BILL AGAINST COMMUNITY BENEFITS INTRODUCED IN LANSING At the end of the 2014 legislative session, Rep. Earl Poleski (R-Jackson) introduced House Bill 5977 that would have prohibited both the passage of community benefits ordinances and the setting of wages/benefits as part of requirements for development projects. The bill was never voted upon once it came out of committee. On January 22nd, 2015, these issues were re-visited when Rep. Poleski introduced HB 4052 which was referred to the Committee on Commerce and Trade. Known as the local government employer mandate prohibition act, the bill seeks to: limit the powers of units of local government to adopt, enforce, or administer certain local mandates for employers; to prohibit local minimum wage, benefit, or leave requirements; to prohibit certain ordinances regulating the development of real property within units of local government; and to void local requirements that are adopted in violation of this act. The proposed legislation has several stipulations including: A governmental body within this state shall not adopt, enforce, or administer a community benefits ordinance or an ordinance, policy, or resolution that establishes any requirement related to employee wages or benefits, such as a requirement for an employer to provide an employee with a minimum wage, particular benefits, a specified amount of paid or unpaid leave time, the payment of a prevailing wage except as provided by state or federal law, or any other requirement regarding management of personnel or employees. What this means for Detroiters: The City of Detroit would not be allowed to set higher wage and benefit standards for its own residents, even if jobs created during and after construction of large-scale, publicly subsidized projects pay only the minimum wage with no benefits such as vacation or sick pay. A community benefits ordinance or any other ordinance, policy, or resolution that is adopted in violation of this act is void. What this means for Detroiters: The current Community Benefits Ordinance under consideration by City Council and Mayor Duggans proposed Executive Order focusing on negotiating community benefits for Detroiters would come to a halt. Both Council and the Mayor - who are better equipped to understand economic development and needs in Detroit than the Michigan state legislature - would be severely restricted in regulating local economic development. Ultimately, this bill has the potential to strip Detroit and other municipalities throughout the state of their right to home rule as outlined in the Michigan state constitution as it will prohibit local governments from passing laws, ordinances or resolutions that serve their own citizens. If passed, the community would be unable to negotiate for community benefits, including wages, even when developers propose projects that are funded in part by public dollars - OUR tax dollars. D4 will continue to monitor the progress of this bill as it moves through committee, and keep you informed. Jeffrey Jones Director of Community Organizing & Coalition Building 313.556.4406 Doing Development Differently in Detroit (D4) is a diverse coalition of community, environmental, faith and organized labor organizations united to strengthen metro Detroit through meaningful community engagement in the creation of sustainable win-win economic development strategies and public policy.
Posted on: Tue, 27 Jan 2015 23:31:15 +0000
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