07-31-00 Council Meeting minutes

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SPECIAL MEETING JULY 31, 2000 Mr. Peter Mullin, 210 South Coquillard, South Bend, Indiana, noted that he is a representative from the Chamber of Commerce and the Board adopted a position statement against the ordinance. They believe that continued skills and not mandates will solve the problem and they support a career center and education and skill development. Mr. Kevin Hunter, 818 Amhurst, South Bend, Indiana, informed the Council that the City needs to be built up. The ordinance is not about the businesses coming into the City for a tax abatement, but about the residents of South Bend. He stated that he is in favor of the ordinance. Mr. Richard Pfeil, President, Koontz - Wagner, no address given, noted that he was a member of the Living Wage Committee and Sub - Committee #4. He noted that the committee was able to look at the City's employment situation and the ordinance applied to both full time and part time employees. Thirteen (13) workers are making less than ten dollars ($10.00) an hour with fringe benefits. To adjust those salaries would cost the City twenty -six thousand dollars ($26,000.00) the first year. However, there were three hundred sixty (360) part-time workers making less than ten ($10.00) per hour without fringe benefits. When you adjust those to ten dollars ($10.00) an hour and fringe benefits, it would take eight hundred seventy thousand dollars ($870,000.00) to adjust those individuals to the ordinance. In addition to this action, there will be a ripple effect and the bill the first year could be $1.1 million dollars. Mr. Pfeil noted that it would be unthinkable to apply this ordinance to other people and not the City's own employees. Mr. Willie Horsely, 26332 Riding Trail, South Bend, Indiana, employed by the SBCSC as a Career and Technical Education Director, noted that being part of the Commission has given him a lot of insight. He believes that training and productively are very important and citizens need the skills to be competitive. In conclusion be noted that he believes that the training facility should be made a reality. Mr. Lee Gloster, Chair of the Living Wage Committee of the St. Joseph Valley Project, 2110 South High Street, South Bend, Indiana, informed the Council that he would like to address a few of the issues of the living wage that have not been addressed. He addressed the issues of health care and nutrition for children. Ten dollars ($10.00) meets only the basic needs and uninsured families grow every year. Ms. Carolyn Peterson, 1906 Briarway, South Bend, Indiana, stated that she was a member of the Living Wage Commission and as an educator she faces the effects of poverty every day when children come into the classroom. The poor children educators encounter are from the working poor. The free and reduced lunch rate is the most accurate indicator of the level of poverty in the schools. She noted that the Living Wage ordinance is a step into the right direction as the City needs to address poverty in South Bend. She further noted that training alone does not address the issue. Mr. Frank Perri, Holliday Corporation, informed the Council that he has talked to people who have received tax abatements on their properties which is one incentive the City puts forth to try to lure businesses to the community. This is only one issue but this issue is looked upon skeptically by the businesses. Their perspective didn't speak to this concept of a minimum wage but rather what message it would be sending to the businesses in and out of the community. He asked the Council to please consider the fact that what they are saying to businesses is that the City is stifling the opportunity for them to run the business in the most competitive way they know. He further stated that he would hate for the City to be black listed before they knew they were in the running for a relocation for a company. He asked for the Council's consideration of these business people before they consider an ordinance. Dr. Gail McGuire, 746 South 23rd Street, South Bend, Indiana, noted that she is a teacher and has come across a lot of non - traditional students. She further noted that regardless of skill level as the number of women and people of color increase in a job, wages decrease. Skills need time to be developed along with resources to do that. Skills are not created equally and they are defined differently depending upon who is doing them. In conclusion, she noted that all people deserve a living wage.