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ZONING AMENDMENT SALEM AREA RESIDENTS CONSTRUCTION EMPLOYMENT ORDINANCE - PLANNING (`Planning Board Report to Council Regarding Zoning Amendment �, prcj.Atn RvzC2 �\qe�� �\ CITY OF SALEM, MASSACHUSETTS PLANNING DEPARTMENT „conT,yl GERARD KAVANAUGN- ONE SALEM GREEN CITY PLANNER 9 01970 s (617( 744-4580 TO: All developers of six (6) or more residential dwelling units or 10,000 square feet of commercial space FROM: Salem Planning Department/Building Department RE: Salem Area Residents Construction Employment Ordinance ------------------------------------------------------------------------ The Salem City Council recently passed the attached ordinance which requires that all developers° of six (6) or more residential dwelling units or 10,000 square feet of commercial space hire specific percentages of Salem and Salem area employees for their construction work. The purpose of the ordinance is -to ensure'-that 'Salem and 'Salem Area - residents receive the maximum benefits from the growing construction er_omony of the City of Salem. A preconstruction conference will be scheduled by the Planning Department to discuss and explain the developer' s requirements as outlined in the City of Salem Ordinance. The following information shall be furnished by the developer to ensure compliance with this ordinance: Upon issuance of a Building Permit , the developer shall submit to the Salem Planning Department the following requested information: a. scope of construction; b. construction time schedule; C. projected number of employees and man-hours; d. types of trades to be hired; and e. names, addresses, and principals of contractors and sub-contractors being hired. Upon initiation of construction, all developers shall submit weekly workforce reports listing the following: a. names of employees; b. residential address of each employee; C. craft of each employee; d. job category of each employee; e. hours worked of each employee; f. hourly wage of each employee; and g. company which each employee. is employed by. (1.3/1,145) In the year one thousand nine hundred and Eighty-seven Att (®rbinaW establishing a salen Area Residents Public construction DT�ployment Ordinance. Be it ordained by the City Council of the City of Salem, as follows: OSertinn 1_ Chapter 2, Administration, of the Salem Code of Ordinances, is hereby amended by adding the following, as Article XXXIV: ARTICLE XXXIV SALEM AREA RESIDENTS PUBLIC CONSTRUCTION EMPLOYMENT ORDINANCE Section 2-674. Purpose There is a need to ensure that Salem and Salem area residents receive the maximum benefits from the implementation of public improvement projects undertaken by the City of Salem to improve and enhance.the quality of its-infrastructure, buildings, and other facilities. The City of Salem expends Federal, State, and municipal funds for public improvement projects, and both Salem and Salem area residents should receive a direct benefit from such expenditures in the form of construction employment necessary to implement such projects. Therefore, it is appropriate for the City to make certain that each Public Construction Project ensures that a substantial percentage of construction employees include Salem and Salem area residents. Section 2-675. Definitions Salem Resident - any person for whom the principal place of residence is within the City of Salem. Salem Area Resident - any person for whom the principal place of residence is a City or Town within a ten (10) mile radius of the City of Salem. Section 2-676. Policy On'any public construction project, public works project, or public improvement project funded in whole or in part by City, State, or Federal funds, or funds which the City of Salem administers or is a contract signatory to, the contractor and/or subcontractor selected to undertake the construction work shall comply with the following requirements: a. a minimum of twenty-five percent (25%) of the total man-hours shall be completed by Salem residents; b. a minimum of twenty-five percent (25%) of the total man-hours shall be completed by Salem area residents; C. all developers, contractors, and sub-contractors bidding in excess of $10,000 on such projects, shall agree that any apprentices hired shall be apprentices indentured to a bona fide apprenticeship program, approved by the Commonwealth of Massachusetts. Section 2-677. Compliance The City of Salem Planning Department shall be responsible for enforcing and monitoring compliance with provisions of this Ordinance. When a construction contract is executed, the City department responsible for such contract (if not the Planning Department) shall notify the Planning Department in writing that such contract has been executed. At least one week prior to the start of construction, the contractor executing the contract shall submit to the Salem Planning Department the following requested information: a. scope of construction; b. construction time schedule; C. projected number of employees and man-hours; and d. types of trades to be hired. =Upon initiation of construction,_all contractors shall submit weekly workforce reports listing the following: a. names of employees; b. residential address of each employee; C. craft of each employee; d. job category of each employee; e. hours worked of each employee; and f. hourly wage of each employee. The Planning Department shall review all information submitted, and shall make. certain that such requirements as defined in Section 2-674 are complied with. If such requirements are not complied with, the enforcement procedures of Section 2-676 shall be implemented. Section 2-678. Administrative Enforcement In the event of violation of this Ordinance, upon three (3) days written notice to the violator, the City, through its Building Department, may take one or more of the following actions: a. assesment of a fine of $500.00 per day of violation, or the maximum amount allowed by law whichever is less, against the contractor who violates this Ordinance, to be paid within thirty (30) days of such assessment; b. suspension of contract payments until violations have been eliminated; and C. termination of the contract. Section 2-679. Compliance Waiver In the event of high local construction employment levels of qualified Salem and Salem Area residents, and a documented inability of contractors and subcontractors to hire local workers because of such high local construction employment levels, compliance with the provisions of this Ordinance may be waived or reduced on a case by case basis, through a determination made by the Salem Area Residents Construction Employment Monitoring Committee, as defined in Section 2-681, that high local employment levels prohibit the contractors and sub-contractors from hiring local area employees as required. l• Such documentation shall consist of research conducted by each contractor and sub- contractor which shows a high level of effort in obtaining local employees. Such effort shall include local advertising to seek local employees, and solicitation of local companies or sub-contractors for subcontracting purposes. Section 2-680. Legality In the event any section of this Ordinance is deemed illegal, unenforceable, or unconstitutional, then the remaining sections shall remain in full force and effect. Section 2-681. Salem Area Residents Construction Employment Monitoring Committee. The Salem Area Residents Construction Employment Ordinance, its enforcement, and compliance with its requirements shall be monitored by the Salem Area Residents Construction Employment Monitoring Committee. Such Committee shall be comprised of five (5) individuals, including the following: 1. A designee of the City Council President; 2. A designee of the Mayor; 3. A designee of the Salem Chamber of Commerce; 4. A designee of the Salem Redevelopment Authority; 5. A designee of the North Shore Building Trades Council. Such Committee shall meet on a bi-weekly basis, or as needed, and shall review and monitor all information and documentation provided by contractors to establish compliance wit[f said Ordinance. If, through such monitoring, it is determined that one or more developers are not complying with said Ordinance, the Committee shall immediately request the City Planner and Building Inspector to initiate procedures for enforcement, as provided in Section 2-678 of said Ordinance. The sole exception to the implementation of such enforcement procedures is the determination and approval by the Committee, as defined in Section 2-679, that compliance cannot be obtained because of high local construction employment levels of Salem and Salem area residentsa, and that therefore a waiver from compliance should be allowed. Section 2-. This ordinance shall take effect as provided by City Charter. In City, Council April 23, 1987 Referred to the cmmttee on Cammnity Development In City Ceuicil May 14, 1987 Adopted for first passage In City Council May 28, 1987 Pdopted for send and final passage Approved by the Mayor on June 1, 1987 / J r R. FUSCD AZTEST: JOSEPI fit�� f �IPc In the year one thousand nine hundred and eighty-seven An (Orbirtatta Be it ordained by the City Council of the City of Salem, as follows: o�PCtiDri 1. Chapter 2,.Administration, of the Salem Code of Ordinances, is hereby amended by adding the following, as Article XXXIII: ARTICLE XXXIII SALEM AREA RESIDENTS CONSTRUCTION EMPLOYMENT ORDINANCE v I Section 2-666. Pum -There is a need to ensure that Salem and Salem area residents receive the maximum benefits from the growing private economy of the City of Salem, specifically regarding the economic resurg"ency encompassing residential, office, institutional, and commercial development and construction. Therefore, it is appropriate for the City to make certain that each private development constructed, which encompasses residential, office, institutional, and/or commercial development ensures that a substantial percentage of construction employees include Salem and Salem area residents through compliance with this Salem Area Residents Construction Employment Ordinance. Secton 2-667. Definitions Salem Resident - any person for whom the principal place of residence is within the City of Salem. Salem Area Resident - any person for whom the principal place of residence is within a ten 10 mile radius of the City of Salem. Section 2-668. Policy On any construction project taking place within the City of Salem in which the construction consists of six (6) or more residential dwelling units or 10,000 square feet of commercial space, the developer shall comply with the following requirements: a. a minimum of twenty-five percent (25%) of the total employee man- hours shall be completed by Salem residents; b. a minimum of twenty-five percent (25%) of the total employee man- hours shall be completed by Salem area residents who are not also Salem residents; C. all developers and contractors shall agree that any apprentices hired { shall be apprentices indentured to a bona fide apprenticeship program, i approved by the Commonwealth of Massachusetts. Secton 2-669. Compliance The City of Salem Planning Department shall be responsible for enforcing and monitoring compliance with provisions of this Ordinance. Upon issuance of a Building Permit, the developer shall submit to the Salem Planning Department the following requested information: a. scope of construction; b. construction time schedule; C. projected number of employees and man-hours; d. types of trades to be hired; and e. names, addresses, and principals of contractors and sub-contractors being hired. Upon initiation of construction, all developers shall submit weekly workforce reports listing the following: a. names of employees; b. residential address of each employee; C. craft of each employee; d. job category of each employee; e. hours worked of each employee; f. hourly wage of each employee; and g. company which each employee is employed by. The Planning Department shall review all information submitted, and shall make certain that such requirements as defined in Section 2-668 are complied with. If such requirements are not complied with, the enforcement procedures of Section 2-670 shall be implemented. Secton 2-670. Administrative Enforcement In the event of violation of this Ordinance, upon three (3) days written notice to the violator, the City, through its Building Department, may take the following actions: a. assesment of a fine of $500.00 per day of violation, or the maximum amount allowed by law whichever is less, against the developer who violates this Ordinance, to be paid within thirty (30) days of such assessment; b. revocation of all building permits pertaining to such development until violations have been eliminated. Section 2-671. Legality In the event any section of this Ordinance is deemed illegal, unenforceable, or unconstitutional, then the remaining sections shall remain in full force and effect. SECTION 2. This Ordinance shall take effect as prm ided by City Charter. In City Council February 12, 1987 Referred to the ocamttee on Camiunity Development In City Council February 26, 1987 Iadopted for first passage In;City Council march 12, 1987 Adopted for second and final passage Approved by the Mayor on Idarch 16, 1987 ATrE,ST; JOSfIII� R. FiISCO CITY C=% J; �ttl of tftlrat In the year one thousand nine hundred and Eighty-seven Att (Prdittatue amending an Ordinance relative to the Salam Area Residents Construction Employment Ordinance. 1, Be it ordained by the City Council of the City of Salem, as follows: Chapter 2, Administration, of the Salem Code of Ordinances, is hereby �Ptilon 1. amended by adding the following, as Article XXXIII, Sections 2-672 and 2-673. ARTICLE XXXIII SALEM AREA RESIDENTS CONSTRUCTION EMPLOYMENT ORDINANCE Section 2-672. Salem Area Residents Employment Monitoring Committee. The Salem Area Residents Construction Employment Ordinance, its enforcement, and compliance with its requirements shall be monitored by the Salem Area Residents Construction Employment MonitoringCommittee: Such Committee shall be comprised of five (5) individuals, including the following: 1: A designee of the City Council President; 2. A designee of the Mayor; 3. A designee of the Salem Chamber of Commerce; 4. A designee of the Salem Redevelopment Authority; 5. A designee of the North Shore Building Trades Council. Such Committee shall meet on a bi-weekly basis, or as needed, and shall review and monitor all information and documentation provided by developers to establish compliance with said Ordinance. If, through such monitoring, it is determined that one or more developers are not complying with said Ordinance, the Committee shall immediately request the City Planner and Building Inspector to initiate procedures for enforcement, as provided in Section 2-670 of said Ordinance. The sole exception to the implementation of such enforcement procedures is the determination and approval of the Committee, as defined in Section 2-673, that complaince cannot be obtained because of high local construction employment levels of Salem and Salem Area residents, and that therefore a waiver from compliance should be allowed. Section 2-673. Compliance Waiver In the event of high local construction employment levels of qualified Salem and Salem Area residents, and a documented inability of developers to hire local area employees because of such high local construction employment levels, compliance with the provisions of this Ordinance may be waived or reduced on a case by case basis, through a determination made by the Salem Area Residents Construction Employment Monitoring Committee, as defined in Section 2-672, , that high local employment levels prohibit the developer from hiring local area employees as required. Such documentation shall consist of research conducted by each developer which shows a high level of effort in obtaining local employees. Such effort shall include local advertising to seek local employees, and solicitation of local companies for contracting purposes. Section 2. This Ordinance shall take effect as provided by City Charter. 0 in City Council April 23, 1987 Referred to the Cannittee on CanmuLity Development In City Council may 14, 1987 Adopted for .first passage 7n City Council May 28, 1987 Adopted for second and final passage Approved by the Mayor on Jane 1,1987 V GlA�i(J ATTEST:-' �i .�'. JOSEPIHI-IIE R. z USW �� CITY CLEFrA