Broward County Commission Regular Meeting

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AI-27930

26.

Meeting Date:	12/11/2018
Director's Name:	Andrew J. Meyers
Department:	County Attorney

Information

Requested Action

MOTION TO CONSIDER enactment of an Ordinance, the title of which is as follows:

AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF BROWARD COUNTY, FLORIDA, PERTAINING TO THE BROWARD COUNTY LIVING WAGE ORDINANCE; REPEALING AND REPLACING IN THEIR ENTIRETY SECTIONS 26-100 THROUGH 26-102 OF THE BROWARD COUNTY CODE OF ORDINANCES ("CODE") TO ESTABLISH A LIVING WAGE AND CORRESPONDING HEALTH CARE BENEFIT AMOUNT; PROVIDING FOR DEFINITIONS; PROVIDING THAT THE LIVING WAGE APPLIES TO ALL NEW AND EXISTING CONTRACTS; PROVIDING FOR THE METHOD TO ADJUST THE LIVING WAGE AND HEALTH CARE BENEFIT AMOUNT; AND PROVIDING FOR SEVERABILITY, INCLUSION IN THE CODE, AND AN EFFECTIVE DATE.

(First Version of Proposed Ordinance Sponsored by Senator Nan H. Rich and Cosponsored by Vice-Mayor Dale V.C. Holness)

(Second Version of Proposed Ordinance Sponsored by Senator Steve Geller)

(Per the Tuesday Morning Memorandum, Mayor Bogen requested being a co-sponsor to the First Version of the Proposed Ordinance.)

ACTION: (T-11:16 AM PM) Following discussion, the Board approved amendments to Commissioner Rich’s Proposed Ordinance as to increasing the Living Wage to $13.27 per hour, excluding (d) - Healthcare Benefits. In addition, the Board approved Commissioner Geller's amendment for funding sources. (Refer to minutes for full discussion.)

VOTE: 9-0. Dr. Sharief voted in the affirmative telephonically.

ACTION: (T-1:34 PM) Tabled until later in the meeting. (Refer to minutes for full discussion.)

ACTION: (T-2:27 PM) Filed proof of publication and enacted the Ordinance to become effective as provided by law . The Board approved Commissioner Rich’s amendment, Exhibit 3, and Purple-Sheeted Additional Material 26(2) amended by Commissioner Geller’s language providing that General Fund Resources can only be used to mitigate General Fund contracts, and directing the County Attorney to modify Section 26-102d keeping the same substance that is currently in the Ordinance, while the Board considers healthcare at a later date. The Board requested that staff schedule a Board Workshop in January 2019, with an Agenda Item coming back to the Board in January 2019, after the Board Workshop. (Refer to minutes for full discussion.) (See Purple-Sheeted Additional Material submitted the request of County Administration, the Office of the County Attorney and Commissioner Geller.)

VOTE: 9-0. Dr. Sharief voted in the affirmative telephonically.

Why Action is Necessary

A Resolution directing the County Administrator to publish notice of public hearing to consider enactment of the Ordinance was adopted by the Board of County Commissioners at its meeting of November 13, 2018.

What Action Accomplishes

Allows the Board to consider amendments to the County's Living Wage Ordinance.

Is this Action Goal Related

Previous Action Taken

Summary Explanation/Background

The proposed Ordinance sponsored by Senator Rich and cosponsored by Vice-Mayor Holness repeals and replaces three sections of Broward County's Living Wage Ordinance ("Ordinance") and establishes (1) a new title and legislative findings; (2) reorganization and minor changes to definitions; (3) a living wage and corresponding health care benefit amount for all new and existing contracts; and (4) a new method to adjust the living wage and health care benefit amount.

More specifically, the proposed Ordinance provides for the following:

Commencing January 1, 2019, the living wage for all new and existing contracts is no less than $13.27 per hour with health care benefits, and no less than $13.27 per hour plus an additional $1.63 per hour without health benefits. Based on the Board's direction and discussion on October 23, 2018, and November 13, 2018, the $1.63 per hour may be subject to subsequent change based on the analysis of health care benefits currently being performed by staff.
Provides that covered employers with currently existing contracts shall continue to pay covered employees the current living wage through December 2018. Thereafter, these covered employers are obligated to pay the new living wage amount effective on the earlier of July 1, 2019, or the date the County and the covered employer enter into a written amendment providing for the County to reasonably mitigate increased labor costs resulting from enactment of the Ordinance. Between January 1, 2019, and the time the full new living wage amount must be paid, these covered employers will be required to pay either no less than $12.60 per hour (with health care benefits) or no less than $14.23 per hour (without health care benefits), which new rates would otherwise take effect on January 1, 2019, without an amendment to the Living Wage Ordinance. By July 1, 2019, these covered employers must pay each covered employee the differential between the amount the covered employee would have received commencing January 1, 2019, had the full new living wage amount been paid and the actual amount of wages paid to the covered employee through June 30, 2019.
Commencing with the first full pay period in January 2019, County part-time benefits eligible and full-time benefits eligible employees under the County pay plan will be paid a living wage of no less than $13.27 per hour, in addition to health care benefits.
Beginning January 1, 2020, and thereafter on January 1 of each year, the living wage and health care benefits will be adjusted annually by the lowest of: (1) the percentage increase in the Consumer Price Index for All Urban Consumers (CPI-U), All Items, Miami-Ft. Lauderdale-West Palm Beach, FL, calculated by the United States Department of Labor, for the immediately preceding period of November 1 through October 31; (2) three percent (3%); or (3) the percentage across-the-board compensation increase provided by the County to its unrepresented employees.

On November 13, 2018, the Board directed that the public hearing on this item be held on December 11, 2018, instead of the previously anticipated date of December 4, 2018. The Board also directed that the substitute Ordinance proposed by Senator Geller be concurrently noticed for public hearing.

The proposed Ordinance sponsored by Senator Geller differs from Senator Rich's and Vice-Mayor Holness's proposed Ordinance in the following ways:

Commencing on January 1, 2019, the living wage for all renewed contracts would be no less than $13.27 per hour with health care benefits, and no less than $13.27 per hour plus an additional $1.63 per hour without health benefits. All prior delegation of authority to staff to renew any agreement is rescinded unless the renewed agreement requires payment of this living wage amount.
Provides that covered employers with currently existing contracts entered into prior to January 1, 2019, will pay their covered employees $13.00 per hour with health care benefits, and no less than $13.00 per hour plus an additional $1.63 per hour without health benefits.
Within 60 days after the enactment of the proposed Ordinance, the County Administrator would be required to provide to the Board a recommendation for a potential one-time adjustment to the health care benefit amount based on the condition of the labor market and health insurance market.

A Fiscal Impact Statement for the proposed Ordinance sponsored by Senator Steve Geller will be distributed as additional material.

Source of Additional Information

Adam Katzman, Senior Assistant County Attorney, (954) 357-7600

Fiscal Impact

Fiscal Impact/Cost Summary:

Fiscal Impact Statement by Office of Management and Budget for Proposed Ordinance sponsored by Senator Nan H. Rich and cosponsored by Vice-Mayor Dale V.C. Holness is attached as Exhibit 3.

Attachments
Exhibit 1 - Copy of Proposed Ordinance sponsored by Senator Nan H. Rich and cosponsored by Vice-Mayor Dale V.C. Holness
Exhibit 2 - Copy of Proposed Ordinance sponsored by Senator Steve Geller
Exhibit 3 - Copy of Fiscal Impact Statement for Proposed Ordinance sponsored by Senator Nan H. Rich and cosponsored by Vice-Mayor Dale V.C. Holness
Additional Material - Information
Additional Material - Information
Additional Material - Information
Additional Material - Information