SR-703-003 (9)
City Council Meeting: September 12, 2000 Santa Monica, CA
To: City Council
From: City Staff
Subject: Recommendation to Hear a Presentation of the Economic Analysis of
Living Wage Proposal
Introduction
This report recommends that the City Council adopt a special procedure to facilitate
Council consideration and the public?s understanding of the recently completed
economic analysis of a living wage proposal for the City of Santa Monica.
Background
In September of 1999, the City Council directed staff to obtain an economic analysis of
a proposal by Santa Monicans Allied for Responsible Tourism (SMART) that the City
adopt a living wage ordinance governing businesses in the private sector. It was clear
that such a study would entail considerable original research as the proposed
ordinance, unlike any other adopted in the United States, would regulate businesses
with no contractual or other direct financial ties to the City.
A Request for Proposal was widely distributed to universities, research institutions and
research firms. Dr. Robert Pollin of the Political Economy Research Institute of the
University of Massachusetts-Amherst submitted the only proposal to conduct the study.
Dr. Pollin, who had previously conducted studies of living wage proposals in Los
Angeles and New Orleans, was engaged to conduct the study.
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The resulting report has been posted on the City?s website since Monday, August 28,
and has been available at all City libraries and for purchase at City Hall since Tuesday
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the 29. Reviews of the study by two other economists are being made similarly
available as they are received.
Discussion
To facilitate Council consideration and community understanding of the lengthy and
complex report, Dr. Pollin has been asked to make a presentation of his findings at the
September 12 City Council meeting. Following Dr. Pollin?s presentation and questions
from Council there will be opportunity for public input. The Council could choose to
refer questions to Dr. Pollin as they arise or at the end of the public hearing. With the
benefit of the presentation and resulting public comment, the City Council can then
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deliberate on the living wage proposal on Thursday, September 28 at a meeting
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adjourned from Tuesday, the 26.
Budget/Financial Impact
The presentation of the results of the economic analysis has, itself, no budgetary or
financial impact.
Recommendation
It is recommended that the City Council hear Dr. Pollin?s presentation and take public
comment.
Prepared by: Susan McCarthy, City Manager
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