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sr-102610-13b13-~3 October 26, 2010 Council Meeting: October26, 2010. Santa Monica, California CITY CLERK'S OFFICE -MEMORANDUM To: Mayor and Councilmembers From: Councilmember Bloom Date: October 26, 2010 13-C: Request of Councilmember Bloom that the City Council direct staff to review and return to the Council with advice and proposed language regarding adoption of an "Equal .Benefits Ordinance" for the City of Santa Monica that would require that contractors who provide benefits to employees with same sex spouses must provide the same benefits to employees with opposite sex spouses and to domestic partners. The State of California and a growing number of local jurisdictions have passed similar Ordinances. Proposed language pending in the City of San Diego accompanies this. request. 13-~ October 26, 2010 1 News from ~~ ~' g~e~~~~ ~~~~cl Gl~ri~; City of San Diego ®Distret Three NEWS RELEAS€ For immediate release: June 10, 2414 Gantact: Katie Keach, 858-245-7673 Coiancilmember 4~loria Proposes Equal Benefits Ordinance The Same Benet<ts Would Need #o be Offered to Domestic Partners and Spouses of Companies Contracting with the City SAN DIEGO, CA (June 10, 2010) - Councilmember Todd Gloria today proposed an Equal Benefits Ordinance for the City of San Diego. In a memorandum sent to the City Council, Mayor Jerry Sanders and Gty Atfomey Jan Goldsmith, Councitmember Gloria recommended the parameters and rationale for an EBO; The purpose of an EBO is equal treatment. To comply with such a law, a contractor that. offers health insurance and other benefits to employees' spouses must offer equivalent coverage to employees' domestic partners.. An EBO would not require City contractors to begin offering benefits not previously offered. If a contractor does not offer benefits to married employees, it is not required to offer benefits to employees in domestic partnsrsfips. "The intent of an EBO is to bring the City`s contracting practices. in line with non- discrimination laws,. prohibiting City contractors from discriminating against employees based. on sexual orientation and marital status," said Gouncilmember Gloria. "The policy goal is 'equal .pay for equal work.' Employees of City contractors should have the same access to benefits regardless of whether the employee's household is organized around his or her marriage or domestic partnership." Councilmeniber Gloria requested the issue be docketed for consideration by the City Council and that fho City Attorney guide the Council about potential amendments to the Municipal Code for the proposed ordinance's implementation. Council President Ben Nueso has agreed to docket the item. at the June 3t3, 2i)1 d Rules Committee meeting. The full memo is attached. ### ~~~~~~ ~~ cou~~~~~~~~~~ zo~~ ~~oR~,~ ~®u~c~~ ~~s-r~~cr ~~~E~ ~E~aRA~®um DATE: June t0,-201.0 TO: Mayor Jerry Sanders City Attorney Jan Goldsmith Council President Ben Hueso FROM: Councilmember Todd Gloria, Third Council. Distric~ ~ r SUBJECT: Equal i3enefitsDrdinance Background In 1997, San Francisco became the first. city to impiementan Equal Bsnefrts Qrdinance (EBO) which requires all contractors doing business with the city to offer employees in a domestic partnership the same benefits offered to married employees. Today, the State of California has in place an EBO along with several cities and counties throughout the United States: - Atlanta; GA - 6erkeley, CA - Broward County, FL - tang Gounfy, WA - Los Angeles; CA - Miami Beach, FL - Minneapolis, MN - Oakland, CA - Olympia, WA - Portland, ME - Sacramento, CA - Salt Lake City; UT - San Francisco, GA - San Mateo County, CA - Seattle, WA - Tumwater, WA Policy Goat The purpose of an EBO is equal treatment: To comply with such a law, a contractor that offers health Insurance and other benefiits to employees° spouses must offer equivalent coverage to employees` domestic partners. An EBO would -not require City contractors to begin offering bertiefits not previously offered. If a contractor does not offer benefits to married employees, it is not required fo offer benefits to employees in domestic partnerships. The intent of an Ego is to bring the City's contracting practices in line with non-discrimination laws, prohibiting City contractors from discriminating against employees based on sexual orientation and marital status. The policy goal is "equal pay for equal work." Employees of Gity contracfors shalt 6e paid the same total compensation {i.e. have the same access to benefits), regardless of whether the employee's household is organized around his or her marriage or domestic partnership. Recommendation Attached is a summary of the Equal Benefits Ordinance I propose. I request#hat this issue be docketed for Gity Council discussion and consideration. Additionally, I seek the City Attorney's leadership and guidance in bringing forth amendments to the appropriate sections of the San Diego Municipal Gode for implementation of an EBO. San Diego continues to lead in promoting mutual respect and understanding among alt people 6y protecting basic human rights and creating an atmosphere that promotes. amicable relationships among all members of our community. To further San. Diego's rich history of civil. rights, the City of San Diego should implement an EBO and put the Gity's purchasing power to work to furthecequity for aIL Through our contracting process; we can assure that companies who choose to do business with the City equalize-the tata(compensation between similarly situated spouses and those with domestic partners. look forward to working with you on this endeavor. TG:pi CITY OE SAN DIEGO EQUAL BENEFITS ORDINANCE This Equal Benefits Ordinance (EBO) requires that City contractors who provide benefits to employees with spouses must provide the same benefits to employees with domestic partners. Applicability This Ordinance covers afI City contracts. This includes agreements for grants, services, the purchase of goods, construction, and leases. This Ordinance applies to the following; - Any contractor that has an agreement with the City. - All of the City contractor's other operations located. within the City limits, even if those operations are not involved in the City agreement. - Any of the contractor's. operations if they are. on property owned by the City, or on property that the City has a right to occupy. - The contractor's employees located elsewhere in the United States but outside ofthe City limits if those employees are performing work on the subject City agreement. This Ordinance Yequires the contractorto: - Certify thatequal benefits will be provided to employees with spouses. and to employees with domestic parkners. - Post a copy of the following statement in an area frequented by employees: "During the performance of a Contract with the City of San Diego; the Contractor will provide equal benefits to its employees with spouses and its employees with domestic partners:' - Allow the Cify access to records so that the City can verify compliance with the Ordinance, This Ordinance applies to a(I benefits offered by an employer. This. includes, for example, bereavement leave; family medical leave, medical, dental, and vision benefits, membership or membership discounts,.. moving expenses, (ravel and relocation benefits, and retirement plans. Exceptions & Waivers. Waivers may be granted in the fol(owiing situations: - The contractor is the only provider of a needed good. or service. - The contractor is the only bidder or contractor willing to enter into. an agreementwith the Cify for lase of City property. - The agreement is necessary to respond to an emergency situation that endangers the public health or safety, and ho contractor that complies with the. law is immediately available. - The agreement involves specialized litigation as certified. by the City Attorney's Office. - The contractor is a public entity providing: a good, service, or access to real property that is notavailable from any other source. - The contractor is a public entity and the good or service is necessary #o serve. a substantial public interest. - The application of the Ordinance would conflict with the terms or conditions of a grant agreement with a public agency. The agreement is essential. to the City or the City's residents and na other contractor that complies with the Ordinance is available. The agreement is fdr a bulk purchasing agreement through City, federal, state, or regional entities that reduce the Gty's purchasing cost. The agreement involves the investment of certain types of monies., or instances in which the City will incur a financial loss that would violate its fiduciary duties. This Ordinance does not apply to any collective bargaining agreement (CBA} that was in effect prior to the Ordinance becoming applicable to the contractor. However, in orderto contract with the City,. the contractor must agree that if the CBA is subsequently amended, extended, ar otherwise modified,. the contractor will propose to the unionthatthe requirements of the Ordinance be incorporated into the CBA. tf the contractor agrees to do so, the contractor may be granted Provisional Compliance status allowing the contractor to begin working on the City agreement. When the Provisional Gompliance status expires, the contractor must verify for the Gity the steps taken to come into compliance with the EBO. Enforcement The City of San Diego's Administration Department would be responsible. for the enforcemen# of the EBO. If the contractor fails to comply with the ordinance: - The action may be deemed as a material breach of contract; - Awarding authority may cancel, terminate or suspend, in wholedr in part, the contract; - Monies due or to become due under the contract may be retained by the City until compliance is achieved; - City may also pursue any and' all .other remedies lawfully allowed.