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Anaheim, CA 92805
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CITY COUNCIL AGENDA REPORT
City of Anaheim
OFFICES OF THE CITY CLERK AND
CITY ATTORNEY
DATE: JUNE 13, 2023
FROM: OFFICES OF THE CITY CLERK AND CITY ATTORNEY
SUBJECT: HOTEL AND EVENT CENTER MINIMUM WAGE, WORKER
RETENTION, AND HOTEL WORKER SAFETY AND
WORKLOAD INITIATIVE
ATTACHMENT (Y/N): YES ITEM # 30
GOVERNMENT CODE § 84308 APPLIES: NO
ACTION:
Following the receive and file of the fiscal impact report of the proposed Hotel and Event Center Minimum Wage, Worker Retention, and Hotel Worker Safety and Workload Initiative (“initiative”) pursuant to California Elections Code Section 9212, the City Council shall take one of the two courses of action:
i) Adopt the initiative ordinance, without alteration; or ii) Direct staff to prepare a resolution for adoption at the June 27, 2023 Council meeting, submitting the initiative measure to a vote by the electorate of the City, pursuant to California Elections Code Section 1405 DISCUSSION:
At the May 16, 2023, the City Council accepted the certification of the Orange County Registrar of Voters as to the verification of signatures of the initiative. The petition was certified to contain the signatures of not less than ten percent (10%) of the registered voters of the City of Anaheim. As a result and pursuant to City Charter Section 1303 and Section 9215 of the Elections Code of the State of California, the City Council considered (i) adopting the ordinance, without alteration, (ii) submitting the initiative measure, without alteration, to the voters, or (iii) ordering a report on the effect of the proposed initiative measure pursuant to Section 9212 of the Elections Code.
The City Council directed staff to return with a report of the effect of the proposed initiative measure on June 13, 2023. At said meeting, staff presented a report from Beacon Economics, LLC and Baker Tilly US, LLP with the following:
Hotel and Event Center Minimum Wage, Worker Retention, and Hotel Worker Safety and Workload Initiative June 13, 2023
1. The economic impact associated with increased costs to hotels and potential Transient Occupancy Tax (TOT) revenue loss to the City as a result; and
2. The expenditure impact to the Anaheim Convention Center and larger City organization as a result of the minimum wage and safety requirements that would apply to the publicly owned event center.
Following the receipt of the fiscal impact report, the City Council shall take one of the two courses of action:
(i) adopt the ordinance, without alteration (Attachment 3); or (ii) submit the initiative measure, without alteration, to the voters at the next regular election occurring not less than 88 days after the order of election, or at a special election pursuant to California Elections Code Section 1405
If the City Council chooses to call an election rather than adopt the ordinance, pursuant to California Elections Code Section 1405(a) the election shall be held at the next regular election not less than 88 days after the date of the order of election, which is scheduled for November 5, 2024. The City Council also has the discretion to call a special election to be held not less than 88 days nor more than 103 days after the order of the election, pursuant to California Elections Code Section 1405(b). Upon the direction of the City Council, staff will return with a resolution placing the measure to a vote of the electorate.
The total cost estimate of placing the initiative measure on the next General Municipal Election on November 5, 2024 ballot is between $198,891 - $233,265. If the City Council elects to call for a special election, the estimated cost for a Stand-Alone (1 Measure) is between $1,477,297 - $1,632,776. The Orange County Registrar of Voters provided the option to consolidate with the March 2024 primary with the cost estimate of $403,688 - $485,052, but will fall outside the elections dates of a special election pursuant to California Elections Code Section 1405(b).
IMPACT ON BUDGET:
Funds for the November 5, 2024 election will be considered in the City Clerk’s proposed FY 2024/25 budget. If a special election is called, an appropriation increase in the estimated amount of $1,477,297 - $1,632,776 will be required in the City Clerk’s proposed FY 2023/24 budget.
Respectfully submitted, Concurred by,
Theresa Bass Robert Fabela
City Clerk City Attorney
Hotel and Event Center Minimum Wage, Worker Retention, and Hotel Worker Safety and Workload Initiative June 13, 2023
Attachments:
1. Notice of Intent and Initiative Measure
2. Ballot Title and Summary
3. Ordinance (Adopting Initiative Measure)