Office of Equal Opportunity The Cleveland Resident Employment Law - PowerPoint PPT Presentation

Office of Equal Opportunity The Cleveland Resident Employment Law (Codified Ordinance 188) 10-Year Review Presentation to the Cleveland City Council October 18, 2016 1

Office of Equal Opportunity Department Mission, “Self - Help”, and Ordinances 2

Mission OEO Mission: To advance equal economic benefit for Clevelanders by ensuring compliance with contractor goals & requirements, by providing development and support activity for target groups & by advocacy, with commitment to excellent public service. How? Effective administration, monitoring and enforcement of the City’s minority and female-owned business enterprise programs; the new programs for smaller, local businesses; and Fannie M. Lewis Cleveland Resident Employment Law programs. 3

OEO Lifecycle 1. Certification Certifies businesses as local small businesses, minority-owned businesses, and/or female-owned businesses, and provides outreach. 4. Closeout 2. Evaluation Evaluates final contract Evaluates Good Faith Effort compliance at contract of bidders to meet subcontracting goals on closeout, and assesses penalties where applicable. contracts prior to award. 3. Compliance Monitors contracts for compliance with MBE, FBE, and CSB subcontractor participation as well as Cleveland Residency 4 and Cleveland Low Income workforce participation.

“Self Help”: invest/buy/hire locally Goal: to sustain Cleveland’s economy How?  Promote entrepreneurial parity  Inclusion  Growth firms/sustainable growth  Contract unbundling  Wealth creation  Reject bids that do not reflect acceptable participation levels What is OEO’s Role?  Certification  Compliance through Monitoring  Evaluation & Analysis  Site Visits 5

Ordinances OEO implements and enforces on three Codified Ordinances: Chapter 187: Cleveland Area Business Code Chapter 187A: Local Producer and Sustainable Business Preference Code Chapter 188: Fannie M. Lewis Cleveland Resident Employment Law 6

City’s OEO Certification and Compliance Reporting Systems 7

Cleveland Resident Employment Law 10-Year Review 8

Chapter 188  Legislation was originally passed 6-10-2003  Law became effective 1-1-2004  Outcome of law  All public improvement construction projects greater than $100,000 must:  Utilize Residents for 20% of all Construction Worker Hours; and  Utilize Low Income Residents in 4% of that 20% requirement  A review of the Ordinance is currently underway 9

Cleveland’s Needs & Requirements 10

Penalty Assessments Amount Amount Collected Number of Penalty Penalized & Year Assessments Firms Hearings Upheld in Year 2012 12 6 3 $30,769.53 $30,769.53 2013 8 6 2 $89,459.30 $80,690.97 2014 34 22 9 $101,883.87 $67,634.00 2015 6 5 2 $16,016.34 $10,016.00 11

Cleveland Resident Employment Law (Fannie Lewis Law) 10-Year Review Status Update 12

Best Practice Cities Name of City Workforce Profile Workforce Goals Apprentice Apprentice Apprentice Good Faith before Ordinance Participation Goals Outcomes after Effort before Ordinance Ordinance 20% local residents, For currently Cleveland N/A N/A 30% apprentices Mandatory 4% low income active projects workers 7% From 2003-2010, 24% 25% local residents, 50% local In 2012, 56% San local residents 25% disadvantaged From 2003-2010, residents, 25% apprentices are Mandatory Francisco workers 18% apprentices disadvantaged SF residents workers Milwaukee In 2008, 30% local 40% local residents N/A No set asides N/A Good Faith residents Richmond N/A 20% local residents N/A N/A N/A Good Faith East Palo N/A 30% local residents N/A N/A N/A Alto Good Faith 50% local residents, 50% new hires must In 2013, 11% Oakland N/A be local residents N/A 15% apprentices apprentices Good Faith 13 Source: UCLA Labor Center * Not approved

Review Timeline Fannie M. Lewis Cleveland Resident Employment Law Ten-Year Review Workplan Item Task Responsible for Initiating Due Date Task Completed 1 Create 10-Year Review document template Melissa X Write summary of debate regarding 5-year requirement of assignment of Low Income worker 2 to one company DeAndrea X Summarize individual interviews with OEO 3 monitors/staff Andrew X 4 Develop questions for focus groups DeAndrea, Andrew, Melissa X 5 Dates of focus groups: Melissa & Ada X a. Council - Survey created via Survey Monkey with request for participation discussed and sent to Councilwoman Cleveland for distribution Melissa 3/29/16 X b. Developers and Large Contractors 10/7/15 X c. Current Contractors MKB & Ada 10/14/15 X MKB ask Ada to reschedule d. Associations for last week in October 10/7/15 X e. Low Income/Residents 10/29/15 X 6 Meeting with the Mayor Chief NWM 10/7/15 X 7 Update Councilwoman Cleveland on Workplan Chief NWM and Melissa 9/14/15 X 8 Research quotes for inclusion in review Andrew 14

Review Timeline - Continued 9 Best Practice Phone Calls: Chief NWM 9/23/15 X a. Phone interview with Boston Chief NWM 9/23/15 X b. Phone interview with Oakland Chief NWM 9/23/15 X c. Phone interview with San Francisco Chief NWM 10/9/15 X Meet with WIB Director re. Low Income Application 10 Process Melissa 10/26/15 X 11 Determine if trends exist within data Melissa 11/1/15 X Request meeting with Director Nichols and Review 12 Team to discuss Community Representatives Melissa Visit Cuyahoga County Community College's Pre- 13 Apprenticeship Program All 11/30/15 X Visit Max Hayes High School Pre-Apprenticeship 14 Program All 3/23/16 X 15 Phone Meetings: a. Jose Feliciano Melissa 12/10/15 X b. Terri Sandu Melissa 12/10/15 X c. Marsha Mockabee Melissa 11/30/15 X 16 Create Glossary of Terms All On-going 17 Determine items for inclusion in Appendix All On-going 15

18 10-Year Plan (Completion Dates) a. First half of draft All 5/27/2016 X b. Refined first draft All 6/6/2016 X c. Second half of draft All 6/9/2016 X d. Survey to Council Councilwoman Cleveland 10/11/2016 X e. Presentation to City Council All 10/18/2016 X f. Results from survey to Council closes All 10/21/2016 g. Analyze results from Council survey All 10/24 - 10/28/2016 h. Add Council suggestions to 10-Year Review All 10/31 - 11/5/2016 i. Produce "final draft" of 10-Year Review All 11/16/2016 16

Lawsuit Status  House Bill 180 (HB 180) was signed into law on May 31 st , 2016  City of Cleveland and State of Ohio went to court on August 25 th  Temporary Restraining Order (TRO) was granted on August 30 th  Currently, the City is following up with the State and the Court concerning the State’s suggestion of having the Court make its final ruling based on evidence and briefing that occurred during August hearing  If court rules in City’s favor, the State will file a notice of appeal IMPLICATION - OEO will continue to do business as usual! 17

OEO Staff Members  Dr. Melissa K. Burrows - OEO Director  Michael Curry - Compliance Manager  Andrew Bean - Compliance Intern  Barbara Esperon - Administrative Manager  Ada Jackson - Executive Assistant to the Director  Nora Singleton - Certification Officer  Sandra Stack - Assistant Contract Compliance Officer  Hank Swager - Contract Compliance Officer  Jeremiah Triplett - Assistant Contract Compliance Officer  Carol Whitaker - Certification Officer  Jennifer Wiman - Contract Compliance Officer 18

Questions? Office of Equal Opportunity Phone: (216) 664-4152 Fax: (216) 664-3870 City Hall Room 335 601 Lakeside Ave. Cleveland, Ohio 44114 19