(a) Construction and Prevailing Wage Exemption. Nothing in this chapter shall apply to jobs in public construction work that are subject to federal and/or state law pertaining to wage rates or covered by prevailing wage agreements or collective bargaining agreements.
(b) Granted Exemptions.
(1) Cleveland City Council may, through passage of legislation, grant a partial or whole exemption from the requirements of this chapter on the following grounds:
A. A hardship exemption for otherwise Covered Employers that can demonstrate a specific, particular harm that would be felt uniquely by the Covered Employer if this chapter were to be applied. Economic harm alone will not suffice to demonstrate hardship unless it is of a type that would not affect any other actual competitor for the contract, subcontract or lease. The following types of specific particular harm may provide grounds for a hardship exemption:
1. A loss of profitability that will result in the elimination of jobs;
2. A loss in profits that will substantially impact the Covered Employer’s long-term stability;
3. As to not-for-profit community or social service agencies or organizations, a substantial hindrance in the ability to deliver service.
(2) Procedures. Application for an exemption shall be made to the Applicable Department. If the need for the exemption is known to the applicant at the time it applies or during the term of the contract for a Service Contract or Assistance, the application for the exemption should be submitted with the application for the Service or Assistance Contract.
A. The Director of the Applicable Department shall review and make a determination on the application within ten (10) days and respond to the applicant in writing, setting forth the reasons for the determination.
1. Notice of the request for an exemption shall be forwarded to the Fair Employment Wage Board and the Clerk of Cleveland City Council.
2. A copy of the Director’s determination regarding the application for the hardship exemption shall be forwarded to the Fair Employment Wage Board and the Clerk of Cleveland City Council.
B. Should the exemption be recommended by the Director, the Director shall cause legislation to be drafted and acted upon by Cleveland City Council granting the exemption. At such time, the Director shall forward to Council along with the recommendation all supporting documents and other materials, including those supplied by the applicant for the exemption, as provided in the next section. If the exemption is recommended and Council adopts the recommendation before the Service or Assistance contract is entered into, the legislation authorizing such contract shall include a provision granting the exemption.
(3) Contents of Exemption Request.
A. Hardship Exemption requests shall include:
1. The lower wage to be paid by the Covered Employer;
2. A detailed explanation of how the payment of the Fair Employment Wage will cause particular harm; and
3. Supporting financial statements and/or other documents.
(Ord. No. 2009-A-99. Passed 6-19-00, eff. 7-29-00 without the signature of the Mayor)