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Title:
AN ORDINANCE OF THE MIAMI CITY COMMISSION AMENDING CHAPTER 18 OF
THE CODE OF THE CITY OF MIAMI, FLORIDA, ENTITLED "FINANCE," AS
AMENDED, BY AMENDING ARTICLE IV, ENTITLED "MINORITY AND WOMEN
BUSINESS AFFAIRS AND PROCUREMENT PROGRAM," BY AMENDING SECTION
18-89 ENTITLED "CONTRACTS FOR PUBLIC WORKS OR IMPROVEMENTS" TO
CREATE A LIVING WAGE ORDINANCE;"PROVIDING FOR A REPEALER
PROVISION, A SEVERABILITY CLAUSE AND PROVIDING FOR AN EFFECTIVE
DATE.
Body:
WHEREAS, the City of Miami ("City") awards contract to private firms to provide
services for the public and also provides financial assistance to promote economic
development and job growth; and
WHEREAS, such expenditures of public money also serve a public purpose by
creating jobs, expanding the City's economic base, and promoting economic security for
all citizens; and
WHEREAS, such public expenditures should be spent only with deliberate
purpose to promote the creation of full-time, permanent jobs that allow citizens to
support themselves and their families with dignity; and
WHEREAS, sub -poverty level wages do not serve the public purpose, and such
wages place an undue burden on taxpayers and the community to subsidize employers
paying inadequate wages by providing their employees with social services such as
health care, housing, and nutrition; and
WHEREAS, the City has a responsibility when spending public funds to set a
community standard that permits full-time workers to live above the poverty line, and
therefore, contractors and subcontractors of City service contracts must pay their
employees nothing less than the living wage herein described; and
WHEREAS, in addition to requiring living wages for City services provided by
private firms, the City wishes to serve as an example by providing a living wage to all
City employees;
NOW, THEREFORE, BE IT ORDAINED BY THE COMMISSION OF THE CITY
OF MIAMI, FLORIDA:
Section. 1 The recitals and findings contained in the preamble to this
Ordinance are adopted by reference and incorporated as if fully set forth in this Section.
Section 2. Chapter 18/Article IV of the Code of the City of Miami, Florida, as
amended, is amended in the following particulars:{1}
"Chapter 18
FINANCE
ARTICLE IV. MINORITY AND WOMEN BUSINESS AFFAIRS AND PROCUREMENT
PROGRAM
Sec. 18-89. Contracts for public works or improvements.
LIVING WAGE REQUIREMENTS FOR SERVICE CONTRACTS AND CITY
EMPLOYEES
Definitions.
City means the government of the city of Miami or any authorized agents, any
board, agency, commission, department, or other entity thereof, or anv successor
thereto.
Covered emplovee means anyone employed by the city or any service
contractor, as further defined in this division, either full or part time, as an employee with
or without benefits or as an independent contractor.
Covered employer means the city and anv and all service contractors, whether
contracting directly or indirectly with the city, and subcontractors of a service contractor.
Service contractor is any individual, business entity, corporation (whether for
profit or not for profit), partnership, limited liability company, joint venture, or similar
business who is conducting business in the city , or Miami -Dade County, and meets one
of the two following criteria:
(1) The service contractor is:
a. Paid in whole or part from one or more of the city's general fund, capital project
finds, special revenue funds, or anv other funds either directly or indirectly, whether by
competitive bid process, informal bids, requests for proposals, some form of solicitation,
negotiation, or agreement, or any other decision to enter into a contract; or
b. Engaged in the business of, or part of, a contract to provide, a subcontract to
provide, or similarly situated to provide, services, either directly or indirectly for the
benefit of the city. However, this does not apply to contracts related primarily to the sale
of products or goods.
Covered services are the type of services purchased by the city that are subject
to the requirements of this division which include the following:
fli City service contracts. Contracts involving the city's expenditure of over $xx per
year and which include
the following types of services:
a. Food preparation and/or distribution;
b. Security services;
c. Routine maintenance services such as custodial, cleaning, computers, refuse
removal, repair, refinishing, and recycling;
d. Clerical or other non -supervisory office work, whether temporary or permanent.,
e. Transportation and parking services.,
f. Printing and reproduction services;
g. Landscaping, lawn, and or agricultural services; and
h. Park and public place maintenance.
(2) Should any services that are being performed by city employees at the time this
division is enacted be solicited in the future by the city to be performed by a service
contractor, such services shall be covered services subject to this division.
Living wage.
(a) Living wage paid.
(1) Service contractors. All service contractors, as defined by this division, entering
into a contract with the city shall pay to all its employees who provide services covered
by this division, a livinq wage of no less than $xx an hour with health benefits, or a living
wage of not less than $xx an hour without health benefits, as described in this section.
(2) City employees. For city employees under the city pay plan, the city will begin to
pay a living wage consistent with the goals and terms of this division on phase -in basis
beginning in the 2003--2004 city budget year, increasing on an annual basis
incrementally so that the living wage is fully implemented for city employees in the 2005-
-2006 city budget year as may be adjusted pursuant to subsection (c) below. Thereafter,
the livinq wage to be paid by the city to its employees shall not be subject to the annual
indexing u sing the Consumer Price Index for all Urban Consumers (CPI-U) required
under subsection (c) below and instead shall be subject to negotiations within the
collective bargaining structure.
(b) Health benefits: eligibility period. For a covered employer or the city to comply with
the livinq wage provision by choosing to pay the lower wage scale available when a
covered employer also provides health benefits, such health benefits shall consist of
payment of at least $xx per hour toward the provision of health benefits for covered
employees and their dependents.
if the health benefits plan of the covered employer or the city requires an initial
period of employment for a new employee to be eligible for health benefits (eligibility
period) the Iiving_wage provision shall be complied with as follows during the eligibility
period:
(1) Provided the new employee will be paid health benefits upon the completion of the
eligibility period, a covered employer or the city may only qualify to pay the $xx per hour
wage scale for a term not to exceed the first 90 days of the new employee's eligibility
period, said term commencing on the employee's date of hire.
(2) if the covered employer's or the city's eligibility period exceeds the 90-day term
provided in subsection (1), then the covered employer or the city, commencing on the
ninety-first day of the new employee's eligibility period, must commence to pay a living
wage of not less than $xx an hour.
Proof of the provision of health benefits must be submitted to the awarding
authority to qualify for the wage rate for employees with health benefits.
(c) Indexing. The living wage will be automatically indexed each year using the
Consumer Price Index for all Urban Consumers (CPI-U) unless the city commission
determines it would not be fiscally sound to implement the CPI-U in a particular year.
(d) Certification required before payment. Any and all contracts for covered services
shall be void, and no funds may be released, unless prior to entering any agreement
with the city for a covered services contract, the employer certifies to the city that it will
pay each of its employees no less than the living wage described in xx A copy of this
certificate must be made available to the public upon request. The certificate, at a
minimum, must include the following:
(1) The name, address, and phone number of the employer, a local contact person,
and the specific project for which the covered services contract is sought;
(2) The amount of the covered services contract and the city department the contract
will serve;
(3) A brief description of the project or service provided;
(4) A statement of the wage levels for all employees; and
(5) A commitment to pay all employees a living wage, as defined by xxx
(e) Observation of other laws. Every covered employee shall be paid not less than
biweekly, and without subsequent deduction or rebate on any account (except as such
payroll deductions as are directed or permitted by law or by a collective bargaining
agreement). The covered employer shall pay covered employees wage rates in
accordance with federal and all other applicable laws such as overtime and similar wage
laws.
(f) Posting. A copy of the living wage rate shall be kept posted by the covered
employer at the site of the work in a prominent place where it can easily be seen and
read by the covered employees and shall be supplied to the employee within a
reasonable time after a request to do so. Posting requirements will not be required
where the covered employer prints the following statements on the front of the covered
employee's first paycheck and every six months thereafter: "You are required by City of
Miami law to be paid at least $x dollars an hour. If you are not paid this hourly rate,
contact your employer, an attorney, or the City of Miami ." All notices will be printed in
English, Spanish, and Creole.
(q) Collective bargaining. Nothing in this division shall be read to require or authorize
any covered employer to reduce wages set by a collective bargaining agreement or are
required under any prevailing wage law.
Implementation.
(a) Procurement specifications. The living wage shall be required in the procurement
specifications for all city service contracts for covered services on which bids or
proposals shall be solicited on or after the effective date of this division. The
procurement specifications for applicable covered services contracts shall include a
requirement that service contractors and their subcontractors agree to produce all
documents and records relating to payroll and compliance with this division upon request
from the city. All covered service contracts awarded subsequent to the date when this
division becomes effective, shall be subject to the requirements of this division.
(b) Information distributed. All requests for bids or requests for proposals for covered
services contracts of $xx or more shall include appropriate information about the
requirements of this division.
(c) Maintenance of payroll records. Each covered employer shall maintain payrolls for
all covered employees and basic records relating thereto and shall preserve them for a
period of three years or the term of the covered services contract, whichever is greater.
The records shall contain:
(1) The name and address of each covered employee;
(2) The lob title and classification;
(3) The number of hours worked each day;
(4) The gross wages earned and deductions made;
(5) Annual wages paid;
(6) A copy of the social security returns and evidence of payment thereof;
(7) A record of fringe benefit payments including contributions to approved plans; and
(8) Any other data or information this division should require from time to time.
(d) Reporting payroll. Every six months, the covered employer shall file with the
procurement director a complete payroll showing the covered employer's payroll records
for each covered employee working on the contract(s) for covered services for one
payroll period. Upon request from the city, the covered employer shall produce for
inspection and copying its payroll records for anYor all of its covered employees for any
period covered by the covered service contract. The city may examine payroll records as
needed to ensure compliance.
Compliance and enforcement.
(a) Service contractor to cooperate. The service contractor shall permit city
employees, agents, or representatives to observe work being performed at, in or on the
project or matter for which the service contractor has a contract. The city representatives
may examine the books and records of the service contractor relating to the employment
and payroll to determine if the service contractor is in compliance with the provisions of
this division.
(b) Complaint procedures and sanctions.
(1) An employee who believes that this division applies or applied to him or her and
that the service contractor, or the city, is or was not complying with the requirements of
this division has a right to file a complaint with the procurement director of the city.
Complaints by employees of alleged violations may be made at any time and shall be
investigated within 30 days by the city. Written and oral statements by an employee shall
be treated as confidential and shall not be disclosed without the written consent of the
employee to the extent allowed by the Florida Statutes.
(2) Any individual or entity may also file a complaint with the_procurement director of
the city on behalf of an employee for investigation by the city.
(c) Private right of action against service contractor. Any covered employee of or
former covered employee of a service contractor may, instead of utilizing the city
administrative procedure set forth in this division, but not in addition to such procedure,
bring an action by filing suit against the covered employer in any court of competent
jurisdiction to enforce the provisions of this division and may be awarded back pay,
benefits, attorney's fees, and costs. The applicable statute of limitations for such a claim
will be two years as provided in F.S. § 95.11 (4)(c) for an action for payment of wages.
The court may also impose sanctions on the service contractor, including those persons
or entities aiding or abetting the service contractor, to include wage restitution to the
affected covered employee and damages payable to the covered employee in the sum
of up to $xx for each week each service contractor is found to have violated this division.
(d) Sanctions against service contractors. For violations of this division, the city shall
sanction a service contractor by requiring the service contractor to pay wage restitution
at the employers expense for each affected employee and may access the following:
(1) The city may impose damages in the sum of $xx for each week for each employee
found to have not been paid in accordance with this division; and/or
(2) The city may suspend or terminate payment under the covered services contract
or terminate the contract with the service contractor; and/or
(3) The city may declare the employer ineligible for future service contracts for three
years or until all penalties and restitution have been paid in full, whichever is longer. In
addition, all employers shall be ineligible under this section where principal officers of the
employer were principal officers of an employer who violated this division.
(e) Public record of sanctions. All such sanctions recommended or imposed shall be a
matter of public record.
(f) Sanctions for aiding and abetting. The sanctions in xxx shall also apply to any party
or parties aiding and abetting in any violation of this division.
(q) Retaliation and discrimination barred. A covered employer shall not discharge,
reduce the compensation, or otherwise discriminate against any covered employee for
making a complaint to the city, or otherwise asserting his or her rights under this division1
participating in any of its proceedings or using any civil remedies to enforce his or her
rights under this division. Allegations of retaliation or discrimination, if found true in a
proceeding under paragraph (b) or by a court of competent iurisdiction under paragraph
(c), shall result in an order of restitution and reinstatement of a discharged covered
employee with back pay to the date of the violation or such other relief as deemed
appropriate.
(h) Enforcement powers. If necessary for the enforcement of this division, the city
commission may issue subpoenas, compel the attendance and testimony of witnesses
and production of books, papers, records, and documents relating to payroll records
necessary for hearing, investigations, and proceedings. In case of disobedience of the
subpoena, the city attorney may apply to a court of competent jurisdiction for an order
requiring the attendance and testimony of witnesses and production of books, papers,
records, and documents. Sa id court, in the case of the refusal to obey such subpoena,
after notice to the person subpoenaed, and upon finding that the attendance or
testimony of such witnesses of the production of such books, papers, records, and
documents, as the case may be, is relevant or necessary for such hearings,
investigations, or proceedings, may issue an order requiring the attendance or testimony
of such witnesses or the production of such documents and any violation of the court's
order may be punishable by the court as contempt thereof.
(i) Remedies herein nonexclusive. No remedy set forth in this division is intended to
be exclusive or a prerequisite for asserting a claim for relief to enforce the rights under
this division in a court of law. This division shall not be construed to limit an employee's
right to bring a common law cause of action for wrongful termination. "
Section 3. All Ordinances or parts of Ordinances that are inconsistent or in
conflict with the provisions of this Ordinance are repealed.
Section 4. If any section, part of section, paragraph, clause, phrase or word
of this Ordinance is declared invalid, the remaining provisions of this Ordinance shall not
be affected.