control of our stuff makes us feel more in control of our lives. By getting rid of things we don’t use, don’t need, or don’t love, we free our minds (and our shelves) for what we truly value.
Rubin will speak at the Leadership Conference April 5 as part of San Diego Women’s Week sponsored by North San Diego Business Chamber. Women’s Week runs April 1-5. Click here (https://sdwomensweek.com/events/leadership-conference/) for the schedule. Attendees will receive an autographed copy of Rubin’s new book Outer Order, Inner Calm.
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San Diego Ciy Council votes to
establish public-sector energy provider
sdnews.com
With the goal of using 100 percent renewable energy citywide by 2035, the City Council voted Monday in favor of a resolution of intent for Mayor Kevin L. Faulconer to negotiate the creation of a new joint-powers entity that would take over the responsibility of purchasing power for its residents and, potentially, the San Diego region.
The move follows Faulconer’s decision in October to select Community Choice Energy (CCE) as the preferred pathway to reach the renewable energy goal in the City’s landmark Climate Action Plan. The new Joint Powers Authority (JPA) would create healthy competition to benefit San Diegans, lower energy costs by 5 percent or more for ratepayers, and allow other cities and government agencies in the region to join.
Several other cities in the region are currently exploring the feasibility of CCE and have expressed interest in joining a JPA. A regional approach would allow for greater negotiating and buying power as well as create efficiencies in operations and service.
While the resolution wasn’t required, Faulconer wanted to give the City Council an opportunity to weigh in on what would be a fundamental change to the region’s energy market.
“The best way to make us the greenest city in the nation is to give San Diegans a new choice on where they get their power,” Faulconer said. “For decades San Diegans have only had one option on where they get their electricity.
Read more…
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Institute to present conference
on keeping children safe in school
The International School Safety Institute’s (ISSI) 2019 Conference will take place in San Diego at the Sheraton Tower and Maria Hotel on Sept. 30-Oct. 2. This year’s conference coined “Beyond the Edge” reflects the climate and culture of school safety and will deliver workshops and general sessions presented by leading voices in school safety education to help improve the design and implementation of the school safety programs and outcomes. The conference will include peer to peer exchange of information, special guest speakers and resources and tools from exhibitors.
The conference will kick-off on Sept. 30 with workshops and speakers including Kristen Amicone, director of education and technology for the San Diego Police Foundation; Theresa Campbell and Sam Jingfors of Safer Schools Together’ and Jeff Kaye of School Safety Operations. Oct. 1-2 will be comprised of the conference and exhibitor showcase and demonstrations such as window security films, aerial drone surveillance, electronic locks and disaster suppliers and mass notification systems to name a few.
The cost of the conference is $595 with early bird rate of $495 for paid registrations before March 1.
Click here for information and to register.
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Dempsey Construction finishes construction
of Hoehn Motors Porsche Dealership
Dempsey Construction has completed the construction of the new state-of-the-art Porsche sales and service facility for Hoehn Motors located at 6800 Avenida Encinas in Carlsbad. The project consisted of the complete demolition of the former 18,800-square-foot Porsche dealership, followed by the ground up construction of the new three-story, 71,614-square-foot facility featuring two showroom and service levels, with two levels of parking above the facility. The dealership’s first floor contains a showroom, sales and administrative offices. The second floor features an “exclusive” showroom, sales offices and vehicle service center. The facility’s third floor and rooftop deck accommodate inventory and service vehicle parking.
The Horine Group handled construction management services for Hoehn Motors. The design team was led by Gensler.
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New courses in affordable housing
in California offered by foundation
The San Diego Taxpayers Educational Foundation (SDTEF) now offers courses covering the basics of affordable housing in California, including housing needs and the housing development process. Enrollment is now open for the two courses—one available online through Point Loma Nazarene University (PLNU), one available in-classroom through UC San Diego Extension.
The online course through PLNU, which begins on March 11, is open to anyone, from local taxpayers and journalists to community leaders, elected officials and future candidates for office. Described by SDTEF as a “Housing 101” introductory offering, the course explores topics such as key government and industry players in affordable housing development and the ethical argument for affordable housing.
The for-credit UC San Diego extension course, which will launch later this spring, is a hybrid online and in-classroom class with pre-course and post-course online work modules. SDTEF designed this course for government agency staff and professionals working in municipal and other government agencies that focus on housing services.
Register for the PLNU online course here by March 7:
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Grossmont Healthcare District to unveil
tentative maps for zone-based elections
The Grossmont Healthcare District (GHD) has taken the next step as part of its future transition from district-wide to zone-based elections for its five-member board of directors. Tentative maps showing proposed boundaries for the five zones across GHD’s 750-square-mile district are now available for public review on the GHD website, www.grossmonthealthcare.org/about-ghd/zone-based-elections.
The public is invited to review the maps and provide input at two public hearings, the first one to be held Monday, March 4. The hearing will be held during the GHD’s regularly scheduled monthly board meeting starting at 7:30 a.m. at the GHD Conference Center, 9001 Wakarusa St., La Mesa. Another public hearing, expected to be held during a future GHD regularly scheduled board meeting, has not yet been scheduled.
At the two upcoming public hearings, GHD said a presentation will include the rationale behind the composition of the proposed maps by representatives from a company that specializes in demographics and mapping. Comments will be accepted from members of the public, as well as from GHD board members.
Final maps could be adopted by the GHD board as early as April of this year. If final maps are approved per the schedule, the first zone-based election with board members elected only by voters residing within a specific election district or zone would be held in November 2020.
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Housing Commission’s homelessness
action plan receives national award
The San Diego Housing Commission’s (SDHC) homelessness action plan — Housing First San Diego —has received the national 2018 NMA Development Award for creating permanent supportive housing, which is affordable rental housing with supportive services for San Diegans experiencing homelessness.
The award, which recognizes outstanding achievement in affordable housing, was announced on February 25 at The Housing Conference, an educational event for housing professionals, presented by Nan McKay and Associates, Inc.
“Through Housing First San Diego, the San Diego Housing Commission is partnering with developers and acquiring properties to create permanent supportive housing that is essential to addressing homelessness in the City of San Diego. I thank Mayor Kevin Faulconer and the City Council for their support of this action plan, as well as my fellow Board members, Housing Commission President & CEO Rick Gentry, staff and our partners for their outstanding work, which this award reflects,” SDHC Chair of the Board Stefanie Benvenuto said.
The current phase of Housing First San Diego, which launched on July 1, 2017, directs up to $50 million over three fiscal years (2018 – 2020) toward the creation of approximately 500 units of permanent supportive housing.
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Apollo 9 50th anniversary celebration set for
March 13 at San Diego Air & Space Museum
The 50th Anniversary of Apollo 9, the first of four Apollo flights in 1969 – including the historic Apollo 11 Moon landing in July later that year – takes center stage during a special celebration at the San Diego Air & Space Museum on Wednesday, March 13.
All three Apollo 9 crew members – Commander James McDivitt, Command Module Pilot David Scott, and Lunar Module Pilot Rusty Schweickart, as well as Flight Directors Gerry Griffin and Gene Kranz and other Apollo luminaries – are scheduled to attend the celebration.
The evening begins with a reception at 5:30 p.m. with the dinner and the program to follow at 6:30 p.m. Click here for more information and to purchase tickets.
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Grand opening held for new
Gary and Mary West Senior Emergency Care Unit
The Gary and Mary West Senior Emergency Care Unit, a state-of-the-art emergency care unit for older adults that is the first “gold” accredited geriatric emergency department in California and the only one west of the Mississippi — celebrated its grand opening last week at UC San Diego Health in La Jolla. This marks a key milestone in Gary and Mary West’s philanthropic efforts dedicated to lowering the cost of health care and improving care for seniors.
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Personnel Announcements
Scott Neinas joins Fleischer & Ravreby law firm
Fleischer & Ravreby, a family law practice in Carlsbad, announced that Scott L. Neinas, previously with the Men’s Legal Center in San Diego, has joined the firm as an attorney.
While at the Men’s Legal Center, Neinas managed a 90-client caseload, handling all aspects of this busy family law practice. Prior to that he was an attorney with The Edmunds Law Firm in Encinitas — where he also advocated for family law clients. Before settling in California, he ran his own law firm in Monroe, Mich., focusing on family law, general litigation and criminal defense.
Neinas, a resident of Oceanside, earned his J. D. magna cum laude from the University of Toledo College of Law and also holds a Bachelor of Science degree in journalism from Eastern Michigan University. He is the president of the Oceanside Pacific Kiwanis Club and is licensed to practice law in California, Michigan and Ohio.
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David Dolby and Mark Knickrehn join Salk Institute Board of Directors
David Dolby and Mark Knickrehm, leaders in business and technology, have joined the Salk Institute Board of Trustees.
David Dolby is an investor and philanthropist based in San Francisco and focused on science, technology and media. Specifically, he is the managing director of Dolby Family Ventures, where he specializes in accelerating the path to a cure for Alzheimer’s disease. This is in addition to roles as director of Dolby Laboratories, director of Cogstate Limited, and CFO of the Ray and Dagmar Dolby Family Fund.
Mark Knickrehm is currently the group chief executive at Accenture Strategy and serves on the Global Management Committee at Accenture, one of Fortune’s “World’s Most Admired Companies.” He is widely known as a thought leader on how emerging trends and technologies will impact industry and business models. Prior to his current role, Knickrehm was the director of Accenture’s Global Health Industry Group and led the growth of their Health & Public Service Operating Group.
