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File Number: 16-286 <br />Draft Ordinance <br />Prepared by the City Attorney, this draft ordinance provides a template that could be <br />used by the City Council if it were to decide to move forward with a local minimum <br />wage. <br />Letter, dated Jan 26, 2016 & Memorandum, dated April 15, 2016 from EBASE <br />These two documents were submitted to the City by a representative from the East Bay <br />Alliance for a Sustainable Economy ("EBASE"), an advocacy group that campaigns for <br />implementation of various policies and regulations related to minimum wage as well as <br />other social and economic justice causes. <br />• Notes from San Leandro Chamber of Commerce <br />This attachment contains notes that were transmitted to the City's Finance Director by <br />the San Leandro Chamber of Commerce and presented verbally to the Finance <br />Committee by a member of the Chamber. <br />Analysis <br />With the passage of SB 3, California is now on a path to achieving a $15/hour minimum wage <br />by 2022 for all workers in businesses with 26 or more employees, allowing one additional year <br />for smaller businesses with 25 or fewer employees. Once small businesses achieve $15/hour, <br />the minimum wage will be indexed annually for inflation (using the national Consumer Price <br />Index) beginning January 1st of each year, in perpetuity. More complete details on the specific <br />phasing -in of the annual minimum wage increases is provided in the attached fact sheet from <br />the Governor's Office. <br />The State of New York also adopted a minimum wage law that will eventually achieve a $15 <br />minimum wage, although implementation varies greatly by region, with those areas of the <br />state in close proximity to New York City achieving the $15/hour wage soonest. California and <br />New York are the only two states that have adopted statewide minimum wage requirements <br />that will achieve $15/hour. <br />Governor Brown's execution of SB3 came one week after the Governor, labor groups and <br />legislative leaders announced a deal to raise California's statewide minimum wage after <br />Service Employees International Union - United Healthcare Workers West qualified an <br />initiative for the November ballot. As of the date of this staff report, that measure could still <br />appear on the November 2016 statewide ballot, although its proponents have until June 30th <br />to withdraw it. Like the new State law, this proposed measure would gradually raise the <br />statewide minimum wage to $15/hour, although it would do so at a more aggressive schedule. <br />Throughout the course of the past eight months, the Finance Committee heard testimony and <br />received reports from members of the public, advocacy groups, fellow committee members, <br />City staff and others providing arguments in favor and arguments against implementation of a <br />local minimum wage ordinance. The below provides a summary of some of the common <br />arguments for and against implementation of such a measure. <br />Arguments in Support of a Local Minimum Wage Exceeding New State Requirements: <br />City of San Leandro Page 2 Printed on 617/2016 <br />