Bill No.
28-17
Concerning: Human Rights and Civil
Liberties - County Minimum Wage -
Amount - Annual Adjustment
Revised:
10109/2017
Draft No.
~
Introduced:
July 25. 2017
Enacted:
November 7,2017
Executive:
November 13, 2017
Effective:
July 1, 2018
Sunset Date: --=-.:.;No=n'.::=e-:---:--=_ _--:-_
Ch.
~,
Laws of Mont. Co.
2017
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
Lead Sponsor: Councilmember EIrich
Co-Sponsors: Councilmembers Leventhal, Council Vice-President Riemer, and Councilmembers
Hucker and Navarro
AN ACT
to:
(1) increase the County minimum wage by a certain amount;
(2) require the Chief Administrative Officer to adjust the County minimum wage rate
each year;
(3) require the Office of Legislative Oversight to conduct an annual analysis of the
impact of the County minimum wage; and
(4) generally amend the laws governing the minimum wage
By
amending
Montgomery County Code
Chapter 27, Human Rights and Civil Liberties
Article
XL
County Minimum Wage
Section 27-68
By
adding
Montgomery County Code
Chapter 27, Human Rights and Civil Liberties
Article XI. County Minimum Wage
Section 27-70A
Boldface
Underlining
[Single boldface brackets]
Double underlining
[[Double boldface brackets]]
* * *
Heading or defined term.
Added to existing law by original bill.
Deletedfrom existing law by original bill.
Added by amendment.
Deletedfrom existing law or the bill by amendment.
Existing law unaffected by bill.
The County Council for Montgomery County, Maryland approves the following Act:
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BILL No. 28-17
1
Sec.
1.
Section 27-68 is amended and Section 27-70A is added as
follows:
27-68.
Minimum Wage Required.
2
3
4
(a)
County minimum wage.
Except as provided in [[Subsection (b)]]
5
6
7
subsections
Cd
and (d), an employer must pay wages to each employee
for work performed in the County at least the greater of:
(1)
the minimum wage required for that employee under the Federal
Act'
,
(2)
the minimum wage required for that employee under the State
Act; or
(3)
[$11.50] $15.00 per hour plus any annual adjustments under
subsection
(b).
(b)
Annual adjustment.
The Chief Administrative Officer must adjust the
8
9
10
11
12
13
14
15
16
17
minimum wage rate required under Subsection Ca)C3), effective July
L
[[2023]] [[2025]] 2022, and July
1
of each subsequent year,
.by
the
(CPI-W) for
annual average increase, if any, in the Consumer Price Index for Urban
Wage Earners and Clerical Workers[L. CPI-W]
Washington-Baltimore, or
~
18
19
successor index, for the previous calendar
year. The Chief Administrative Officer must calculate the adjustment to
the nearest mUltiple of five cents, and must publish the amount of this
adjustment not later than March
1
of each year.
(£}
20
21
22
23
24
Exclusions.
The County minimum wage does not apply to an employee
who:
(1)
is exempt from the minimum wage requirements of the State or
Federal Act; or
(2)
is under the age of 19 years and is employed no
hours per week[[; or
- 2-
mor~
25
26
27
than 20
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BILL
No.
28-17
28
(3)
is subject to an opportunity wage under the State or Federal
Act]].
29
30
31
(ill
Opportunity wage.
An employer may pay a wage equal to 85% of the
County minimum wage to an employee under the age of 20 years for
the first six months that the employee is employed.
32
33
34
35
36
37
38
39
40
41
42
[(c)]W
(1)
Retaliation prohibited.
A person must not:
retaliate against any person for:
(A)
(B)
lawfully opposing any violation of this Article; or
filing a complaint, testifying, assisting, or participating in
any manner in an investigation, proceeding, or hearing
under this Article; or
(2)
obstruct or prevent enforcement or compliance with this Article.
*
27-70A. Annualimpact analysis.
*
*
The Office of Legislative Oversight must provide to the Council,
Qy
January
31 of each year, [[an analysis of impact]] a report containing data related to the
implementation of the County minimum wage [[on]] and the local economy.
43
44
45
46
Sec. 2. Transition.
Notwithstanding Section 27-68, as amended in Section 1, except when the
scheduled increases are temporarily suspended under subsection [[(e)]]
47
ill,
the
48
49
50
51
County minimum wage[[, until July 1,]] [[2022]] [[2024,]] must be the greater of the
minimum wage required under the Federal or State Act or:
(a)
until July.
1.
2022. for [[an employer who employs]] [[26]]
employees]] a large employer as defined in subsection Cd):
(1)
(2)
effective July 1,2018, [[$12.50]] [[$12.00]] $12.25 per hour;
effective July 1, 2019, [[$13.75]] [[$12.75]] $13.00 per hour;
[[and]]
-3-
[La
or more
52
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(3)
effective July 1, 2020, [[$15.00]] [[$13.50]] $14.00 per
hour[[.]]~
and
ill
[[ill
(b)
effective July 1. 2021. [[$14.25]] $15.00 per hour[[: and]],;
effective July 1. 2022. $15.00 per hour.]]
until the minimum wage under this subsection is equal to the minimum
wage required under Section 27-68. [[for an employer who employs]]
[[25]] [[50 or fewer employees; has tax exempt status under Section
501(c)(3) of the Internal Revenue Code; or has been designated by the
Office of Human Rights as an eligible services provider under]] for a
mid-sized employer as defined in subsection [[(c)]]
(gl:
(1)
(2)
(3)
effective July 1,2018, [[$12.00]] [[$11.75]] $12.00per hour;
effective July 1,2019, [[$12.75]] [[$12.25]] $12.50 per hour;
effective July 1, 2020, [[$13.50]] [[$12.75]] $13.25 per hour;
[[and]]
(4)
effective July 1,2021, [[$14.25]] [[$13.25]] $14.00 per
hour[[.]]~
effective July 1. 2022. [[$13.75]] $14.50 per hour: [[and)]
effective July 1. 2023. [[$14.50]] $15.00 per hour: and
effective July 1. 2024 until it is equal to the minimUm wage
required under Section 27-68. the minimum wage required under
this subsection must be adjusted each year. to the nearest multiple
of five cents. by:
(A)
the annual average increase. if any. in the Consumer Price
Index for Urban Wage Earners and Clerical Workers (CPI-
ill
(Ql
ill
W)
for Washington-Baltimore. or a successor index. for
the previous calendar year: plus
-4-
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BILL
No.
28-17
80
81
82
83
84
all
if the increase under subparagraph CA) is less than $0.50,
one percent of the minimum wage required for the prior
year, up to a total increase of$0.50.
(c)
until the minimum wage under this subsection is equal to the minimum
wage required under Section 27-68, for a small employer as defmed
in
subsection Cd):
85
86
87
ill
!ll
effective July 1. 2018, $12.00 per hour:
effective July 1. 2019, $12.50 per hour;
effective July 1. 2020, $13.00 per hour:
effective July 1. 2021. $13.50 per hour:
effective July 1. 2022. $14.00 per hour;
effective July 1,2023, $14.50 per hour;
effective July 1. 2024, $15.00 per hour: and
effective July 1, 2025 until it is equal to the minimum wage
required under Section 27-68, the minimum wage required under
this subsection must be adjusted each year, to the nearest multiple
of five cents, by:
CA)
the annual average increase, if any, in the Consumer Price
Index for Urban Wage Earners and Clerical Workers CCPI-
W)
for Washington-Baltimore, or a successor index, for
88
89
m
ill
ill
(Ql
90
91
92
93
ill
lID
94
95
96
97
98
99
100
101
the previous calendar year; plus
all
if the increase under subparagraph CA) is less than $0.50,
one percent of the minimum wage required for the prior
year, up to a total increase of $0.50.
102
103
104
(4l
[[An
employer who provides "home health services" as defmed by 42
105
106
C.F.R. § 440.70 or "home or community-based services" as defmed by
42 C.F.R.
§
440.180, and receives at least 75% of gross revenues
-5-
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BILL No. 28-17
107
108
109
through state and federal Medicaid programs, may apply to the Office of
Human Rights for designation as an eligible services provider subject to
the implementation schedule in subsection (b).]] In this Section:
110
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
130
131
132
133
ill
large employer
means an employer who employs 51 or more
employees;
ill
mid-sized employer
means:
CA)
an- employer who employs between
employees; or
11
and 50
mJ
an employer who employs 11 or more employees and:
ill
(in
has tax exempt status under Section 501(c)(3) of
the Internal Revenue Code; or
provides "home health services" as defined by 42
C.F .R.
§
440.70 or "home or community-based
services" as defined by 42 C.F.R.
§
440.180, and
receives at least 75% of gross revenues through
state and federal Medicaid programs.
ill
[[(d)]]W
small employer
means an employer who employs 10 or fewer
employees.
For the purposes of subsections
(a)~
[[and]] (b), and (c), an
employer's number of employees must be calculated based
upon the employer's average number of employees per calendar
week during the preceding calendar year for any and all weeks
during which at least one employee worked for compensation.
F or employers that did not have any employees during the
preceding calendar year, the employer's number of employees
must be calculated based upon the average number of
employees who worked for compensation per calendar week
-6-
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BILL
No. 28-17
134
135
136
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160
during the first 90 calendar days of the current year in which the
employer engaged in business.
An
employer's number of
employees must be calculated at the time the employer first
becomes subject to this Act. and that employer remains subject to
the applicable schedule under subsection (al. (bl.or ecl. regardless
of the number of employees employed by the employer
subsequent years.
[[(e
)]]W
ill
(1)
On or before January 31 of each year beginning in 2018
through [[2022]] 2024, to ensure that economic conditions can
support a minimum wage increase scheduled under Section 2 of
this Act, the Director of Finance must make a determination
and certify to the Executive and Council whether each of the
following conditions is met:
(A)
total private employment for Montgomery County
decreased by 1.5% over the period from April 1 to June
30 of the previous year. The calculation must compare
total private employment in June to total private
employment in April, as reported by the Maryland State
Department of Labor, Licensing, and Regulation's
Quarterly Census of Employment and Wages data series;
(B)
total private employment for Montgomery County
decreased by 2.0% over the period from January 1 to
June 30 of the previous year. The calculation must
compare total private employment in June to total private
employment in January, as reported by the Maryland
State Department of Labor, Licensing, and Regulation's
Quarterly Census of Employment and Wages data series;
-7-
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,
__
-
__
- __
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BILL
No. 28-17
161
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(C)
the Gross Domestic Product of the United States, as
published by the U.S. Department of Commerce, has
experienced negative growth for the preceding two
quarters; and
(D)
the National Bureau of Economic Research has
determined that the United States economy is in
recessIOn.
(2)
If, in any year, the Director of Finance certifies that a condition
in subparagraphs (A) through (D) of paragraph (1) is met, the
Executive may, on or before February 10 of that year,
temporarily suspend the minimum wage increases scheduled
under subsections (a)",
[[and]]
(b). and ec) of Section 2 of this
Act for that year.
172
173
174
175
176
177
178
179
180
181
182
(3)
If the Executive temporarily suspends the scheduled minimum
wage increases for a year, all dates specified in subsections (a)",
[[and]]
(b). and ec) that follow the temporary suspension must
be
postpone~
by an additional year.
(4)
The Executive must not temporarily suspend scheduled
mimmum wage increases under this Section more than two
times.
Sec. 3.
Effective Date.
This Act takes effect on July 1,2018.
-8-
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i
!
BILL
No.
28-17
Approved:
Approved:
Isiah Leggett, County E'xfcutive
This is a correct copy ofCouncil action.
Dat/
~,
Linda M. Lauer, Clerk of the Council
Date
- 9-
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Bill No.
28-17
Concerning: Human Rights and Civil
Liberties - County Minimum Wage -
Amount - Annual Adjustment
Revised:
10109/2017
Draft No.
~
Introduced:
July 25. 2017
Enacted:
November 7,2017
Executive:
November 13, 2017
Effective:
July 1, 2018
Sunset Date: --=-.:.;No=n'.::=e-:---:--=_ _--:-_
Ch.
~,
Laws of Mont. Co.
2017
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
Lead Sponsor: Councilmember EIrich
Co-Sponsors: Councilmembers Leventhal, Council Vice-President Riemer, and Councilmembers
Hucker and Navarro
AN ACT
to:
(1) increase the County minimum wage by a certain amount;
(2) require the Chief Administrative Officer to adjust the County minimum wage rate
each year;
(3) require the Office of Legislative Oversight to conduct an annual analysis of the
impact of the County minimum wage; and
(4) generally amend the laws governing the minimum wage
By
amending
Montgomery County Code
Chapter 27, Human Rights and Civil Liberties
Article
XL
County Minimum Wage
Section 27-68
By
adding
Montgomery County Code
Chapter 27, Human Rights and Civil Liberties
Article XI. County Minimum Wage
Section 27-70A
Boldface
Underlining
[Single boldface brackets]
Double underlining
[[Double boldface brackets]]
* * *
Heading or defined term.
Added to existing law by original bill.
Deletedfrom existing law by original bill.
Added by amendment.
Deletedfrom existing law or the bill by amendment.
Existing law unaffected by bill.
The County Council for Montgomery County, Maryland approves the following Act:
 PDF to HTML - Convert PDF files to HTML files
BILL No. 28-17
1
Sec.
1.
Section 27-68 is amended and Section 27-70A is added as
follows:
27-68.
Minimum Wage Required.
2
3
4
(a)
County minimum wage.
Except as provided in [[Subsection (b)]]
5
6
7
subsections
Cd
and (d), an employer must pay wages to each employee
for work performed in the County at least the greater of:
(1)
the minimum wage required for that employee under the Federal
Act'
,
(2)
the minimum wage required for that employee under the State
Act; or
(3)
[$11.50] $15.00 per hour plus any annual adjustments under
subsection
(b).
(b)
Annual adjustment.
The Chief Administrative Officer must adjust the
8
9
10
11
12
13
14
15
16
17
minimum wage rate required under Subsection Ca)C3), effective July
L
[[2023]] [[2025]] 2022, and July
1
of each subsequent year,
.by
the
(CPI-W) for
annual average increase, if any, in the Consumer Price Index for Urban
Wage Earners and Clerical Workers[L. CPI-W]
Washington-Baltimore, or
~
18
19
successor index, for the previous calendar
year. The Chief Administrative Officer must calculate the adjustment to
the nearest mUltiple of five cents, and must publish the amount of this
adjustment not later than March
1
of each year.
(£}
20
21
22
23
24
Exclusions.
The County minimum wage does not apply to an employee
who:
(1)
is exempt from the minimum wage requirements of the State or
Federal Act; or
(2)
is under the age of 19 years and is employed no
hours per week[[; or
- 2-
mor~
25
26
27
than 20
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__________ i
BILL
No.
28-17
28
(3)
is subject to an opportunity wage under the State or Federal
Act]].
29
30
31
(ill
Opportunity wage.
An employer may pay a wage equal to 85% of the
County minimum wage to an employee under the age of 20 years for
the first six months that the employee is employed.
32
33
34
35
36
37
38
39
40
41
42
[(c)]W
(1)
Retaliation prohibited.
A person must not:
retaliate against any person for:
(A)
(B)
lawfully opposing any violation of this Article; or
filing a complaint, testifying, assisting, or participating in
any manner in an investigation, proceeding, or hearing
under this Article; or
(2)
obstruct or prevent enforcement or compliance with this Article.
*
27-70A. Annualimpact analysis.
*
*
The Office of Legislative Oversight must provide to the Council,
Qy
January
31 of each year, [[an analysis of impact]] a report containing data related to the
implementation of the County minimum wage [[on]] and the local economy.
43
44
45
46
Sec. 2. Transition.
Notwithstanding Section 27-68, as amended in Section 1, except when the
scheduled increases are temporarily suspended under subsection [[(e)]]
47
ill,
the
48
49
50
51
County minimum wage[[, until July 1,]] [[2022]] [[2024,]] must be the greater of the
minimum wage required under the Federal or State Act or:
(a)
until July.
1.
2022. for [[an employer who employs]] [[26]]
employees]] a large employer as defined in subsection Cd):
(1)
(2)
effective July 1,2018, [[$12.50]] [[$12.00]] $12.25 per hour;
effective July 1, 2019, [[$13.75]] [[$12.75]] $13.00 per hour;
[[and]]
-3-
[La
or more
52
53
54
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BILL
No.
28-17
55
56
57
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(3)
effective July 1, 2020, [[$15.00]] [[$13.50]] $14.00 per
hour[[.]]~
and
ill
[[ill
(b)
effective July 1. 2021. [[$14.25]] $15.00 per hour[[: and]],;
effective July 1. 2022. $15.00 per hour.]]
until the minimum wage under this subsection is equal to the minimum
wage required under Section 27-68. [[for an employer who employs]]
[[25]] [[50 or fewer employees; has tax exempt status under Section
501(c)(3) of the Internal Revenue Code; or has been designated by the
Office of Human Rights as an eligible services provider under]] for a
mid-sized employer as defined in subsection [[(c)]]
(gl:
(1)
(2)
(3)
effective July 1,2018, [[$12.00]] [[$11.75]] $12.00per hour;
effective July 1,2019, [[$12.75]] [[$12.25]] $12.50 per hour;
effective July 1, 2020, [[$13.50]] [[$12.75]] $13.25 per hour;
[[and]]
(4)
effective July 1,2021, [[$14.25]] [[$13.25]] $14.00 per
hour[[.]]~
effective July 1. 2022. [[$13.75]] $14.50 per hour: [[and)]
effective July 1. 2023. [[$14.50]] $15.00 per hour: and
effective July 1. 2024 until it is equal to the minimUm wage
required under Section 27-68. the minimum wage required under
this subsection must be adjusted each year. to the nearest multiple
of five cents. by:
(A)
the annual average increase. if any. in the Consumer Price
Index for Urban Wage Earners and Clerical Workers (CPI-
ill
(Ql
ill
W)
for Washington-Baltimore. or a successor index. for
the previous calendar year: plus
-4-
 PDF to HTML - Convert PDF files to HTML files
BILL
No.
28-17
80
81
82
83
84
all
if the increase under subparagraph CA) is less than $0.50,
one percent of the minimum wage required for the prior
year, up to a total increase of$0.50.
(c)
until the minimum wage under this subsection is equal to the minimum
wage required under Section 27-68, for a small employer as defmed
in
subsection Cd):
85
86
87
ill
!ll
effective July 1. 2018, $12.00 per hour:
effective July 1. 2019, $12.50 per hour;
effective July 1. 2020, $13.00 per hour:
effective July 1. 2021. $13.50 per hour:
effective July 1. 2022. $14.00 per hour;
effective July 1,2023, $14.50 per hour;
effective July 1. 2024, $15.00 per hour: and
effective July 1, 2025 until it is equal to the minimum wage
required under Section 27-68, the minimum wage required under
this subsection must be adjusted each year, to the nearest multiple
of five cents, by:
CA)
the annual average increase, if any, in the Consumer Price
Index for Urban Wage Earners and Clerical Workers CCPI-
W)
for Washington-Baltimore, or a successor index, for
88
89
m
ill
ill
(Ql
90
91
92
93
ill
lID
94
95
96
97
98
99
100
101
the previous calendar year; plus
all
if the increase under subparagraph CA) is less than $0.50,
one percent of the minimum wage required for the prior
year, up to a total increase of $0.50.
102
103
104
(4l
[[An
employer who provides "home health services" as defmed by 42
105
106
C.F.R. § 440.70 or "home or community-based services" as defmed by
42 C.F.R.
§
440.180, and receives at least 75% of gross revenues
-5-
 PDF to HTML - Convert PDF files to HTML files
BILL No. 28-17
107
108
109
through state and federal Medicaid programs, may apply to the Office of
Human Rights for designation as an eligible services provider subject to
the implementation schedule in subsection (b).]] In this Section:
110
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
130
131
132
133
ill
large employer
means an employer who employs 51 or more
employees;
ill
mid-sized employer
means:
CA)
an- employer who employs between
employees; or
11
and 50
mJ
an employer who employs 11 or more employees and:
ill
(in
has tax exempt status under Section 501(c)(3) of
the Internal Revenue Code; or
provides "home health services" as defined by 42
C.F .R.
§
440.70 or "home or community-based
services" as defined by 42 C.F.R.
§
440.180, and
receives at least 75% of gross revenues through
state and federal Medicaid programs.
ill
[[(d)]]W
small employer
means an employer who employs 10 or fewer
employees.
For the purposes of subsections
(a)~
[[and]] (b), and (c), an
employer's number of employees must be calculated based
upon the employer's average number of employees per calendar
week during the preceding calendar year for any and all weeks
during which at least one employee worked for compensation.
F or employers that did not have any employees during the
preceding calendar year, the employer's number of employees
must be calculated based upon the average number of
employees who worked for compensation per calendar week
-6-
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BILL
No. 28-17
134
135
136
137
138
139
140
141
142
143
144
145
146
147
148
149
150
151
152
153
154
155
156
157
158
159
160
during the first 90 calendar days of the current year in which the
employer engaged in business.
An
employer's number of
employees must be calculated at the time the employer first
becomes subject to this Act. and that employer remains subject to
the applicable schedule under subsection (al. (bl.or ecl. regardless
of the number of employees employed by the employer
subsequent years.
[[(e
)]]W
ill
(1)
On or before January 31 of each year beginning in 2018
through [[2022]] 2024, to ensure that economic conditions can
support a minimum wage increase scheduled under Section 2 of
this Act, the Director of Finance must make a determination
and certify to the Executive and Council whether each of the
following conditions is met:
(A)
total private employment for Montgomery County
decreased by 1.5% over the period from April 1 to June
30 of the previous year. The calculation must compare
total private employment in June to total private
employment in April, as reported by the Maryland State
Department of Labor, Licensing, and Regulation's
Quarterly Census of Employment and Wages data series;
(B)
total private employment for Montgomery County
decreased by 2.0% over the period from January 1 to
June 30 of the previous year. The calculation must
compare total private employment in June to total private
employment in January, as reported by the Maryland
State Department of Labor, Licensing, and Regulation's
Quarterly Census of Employment and Wages data series;
-7-
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,
__
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__
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BILL
No. 28-17
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169
170
171
(C)
the Gross Domestic Product of the United States, as
published by the U.S. Department of Commerce, has
experienced negative growth for the preceding two
quarters; and
(D)
the National Bureau of Economic Research has
determined that the United States economy is in
recessIOn.
(2)
If, in any year, the Director of Finance certifies that a condition
in subparagraphs (A) through (D) of paragraph (1) is met, the
Executive may, on or before February 10 of that year,
temporarily suspend the minimum wage increases scheduled
under subsections (a)",
[[and]]
(b). and ec) of Section 2 of this
Act for that year.
172
173
174
175
176
177
178
179
180
181
182
(3)
If the Executive temporarily suspends the scheduled minimum
wage increases for a year, all dates specified in subsections (a)",
[[and]]
(b). and ec) that follow the temporary suspension must
be
postpone~
by an additional year.
(4)
The Executive must not temporarily suspend scheduled
mimmum wage increases under this Section more than two
times.
Sec. 3.
Effective Date.
This Act takes effect on July 1,2018.
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BILL
No.
28-17
Approved:
Approved:
Isiah Leggett, County E'xfcutive
This is a correct copy ofCouncil action.
Dat/
~,
Linda M. Lauer, Clerk of the Council
Date
- 9-