Friday, 14 April 2000
http://www.azstarnet.com/public/dnews/000414livingwage.html
By Howard Fischer
Capitol Media Services
PHOENIX - Tucson's year-old "living wage" ordinance is safe from legislative intervention, at least for this year.
On an 18-10 vote yesterday, the Senate killed legislation that would have made it illegal for cities to require that firms doing business with them pay salaries higher than the federal minimum wage.
Given the margin of defeat, it is unlikely the measure, SB 1425, can be resurrected before the Legislature adjourns.
The vote is a defeat for the Tucson Metropolitan Chamber of Commerce, which had lobbied to have lawmakers intercede.
In fact, Ron Stuht, the chamber's lobbyist, said Tucson businesses thought they already had the issue covered.
A 1997 law makes it illegal for cities to establish their own minimum wages. That vote came as Tucsonans were about to consider an initiative measure designed to set a $7 minimum wage. Voters defeated that proposal.
That didn't stop the Tucson City Council from voting 4-2 in September to establish a "living wage" for people who work for firms that have service contracts with the city.
Tucson contracts out for various services that provide everything from building maintenance to landscaping and lawn mowing.
The $8-an-hour figure was set because that is the least the city pays its own regular employees, with the exception of seasonal help, such as lifeguards.
Firms that do not provide health insurance are required to pay their workers on city contracts at least $9 an hour.
Stuht called it "social engineering." He warned lawmakers that unless the Tucson ordinance is overturned the concept will spread "like a virus" to other cities.
But Sen. Victor Soltero, D-South Tucson, told colleagues they should respect the fact that the ordinance was approved by an elected mayor and council. Beyond that, he said, the law serves a purpose.
"We're trying to help people achieve a salary for the work they do that will help them be able to have a better standard of living, to be able to feed their kids, to buy clothes, to live a decent life," he said.
Sen. Scott Bundgaard, R-Glendale, said legislative intervention is necessary.
"Effectively the city of Tucson is increasing the cost of doing business with the government," he said, driving up the cost of taxpayer-financed projects.
Anyway, Bundgaard said, the current hot economy and low unemployment should make this a non-issue.
"There's no reason to be working for a minimum wage," he said.