October 24, 2023
HONORABLE MAYOR AND CITY COUNCIL
City of Long Beach
California
RECOMMENDATION:
Receive and file a withdrawal of the referendum and initiative petitions for the “Long Beach Minimum Wage for Healthcare Workers”; and
Declare an ordinance repealing ORD 22-0022, also known as Chapter 5.96 (“Healthcare Minimum Wage”) , read the first time and laid over to the next regular meeting of the City Council for final reading. (Citywide)
DISCUSSION
This office has prepared and submits the above -described Ordinance for your consideration to repeal ORD 22-0022, also known as Chapter 5.96 (“Healthcare Minimum Wage”).
Brief History of ORD 22-0022
• June 6, 2022 - A group of residents filed a petition to enact an initiative ordinance to add Long Beach Municipal Code Chapter 5.96 (“Healthcare Minimum Wage”) , to establish a minimum wage $25.00 per hour for qualifying healthcare workers working in the City of Long Beach.
• August 26, 2022 - In lieu of placing the Healthcare Minimum Wage on the ballot, the City Council voted in favor of its adoption without alteration, as authorized by Elections Code section 9215(a) . The Healthcare Minimum Wage was adopted as ORD 22-0022.
OFFICE OF THE CITY ATTORNEY
411 W. Ocean Boulevard, 9th Floor
Long Beach, CA 90802
(562) 570-2200
Facsimile: (562) 436-1579
DAWN MCINTOSH
City Attorney
GARY J. ANDERSON
Assistant City Attorney
NB-23
• September 21, 2022 – The Healthcare Minimum Wage was challenged by a referendum petition , which suspended the effective date of the ordinance and required that the City Council either repeal the ordinance in its entirety or submit it to a vote of Long Beach voters.
• November 15, 2022 - The City Clerk, through the Los Angeles County Registrar of Voters, certified the referendum. The City Council opted to submit the Healthcare Minimum Wage to a vote of Long Beach voters in the March 2024 primary election.
• October 13, 2023 -The Governor approved a statewide minimum wage for qualifying healthcare workers , Senate Bill 525 (SB 525), which contains a provision that any ordinance, regulation, or administrative action by a local government, including charter cities, applicable to healthcare facilities identified in SB 525 is void if it was enacted or took effect after September 6, 2023.
• October 19, 2023 – Pursuant to Elections Code Section 9237.2, t he proponent of the referendum for the Healthcare Minimum Wage withdrew their petition contingent on the withdrawal of the initiative petitioners withdrawing their petition, enclosed as Attachment 1. • October 20, 2023 – Pursuant to Elections Code Section 9215.5, t he proponent of the referendum for the Healthcare Minimum Wage withdrawals their petition contingent on the withdrawal of the referendum petitioners withdrawing their petition, enclosed as Attachment 2.
When a higher level of government (e.g., the State or federal government) enacts a law that limits or eliminates the power of a lower level of government (e.g., the City), to regulate a specific issue , the lower level government is “preempted” from regulating on issue. In this case, the provisions of SB 525 state that it occupies the whole field of wages, salary, or compensation for covered health care facility employees, and applies to all cities and counties, including charter cities and counties, during the stabilization period. The language in SB 525 clearly outlines the State’s intent to preempt lower level of governments, such as the City, from regulating the wages of lower level government covered health care facility employees. Further, SB 525, states that any ordinance, regulation, or administrative action by a local government, including charter cities, applicable to healthcare
facilities identified in SB 525 is void if it was enacted or took effect after September 6, 2023.
Since the effective date of the Healthcare Minimum Wage was suspended due to a qualified referendum petition and the ordinance was waiting to be considered by Long Beach voters, the Healthcare Minimum Wage was not enacted and would not have taken effect until after March 2024, if adopted by the voters.
The City is a charter city, so the provisions regarding preemption in SB 525 apply to Long Beach. Considering the Healthcare Minimum Wage is preempted by SB 525 and that both the initiative and referendum proponents have withdrawn their petitions, this Office recommends to receive and file said withdrawals and repeal Healthcare Minimum Wage to ensure that the City does not maintain a law on its books that knowingly is preempted by State law.
SUGGESTED ACTION:
Approve recommendation.
Very truly yours,
DAWN MCINTOSH, City Attorney
By
TAYLOR M. ANDERSON
Deputy City Attorney
ATTACHMENT 1- Withdrawal of Referendum
ATTACHMENT 2- Withdrawal of Initiative
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ATTACHMENT 1
ATTACHMENT 2
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OFFICE OF THE CITY ATTORNEY
DAWN MCINTOSH, City Attorney
411 W. Ocean Boulevard, 9th Floor
Long Beach, CA 90802
ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF LONG BEACH REPEALING ORD 22-0022, ALSO
KNOWN AS, CHAPTER 5.96 (“HEALTHCARE MINIMUM
WAGE”) OF THE LONG BEACH MUNICIPAL CODE
WHEREAS, pursuant to authority provided by the California Elections Code sections 9200 et. seq., on June 6, 2022 a group of Long Beach residents filed with the City of Long Beach, a signed petition seeking to enact an initiative ordinance which would add Chapter 5.96 to Title 5 (Regulation of Businesses, Trades and Professions) of the Long Beach Municipal Code to establish a minimum wage of $25.00 per hour for qualifying healthcare workers working in the City of Long Beach (the “Ordinance”); and WHEREAS, at a regular meeting of the City Council on July 19, 2022, the City Clerk, through the Los Angeles County Registrar of Voters, certified that the form of the initiative petition complied with California Elections Code and, based upon an examination of voter registration records, was signed by the requisite number of Long Beach registered voters (10%) to qualify the Ordinance for the ballot under the Elections Code; and
WHEREAS, on August 26, 2022, in lieu of placing the Ordinance on the ballot, the City Council voted in favor of its adoption without alteration, as authorized by Elections Code section 9215(a). The Ordinance was adopted as ORD 22-0022; and WHEREAS, pursuant to Long Beach City Charter Section 213, the Ordinance was duly signed by the Mayor and certified by the City Clerk on August 26, 2022 and was scheduled to become effective 31 days after Council adoption, on September 26, 2022, unless it was challenged by referendum petition; and
WHEREAS, pursuant to authority provided by California Elections Code sections 9235 et. seq., on September 21, 2022 another group of Long Beach residents
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OFFICE OF THE CITY ATTORNEY
DAWN MCINTOSH, City Attorney
411 W. Ocean Boulevard, 9th Floor
Long Beach, CA 90802
timely filed with the City of Long Beach, a signed petition protesting the Ordinance by referendum which, if the referendum qualifies, would suspend the effective date of the Ordinance, require that the City Council reconsider the Ordinance and either repeal it in its entirety or submit it to a vote of Long Beach voters; and WHEREAS, on November 15, 2022, the City Clerk, through the Los Angeles County Registrar of Voters, certified that the form of the referendum petition complies with California law and, based upon an examination of voter registration records, ascertained that the petition is signed by the requisite number of voters to qualify the Ordinance for the ballot under the Elections Code, unless it is repealed by the City Council; and WHEREAS, additionally on November 15, 2022, the City Council opted to submit the Healthcare Minimum Wage to a vote of Long Beach voters; and WHEREAS, pursuant to California Elections Code section 9237 and as of September 21, 2022, Healthcare Minimum Wage is suspended pending submission to the Long Beach voters for consideration; and
WHEREAS, on October 13, 2023, the Governor approved Senate Bill 525 (SB 525), a minimum wage for statewide healthcare workers; and WHEREAS, SB 525 occupies the whole field of wages, salary, or compensation for covered health care facility employees, and applies to all cities and counties, including charter cities and counties, during the stabilization period provided by the bill; and
WHEREAS, pursuant to the provisions of SB 525, any ordinance, regulation, or administrative action by a local government, including charter cities, applicable to healthcare facilities identified in SB 525 is void if it was enacted or took effect after September 6, 2023; and
WHEREAS, pursuant to California Elections Code sections 9237.2 and 9215.5, proponents of an initiative and a referendum may withdraw any time before the 88th day before an election; and
WHEREAS, the proponents of the referendum for Healthcare Minimum
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OFFICE OF THE CITY ATTORNEY
DAWN MCINTOSH, City Attorney
411 W. Ocean Boulevard, 9th Floor
Long Beach, CA 90802
Wage withdrew their referendum petition on October 19, 2023 and the proponents of the initiative for Healthcare Minimum Wage withdrew their initiative petition on October 20, 2023; and
WHEREAS, as Healthcare Minimum Wage was not enacted and, if submitted to the voters of Long Beach, would take affect after September 6, 2023 and is thereby preempted by SB 525; and
WHEREAS, as the Healthcare Minimum Wage is preempted by SB 525 and the proponents of the initiative and referendum related to Healthcare Minimum Wage have withdrawn their petitions; and
WHEREAS, repealing the Healthcare Minimum Wage ensures that the City does not maintain a law on its books that knowingly is preempted by State law; and NOW THEREFORE, the City Council of the City of Long Beach ordains as follows:
Section 1. The City Council finds and determines that the facts set forth in the recitals of this ordinance are true and correct, and hereby incorporates the recitals herein by this reference.
Section 2. Chapter 5.96 (“Healthcare Minimum Wage”), also known as ORD 22-0022, of the Long Beach Municipal Code is hereby repealed.
Section 3. The City Clerk shall certify to the passage of these provisions of this ordinance by the City Council and cause it to be posted in three (3) conspicuous places in the City of Long Beach, and it shall take effect on the thirty-first (31st) day after it is approved by the Mayor.
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OFFICE OF THE CITY ATTORNEY
DAWN MCINTOSH, City Attorney
411 W. Ocean Boulevard, 9th Floor
Long Beach, CA 90802
I hereby certify that the foregoing ordinance was adopted by the City Council of the City of Long Beach at its meeting of ____________ _____________, 2023, by the following vote:
Ayes: Councilmembers: _______________________________ _______________________________
_______________________________
Noes: Councilmembers: _______________________________ _______________________________
Absent: Councilmembers: _______________________________ _______________________________
Recusal(s): Councilmember: _______________________________
_______________________________
Clerk
Approved: ______________ _______________________________ (Date) Mayor