Urban Development & Finance

Now that the NOAA (Notice of Allocation Availability) has been published for the seventh annual round of the New Markets Tax Credits program, we and our tax credit industry colleagues share optimism amidst concern in the current economic environment. Tax credit investors require profits to claim the credits, and profits at many of the industry’s biggest investors have fallen precipitously. Some of the biggest industry participants are out of the market altogether.

We commend California Governor Schwarzenegger for his effort to streamline the permitting process for renewable energy solutions in California. Last week, the Governor signed Executive Order S-14-08 to “compel the California Energy Commission and the Department of Fish and Game to work more closely on dealing with conflicts between renewable energy developers and environmentalists over building power plants and transmission lines.” The story was reported across the state and the nation, as it also raises the requirement for utilities to provide 33 percent of utilities’ electrical power to come from renewable sources by 2030. The current law requires 20 percent by 2010. With this new law, California jumps further to the fore in the renewable energy field which, by many predictions, has the potential to generate thousands of new “green collar” jobs in the United States.

- Norris Lozano

It’s been one of the wildest months in financial history, and watching the Energy Improvement and Extension Act of 2008 go down in flames was one among many shocks. The benefits that can pour forth from these stimulus programs are extraordinary in any market conditions, not the least of which are a great leap forward in America’s technology leadership, “green collar” jobs, a reduction in emissions, and reduced dependency on foreign oil.

So it was a surprise and relief to see the bill come back to life as part of the $700 billion relief package, passed by Congress and signed by the President this week. Many of us who are involved in green buildings and renewable energy development are looking forward utilizing these important tools to help create a triple bottom line opportunity within all of this economic turmoil.

-Norris Lozano

It’s been a great pleasure and honor for me to serve on the board of ecoAmerica, a non-profit that helps connect relevant environmental concepts and actions with Americans’ everyday concerns. Two recent successes by the group are noteworthy: the GreenCareers program and the Princeton Review’s Green Ratings initiative. GreenCareers represents a partnership between MonsterTRAK, Environmental Defense and ecoAmerica, and delivers the first environmentally responsible recruitment website for college students and recent graduates, to help students secure jobs with companies that positively impact the environment. The Green Ratings initiative rates each of the colleges shown in The Best 368 Colleges, 2009 Edition, based on its environmental performance. 11 of the 369 colleges reviewed received a 99 point rating (out of 100) - what’s even more gratifying is that these schools are diverse geographically, in size and educational focus. The movement toward environmental sustainability on college campuses is diverse, vibrant and one hopes, a new source of pride and inspiration for young people.

I read this week in the Monterey County Herald that the Monterey County Business Council has granted its first Green Public Public-Private Partnership Award to Hayward Corporation and The Sustainability Academy for the EnviroSmart Program, which identifies environmentally preferred building materials. This award is a great honor for Bill Hayward and his company, and offers but a glimpse into what Bill has accomplished in the areas of sustainable forestry, greenbuilding, and sustainable product development over the past 15 years. As head of a California lumber company, Bill easily could have paid lip service to the environment while relocating operations to areas where ecological concerns are lower. But Bill is a Californian, and a man of deep personal commitment (that his title includes Chief Sustainability Officer is telling). He says, “We recognize the opportunity, accept the responsibility, and will lead the journey to environmental stewardship.” Chairman of the Board of the Forest Stewardship Council - US Division, and creator of several lines of sustainably produce products, Bill has also built the first LEED Gold truss manufacturing facility. Hayward walks the walk from FSC products to green building results. Congratulations on the recognition from the business community, Bill.

The National Housing & Rehabilitation Association is holding its Summer Institute in Santa Fe this week, which will give me a great opportunity to talk about three important issues: urban development, sustainability, and how to pay for both.