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Presentation to the Economic Inclusion Management Committee
City of Cleveland Office of Equal Opportunity Codified Ordinance, Chapter 188
Fannie Mae Lewis Cleveland Resident Code
March 28, 2013
Chapter 188
Legislation was originally passed 6-10-2003 Law became effective 1-1-2004 Outcome of law All public improvement construction projects greater
than $100,000 must: Utilize Residents for 20% of all Construction
Worker Hours; and Utilize Low Income Residents in 4% of that 20%
requirement
Resident & Low Income Residents must live within the confines of the City of
Cleveland; Low Income Residents must fall under the HUD “very
low income” bracket and reside within the City of Cleveland boundaries. To be considered Low Income, an application must be filled out (and approved) by our office.
Unintended Consequences Some contractors were hiring low income workers for a period
of one year and subsequently firing them when they earned too much to be low income. This created an unwanted cycle of employment/unemployment for the people it was meant to help.
Changes to the law
In 2010, OEO came together with City Council, Contractors, and other Departments to amend portions of the Fannie M. Lewis Law
Low Income Status: A low income person may retain their low income
status (regardless of income) for a period of no longer than five years.
Stipulations: Must remain employed with the contractor they
applied under Must remain a City of Cleveland Resident
Associated Hours
“Associated Hours” are the City’s measure for allowing a bit of leeway in the Resident portion of the law. This allows contractors to count Residents from non-City projects towards their current project
Eligibility: If a contractor has another project that is ongoing at the
same time as the City project and was not funded by the City
Residents or Low Income workers were used on that project
The project has not been used to supplement any other City project.
Consequences of Violation
Any contractor that does not adhere to the Fannie M. Lewis law is subject to a monetary penalty and potential disbarment from City bids
(1/8)*(1%)*(Contract amount)*(# of shortfall points) If a contractor missing all of the requirement, this
amounts to 2.5% of the total contract amount.
Contact Information
Natoya Walker MinorChief of Public Affairs & DirectorOffice of Equal [email protected]
Shanelle JohnsonCertification [email protected]
Lynn PeculisDiversity & Inclusion [email protected]
Thank you!
