New York City : $2.50 upon entry, plus $0.40 for each 1/5 mile, plus several applicable surcharges
Chicago : $2.25 upon entry (first 1/9 mile), plus $0.20 for each 1/9 mile, plus applicable surcharges
Los Angeles: $2.85 upon entry (first 1/9 mile) plus $0.30 for each 1/9 mile, plus applicable surcharges.
Portland : $2.50 upon entry, $2.50 per additional mile, plus applicable surcharges
Atlanta: $2.50 upon entry, $2 per additional mile
* Keep in mind it's customary everywhere to tip your cab driver 15 to 20 percent.
Cincinnati’s long-discussed streetcar system is a bit closer to reality today after City Council approved spending $2.58 million on the project.
The money will be used for planning and design work for the system. Its first phase would be a loop through downtown and Over-the-Rhine, with a later segment built to the uptown area near the University of Cincinnati and local hospitals.
That didn’t take long.
Less than 48 hours after it was revealed that the Ohio Ethics Commission issued an advisory opinion last year stating Cincinnati City Councilman Chris Bortz shouldn’t take part in decisions about a proposed streetcar project, a formal complaint has been filed with the commission.
The Hamilton County Republican Party endorsed five people Thursday night in this November's elections for Cincinnati City Council.
As expected, the GOP slate includes all three of the party's incumbents: Leslie Ghiz, Charlie Winburn and recent appointee Amy Murray. Also getting the nod were Wayne Lippert and Catherine Smith Mills.
City Council today approved funding and accountability measures for the Cincinnati streetcar project, allowing the project to move forward.
On Monday, the Budget and Finance Committee approved the measures, which CityBeat covered in further detail here. The funding ordinance closes the streetcar project's $17.4 million budget gap by issuing more debt and pulling funding from various capital projects, including infrastructure improvements around the Horseshoe Casino.
The accountability motion will require the city manager to update City Council with a timeline of key milestones, performance measures, an operating plan, staffing assessments and monthly progress reports.
Council members Roxanne Qualls, Laure Quinlivan, Chris
Seelbach, Yvette Simpson and Wendell Young voted for the measures.
Council members P.G. Sittenfeld, Chris Smitherman and Charlie Winburn
voted against both. Councilwoman Pam Thomas voted against the funding
ordinance, but she voted for the accountability motion.
City Council also unanimously approved funding for a development project on Fourth and Race streets, which includes a downtown grocery store, luxury apartment tower and parking garage to replace Pogue's Garage. CityBeat covered that project in further detail here.
Amy Murray came in 13th two years ago, but tonight she came in first.
The Hyde Park resident was the recommended choice of the Hamilton County Republican Party's Committee on Nominations and Candidate Development to replace Chris Monzel on Cincinnati City Council. Monzel left half-way through his council term Friday to serve on the Hamilton County Commission.
With all the last-minute deal-making and back and forth among Cincinnati officials, some residents remain confused about details of the city's operating budget for this year. At least, that's the impression CityBeat gets based on its feedback.
Among the most asked-about items is exactly which city-owned swimming pools are affected by budget cuts to help reduce Cincinnati's $54.7 million deficit. In all, 19 of its 33 pools won't open next summer.
Perhaps hoping to mimic the suspenseful aspects of an Alfred Hitchcock film or a Thomas Harris novel, an ultra-conservative group has been issuing press releases announcing its endorsements for Cincinnati City Council one at a time.
Oh, the anticipation!
Dozens of residents and business owners gathered in Over-the-Rhine on Tuesday to launch a campaign that seeks to persuade Mayor-elect John Cranley and the newly elected City Council to support the $133 million streetcar project.
Attendees included Ryan Messer, who used his life savings to renovate his home in Over-the-Rhine; Derek Bauman, co-chair of Cincinnatians for Progress; Jean-Francois Flechet, owner of the Taste of Belgium; and Derek dos Anjos, owner of The Anchor.
“We’re here today to keep the conversation going outside of political rhetoric and partisan politics,” Messer said. “Simply put, the streetcar is a component of Cincinnati economic development, and it’s a project that grows the whole city — not just an urban core, which, by the way, is an important part of developing this region.”
The group intends to lobby Cranley and the newly elected council, which appear poised to cancel the project when they take office in December.
At least three of nine elected council members — P.G. Sittenfeld, David Mann and Kevin Flynn — have told media outlets that they want a full accounting of the project before making a final decision. Another three — Chris Seelbach, Yvette Simpson and Wendell Young — are on the record as supporting the project. The final three — Christopher Smitherman, Charlie Winburn and Amy Murray — adamantly opposed the project in the past.
Members of the pro-streetcar group invited Cranley and all elected council members to join them at a town hall-style meeting on Nov. 14 at the Mercantile Library, where supporters will discuss their path forward. So far, supporters have publicly discussed a concerted lobbying effort, a referendum if council passes an ordinance undoing the streetcar project and possible legal action.
As CityBeat first uncovered, the costs of canceling the project are currently unknown, and some of the costs could actually fall on the operating budget that pays for police, firefighters and human services instead of the capital budget that is currently financing the streetcar project.
Much of the uncertainty falls on ongoing construction for the streetcar, which has continued despite the newly elected city government’s intent to stop the project. As of September, the city spent $23 million on the project and contractually obligated $94 million, some of which city officials say will need to be paid back even if the project were canceled.
The U.S. Department of Transportation also told city officials in a June 19 letter that nearly $41 million of nearly $45 million in federal grants would need to be returned if the project were terminated.
Supporters also claim Cincinnati would be giving up a 2.7-to-1 return on investment over 35 years if the city abandoned the streetcar now. That estimate is derived from a 2007 study conducted by consulting firm HDR, which was evaluated and supported by the University of Cincinnati.
Project executive John Deatrick says the HDR study is now outdated and the city is working on updating the numbers. Still, Deatrick says the project is intended to spur economic development, not just provide another form of public transportation.
The Nov. 13 issue of CityBeat will give a more in-depth look at the campaign to save the streetcar and some of the people involved in the movement.
Cincinnati City Council today changed a rule that stipulates which public employees must live within city limits. The move effectively exempts embattled Director of Water and Sewers Tony Parrott from having to move to the city after he was punished in June for misleading officials about his residency.
Under the new rules, only the city manager, assistant city manager, city solicitor and police chief will need to live in the city. The 6-2 decision came with some argument, however. Councilmen Kevin Flynn and Wendell Young voted against the rule change. Flynn said he felt it wasn’t fair to make concessions for someone who deliberately misled the city. Young had broader qualms with the change, saying he thinks all high-level city administration employees should have to live in the city from which they get their taxpayer-funded salaries.
“I have great difficulty with people who are in the higher part of the administration who help to create the rules and in many cases enforce the rules, and then are not subject to them,” Young said. “I don’t understand how the city of Cincinnati is good enough to work in, good enough to provide your income, but isn’t good enough to live in.”
Councilman Charlie Winburn, however, said the situation was actually the city’s fault. In 2012, the city-run sewer district merged with the water works department, which serves both the city as well as most of Hamilton County and parts of Butler and Warren Counties. Winburn says the residency requirements for Parrott’s job should have been updated at that time, since it is now effectively an agency that serves the greater region.
“Are we going to split Mr. Parrott in two now?” Winburn asked. “Do we have to get Solomon in on this thing?”
Other council members, including Councilwoman Yvette Simspon, voted for the change on legal grounds. Ohio law forbids residency requirements for some city employees, and there are questions about whether the city’s former rules complied with those laws. City solicitor Paula Boggs Muething said she believes council’s change today falls within the state’s laws.
Parrot, who has served as head of the Metropolitan Sewer District and Water Works, had listed his residence as a property on Westwood Avenue that turned out to be an empty lot he owned. Meanwhile, he was actually living in Butler County. City officials found out about the discrepancy in June and disciplined Parrott by docking him 40 hours of pay and requiring him to move into the city within 180 days. That time had elapsed and Parrott still hadn’t moved back. Parrott was granted a 45-day extension at the end of the six-month period as the city decided whether to fire him or change its rules.
Wound up in the questions about Parrott’s residency is the city’s court-ordered, $3.2 billion sewer project, a huge undertaking that will stretch into the next decade. The city was ordered to update its sewer system after a lawsuit by homeowners and environmental groups. Some council members say Parrott is integral to that ongoing process. Others, however, say that doesn’t excuse his actions.
“I understand the desire to keep this person in place,” Flynn said, acknowledging Parrott’s big role. “But I cannot support keeping someone who has been dishonest with the city and has continued to be dishonest with the city. I think that does a disservice to the rest of our city employees and to our citizens.”
Parrott has told City Manager Harry Black that he doesn’t want to live in the city for personal reasons but does want to remain at his job.
Hamilton County Commissioners voted today to axe Music Hall from a proposed sales tax increase designed to pay for renovations to that structure and Union Terminal. Now, only Union Terminal will benefit from the potential tax hike, which county voters will decide on in November. Voters won't get a chance to decide whether a similar hike will pay for Music Hall.
Mayor John Cranley and Cincinnati City Council are not happy about the change-up.
“As mayor of this city, I’m deeply offended when we’re treated as second-class citizens in our own county,” Cranley said during a vote approving the city’s contribution to renovations at today’s council meeting. “We have done our part. We will pay the tax if it is passed. In no other jurisdiction, not even Hamilton County, is being asked to cut its budget … for these institutions.”
Cranley said asking city taxpayers for more money represents a kind of double taxation, since they would also be paying the county sales tax increase.
Ostensibly, council was voting to approve annual payments toward upkeep of both Union Terminal and Music Hall for 25 years. The $200,000 yearly commitment to each building adds up to $10 million. Cranley floated the plan last week as a demonstration of the city’s commitment to the landmark buildings.
Council approved that money unanimously, but that vote is mostly symbolic now that the fragile plan to fund both renovations with a tax hike, first proposed by a cadre of area business leaders called the Cultural Facilities Task Force, has fallen through. Hamilton County Commissioners Greg Hartmann and Chris Monzel said the proposed contributions, which the city already makes, don’t represent a renewed effort to fix the buildings.
The city has also pledged another $10 million toward Music Hall repairs. Those contributions weren’t enough for Hartmann, who had been the swing vote on the three-member commission. He signaled he would not vote for the original 14-year, .25 percent sales tax increase designed to raise much of the $331 million needed to repair the buildings.
Instead, he voted with fellow Republican Monzel today for an alternate tax measure that left Music Hall out of the deal, raising $170 million over five years for renovations to Union Terminal only. Democrat Todd Portune, who supported the original plan, voted against the new deal.
Former P&G CEO Bob McDonald, who led the task force designing the original deal, said the new plan jeopardizes more than $40 million in private donations, as well as historic preservation tax credits.
"The idea that somehow there’s going to be more money falling from space or that this money will be put forward for an alternate plan is a fallacious assumption," McDonald told the Cincinnati Business Courier. "That money has been committed to us personally for this plan.”
Councilman P.G. Sittenfeld called the development “frustrating.”
“I’m not here to add gasoline to the fire, but I think logic is a fair expectation of our elected leaders, and after people have said repeatedly that plans haven’t been vetted, that questions haven’t been answered, they’ve now moved forward with something that has no vetting,” Sittenfeld said, referring to criticisms of the original plan by anti-tax groups like COAST. “I hope people don’t forget what happened eight blocks from City Hall anytime soon.”
Monzel said that the plan's details would
be worked out in the coming weeks, and that he wants to keep the county
from overextending itself.
“Going back through the real-estate records, it’s clear that time and time again the city has stepped forward,” said Councilman Kevin Flynn. He highlighted the city’s rescue of Union Terminal from a failed plan to turn it into a mall in the 1980s. The city bought the building from a developer after the plan crashed and burned. Flynn also said the city has made significant contributions to 136-year-old Music Hall's upkeep since the 1800s.
The organization’s Ridership and Development Director celebrated Metro’s announcement on Thursday that it will provide health and dental benefits to domestic partners of its employees.
Lahman said she has used same-sex partner benefits in the past, when she went back to school.
“[My partner and I] know first-hand what it means to have the flexibility and equality as others do in the workplace,” Lahman said at a press conference at Metro’s office. “This is just a fantastic day and I’m so proud that Metro is able to do the right thing.”
Metro is the first employer to say it will use Cincinnati’s domestic partner registry if the initiative passes next week in City Council. Should it pass, Cincinnati will be the 10th city in Ohio to have a domestic partner registry.
Mayor John Cranley and City Councilman Chris Seelbach attended the press conference and spoke in support of the move.
Cranley called it “symbolically and substantively right” and during the announcement shared a memory in honor of Maya Angelou, her poem “On the Pulse of Morning” at former President Bill Clinton’s inauguration in 1993.
“She ended it with ‘Good morning,’” Cranley said. “I think this is a good morning for Cincinnati, a new day.”
Many of Cincinnati’s major employers, including Procter & Gamble, Kroger and Macy’s offer same-sex and domestic partner benefits.
Seelbach said while those companies already have systems to evaluate domestic partnerships, the registry will give other companies like Metro an easy way to provide those benefits.
“We are now leaders in the nation and the region to make sure everyone is welcome in our city, regardless of who they love,” Seelbach said. “Everyone should bring their full self to their workplace and be able to do that with health benefits for their partners.”
Seelbach said while Metro is the first to say it will use the registry, other companies like Cincinnati Bell have expressed interest.
Metro is a nonprofit tax-funded public service of the Southwestern Ohio Regional Transit Authority (SORTA) with around 850 employees.
One of SORTA’s executive statements says the organization is committed to a work environment that “promotes dignity and respect for all.”
Board Chair Jason Dunn said SORTA’s commitment to inclusion is a great business decision.
“It shows that we value our employees,” Dunn said. “It shows that not only is Metro on the cutting edge of transportation but also making sure we are open to talent and we are open to retaining great talent in our system.”
Same-sex partners with a valid marriage license, same-sex partners registered by a government entity and same-sex partners with a sworn affidavit will be recognized by Metro for domestic partner benefits, which will take effect January 1, 2015.
Flaherty & Collins, the developer that wants to tear down a garage as part of its downtown grocery and apartment tower project, offered to pay for a tenant’s move to keep the deal moving forward. The tenant, Paragon Salon, recently announced its intent to sue the city after Mayor John Cranley’s refusal to pay for the salon business’s move left the development project and Paragon in a limbo of uncertainty. With Flaherty & Collins’ offer, the development deal should be able to advance without extra costs to the city.
But Cranley says he still wants 3CDC to review the downtown development project to set the best path forward.
Federal money will help Cincinnati keep and hire more
firefighters. The Staffing for Adequate Fire and Emergency Response
(SAFER) grant provides nearly $8.1 million — about 2 percent of the
city’s $370 million operating budget — to pay the salaries and benefits
of 50 firefighters for two years. Afterward, the city will need to pick
up the costs, which could worsen an operating budget gap that currently
sits at $22 million for fiscal 2015. The move would increase the
Cincinnati Fire Department’s staffing levels from 841 to 879 and help prevent brownouts, according to the firefighting agency.
The Cincinnati Board of Health defied Mayor Cranley by
unilaterally pursuing a $1.3 million grant that will provide
preventative and primary care services to underserved populations. Rocky
Merz, spokesperson for the board, says the grant application complies
with guidance from the city’s top lawyer. Cranley opposes the grant because the extra services it enables could push up costs for the city down the line.
Hamilton County officials will look for outside legal help in their fight against the city’s job training rules for Metropolitan Sewer District projects. CityBeat covered the rules, known as “responsible bidder,” in further detail here.
Smale Riverfront Park will receive $4.5 million in federal funding from the U.S. Army Corps of Engineers to control erosion and prevent flooding.
Crime around Cincinnati’s Horseshoe Casino never materialized, despite warnings from critics prior to casinos’ legalization in Ohio.
Ohio’s prison re-entry rate declined and sits well below the national average, according to a study from the Ohio Department of Rehabilitation and Correction. The study found 27.1 percent of inmates released in 2010 ended up back up in prison, down from 28.7 percent of individuals released in 2009. In comparison, the national average is 44 percent.
Hundreds of Ohio school districts plan to test out the state’s new online assessments for math, language arts, social studies and science.
The cold winter is pushing up natural gas prices, according to Ohio’s largest natural gas utility.
A second baby might have been cured of HIV, the sexually transmitted disease that causes AIDS. Even with the potential successes, doctors caution it’s still very much unclear whether the treatment provides a definitive cure for the deadly disease.
Meanwhile, a first-of-its-kind intravaginal ring could prevent pregnancy and HIV.firstname.lastname@example.org.
A group of Greenpeace protesters face burglary and vandalism charges after a stunt yesterday on the Procter & Gamble buildings. Protesters apparently teamed up with a helicopter to climb outside the P&G buildings to hang up a large sign criticizing the company for allegedly enabling the destruction of rainforests in Indonesia by working with an irresponsible palm oil supplier. P&G officials say they are looking into the protesters’ claims, but they already committed to changing how they obtain palm oil by 2015.
Cincinnati Center City Development Corp. (3CDC) will step in to resolve the status of a downtown grocery and apartment tower project. The previous city administration pushed the project as a means to bring more residential space downtown, but Mayor John Cranley refuses to pay to move a tenant in the parking garage that needs to be torn down as part of the project. Following Cranley and Councilman Chris Seelbach’s request for 3CDC’s help, the development agency will recommend a path forward and outline costs to the city should it not complete the project.
Meanwhile, the tenants in the dispute announced today that they will sue the city to force action and stop the uncertainty surrounding their salon business.
Cranley insists politics were not involved in an appointment to the Cincinnati Board of Health, contrary to complaints from the board official the mayor opted to replace. Cranley will replace Joyce Kinley, whose term expired at the end of the month, with Herschel Chalk. “Herschel Chalk, who(m) I’m appointing, has been a long-time advocate against prostate cancer, who's somebody I’ve gotten to know,” Cranley told WVXU. “I was impressed by him because of his advocacy on behalf of fighting cancer. I committed to appoint him a long time ago.”
The costs for pausing the streetcar project back in December remain unknown, but city officials are already looking into what the next phase of the project would cost.
Troubled restaurant Mahogany’s must fully pay for rent and fees by March 10 or face eviction.
Through his new project, one scientist intends to “make 100 years old the next 60.”email@example.com.
Mayor John Cranley could dismantle a deal that would produce a grocery store, 300 luxury apartments and a new parking garage downtown. Cranley says he doesn’t want millions put toward the deal, even though the developer involved plans to invest another $60 million. Councilman Chris Seelbach says the deal isn’t dead just because of the mayor’s opposition, and City Council could act to bypass the mayor, just like the legislative body did with the streetcar project and responsible bidder. To Seelbach, the deal is necessary to bring much-needed residential space and an accessible grocery store downtown.
Cincinnati officials and startup executives will try to bring Google Fiber, which provides Internet speeds 100 times faster than normal broadband, to Cincinnati. Google plans to hold a national competition to see which cities are most deserving of its fiber services. “Over the last several years, Cincinnati’s innovation ecosystem has made tremendous strides,” Councilman P.G. Sittenfeld said in a statement. “We’re increasingly becoming a magnet for talented entrepreneurs across the country who want to come here to bring their big ideas to life. We need to ensure that we have the modern technological infrastructure to make Cincinnati nationally competitive.”
Cincinnati’s operating budget gap for fiscal 2015 now stands at $22 million, up from an earlier forecast of $18.5 million, largely because of extra spending on police pushed by Cranley and a majority of City Council. The city must balance its operating budget each year, which means the large gap will likely lead to layoffs and service cuts.
Commentary: “Budget Promises Spur Fears of Cuts.”
Cranley won’t re-appoint the chair of Cincinnati’s Board of Health. When asked why, Chairwoman Joyce Kinley told City Council’s Budget and Finance Committee that Cranley told her “he had to fulfill a campaign promise.” Some city officials say they worry Cranley is putting politics over the city’s needs.
Troubled restaurant Mahogany’s needs to pay back rent or move out, The Banks’ landlord declared Monday. The deciding moment for Mahogany’s comes after months of struggles, which restaurant owner Liz Rogers blames on the slow development of the riverfront.
Kathy Wilson: “Mahogany’s: Turn Out the Lights.”
Cincinnati’s Horseshoe Casino supports 1,700 workers, making it the largest of Ohio's four voter-approved casinos.
At least one airline, Allegiant Air, plans to add flights from Cincinnati/Northern Kentucky International Airport.
Headline: “Man wakes up in body bag at funeral home.”
“A 30,000-year-old giant virus has been revived from the frozen Siberian tundra,” the Los Angeles Times firstname.lastname@example.org.
City Council yesterday expressed support for a barebones parking plan that would upgrade all meters to accept credit card payments and increase enforcement around the city, which should boost annual revenues. The plan does not increase rates or hours at meters, as Mayor John Cranley originally called for. It also doesn’t allow people to pay for parking meters through smartphones. The plan ultimately means death for the parking privatization plan, which faced widespread criticism after the previous city administration and council passed it as a means to jumpstart new investments and help fix the city’s operating budget and pension system.
Councilman Christopher Smitherman plans to pursue changes to the city’s political structure to give more power to the mayor and less to the city manager. Smitherman says the current system is broken because it doesn’t clearly define the role of the mayor. Under Smitherman’s system, the mayor would run the city and hire department heads; the city manager, who currently runs the city and handles hiring, would primarily preside over budget issues; and City Council would pass legislation and act as a check to the mayor. Smitherman aims to put the plan to voters this November.
Commentary: “WCPO’s Sloppy Streetcar Reporting Misses Real Concerns.”
The Cincinnati Art Museum maintains five political cartoons from the famed Dr. Seuss (Theodore Seuss Geisel), but none are currently on public display. The cartoons call back to the history before World War II, when most of the world played ignorant to the horrors of the Holocaust and Americans had yet to enter the war. Dr. Seuss loathed the villains on the world stage, and his cartoons promoted a message of interventionism that would eventually lead him to join the Army to help in the fight against the Axis powers. When he returned home, he would write the famous stories and books he’s now so well known for.
Mayor Cranley and some council members appear reluctant to accept a routine grant application that would allow the Cincinnati Health Department to open two more clinics because of the potential effect the clinics could have on the city’s budget. Cranley and other council members also seem concerned that the Health Department played a role in the recent closing of Neighborhood Health Care, which shut down four clinics and three school-based programs after it lost federal funding.
Ohio legislators approved a bill that forces absentee voters to submit more information and reduces the amount of time provisional voters have to confirm their identities from 10 days to one week. For Democrats, the bill adds to previous concerns that Republicans are attempting to suppress voters. The bill now goes to Gov. John Kasich, a Republican who’s expected to sign the measure into law.
The Ohio legislature continues wrangling over how to give schools more snow days.
More than 175,000 claims have been filed over winter damage, potentially making this winter one of the costliest in decades.
Robot suits could make mixed martial arts email@example.com.
The mayor and a supermajority of City Council backs efforts to establish a domestic partner registry for same-sex couples in Cincinnati, Councilman Chris Seelbach’s office announced Tuesday.
If adopted by the city, the registry will allow same-sex couples to gain legal recognition through the city. That would let same-sex couples apply for domestic partner benefits at smaller businesses, which typically don’t have the resources to verify legally unrecognized relationships, according to Seelbach’s office.
Specifically, the City Council motion asks the city administration to reach out to other cities that have adopted domestic partner registries, including Columbus and eight other Ohio cities, and establish specific guidelines.
Seelbach’s office preemptively outlined a few requirements to sign up: Same-sex couples will need to pay a $45 fee and prove strong financial interdependency by showing joint property ownership, power of attorney, a will and other unspecified requirements.
“As a result of a $45 fee to join the registry, we believe this will be entirely budget neutral, meaning it won't cost the city or the taxpayers a single dollar,” Seelbach said in a statement.
If the plan is adopted this year, Cincinnati should gain a perfect score in the next “Municipal Equality Index” from the Human Rights Campaign, an advocacy group that, among other tasks, evaluates LGBT inclusion efforts from city to city. Cincinnati scored a 90 out of 100 in the 2013 rankings, with domestic partner registries valued at 12 points.
Seelbach expects the administration to report back with a full proposal that City Council can vote on in the coming months.
Following county commissioner’s Feb. 12 meeting, the dispute between Cincinnati and Hamilton County over contracting rules for Metropolitan Sewer District (MSD) projects appears to be heading to court.
The court battle comes after the county dismissed multiple concessions from the city and put MSD’s revamp of the local sewer system on hold in protest of the city’s rules. With a federal mandate looming, both sides agree a resolution is needed soon to avoid costly fines from the federal government.
For many across the city and county, the conflict is understandably confusing. The debate has often been mired down by biased media reports and political talking points that obfuscate the issue. Jargon referencing “responsible bidder,” “local hire,” “local preference,” unions, apprenticeship programs, a pre-apprenticeship fund and contractors make it even more difficult to grasp what is going on.
Cutting through the politics, here is what the responsible bidder rules actually do and why the city and county seem incapable of compromise.
What is responsible bidder?
It’s a city ordinance that essentially forces MSD contractors to adopt job training measures known as apprenticeship programs and pay for a pre-apprenticeship fund. By requiring the training options, the city hopes workers will be able to improve their skills and successfully transition to other jobs once their MSD work is finished.
Apprenticeship programs take workers through extensive on-the-job and classroom-based training in which they can hone their skills in a specific craft, such as electrical or plumbing work. Because workers get paid for their work while participating in an apprenticeship, the programs are typically characterized as an “earn-while-you-learn” model.
The pre-apprenticeship fund will put money toward programs that will teach newcomers basic skills, such as math and reading, so they can eventually move up to an apprenticeship program.
The rules don’t apply to every MSD contractor. Contracts worth less than $400,000, which make up roughly half of MSD’s sewer revamp, are exempted.
What about local hire and local preference?
Those are ordinances separate from responsible bidder that give preference to Cincinnati-based businesses. They try to keep MSD contracts within local companies.
What’s the conflict about?
The conflict is between Cincinnati and Hamilton County, which jointly run MSD. The Democrat-controlled city supports the rules, while the Republican-controlled county opposes them.
The city and county also dispute which governing body can set policy for MSD. Under a 1968 agreement, the county owns and funds MSD, and the city operates and maintains it. City Council argues the agreement allows the city to set policy for MSD, but the county disagrees. Both sides acknowledge the set-up is far from ideal.
So, did the city’s rules halt MSD projects?
No. Nothing in the city’s ordinances forces MSD projects to stop. County commissioners singlehandedly halted MSD projects in protest of the city’s rules. If it were up to the city, work would continue today.
Why are these projects so important?
By federal decree, the city needs to revamp the sewer system to bring it up to environmentally safe standards. The project will cost $3.2 billion over 15-20 years, making it one of the most expensive in the city’s history.
If the city and county don’t carry on with the revamp soon, the federal government will begin issuing fines. By some guesses, the fines could begin rolling in by the end of the year.
Why does a majority of City Council support responsible bidder?
Councilman Chris Seelbach, the Democrat who championed the rules, says they will boost local employment and create more job training options for the city’s struggling workforce.
Other Democrats on council agree, although some, like Councilman P.G. Sittenfeld, believe the ordinance is “imperfect.”
Does responsible bidder benefit workers?
Some research suggests it would.
The left-leaning Center for American Progress (CAP) in a December report argued apprenticeship programs provide an opportunity to revitalize the U.S. workforce.
“By 2020, America is projected to experience a shortage of 3 million workers with associate’s degrees or higher and 5 million workers with technical certificates and credentials,” the report claimed. “Compounding our inadequate workforce development system, research shows that employers are now spending less on training than they have in the past. At the same time, industry surveys show that a lack of qualified workers is a top concern for many employers.”
Citing a 2012 study from Mathematica Policy Research, CAP estimated apprenticeship programs alone can boost a worker’s lifetime earnings and benefits by more than $300,000. Over 36 years of employment, that’s an average gain of nearly $8,400 a year.
Why do county commissioners oppose the rules?
In terms of policy, county commissioners say the responsible bidder rules favor unions and burden businesses.
On a legal basis, the county argues the city’s responsible bidder rules conflict with state law and the local hire and preference rules enforce unconstitutional geographic preferences.
Does responsible bidder actually favor unions?
Since unions tend to offer better and more apprenticeship programs, yes.
But the rules don’t exclude non-union businesses from participating. For example, Ohio Valley Associated Builders and Contractors maintains some non-union apprenticeship programs that would qualify under the law.
Still, most of the union favoritism debate centered around a regulation the city actually offered to give up. Specifically, under current rules employers are only eligible to contract with MSD if they have apprenticeship programs that have graduated at least one person a year for the past five years. In October, Seelbach offered to strip the mandate and replace it with an incentive program. The county seemed unmoved by the proposal.
What about businesses? Does responsible bidder burden them?
By requiring businesses to adopt apprenticeship programs and put 10 cents for each hour of labor into a pre-apprenticeship fund, the law certainly places more regulations on businesses. Whether the requirements are a burden is subjective.
John Morris, president of the Ohio Valley Associated Builders and Contractors and an opponent of the law, told CityBeat the pre-apprenticeship fund’s requirement will increase business costs by $2-3 million over 15-20 years.
Citing MSD estimates for the cost of labor, Rob Richardson, regional manager of the Laborers’ International Union of North America, said the fund will cost businesses $1.5 million.
Even if someone accepts Morris’ estimate, the requirement adds up to at most 0.1 percent of the $3.2 billion project.
More broadly, some supporters of the city’s rules question whether placing a burden on businesses is innately a bad thing. The basic point of government regulations is to make the economy and businesses work better for the public. In that sense, regulations are always going to burden businesses to some extent.
For example, financial regulations burden big banks and financial institutions. But many Americans agree the regulations are necessary to avoid another financial crisis like the one that plunged the country into the Great Recession.
Still, critics argue the extra regulations would increase the cost of business, and the impact could ultimately be felt by MSD ratepayers.
Why don’t the city and county just compromise?
They kind of tried, but it seems the philosophical split between Hamilton County Republicans and Cincinnati Democrats is too strong to reach a substantial agreement.
The city, for example, has offered multiple concessions to the county. In May, City Council modified the law to ease some requirements and add an exemption for contracts worth less than $400,000, which covers half of the contracts involved in MSD’s sewer revamp. In October, Seelbach offered to replace a strict mandate with a looser incentive program. Seelbach also told CityBeat on Feb. 6 that he would consider raising the contract exemption from $400,000 to $750,000.
In return, the county rejected the concessions and instead offered to establish aspirational inclusion goals and some funding for local job training programs — as long as the city repealed its rules altogether.
Which side would win the court battle?
It’s hard to say. Both sides — and their lawyers — seem pretty confident about their legal standing.
So what’s next?
At the current rate, it looks like the city and county are heading to court. Whether the process involves a full-on legal battle or mediation between the city and county’s lawyers remains uncertain, but it’s clear something will eventually have to give.
This blog post will be regularly updated as the situation develops.