Committee Report CR-5

The Civic Unity Committee held a public meeting on Wednesday, August 27, 2008 at two o’clock and thirty-two minutes p.m. in the Ackermann Room.

The purpose of the meeting was to discuss the proposed changes to the Cambridge residency requirement in the Cambridge Employment Plan, Chapter 2.66 of the Municipal Code.

Present at the meeting were Councillor Marjorie Decker, Chair of the Committee, Robert W. Healy, City Manager, Donald Drisdell, City Solicitor, Amy Witts, Assistant City Solicitor, Jason Marshall from Senator Anthony Galluccio’s Office, Omar Bandar, Research Assistant to Councillor Marjorie Decker and Donna P. Lopez, Deputy City Clerk.

Also present were Lori Sutherland, Painters’ District Council 35, Donald Sheehan, International Brotherhood of Electrical Workers Local 103, George B. Donahue, Plumbers Union Local 12, Edwin Wright, Bridge and Structural Iron Workers Union Local 7, Tom Kerr, Pipefitters Local Union 537 and Joe Bonfiglio, Laborers’ International Union of North America 151.

Councillor Decker convened the meeting and explained the purpose.  This is a follow up meeting to the internal meeting held previously.  The city of Cambridge is facing a potential law suit if the Municipal Ordinance is not changed.  The City Manager submitted to the City Council suggested amendments to the ordinance at the City Council meeting held on July 28, 2008 which was made the subject of a charter right

Mr. Healy stated that the residency ordinance in Lowell and Worcester is a violation of the law.  Worcester was assessed a cost for the violation.  Cambridge has the lowest unemployment rate in the state.  Twenty percent (20%) of Cambridge residents list construction jobs as their occupation.  The philosophy of employing Cambridge residents was left in the ordinance, but the percentage was stricken.  The Court has stricken down local ordinances.  The town of Plymouth received an advisory letter from the Attorney General suggesting that the ordinance not be adopted.  This is not a negative action against unions.  Cambridge is no longer a blue collar city.  The City Council and the administration respect the work of unions.

Councillor Decker stated that this is a working meeting to acknowledge recommendations submitted by the unions.  An ordinance committee hearing would be held on the proposed ordinance.  She proceeded to review the amendments submitted by the unions.

Mr. Bonfiglio stated that the language in amendment number three was reviewed statewide.  The spirit of the amendment is to achieve a bona fide apprenticeship program.

Ms. Sutherland gave an example using the library project.  The vendor is in trouble.  Vendor has no apprenticeship program.  The project was rebid.  Vendor added apprenticeship program.  Vendor was suspended then lost their apprenticeship program.  Vendor let apprenticeship program lapse when the bid is received.

Councillor Decker stated that the City Council and Senator Galluccio wanted Cambridge youth sent to the apprenticeship program.  An incentive is needed on recruitment for union and non union jobs.  Cambridge’s population has changed and the city is no longer affordable.

Councillor Decker asked how does the city regulate and make sure that contractors have an apprenticeship program.  Mr. Healy stated that the apprenticeship program should be certified by the state.

Mr. Sheehan stated that some large contractors with open shops run their own apprenticeship program and is certified by the state.  Open shops market that their apprenticeship program has a 20% graduation rate and an 80% in the trades.  Union representatives are trying to get youth into the trades.  Mr. Bonfiglio stated that some non- union contractors have apprenticeship programs.  This amendment is not against non- union contractors.  He feels this is the most important amendment.  This could be obtained if education is done before a worker begins a job.  Councillor Decker stated that she wanted unions to be more aggressive about an apprenticeship program.  Development brings more jobs to Cambridge when it is reasonable and thoughtful.  If there is no community benefit it is difficult for the City Council to vote on development.  Councillor Decker stated that she wanted language added to review the graduation rates.  The state has control stated Mr. Healy.  Construction reform is deforming.  Construction costs have doubled for the police station and the contract was rebid.  When made more restrictive there is a disincentive for a contractor to bid on a project.  The original language allows for an apprenticeship program.  Who wants to carry an apprenticeship program for work that the sub-contractor will not do for three years, he asked?

Mr. Bonfiglio stated that the goal is not to raise prices.  Contractors need benchmarks which is the apprenticeship program.  The unions are trying to restore language to achieve this goal.  Councillor Decker wanted to see where this language originated.  Mr. Bonfiglio would provide her with this information.  Councillor Decker stated that she wants concrete benchmarks.  This will show if the apprenticeship program is real commented Ms. Sutherland.  Mr. Healy stated that he wanted the apprenticeship program to be uniform statewide.  State agencies regulate apprenticeship program.  Mr. Marshall spoke about upgrading the state regulation for apprenticeship programs.  Mr. Healy stated that there is serious competition to get into the apprenticeship program.

Councillor Decker requested that local benchmarks be provided for the ordinance committee hearing, if it is worth exploring.  This matter will be referred to the Ordinance Committee.  Mr. Healy stated that his recommended changes are not subject to a time issue.

Mr. Sheehan asked if there was any figure on the employment status or the compliance of 25%.  Mr. Healy stated that certified payrolls are received.  Monitoring on compliance is done by the city.  Councillor Decker commented that the city is not achieving the 25%.

Mr. Healy spoke about the residency requirement and how applicants move due to economic reality.  The RSTA program has been strengthened.

On amendment number four Mr. Bonfiglio stated that the change is the last sentence.  Mr. Healy spoke of the freedom of choice.  There are a reduced number of sub-trades who are bidding on construction jobs.  He will review this amendment.

On amendment number five Mr. Healy stated that the pension provision will be a deterrent.  Companies are ridding themselves of pension plans.  This is problematic.  Mr. Bonfiglio stated that 5-6 communities have this provision.  Councillor Decker wanted information on the other cities which have this provision.  Mr. Bonfiglio would get this information also for Councillor Decker.

Councillor Decker thanked all those present for their participation.  She stated that this is a good starting place and good conversation for the referral to the City Council and the Ordinance Committee.  At this time Councillor Decker submitted the following motion: