SR-104-084 (5)
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CC:f\ctyclerk\elections\ 11 0700\staffreport.measures.wpd
City Council Meeting: July 25,2000
JUL 2 5 2"""
To:
Mayor and City Council
From:
City Staff
Subject:
Resolution Placing the Proposed City of Santa Monica Taxpayer Protection
Charter Amendment of 2000 and the Proposed Santa Monica Living Wage
Charter Amendment on the November 7,2000, Election Ballot, and
Adoption of Other Election-Related Resolutions.
INTRODUCTION
Two petitions, each proposing a separate amendment to the Charter of the City of
Santa Monica, were duly submitted to the City Clerk's Office on May 30, and May 31,
2000, respectively. The Los Angeles County Clerk's Office has verified that the
petitions contain the minimum number of valid signatures required to place the
proposals on the November 7,2000, Statewide General Election ballot.
BACKGROUND
Elections Code Section 9255(a)(3) provides for a proposed charter amendment to be
submitted to the voters as follows: "An amendment or repeal of a city charter proposed
by a petition signed by 15 percent of the registered voters of the city."
Proposed Santa Monica "Taxpaver Protection" Amendment of 2000
At the time that the notice of intent to circulate a petition was published by the
proponents of the "Taxpayer Protection Amendment" initiative (December 30,1999),
there were 56,109 registered voters in the City. The number of signatures required for
JUL 2 5 2000
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this measure is 8,416 (15%). The Los Angeles County Clerk/Registrar Recorder, has
verified that the petition contains 8,460 valid registered voter signatures.
Proposed "LivinQ WaQe" Charter Amendment
At the time that the notice of intent to circulate a petition was published by the
proponents of the "Living Wage" initiative (April 8, 2000), there were 53,779 registered
voters in the City of Santa Monica. The number of signatures required for this measure
is 8,067 (15%). The Los Angeles County Clerk/Registrar Recorder, has verified that
the petition contains 9,815 valid registered voter signatures.
Attached as Exhibit A is a copy of the results of the full-count signature verification for
both measures, as conducted by the Los Angeles County Clerk/Registrar Recorder.
A copy of the text of each proposed amendment is attached to the resolution submitting
the measures to the voters. Copies of each ballot title and summary, as prepared by
the City Attorney, are attached as Exhibit B.
Also attached are the following resolutions needed for the measures to be placed on
the November election ballot
Resolution calling a special election and submitting the proposed Charter
Amendments to the voters of the City of Santa Monica, as follows:
PROPOSITION" ." Shall the City Chatter be amended to
add specified minimum wage and employee benefit
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requirements for some employees doing work on City.
,
contracts and grants and barring the City from modifying the--k
wage and benefit requirements except by initiative?
PROPOSITION" ." Shall the City Charter be amended to
prohibit any City public official, who approves giving a public
contract or other benefit to any person from receiving
"personal or campaign advantages" from that person for up
to six years?
Resolution requesting the Los Angeles County Board of Supervisors to approve
the consolidation of the City's Special Municipal Election with the statewide
General Election to be held on the same date, and that the statewide General
Election and Special Municipal Election be held in all respects as if there were
only one election.
Resolution requesting that the Los Angeles County Board of Supervisors direct
the Registrar of Voters to provide all necessary election services, to the extent
determined necessary by the City Clerk, to mail sample ballots and polling place
information to the registered voters of the City, and to reduce the expense and
administrative burden of the election.
Resolution authorizing members of the City Council to submit arguments
concerning the measure.
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FINANCIAL IMPACT
The City Clerk's Office has an approved elections budget for Fiscal Year 2000-2001 in the
amount of $207,600.
RECOMMENDATION
It is respectfully requested that the City Council accept the petitions, as verified by the
Los Angeles County Clerk/Registrar Recorder; adopt the resolution calling a special
election and placing both measures on the ballot; adopt the resolution requesting the
Los Angeles County Board of Supervisors to approve the consolidation of the special
election with the Statewide General Election; adopt resolution requesting election
services from Los Angeles County Clerk/ Registrar/Recorder; and adopt a resolution
authorizing certain members of the City Council to submit arguments and rebuttals
concerning the measures.
Prepared by:
Maria Stewart, City Clerk
Marsha Moutrie, City Attorney
Joe Lawrence, Assistant City Attorney
Attachments:
Exhibit A:
Results of Signature Count
Exhibit B:
Ballot Titles and Summaries for Proposed Charter Amendments
~ 719 Z- Exhibit C:
Resolution Calling a Special Election and Placing the Proposed Charter
Amendment on the Ballot
7Xl3 Exhibit D: Resolution Requesting Consolidation of the Election with the November
Statewide General Election
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Exhibit E:
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;0- / Exhibit F:
Resolution Requesting Services from the L.A. County Clerk/Registrar
Recorder
Resolution Authorizing City Councilmembers to Prepare an Argument and
Rebuttal Concerning the Measure
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Exhibit A
COUNTY OF LOS ANGELES
REGISTRAR-RECORDER/COUNTY CLERK
12400 IMPERIAL HWY. - P.O. BOX 1024, NORWALK. CALIFORNIA 90651-1024
CONNY B. McCORMACK
REGISTRAR.RECORDER/COUNTY CLERK
July 12, 2000
Ms. Maria M. Stewart, City Clerk
City of Santa Monica
1685 Main Street
Santa Monica, CA 90407-2200
Dear Ms. Stewart:
As requested, we have completed processing the charter amendment initiative
petition pertaining to benefits for specified employees which you submitted for
signature verification on June 2, 2000.
The results of the supplemental signature verification are as follows:
Number of signatures filed
Number of signatures withdrawn
15,532
549
Number of signatures verified
Number of signatures found sufficient
Number of signatures found not sufficient
Not sufficient because duplicate
14,983
9,815
5,168
436
Please call Dorothy Scates, Head of the Data Entry and Signature Verification
Section at (562) 462-2376 if you have any questions regarding the signature
verification of this petition.
Sincerely,
C~~~'\e~
C;~~' &CO~ACK
Registrar-Recorder/County Clerk
da:Z:l_SNTMONICA_71200
COUNTY OF LOS ANGELES
REGISTRAR-RECORDER/COUNTY CLERK
12400 IMPERIAL HWY. - P.O BOX 1024, NORWALK, CALIFORNIA 90651-1024
CONNY B. McCORMACK
REGISTRAR.RECOROER/COUNTY CLERK
July 12, 2000
Ms. Maria M. Stewart, City Clerk
City of Santa Monica
1685 Main Street
Santa Monica, CA 90407-2200
Dear Ms. Stewart:
As requested, we have completed processing the charter amendment initiative
petition pertaining to public officials which you submitted for signature verification on
May 31,2000.
The results of the supplemental signature verification are as follows:
Number of signatures filed
Number of signatures verified
12,153
12,153
8,460
3,693
1,779
Number of signatures found sufficient
Number of signatures found not sufficient
Not sufficient because duplicate
Please call Dorothy Scates, Head of the Data Entry and Signature Verification
Section at (562) 462-2376 if you have any questions regarding the signature
verification of this petition.
Sincerely, ff
S:::t~R0~~
Registrar-Recorder/County Clerk
da:Z:L_SNTMONICA_2_71200
Exhibit B
BALLOT TITLE AA'D SUMMARY
PREPARED BY THE CITY ATTORNEY
AN INITIATIVE A.l\1ENDING THE SANTA MONICA CITY CHARTER
BY ADDING A REQUIREMENT THAT CERTAIN CITY CONTRACTORS
AND FINANCIAL ASSISTANCE RECIPIENTS PAY
A SPECIFIED MINIMUM WAGE AND PROVIDE
SPECIFIED BENEFITS TO COVERED EMPLOYEES
This initiative would amend the City Charter by adding minimum wage and employee
benefit requirements applicable to certain employees doing work on certain City contracts and
grants.
The initiative would cover City contracts or contract amendments involving an
expenditure of more than $25,000 and a term of at least three months. Also, all contracts covered
by the City's competitive bidding requirements would be covered, and smaller contracts could be
covered pursuant to regulations. City financial assistance recipients would be covered only if
they receive "discrete and direct financial assistance for economic development or job growth
expressly articulated and identified by the City". If the amount exceeds $100,000 in a 12 month
period, the recipient would have to comply with the proposal for 5 years. Ifthe amount received
is between $25,000 and $100,000, the recipient would have to comply for one year. In the case
of non-City funding, such as federal or state funding, the requirements would apply if they are
consistent with applicable restrictions as determined by the funding source or a court.
The initiative's requirements would apply to an "employee" as the initiative defines that
term. The definition excludes managers, supervisors, and occupational licensees. The definition
includes workers employed by a City contractor or subcontractor who spend any time on the
covered City contract work. The definition also includes anyone working for a covered City
financial assistance recipient and spending at least half of his or her time on the funded project.
Finally, the definition includes anyone working for a contractor or subcontractor of such a
covered recipient and spending at least half of his time on the premises of the recipient directly
involved in the City-funded activities.
The minimum wage established by the initiative is $8.32 per hour with health care
benefits or $9.46 per hour without health care benefits. Rates would be adjusted annually to
reflect changes in a designated regional consumer price index or in a lower amount approved by
City Council vote. The benefits required by the initiative are 12 paid and 10 unpaid days off
each year and $1.14 per hour towards health care benefits for employees and dependents if
wages are at the lower of the two specified rates. Employers would also be required to notify
employees ofthe availability of the Earned Income Credit and to make claim forms available.
The initiative provides that its minimum wage and benefit requirements may be superceded by
colIective bargaining agreements; and there is exemption language on governmental
employment, tax exempt employers, and local wage requirements for construction contracts.
The initiative includes an exclusivity clause. It allows the City or voters to place a
measure on the ballot establishing or modifying minimum wages or benetlts for people employed
within the City. However, the initiative prohibits the City from adopting such a measure without
voter approval.
F:\atty\muni\memos\mjm\livewage.sum.wpd
BALLOT TITLE AND SUMMARY
PREPARED BY THE CITY ATTORNEY
AN INITIATIVE AMENDING THE CITY CHARTER TO PROHIBIT
PUBLIC OFFICIALS FROM RECEIVING SPECIFIED GIFTS AND
PERSONAL BENEFITS FROM THOSE TO WHOM THEY
HAVE A WARDED CERT A1N PUBLIC CONTRACTS
AND OTHER BENEFITS WITHIN A DESIGNATED PERIOD.
This initiative would amend the Santa Monica City Charter by adding a provision
prohibiting a public official from receiving a personal benefit from someone after acting to award
a public contract or benefit to that person. The initiative applies to elected or appointed public
officials exercising discretion in an official capacity. It applies whether the official acts on
behalf ofthe city or a public agency, such as a redevelopment agency.
Specifically, after an official exercises discretion to approve the allocation of a "pub lic
benefit"to a particular recipient, that official would not be allowed to receive a "personal or
campaign advantage" from the recipient for a stated time period. The initiative defines the term
"public benefit" as any contract, benefit or arrangement between the City and any person or
entity to provide services or goods or lease rental property with a value in excess of $25,000 over
a 12 month period, to buy or sell real property with a value in excess of $25,000, to receive a
franchise award for which gross revenue exceeds $50,000 in any 12 month period, to confer a tax
benefit exceeding $5,000 in any 12 month period, or to receive cash or the equivalent specie with
a net value exceeding $10,000 in any 12 month period. The initiative defmes the term "personal
or campaign advantage" as including any personal benefit or gift worth more than $50, any
employment for compensation, and any campaign contribution for any elective office sought by
the official. When the public benefit is allocated to an entity, such as a corporation, the
prohihition applies to personal benefits received from a person who had a 10% interest in the
entity or who was a trustee, director, partner, or officer ofthe entity when the public benefit was
received by or accrued to the entity.
The prohibition against officials receiving gifts from recipients of public benefits would
run for two years after the expiration of the term when the official acted to allocate the public
benefit, two years after the official's departure from office, or six years from the date the official
acted to approve the allocation, whichever is first.
The measure establishes both criminal and civil remedies. Willful violations would be
misdemeanors. City residents would be authorized to bring civil enforcement actions. Civil
remedies include a penalty of up to five times the value of the personal benefit received,
restitution of the benefit to the City's general fund, ~unctive relief against future violations, and
disqualification from future public office in the City in the case of willful, egregious, or repeated
violations. A resident who prevailed in a civil suit would be entitled to reasonable attorney's
fees and costs and 10% of any civil penalties, with the balance going to the City's general fund.
The initiative would also require officials to "practice due diligence" in ascertaining
whether public benefits have been conferred and to monitor receipt of personal benefits so that
benefits received in violation of the provision would be returned immediately or no later than ten
days after receipt. Additionally, the initiative would require the City to give notice of the
measure to those competing for public benefits and would also require "public officials" to
provide the names of all recipients of public benefits upon request.
Exhibit C
f:\atty\muni\laws\mjm\ballot. wpd
City Council Meeting 7-25-00
Santa Monica, California
RESOLUTION NUMBER _ (CCS)
(City Council Series)
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF SANTA MONICA SUBMITTING TO THE VOTERS
TWO BALLOT MEASURES AT THE SPECIAL MUNICIPAL
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L.L.L..V I IVI" I V UL- I 1L..L.L..1 'V1"It I UL...VL!f"'\ ( t 1 '\II V v l::.IVII::;J~r'\ ( , LVVU
WHEREAS. on June 27.2000. the Citv Council adoDted Resolution NumbAr 9534
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(ecs) calling for and giving notice of a Special ~y1unjcipal Election on f"-Jovember 7,2000;
and
WHEREAS, two initiatives to amend the City Charter have qualified for the ballot
pursuant to Elections Code Sections 4080 et seq. and Government Code Sections 34450
et seq.; and
WHEREAS, the City Council of the City of Santa Monica wishes to place these
measures on the ballot at the Special Municipal Election to be held on November 7,2000,
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SECTION 1. A Special Municipal Election shall be called for November 7,2000,
for the purpose, among other things, of submitting two initiative measures to the voters.
1
SECTION 2. At the Special Municipal Election called for November 7,2000, the
following proposition shall be submitted to the qualified electors of the City of Santa
Monica:
PROPOSITION"." Shall the City Charter be
amended to add specified minimum wage and
employee benefit requirements for some
employees doing work on City contracts and
grants and barring the City from modifying the
wage and benefit requirements except by
initiative?
The City Clerk shall cause the text of the proposition, which is contained in Exhibit 1
attached hereto and incorporated by reference, to be mailed to all qualified voters with the
sample ballot. In addition to other notices and publications required by law, the City Clerk,
not less than forty (40) days and not more than sixty (60) days before the Special Municipal
Election, shall cause the text of the proposition to be published once in the official
newspaper and in each edition thereof during the day of publication.
SECTION 3. At the Special Municipal Election called for November 7, 2000, the
following proposition shall be submitted to the qualified electors of the City of Santa
Monica:
PROPOSITION"." Shall the City Charter be
amended to prohibit any City public official who
approves giving a public contract or other benefit
to any person from receiving "personal or
2
campaign advantages" from that person for up to
six years?
The City Clerk shall cause the text of the proposition, which is contained in Exhibit 2
attached hereto and incorporated by reference, to be mailed to all qualified voters with the
sample ballot. In addition to other notices and publications required by law, the City Clerk,
not less than forty (40) days and not more than sixty (60) days before the Special Municipal
t:lo~+ir"'ln ~h...,,1I "''''''IIc."'o. +h~ +.t':loV+ ",f +ho. nr"""\I""\c."'i+i_n +_ ho. I""\llhli~h_,...I _1""1....._ in +h_ _U'i.....i...,,1
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newspaper and in each edition thereof during the day of publication.
SECTION 4. The provisions of Resolution Number 9534 (CCS) are referred to for
more particulars concerning the Special Municipal Election to be held on November 7,
2000.
SECTION 5. The City Clerk shall certify to the adoption of this Resolution, and
thenceforth and thereafter the same shall be in full force and effect.
APPROVED AS TO FORM:
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IV1J"\"Qn/"'\ vVI'Il;.o IV1VU I !"'.II::
City Attorney
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ARTICLE XXII - LIVING WAGE
2200. Statement of Purpose.
The City awards many contracts to private firms to provide services to the public and to
City government. In addition, the City provides financial assistance to others for the purpose of
economic development or job growth, and expends grant funds under programs created by the
federal and state governments.
The workers employed under these public contracts, economic development programs
and grants often receive little more than the minimum wage. This puts the City government in
the position of using local taxpayer dollars to subsidize the creation of jobs that pay wages that
may not be sufficient for economic independence.
To address this problem, other forward-thinking cities and counties have adopted "living
wage" laws, which require businesses which receive financial assistance from such cities and
counties or which enter into service contracts with the local government to compensate their
employees who are engaged in providing those services at a rate in excess of the applicable state
or federal minimum wage. Through the use of a citywide "living wage" law, a municipality can,
indirectly, provide further assistance to individuals.
A citywide "living wage" law which is uniformly applied to all businesses that obtain
service contracts or financial assistance from the City is fair and appropriate and will maintain
the vibrancy of the City's economy. All businesses, whether located in Santa Monica or
elsewhere, that wish to perform services for the City or receive financial assistance from the City
would start on an equal footing. To the extent that the law results in higher costs for businesses,
those costs can be incorporated in the competitive bids offered to the City. A citywide "living
wage" law is preferable to other wage schemes, such as a "zone minimum wage" proposal that
would raise workers' wages in just one area of the City. A "zone minimum wage" law would be
unfair and discriminatory. It would damage local, independent businesses to the point that they
would have to move or close. And such a "zone minimum wage" law may cause the least skilled
and experienced workers to lose their jobs.
Consistent with the City's policy of balancing competing interests of the community, it is
appropriate for the City to adopt a "living wage" law that is, in concept, generally consistent with
other such laws in other cities and counties. However, given the importance of minimum wage
laws to all people of Santa Monica, it is also appropriate that any other law dealing with
minimum wage or level of compensation or benefits be submitted to, and approved by, Santa
Monica voters before becoming effective.
Except as expressly provided in this Article, it is the intent of the people of Santa Monica
to provide in this Article a comprehensive, uniform, and exclusive scheme for regulating the
minimum wage or level of compensation and benefits for employees in the City of Santa
Monica. It is the intent of the people to adopt this regulatory scheme, which provides that a
prescribed minimum level of compensation be paid to certain employees as provided herein, in
preference to any other regulatory scheme establishing a mlillmum wage or level of
compensation or benefits for individuals employed in the City of Santa Monica, or any part
thereof. This Article provides a limited and appropriate exemption for employees subject to
collective bargaining agreements and for entities which are exempt from taxation under the
Internal Revenue Code, such as non-profit organizations and schools. This Article does not
apply to governmental entities, which is appropriate because governmental entities generaliy are
subject to collective bargaining agreements. This Article also provides that service contracts and
City financial assistance awards which are subject to competitive bidding will be subject to this
Article.
2201. Definitions.
The following definitions shall apply throughout this Article:
(a) "Awarding authority" means that subordinate or component entity or
person of the City (such as a department) or of the City financial assistance recipient that
awards or is otherwise responsible for the administration of a service contract or, ifnone,
then the City or the City financial assistance recipient.
(b) "City" means the City of Santa Monica and all awarding authorities
thereof, including those City departments that exercise independent control over their
expenditure of funds.
(c) "City financial assistance recipient" means any specific person who
receives from the City discrete and direct financial assistance for economic development
or job growth expressly articulated and identified by the City (as contrasted with
generalized financial assistance) in accordance with the following monetary limitations.
Financial assistance given in the amount of one hundred thousand dollars ($100,000) or
more in any twelve-month period shall require compliance with this Article for five years
from the date such financial assistance reaches the one hundred thousand dollar
($100,000) threshold. For assistance in any twelve-month period totaling less than one
hundred thousand dollars ($100,000) but at least twenty-five thousand dollars ($25,000),
there shall be compliance for one year if at least twenty-five thousand dollars ($25,000)
of such assistance is given in what is reasonably contemplated at the time to be on a
continuing basis, with the period of compliance beginning when the accrual during such
twelve-month period of such continuing financial assistance reaches the twenty-five
thousand dollar ($25,000) threshold.
Categories of such financial assistance include, but are not limited to, economic
development grants provided by the City, bond financing provided by the City and tax
increment financing provided by the City. City staff assistance shall not be regarded as
financial assistance for purposes of this Article. A loan shall not be regarded as financial
assistance; provided, however, that a loan shall be regarded as [mancial assistance only to
the extent of any differential between the amount of the loan and the present value of the
payments thereunder, discounted over the life of the loan by the applicable federal rate as
used in the United States Internal Revenue Code of 1986,26 U.S.c. Sections 1274(d) and
7872(f), as they now exist or as they may be hereafter amended from time to time, or
2
successor statutes. The forgiveness of a loan shall be regarded as financial assistance. A
City financial assistance recipient shall not be deemed to include lessees and sublesses.
A City financial assistance recipient shall be exempted from application of this
Article if (a) it is in its first year of existence, in which case the exemption shall last for
one year, (b) it employs fewer than five employees for each working day in each of
twenty or more calendar weeks in the current or preceding calendar year, or (c) it obtains
a waiver as provided herein. A City financial assistance recipient, who employs the long-
tenn unemployed or provides trainee positions intended to prepare employees for
pennanent positions, and who claims that compliance with this Article would cause an
economic hardship, may apply in writing for a waiver to the City department or office
administering such assistance, which department or office shall forward such application
and its recommended action on it to the City Council. Waivers shall be effected by
resolution of the City Council.
(d) "Contractor" means any person that enters into a service contract with the
City.
(e) "Employee" means any individual, who is not a managerial or supervisory
employee and who is not required to possess an occupational license, who is employed:
(1) as a service employee of a contractor or subcontractor on or under
the authority of one or more service contracts and who expends any of his or her
time thereon; including but not limited to: hotel employees, restaurant, food
service or banquet employees; janitorial employees; security guards; parking
attendants; nonprofessional health care employees; gardeners; waste management
employees; and clerical employees; or
(2) by a City financial assistance recipient and who expends at least
half of his or her time on the funded project; or
(3) by a service contractor or subcontractor of a City financial
assistance recipient and who expends at least half of his or her time on the
premises of the City financial assistance recipient directly involved with the
activities funded by the City.
(1) "Employer" means any person who is a City financial assistance recipient,
cor.tractor, or subcontractor.
(g) "Person" means any individual, proprietorship, partnership, joint venture,
corporation, limited liability company, trust, association, or other entity that may employ
individuals or enter into contracts.
(h) "Service contract" means a contract let to a contractor by the City
primarily for the furnishing of services to or for the City (as opposed to the purchase of
goods or other property or the leasing of property) and that involves an expenditure in
excess of twenty-five thousand dollars ($25,000) and a contract term of at least three
months; provided, however, that the service contract has been determined, pursuant to
3
regulations authorized by Section 2206 to be one in which, but for such service contract,
the services to be rendered probably would otherwise be rendered by City employees.
(i) "Subcontractor" means any person not an employee that enters into a
contract (and that employs employees for such purpose) with (a) a contractor to assist the
contractor in performing a service contract or (b) a City financial assistance recipient to
assist the recipient in performing the work for which the financial assistance is being
given. Vendors, such as service contractors, of City financial assistance recipients shall
not be regarded as subcontractors except to the extent provided in Subsection (e) above.
2202. Payment of Minimum Compensation to Employees.
(a) Wages.
Employers shall pay employees a wage of no less than the hourly rates set under the
authority of this Article. The initial hourly rates set by this Article shall be eight dollars and
thirty-two cents ($8.32) per hour with health benefits, as described in Section 2203, or otherwise
nine dollars and forty-six cents ($9.46) per hour without health benefits, as described in Section
2203. Such initial hourly rates shall be adjusted not more often than annually to correspond with
adjustments, if any, to the published Consumer Price Index for Urban Wage Earners and Clerical
Workers for the Los Angeles/Long Beach statistical area, as published by the United States
Department of Labor, Bureau of Labor Statistics or any successor agency, as determined by the
Finance Department, or such lower annual adjustment as the City Council may approve by
majority vote. The Finance Department shall advise the City Council and the City Manager of
any change in such Consumer Price Index by July 1 of each year and of the required new hourly
rates, if any. The Finance Department shall publish annually the hourly rate in effect for each
year.
(b) Compensated days off.
Employers shall provide at least twelve (12) compensated days off per year for sick
leave, vacation, or personal necessity at the employee's request. Employers shall also permit
employees to take at least an additional ten (10) days a year of uncompensated time to be used
for sick leave for the illness of the employee or a member of his or her immediate family where
the employee has exhausted his or her compensated days off for that year.
2203. Health Benefits.
Health benefits required by this Article shall consist of the payment of at least one dollar
and fourteen cents ($1.14) per hour towards the provision of health benefits for employees and
their dependents. The rate of payments towards the provision of health benefits may be adjusted
not more than annually in accordance with the procedures described in Section 2202(a). Proof of
the provision of such health benefits shall be submitted to the awarding authority to qualify for
the employees with health benefits hourly rate in Section 2202(a).
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2204. Notifying Employees of their Potential Right to the Federal Earned Income Credit.
Employers shall inform employees who may be eligible for the federal Earned Income
Credit under the United States Internal Revenue Code of 1986,26 U.S.c. Section 32, as it now
exists or as it may be hereafter amended from time to time, or successor statutes, of their
potential right to the Earned Income Credit and shall make available to employees forms
informing them about the Earned Income Credit and forms required to secure advance Earned
Income Credit payments from the employer.
2205. Enforcement.
(a) An employee claiming violation of this Article may bring an action in a
California court of competent jurisdiction, as appropriate, against an employer and may
be awarded:
(I) For failure to pay the hourly rates as required by Section 2202(a),
back pay for each day during which the violation continued.
(2) For failure to pay health benefits as required by Section 2202(a)
and Section 2203, the difference during the involved period between the hourly
rates required herein without benefits and such hourly rates with benefits.
(b) The court shall award reasonable attorney's fees and costs to an employee
who prevails in any such enforcement action.
(c) Compliance with this Article shall be required in all City contracts to
which it applies, and such contracts shall provide that violation of this Article shall entitle
the City to terminate the contract and otherwise pursue legal remedies that may be
available.
(d) An employee claiming retaliation for alleging non-compliance with this
Article may report such claimed retaliation to the Finance Department, which shall
investigate such claim and report the results to the awarding authority. Service contracts
and awards of financial assistance to City financial assistance recipients shall expressly
prohibit such retaliation and shall also include a pledge that there shall be compliance
with federal law proscribing retaliation for union organizing.
(e) Notwithstanding any provision of this Charter or any other ordinance, rule,
regulation or other law to the contrary, no criminal penalties shall attach for any violation
of this Article.
2206. Administration.
The Finance Department of the City, or such other department of the City designated by
the City Council, shall monitor compliance, including the investigation of claimed violations of
this Article, and may promulgate implementing regulations consistent with this Article. Such
regulations shall be limited to determinations that particular contracts shall be regarded as
"service contracts" for purposes of Section 2201(h), determinations that particular persons shall
5
be regarded as "City financ 11 assistance recipients" for purposes of Section 220l(c) (includir 5
procedures for obtaining a Naiver), the establishment of employer reporting requirements e:1
employee compensation and on notification about and usage of the federal Earned Income Creet
referred to in Section 2204 The Finance Department shall report on compliance to the Ci y
Council no less frequently t Ian annually. Data may be requested by the Finance Department n
connection with service con racts and agreements awarding financial assistance to City financi 11
assistance recipients.
2207. Coexistence with Ot leT Available Relief for Specific Deprivations of Protected
Rights.
This Article shall ne, be construed to limit an employee's right to bring legal action f)r
violation offederal or state J1inimum compensation laws.
2208. Expenditures Cover ed by this Article.
This Article shall a1= Jly to the expenditure (whether through discrete and direct financ al
assistance for economic d, 'velopment or job grovvth to City financial assistance recipien .s,
service contracts let by the ( 'ity, or service contracts let by City financial assistance recipients) af
funds entirely within the C :y's control and to other funds, such as federal or state grant funt-s,
where the application of th 5 Article is consistent with the laws authorizing the City to expe 1d
such other funds. As to an) grant or similar program, this Article shall become applicable to \ l.e
funds authorized by such pr 19ram if and only if the City Attorney's Office has obtained from \1e
funding governmental aut lOrity either an opinion or other determination indicating sL:h
consistency or a judgmer.. of compliance from a court of law or other tribunal, wh:h
procurement has been repor:ed in writing by the City Attorney's Office to the City Council b. a
letter to the City Clerk.
2209. Article Applicable 1 J New Contracts and City Financial Assistance.
The provisions of tt ,s Article shall apply to (a) a service contract consummated after he
effective date of this Articl;, (b) an award of City financial assistance made to a City [manl ial
assistance recipient after t Ie effective date of this Article, (c) a service contract amendm ;nt
consummated after the e fective date of this Article which amendment itself meets he
requirements of Section 2: Ol(h) or which extends the duration of the contract such that he
original contract and amen, ment meet the requirements of Section 2201(h), and (d) an aware of
additional City financial :ssistance made to a City financial assistance recipient after ~he
effective date of this Artic e which financial assistance award, itself meets the requirement[ of
Section 2201(c).
2210. Preemption.
If any federal or s1< te law establishes a minimum wage rate different from the rates set
under the authority of this - .rticle, any employer subject to such law or laws shall pay the higest
rate applicable. Federal c state law shall control insofar as the provisions of this Article are
preempted by any such la\\
6
2211. Exemption for Collective Bargaining Agreements.
Employers subject to this Article may by collective bargaining agreement provide that
such agreement shall supersede the requirements of this Article.
2212. City and Governmental Employment Not Subject to Article.
Nothing in this Article shall restrict or prohibit the City from enacting, adopting,
amending or enforcing any ordinance, rule or regulation establishing, modifying or regulating a
minimum wage or level of compensation or benefits for individuals employed by the City or
other govenunental entities, including but not limited to Article XI - Civil Service and Article
XIl- Retirement of this Charter, as they existed as of March 1,2000.
2213. Coordination With Other Laws.
(a) Nothing in this Article shall restrict or prohibit the City from enacting,
adopting, amending or enforcing any ordinance, rule or regulation regarding the payment
of prevailing wages for construction projects, provided that such ordinances, rules or
regulations are consistent with the purpose and scope of Chapter 7.28 of this City
Municipal Code, Prevailing Wage and Apprenticeship Law, as it existed on March I,
2000.
(b) Notwithstanding any other requirements of the competItIve bidding \
provisions of the Charter and City Municipal Code, service contracts and awards of City l' CL
financial assistance which are subject to the competitive bidding provisions of the Charter (
and City Municipal Code shall be subject to this Article.
2214. Exemption for Tax Exempt Entities.
Any entity that is exempt from taxation under United States Internal Revenue Code of
1986 as it now exists or as it may be hereafter amended from time to time, or successor statutes,
shall be exempted from this Article.
2215. Exclusivity.
Except as provided in this Article, the City shall not enact, adopt, amend or enforce any
ordinance, rule or regulation establishing, modifying or regulating a minimum wage or level of
compensation or benefits for individuals employed within the boundaries of the City, other than
individuals employed by the City or other govenunental entities.
Nothing in this Article shall restrict or prohibit the voters of the City from placing on the
ballot by initiative a Charter amendment or ordinance establishing, modifying or regulating a
minimum wage or level of compensation or benefits for individuals employed within the
boundaries of the City.
Nothing in this Article shall restrict or prohibit the City from submitting to the voters for
their approval a Charter amendment or ordinance establishing, modifying or regulating a
7
mInimum wage or level of compensation or benefits for individuals employed within the
boundaries of the City.
2216. Simultaneously Adopted Charter Amendments in Conflict with Article.
Should another Charter amendment establishing, modifying or regulating a mInImUm
wage or level of compensation or benefits for individuals employed within the boundaries of the
City, other than individuals employed by the City or other governmental entities, be enacted,
amended or adopted simultaneously with this Article, and this Article receives the highest
number of affirmative votes, the provisions of this Article shall be deemed competing and
conflicting with such other Charter amendment, and the provisions of this Article shall prevail in
their entirety over the competing regulatory scheme.
2217. Repeal of Existing and Simultaneously Adopted Cbarter Provisions, Ordinances
Rules and Regulations.
Except as expressly provided by Section 2213(a), all Charter provisions, ordinances, rules
and regulations of the City establishing, modifying or regulating a minimum wage or level of
compensation or benefits for individuals employed within the boundaries of the City, other than
individuals employed by the City or other governmental entities, which exist as of the effective
date of this Article, or which are enacted, amended or adopted simultaneously with this Article,
shall be deemed competing and conflicting in their entirety with this Article and are hereby
repealed upon the effective date of this Article.
2218. Effective Date.
This Article shall become effective as provided in provlSlons of the California
Constitution and California Government Code applicable to the effective date of charter
amendments, as they now exist or as they may be hereafter amended from time to time, or
successor statutes.
2219. Amendment.
This Article may be amended or repealed only as provided in provisions of the California
Constitution, California Elections Code, and California Government Code applicable to the
amendment or repeal of charter amendments, as they now exist or as they may be hereafter
amended from time to time, or successor statutes.
2220. Self Executing.
This Article is self-executing and shall be construed to achieve only its specific stated
purpose.
2221. Severability.
If any Section or provision of this Article, or the application of this Article or any Section
to any person or circumstance, is held invalid, the remainder of this Article, including the
application of such Section or provisions to other persons or circumstances, shall not be affected
8
by such a holding and shall continue in full force and effect. To this end, the provisions of this
Article are severable.
9
SANTA MONICA
Charter Amendment
The Santa Monica City Charter shall be amended by the addition of Article XXII, to read as
follows:
ARTICLE XXll. TAXPAYER PROTECTION
Section 2200. Title
This Article shall be known as the City of Santa Monica Taxpayer Protection Amendment of
2000.
Section 2201. Findings and Declarations
(a) The people of the City of Santa Monica ("City") find that the use or disposition of public
assets are often tainted by conflicts of interest among local public officials entrusted with their
management and control. Such assets, including publicly owned real property, land use decisions
conferring substantial private benefits, conferral of a franchise without competition, public
purchases, taXation, and financing, should be arranged strictly on the merits for the benefit of the
public, and irrespective of the separate personal or fmancial interests of involved public officials.
(b) The people find that public decisions to sell or lease property, to confer cable, trash hauling
and other franchises, to award public construction or service contracts, or to utilize or dispose of
other public assets, and to grant special land use or taxation exceptions have often been made
with the expectation of, and subsequent receipt of, private benefits from those so assisted to
involved public 'decision makers'. The people further fmd that the sources of such corruptive
influence include gifts and honoraria., future employment offers, and anticipated campaign
contributions for public officials who are either elected or who later seek elective office. The
trading of special favors or advantage in the management or disposal of public assets and in the
making of major public purchases compromises the political process, undermines confidence in
democratic institutions, deprives meritorious prospective private buyers, lessees, and sellers of
fair opportunity, and deprives the public of its rightful enjoyment and effective use of public
assets.
(c) Accordingly, the people declare that there is a compelling state interest in reducing the
corruptive influence of emoluments, gifts, and prospective campaign contributions on the
decisions of public officials in the management of public assets and franchises, and in the
disposition of public funds. The people, who compensate public officials, expect and declare
that as a condition of such public office, no gifts, promised employment, or campaign
contributions shall be received from any substantial beneficiary of such a public decision for a
reasonable period, as provided herein.
Section 2202. Definitions
(a) As used herein, the term public benefit does not include public employment in the normal
course of business for services rendered, but includes a contract, benefit, or arrangement between
the City and any individual, corporation, firm, partnership, association, or other person or entity
to:
(I) provide personal services of a value in excess of $25,000 over any 12 month period,
(2) sell or furnish any material, supplies or equipment to the City of a value in excess of
$25,000 over any 12 month period,
(3) buy or sell any real property to or from the City with a value in excess of $25,000, or
lease any real property to or from the City with a value in excess of $25,000 over any 12
month period,
(4) receive an award ofa franchise to conduct any business activity in a territory in which
no other competitor potentially is available to provide similar and competitive services,
and for which gross revenue from the business activity exceeds $50,000 in any 12 month
period,
(5) confer a land use variance, special use permit, or other exception to a pre-existing
master plan or land use ordinance pertaining to real property where such decision has a
value in excess of $25,000,
(6) confer a tax abatement, exception, or benefit not generally applicable of a value in
excess of $5,000 in any 12 month period,
(7) receive cash or specie of a net value to the recipient in excess of $1 0,000 in any 12
month period.
(b) Those persons or entities receiving public benefits as defined in Section 2202(a)(1)-(7) shall
include the individual, corporation, firm, partnership, association, or other person or entity so
benefiting, and any individual or person who, during a period where such benefit is received or
accrues,
(I) has more than a ten percent (10%) equity, participation, or revenue interest in that
entity, or
(2) who is a trustee, director, partner, or officer of that entity.
(c) As used herein, the term personal or campaign advantage shall include:
(I) any gift, honoraria, emolument, or personal pecuniary benefit of a value in excess of
$50;
(2) any employment for compensation;
(3) any campaign contributions for any elective office said official may pursue.
(d) As used herein, the term public official includes any elected or appointed public official acting
in an official capacity.
Section 2203. City Public Official Shall Not Receive Personal or Campaign Advantage
From Those To Whom They Allocate Public Benefits
(a) No City public official who has exercised discretion to approve and who has approved or
voted to approve a public benefit as defined in Section 2202(a) may receive a personal or
campaign advantage as defined in Section 2202(c) from a person as defined in Section 2202(b) for
a period beginning on the date the official approves or votes to approve the public benefit, and
ending no later than
(1) two years after the expiration of the term of office that the official is serving at the
time the official approves or votes to approve the public benefit;
(2) two years after the official's departure from his or her office whether or not there is a
pre-established term of office; or
(3) six years from the date the official approves or votes to approve the public benefit;
whichever is first.
(b) Section 2203(a) shall also apply to the exercise of discretion of any such public official
serving in his or her official capacity through a redevelopment agency, or any other public
agency, whether within or without the territorial jurisdiction of the City either as a representative
or appointee of the City_
Section Z204. Applicable Public Beneficiaries Section. Responsibilities of City Public
Officials and Advantage Recipients
(a) City public officials shall practice due diligence to ascertain whether or not a benefit defined
under Section 2202(a) has been conferred, and to monitor personal or campaign advantages
enumerated under Section 2202(c) so that any such qualifying advantage received is returned
forthwith, and no later than ten days after its receipt.
(b) City public officials shall provide, upon inquiry by any person, the names of all entities and
persons known to them who respectively qualify as public benefit recipients under the terms of
Sections 2202 and 2203.
Section 2205. Disclosure of the Law
The City shall provide any person, corporation, firm, partnership, association, or other person or
entity applying or competing for any benefit enumerated in Section 2202(a) with written notice
of the provisions of this Article and the future limitations it imposes. Said notice shall be
incorporated into requests for 'proposal', bid invitations, or other existing informational
disclosure documents to persons engaged in prospective business with, from, or through the
City.
Section 2206. Penalties and Enforcement
(a) In addition to all other penalties which might apply, any knowing and willful violation of this
Article by a public official constitutes a criminal misdemeanor offense.
(b) A civil action may be brought under this Article against a public official who receives a
personal or campaign advantage in violation of Section 2203. A fmding of liability shall subject
the public official to the following civil remedies:
(1) restitution of the personal or campaign advantage received, which shall accrue to the
general fund of the City;
(2) a civil penalty of up to five times the value of the personal or campaign advantage
received;
(3) injunctive relief necessary to prevent present and future violations of this Article;
(4) disqualification from future public office or position within the jurisdiction, if
violations are willful, egregious, or repeated.
(c) A civil action under subdivision (b) of this section may be brought by any resident of the
City. In the event that such an action is brought by a resident of the City and the petitioner
prevails, the respondent public official shall pay reasonable attorney's fees and costs to the
prevailing petitioner. Civil penalties collected in such a prosecution shall accrue 10% to the
petitioner, and 90% to the City's general fund.
Section 2207. Severability
If any provision of this Article is held invalid, such invalidity or unconstitutionality shall not
affect other provisions or applications which can be given effect without the invalidated
provision, and to this end the provisions of this Article are severable.
Exhibit D
f: \atty\mu n i\1 aws \m j m\con so I idate. wpd
City Council Meeting 7-25-00
Santa Monica, California
RESOLUTION NUMBER _ (CCS)
(City Council Series)
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF SANTA MONICA REQUESTING THE BOARD OF
SUPERVISORS OF THE COUNTY OF LOS ANGELES TO
CONSOLIDATE A SPECIAL MUNICIPAL ELECTION CALLED FOR
THE SUBMITTAL OF TWO BALLOT MEASURES TO THE VOTERS
WITH THE GENERAL MUNICIPAL ELECTION OF THE CITY
OF SANTA MONICA AND WITH THE STATEWIDE GENERAL ELECTION
TO BE HELD TO BE HELD ON NOVEMBER 7,2000,
PURSUANT TO ELECTIONS CODE SECTION 10403
WHEREAS, on May 23,2000, the City Council called a General Municipal Election
in the City of Santa Monica to be held on November 7, 2000, for the purpose of electing
members to the City Council, Rent Control Board and Santa Monica Community College
Board of Trustees; and
WHEREAS, on June 27, 2000, the City Council of the City of Santa Monica called
a Special Municipal Election in the City of Santa Monica to be held on November 7,2000,
for the purpose of electing three members to the Board of Education of the Santa Monica-
Malibu Unified School District; and
WHEREAS, the City Council of the City of Santa Monica has also called a Special
Municipal Election in the City of Santa Monica to be held on November 7, 2000, for the
purpose of submitting two ballot measures to the voters of the City; and
1
WHEREAS, it is desirable that each Special Municipal Election be consolidated with
the General Municipal Election and the statewide General Election all to be held on
November 7, 2000; that within the City of Santa Monica the precincts, polling places and
election officers of the two elections be the same; that the Registrar of Voters canvass the
returns of the Special Municipal Elections: and that the statewide General Election, the
Special Municipal Election, and the General Municipal Election be held in all respects as
if there were only one election,
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES RESOLVE AS FOLLOWS:
SECTION 1. Pursuant to Elections Code Section 10403, the Board of Supervisors
of the County of Los Angeles is hereby requested to consent and agree to the
consolidation of each of the Special Municipal Elections with the General Municipal
Election and the statewide General Election on Tuesday, November 7,2000.
SECTION 2. The following measures shall appear on the ballot and be submitted
to the voters of the City of Santa Monica:
PROPOSITION"." Shall the City Charter be
amended to add specified minimum wage and
employee benefit requirements for some
employees doing work on City contracts and
grants and barring the City from modifying the
wage and benefit requirements except by
initiative?
2
PROPOSITION"." Shall the City Charter be
amended to prohibit any City public official who
approves giving a public contract or other benefit
to any person from receiving "personal or
campaign advantages" from that person for up to
six years?
SECTION 2. The Registrar of Voters is hereby authorized to canvass the returns
of the Special Municipal Election which it is hereby requested to consolidate with the
General Municipal Election and statewide General Election and said elections shall be held
in all respects as if there were only one election, and only one form of ballot shall be used.
SECTION 3. The Board of Supervisors of the County of Los Angeles is hereby
requested to issue instructions to the Registrar of Voters to take any and all steps
necessary for the holding of the consolidated election.
SECTION 4. The City of Santa Monica recognizes that additional costs shall be
incurred by the County of Los Angeles by reason of this consolidation and agrees to
reimburse the County of Los Angeles for any such costs.
SECTION 5. The City Clerk is directed to transmit and file a certified copy of this
Resolution with the Board of Supervisors of the County of Los Angeles and with the
Registrar of Voters.
3
SECTION 6. The City Clerk shall certify to the adoption of this Resolution, and
thenceforth and thereafter the same shall be in full force and effect.
APPROVED AS TO FORM:
/] i . r ' '. .
;' UL-CLUIl.J-!'I;I~' ) /) !WtcL.(.
MARSHA JONES MOUTRIE
City Attorney . /
4
Exhibit E
F :\atty\mu n i\laws\mjm\services. wpd
City Council Meeting 7-25-00
Santa Monica, California
RESOLUTION NUMBER
(CCS)
(City Council Series)
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF SANTA MONICA REQUESTING THE BOARD OF
SUPERVISORS OF THE COUNTY OF LOS ANGELES TO RENDER
SPECIFIED SERVICES TO THE CITY OF SANTA MONICA
RELATING TO THE CONDUCT OF A SPECIAL MUNICIPAL
ELECTION TO BE HELD ON TUESDAY, NOVEMBER 7,2000
WHEREAS, a Special Municipal Election is to be held in the City of Santa Monica
on Tuesday, November 7,2000; and
WHEREAS, in the course of conduct of the Special Municipal Election and in
relation thereto, it will be necessary to mail sample ballots and polling place information to
the registered voters of the City of Santa Monica; and
WHEREAS, it will facilitate the mailing of sample ballots if the Registrar of Voters
of the County of Los Angeles will make available to the City of Santa Monica the computer
record of the names and addresses of all eligible registered voters in order that labels may
be printed for attaching to self-mailer sample ballot pamphlets; and
WH EREAS, the City of Santa Monica desires the Registrar of Voters to furnish such
other election assistance as may be authorized by state law; and
WHEREAS, all necessary expense in performing these services shall be paid by the
City of Santa Monica,
- 1 -
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES RESOLVE AS FOLLOWS:
SECTION 1. Pursuant to Elections Code Section 10002, the City Council requests
that the Board of Supervisors of the County of Los Angeles permit the Registrar of Voters
to provide the following services to the City to the extent determined necessary by the City
Clerk: (1) prepare and fu rnish to the City of Santa Monica for use in conducting its Special
Municipal Election the computer record of the names and addresses of eligible registered
voters in the City of Santa Monica in order that the City of Santa Monica may print labels
to be attached to self-mailer sample ballot pamphlets; (2) furnish to the City of Santa
Monica printed indices of the voters to be used by the precinct board at the polling place;
(3) make available to the City of Santa Monica additional election equipment and
assistance according to state law; and (4) provide such other services as may be deemed
necessary to reduce the expense and administrative burden of the election.
SECTION 2. The City of Santa Monica shall reimburse the County of Los Angeles
for services performed when the work is completed and upon presentation to the City of
Santa Monica of a properly approved bill.
- 2 -
SECTION 3. The City Clerk is directed to forward without delay to the Board of
Supervisors of the County of Los Angeles and to the Registrar of Voters a certified copy
of this Resolution.
SECTION 4. The City Clerk shall certify to the adoption of this Resolution, and
thenceforth and thereafter the same shall be in full force and effect.
APPROVED AS TO FORM:
- 3 -
Exhibit F
f:\atty\mu ni\laws\mj m\a rgu ment. wpd
City Council Meeting 7-25-00
Santa Monica, California
RESOLUTION NUMBER _ (CCS)
(City Council Series)
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF SANTA MONICA AUTHORIZING CERTAIN
OF ITS MEMBERS TO FILE WRITTEN ARGUMENTS REGARDING MEASURES
TO BE PLACED ON THE BALLOT AT THE SPECIAL
MUNICIPAL ELECTION TO BE HELD ON TUESDAY,
NOVEMBER 7, 2000
WHEREAS, a Special Municipal Election is to be held in the City of Santa Monica
on Tuesday, November 7,2000; and
WHEREAS, among other things, at the Special Municipal Election there will be
submitted to the qualified electors of the City of Santa Monica two proposed amendments
to the City Charter; and
WHEREAS, Elections Code Section 9282 authorizes the City Council, or any
member or members of the City Council authorized by the City Council, to file a written
argument for or against any City measure,
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES RESOLVE AND PROCLAIM AS FOLLOWS:
SECTION 1. The City Council authorizes the following Council members to file
written arguments as follows:
1
"Living Wage" Initiative
ARGUMENT IN FAVOR OF:
ARGUMENT AGAINST:
"Taxpayer Protection" Initiative
ARGUMENT IN FAVOR OF:
ARGUMENT AGAINST:
SECTION 2. Written arguments, not to exceed 300 words in length, are to be filed
with the City Clerk by 5:00 p.m. on August 7, 2000. Arguments so submitted may be
changed or withdrawn by the authors until and including the date fixed by the City Clerk,
after which no arguments for or against the measure may be submitted to the City Clerk.
2
SECTION 3. Pursuant to Elections Code Section 9280 the City Attorney is directed
to prepare an impartial analysis of each initiative measure.
SECTION 4. The City Clerk shall certify to the adoption of this Resolution, and
thenceforth and thereafter the same shall be in full force and effect.
3