State and Political Issues

State & Local Implications of Federal Tax Reform: A Committee goal for 2006 that will probably continue into 2007 is monitoring federal tax reform proposals for their effect on state and local tax systems. The Treasury Department has made no public statements about tax reform since the Presidential Advisory Panel on Federal Tax Reform submitted its report to the President. It is not clear how vigorously the Administration intends to pursue tax reform over the next two years. Some of the recommendations of the Panel, if implemented, could have drastic effects on state and local tax systems that, in turn, could have serious implications for the taxation of real estate and real estate-related services.

Public Education Award Program: The Committee is working to implement the last of the recommendations of the Public Education Working Group, i.e., a national award program that will encourage REALTORS® to participate in facilities design projects in local public schools. NAR has partnered with the Council of Educational Facility Planners International (CEFPI) and the Committee is working to arrange funding for the first national school design competition in April, 2007.

Smart Growth Program Advisory Group: The Smart Growth Advisory Group provides oversight for NAR's Smart Growth program. The mission of the Smart Growth program is to establish REALTORS® as local leaders on issues relating to land use, growth, transportation, and other quality of life community issues. Specifically, the program provides assistance to state and local REALTOR® associations through programs that include the Land Use Initiative, which provides analysis of proposed state and local land use measures; the Customized State Smart Growth Legislation, which provides assistance in drafting new state legislation related to land use, property rights, and smart growth; the Shared GAD assistance program, which advises state and local associations in establishing new government affairs staff positions by pooling the resources of multiple associations; voter polling assistance on land use and growth issues; the On Common Ground magazine, which is distributed to public officials and established REALTORS® as leaders on smart growth; and Smart Growth Action Grants, provided to local associations to accelerate their activities in smart growth.

In 2007, the Smart Growth and Community Outreach programs will focus on the following goals:

  • Further develop the Smart Growth Action Grants program; enhance the quality of applications; monitor and document the resulting progress of our associations
  • Further refine and implement marketing plan, to increase knowledge among all state and local REALTOR® leadership and associations of NAR resources available to them, including On Common Ground magazine, Smart Growth Grants, Land Use Initiative and State Customized Smart Growth Legislation program.
  • Work with the Housing Opportunity Program to develop a report on land use and smart growth techniques that support affordable housing.
  • Work with state associations to increase the distribution of On Common Ground to elected and appointed public officials.
  • Continue to use the State Customized Smart Growth Legislation program to assist interested state associations with drafting new eminent domain legislation.
  • Complete and distribute research on state laws related to blight and eminent domain.

Grassroots Advocacy: In the past 12 months, NAR has shifted the association over to the GetActive grassroots platform for communications to NAR members and with federal lawmakers. This shift brought both ease of use and immediate successes. The number of members responding to NAR Calls for Action has jumped from an average of about 2% in 2005 to an average in 2006 of 13% - a 600% increase! The major (all NAR member) calls For Action in 2006 dealt with Banks in Real Estate (9% response rate) and Small Business Health Plans (16%).