An organized demonstration to raise the minimum wage was held prior to the city council meeting on October 9, 2014, outside the Mountain View, California, city hall. Photo Source: Michelle Le/Mountain View Voice.

By Kimbra McCarthy

Over the past few years, momentum has been growing nationwide to raise the minimum wage to $15 per hour. While the U.S. economy has improved in the intervening years since the Great Recession, the federal minimum wage has remained $7.25 per hour since 2009.

At the start of 2016, 30 states and numerous local governments have enacted a higher minimum wage than the federal rate. Even so, advocates assert that minimum wage rates have not kept pace with inflation and are too low for single individuals, especially heads of households, to live on. This belief has been the rallying cry for change and has spurred the recent movement to raise the minimum wage.

This issue is gaining momentum at all levels of public policy and is not unique to one community or one state. Addressing the minimum wage, in fact, is a prominent topic in the current U.S. presidential election, and elected officials across the country are tackling this issue locally by enacting city and countywide minimum wage ordinances (see Figure 1).

 

 

 

A Key Policy Issue

Residents in communities across the country are demonstrating at local events and during public meetings to bring this issue to the forefront of the policy debate. A large-scale protest happened on November 10, 2015, when fast-food workers in more than 1,000 cities across the country walked out on strike for a day in the “Fight for 15.”

Several cities, universities, and major corporations have passed a $15 minimum wage for their own employees. The campaign for $15 is also expected to gain further traction in 2016 with pending initiatives in Olympia, Washington; Berkeley, California; Kansas City, Missouri; Minneapolis, Minnesota; and Washington, D.C., as well as with the states of California and Oregon.

Clearly, the decision to raise the minimum wage is an important policy issue that many local governments across the country may face in 2016. This article describes actions taken by the city of Mountain View, California, to respond to this issue, and outlines the proactive steps that staff can take to prepare for adopting a local minimum wage ordinance.

 

Taking Action

Mountain View (79,000 population) is located approximately 30 miles south of San Francisco in the heart of Silicon Valley, and it is home to the most innovative technology companies in the world, including Google, LinkedIn, and Symantec.

Amidst great prosperity, Mountain View, along with other regional cities, has been grappling with how to respond to the resulting crisis over significant apartment and housing rent increases and the effect on low-paid residents, as well as a growing homeless population.

The initial push to raise the minimum wage in Mountain View was borne out of a ballot measure passed by voters in the neighboring city of San Jose. In November 2012, San Jose residents voted to raise the minimum wage to $10 per hour effective March 11, 2013, with yearly annual adjustments tied to the consumer price index.

In an effort to address growing resident concerns and achieve parity with San Jose, the Mountain View City Council adopted a minimum wage ordinance in October 2014 based on the San Jose model.

The ordinance set the Mountain View citywide minimum wage at $10.30 per hour effective July 1, 2015. This rate was selected to match the San Jose wage, which by that time had increased to $10.30 due to index adjustments. More importantly, Mountain View’s council took one step further and adopted a goal of reaching a minimum wage of $15 per hour by 2018—a first for the region.

At that time, staff was given the huge task of creating a work plan of specific action items for reaching a $15 wage. This included collaborating with neighboring cities and regional organizations, specifically with Sunnyvale, California, which adopted an ordinance based on the San Jose and Mountain View model, and also set a goal of a $15 wage by 2018.

After a year-long process, in October 2015, the Mountain View council amended the existing minimum wage ordinance to include incremental steps to achieve a $15 minimum wage by 2018 (see Figure 2).

 

 

The ordinance applies to all employers who are either subject to the city’s business license requirements or who maintain a place of business in the city. All employees who work at least two hours a week within the geographic boundaries of the city are required to be paid the minimum wage. There are no exceptions in the ordinance.

 

Strategies for Success

Although Mountain View may be unique in its challenges and community issues, the policy question of whether to raise the minimum wage is happening in local jurisdictions across the country. Given the growing momentum to raise the wage, it is possible that residents may initiate this issue, or perhaps elected officials will place it on a public meeting agenda for discussion.

So what should staff do in order to prepare the elected body for enacting a minimum wage ordinance? How can you help shape what is likely to be a contentious issue? Where do you even start?

Here are 10 strategies that provide a road map to help local government staff members prepare a minimum wage ordinance:

 

1. Do your research. Like any major policy issue, an important starting point is to conduct research. This means understanding the perspectives of the elected body and the community, and defining the end goal.

What is the desired wage and time frame? What are the issues driving this discussion in your community? Which stakeholders are advocating for and against the increase and who are the key leaders? What is happening in other local governments in your state?

What ordinances can be used as a starting point in your drafting? Has any statewide legislation been introduced? Are there any ballot measures on the horizon?

2. Collaborate with regional cities or counties, if possible. Reach out to staff in neighboring communities to see whether the issue is being discussed. Your elected body might be more prepared to make a decision if there is regional cooperation to “do something.”

In Mountain View’s case, staff and elected officials worked closely with other cities in the county. The Mountain View and Sunnyvale mayors sent a joint letter to all mayors and city managers in the county to advocate for regional consistency.

A joint letter was also sent to the countywide cities association, an organization composed of one councilmember from each city. Mountain View staff also led monthly conference calls with staff in several cities in order to provide updates and share information.

3. Develop a communications outreach strategy. Prepare an overall strategy for getting the word out prior to a vote of the elected body and then upon implementation of an ordinance.

Ideas for outreach include creating a Web page on the issue; posting FAQs; designing informational flyers for employees receiving the minimum wage; sending postcards to all registered businesses about the minimum wage; distributing press releases to media, local elected officials, and business groups; running information on your local cable television bulletin board; placing information on utility bills; buying newspaper ads; and writing a newsletter article.

4. Use social media and online feedback tools. Push information out through your agency’s Twitter, Facebook, and Nextdoor accounts. Mountain View also used the online forum Open City Hall.

Residents provided their response to the question: “Should Mountain View increase the minimum wage rate to $15 by 2018?” A moderator tracked the responses, and all statements were available for viewing on the city’s website.

5. Hold community engagement meetings. Community meetings are a key element in obtaining resident feedback. During the Mountain View meetings, staff gave a brief overview of the $15 by 2018 approach and regional effort and invited participants to provide feedback through written comment cards or oral comments. This information was presented to council to aid in decision making.

6. Conduct targeted business forums. It is important to hold forums for business owners in order to gain a different perspective on the minimum wage issue. Sending targeted invitations by postcard, in-person contact, or e-mail will result in better participation, rather than issuing a broad announcement.

Industries to target include restaurants, retail, hotel, child care, and insurance. Posting an invite through social media is possible, but some participants may show up who do not own or operate a business.

The Mountain View business meetings were informal roundtable discussions. This worked well because participants felt free to speak candidly and ask questions of staff and each other. The business owner feedback was also provided to councilmembers.

7. Release a survey on the issue. Releasing a survey to community members or business owners can be helpful. Options include using Survey Monkey if you have e-mail addresses of residents or business owners. You can also partner with the local Chamber of Commerce that can release the survey to its membership and share the results with you.

8. Anticipate possible exemptions to the ordinance. Exemptions will most certainly be discussed by your elected body. Common categories to exempt are teenage workers, tipped employees, nonprofits, small businesses, independent contractors, state/federal/county agencies, and workers represented by unions. Make sure legal staff is consulted on these categories at the outset, as your state may have laws that prohibit certain exemptions.

9. Develop enforcement mechanisms. Enforcement provisions should be specified in the ordinance to guarantee employer compliance, protect workers who raise complaints, and ensure collection of owed wages. An ordinance should contain the following: a designated legal resource to investigate and enforce complaints; retaliation protection for employees; remedies and penalties for noncompliance; and a private right of legal action.

10. Reach out to stakeholder groups. You will undoubtedly know which stakeholders in your community hold an interest in this issue. By proactively reaching out and meeting with stakeholders, you are demonstrating transparency and a willingness to understand various perspectives.

Mountain View staff worked with the California Restaurant Association, Downtown Committee, Raise the Wage Coalition, and the Chamber of Commerce.

Preparing for a minimum wage ordinance is a major project that takes a significant amount of staff time and dedication. By following these steps, you can successfully prepare your elected body in making an important decision for your community.

More information on the minimum wage ordinance can be found at www.mountainview.gov/minwage.

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