The committee started the meeting discussing their thoughts and comments on last week’s meeting. A concerned member opened the discussion on tip credit and encouraged members to look at the tip adjustment more deeply. Another concerned member reminded the committee that the restaurant and beverage industry is a very broad business and that its value to our economy should not be overlooked. Other members commented based on their experience and the past week’s findings, as well as their overall experience with this process to date.
Thomas Durfee presented his final research to the committee on employment and earnings effects of minimum wage tiers. Thomas updated his input on the benefits cliff “if a family is on MFIP, they automatically skip the waiting list” to receive other benefits such as CCAP. Cities and counties can contribute dollars to their own CCAP. Last, working students under the age of 18 do not count towards CCAP, energy assistance, Section 8, or SNAP eligibility. Thomas updated his research on wage tiers for workers with a disability and reported there are no studies that discussed minimum or subminimum wage specifically. Instead, the studies he has found have focused on discrimination based on disability status. Based on two scholarly publications on tips and employment, Thomas reported economists have serious debates on the effects of earned tips and hours for full service workers. Click here to see Thomas Durfee’s research update.
The Citizens League staff reviewed the committee’s past week of homework, that included drafting potential scenarios for consideration and voting during this final meeting. Members discussed their concerns about implementation of a proposed ordinance, among them being: the phase-in time, how businesses would comply, how and in what capacity the City will be able to provide enforcement, Other concerns were raised about more specifics in proposed recommendations: disability workers, youth workers, seasonal workers, micro businesses, revenue vs head count to determine a business size. The committee largely agreed that they simply did not have enough time to delve deeply enough into all the issues, which left them feeling somewhat hampered in their ability to be more specific in recommendations.
After significant discussion and subsequent whittling down of scenarios on which the committee would vote, three scenarios remained on the table and all will be advanced into the final report. Citizens League staff will send a draft for committee review/approval prior to submission to the City by the deadline, August 31.
The meeting ended with closing remarks. Co-Chairs B Kyle and Rick Varco thanked everyone for participating in the study task force. They gave special thanks to the Office of Mayor Melvin Carter, Office of Council Member Chris Tolbert, and the Citizens League.
The finalized report is due on August 31, 2018.
The third session is scheduled for Saturday, September 15 from 9:00 AM - 11:15 AM at the Hmong Elders Center located at 1337 Rice Street, Saint Paul, MN 55117. RSVP here. Share on Facebook here.
The fourth session is scheduled for Thursday, September 20 from 5:30 PM - 8:30 PM at the Palace Community Center located at 781 Palace Avenue, Saint Paul, MN 55102. RSVP here. Share on Facebook here.