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HomeMy WebLinkAboutNS-2875 - Amending Santa Ana Municipal Code Section 33-202...Qxs 12/02/14) ORDINANCE NO. NS -2875 AN EMERGENCY ORDINANCE OF THE CITY OF SANTA ANA AMENDING SANTA ANA MUNICIPAL CODE SECTION 33 -202 AND ADDING 33 -206 TO THE SANTA ANA MUNICIPAL CODE RELATING TO PAYMENT OF PREVAILING WAGES WHEREAS, the California prevailing wage law requires contractors on public works projects to be paid the general prevailing rate of per diem wages for work of a similar character in the locality in which the work is performed; and WHEREAS, under the California Constitution, Article XI, Section 5, the laws of charter cities supersede state law with respect to municipal affairs of the charter cities; and WHEREAS, the California Supreme Court has held that the wage levels of workers constructing locally funded public works are a municipal affair; and WHEREAS, the City of Santa Ana ( "City ") is incorporated as a charter city, and thus the City may exempt locally funded public works projects from state prevailing wage requirements to conserve the City's limited financial resources; and WHEREAS, the California Legislature passed Senate Bill 7, which enacted California Labor Code 1782, requiring all California charter cities to adopt an ordinance or charter amendment mandating compliance with state prevailing wage law on all public works contracts in order to remain qualified for state funding on local public works projects; and WHEREAS, Section 1782 prohibits a charter city from receiving or using state funding or financial assistance for a public works project unless the charter city requires contractors to comply with California's state prevailing wage law on those projects; WHEREAS, Section 1782 further provides that a charter city is eligible to receive state funding or financial assistance if the city has a local prevailing wage ordinance for all its public works contracts that includes requirements that are equal to, or greater than, the state's prevailing wage requirements; WHEREAS, in accordance with Section 200 of the City Charter, the City Council has discretion to determine wages to be paid on City public works projects and may require that prevailing wages be paid by contractors employed thereon; and WHEREAS, the City Council finds that it is necessary to adopt an ordinance requiring contractor compliance with state prevailing wage law on all City public works projects in order to preserve the City's eligibility for state public works construction Ordinance No. NS -2875 Page 1 of 5 funding. THE CITY COUNCIL OF THE CITY OF SANTA ANA DOES ORDAIN AS FOLLOWS: SECTION 1. Section 33 -202 of the Santa Ana Municipal Code is hereby amended such that it reads as follows [New language is underlined]: Sec. 33 -202. - Definitions. For purposes of this article, the following definitions shall apply: Construction manager shall mean an agent of the city who provides the city with professional services in the fields of technology, scheduling, ability to construct, and /or management of the fiscal aspects of a public works project. A construction manager shall be responsible for some or all of the following: (1) Overseeing a public works project through completion of construction; (2) Assumption of financial responsibility; (3) Hiring of an architect/designer, if necessary, through a qualification process consistent with procedures established pursuant to section 2 -803; and /or (4) Contracting for actual construction work by award of a contract to the lowest and best bidder in conformance with section 421 of the city's charter. Design- build -bid shall mean a procurement process in which both the design and construction manager professional services for a public works project are procured from a single entity, while the actual construction work is awarded by the entity to the lowest and best bidder in conformance with section 421 of the city's charter. Professional services shall have the same meaning as in section 2 -802 of this code. Public works shall have the same meaning as in California Labor Code sections 1720, 1720.2, 1720.3, and 1771 and as may be amended from time to time. Public works construction shall have the same meaning as in section 421 of the city's charter. Public works project shall mean the totality of a project, including both professional services and public works construction, which ultimately results in the erection or improvement of public buildings, streets, drains, sewers, parks or playgrounds. Purchasing manager shall have the same meaning as in section 2 -802 of this code. SECTION 2. Section 33 -206 of the Santa Ana Municipal Code is hereby added such that it reads as follows: Ordinance No. NS -2875 Page 2 of 4 Sec. 33 -206. - Prevailing wages required. Except on locally funded public works projects of twenty -five thousand dollars ($25,000) or less when the project is for construction work, or fifteen thousand dollars ($15,000) or less when the project is for alteration, demolition, repair or maintenance work, all contractors performing work on a City public works project shall be subject to California prevailing wage law, codified at California Labor Code Section 1782, et seq, as it may be amended from time to time. The only limitation on this requirement shall be in the event federal funding requirements supersede state prevailing wage laws. SECTION 3. The adoption of this ordinance is exempt from CEQA and a Notice of Exemption will be filed if this ordinance is adopted. SECTION 4. California Government Code Section 36937 authorizes the City Council to adopt an urgency ordinance, by a four -fifths vote, without following the procedures otherwise required for the adoption of an ordinance, in order to protect the public peace, health or safety. This ordinance shall be immediately effective pursuant to Section 415 of the City Charter. SECTION 5. The City Council finds, determines and declares that the current and immediate threat to the public health, safety and welfare of the city and its citizens necessitates the immediate enactment of the ordinance. The facts constituting such urgency are set forth as follows: 1) The California State Legislature enacted SB7 which mandates that Charter Cities that do not have prevailing wage ordinances in place by that January 1, 2015 will not be able to receive State funding or other financial assistance. 2) SB7, codified in California Labor Code Section 1782, effective January 1, 2015, requires that Charter Cities must have a local prevailing wage ordinance in order to be eligible to receive to State funding or other financial assistance for construction projects. 3) Santa Ana is a Charter City which currently does not a have a prevailing wage ordinance. 4) This ordinance will immediately provide for payment of prevailing wages as required by State Law. 5) Failure to adopt an urgency ordinance will result in the City being unable to obtain State Funding for future construction projects which likely will exceed millions of dollars. 6) Such loss of funding will require diversion of other funds away from other critical programs, included but not limited to, police, fire and parks. SECTION 6. The Clerk of the Council shall certify to the adoption of this ordinance and cause the same to be published in the manner prescribed by law. Ordinance No. NS -2875 Page 3 of 5 SECTION 7. This ordinance is introduced, passed and adopted at one and the same meeting and is thereafter immediately effective. The City Council finds that this ordinance is necessary to protect the public safety, health and welfare. The reasons for the emergency are set forth in Section 5 of this ordinance. ADOPTED this 16th day of December, 2014. APPROVED AS TO FORM: Sonia R. Carvalho, City Attorney By: —bA,A— Jose Sandoval Chief Assistant City Attorney AYES: Councilmembers: Amezcua, Benavides, Martinez, Pulido, Revna Sarmiento U NOES: Councilmembers: None (0) ABSTAIN: Councilmembers: NOT PRESENT: Councilmembers: Tinaiero (1) CERTIFICATE OF ATTESTATION AND ORIGINALITY I, Maria D. Huizar, Clerk of the Council, do hereby attest to and certify that the attached Ordinance No. NS -2875 to be the original ordinance adopted by the City Council of the Ordinance No. NS -2875 Page 4 of 4 City of Santa Ana on December 16, 2014 and that said ordinance was published in accordance with the Charter of the City of Santa Ana. Date: el ,�i 1��1 � &),Z' `- Clerk of the Council City of Santa Ana Ordinance No. NS -2875 Page 5 of 5