2018 Montgomery County Executive Race, Minimum Wage

Raise the Minimum Wage? Marc Elrich Answers

Seventh State is pleased to present Marc Elrich’s response to our question on the minimum wage.

Do you favor an increase in the Montgomery County minimum wage and, if so, by how much and on what timeline? Would you have any exemptions and, if so, for whom?

Yes, I support making the Montgomery County minimum wage into a living wage of $15 an hour.  I led the fight to secure the county’s last minimum wage increase, which is why our minimum wage is now $11.50 an hour, and believe strongly that jobs should pay people enough to provide for their families.

An extensive body of evidence shows that minimum wage increases have had their intended effect of lifting wages for low-wage workers with little to no effect on employment.  Montgomery County is one of the wealthiest counties in the United States and has a very high cost of living, so we are even more well-positioned than many other jurisdictions to take the step of going to $15.

The most prudent course of action would be to raise the minimum wage to $15 per hour by 2020 for all workers in the county with no exemptions, indexing the minimum wage to rise with inflation or average wages after 2020.  Over 100,000 Montgomery County residents would benefit from such an increase.

Opponents of this idea today made the same arguments and dire predictions four years ago.  They were wrong then and they’re wrong now.

The $15 minimum wage bill I recently reintroduced, like the one that took effect in 2013, contains several compromises to assuage the concerns of some of my colleagues and some small businesses.  It delays the phase-in to 2022 for businesses with 25 or fewer employees, for example, and it continues to allow the exemptions for some workers that exist under federal law.  These compromises will result in less help for people in need than my ideal proposal would achieve, but the bill we ultimately enshrine into law will still have a huge, positive impact.

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2018 Montgomery County Executive Race, Montgomery County

On Raising the Minimum Wage, Part I

The County Council is getting ready to reconsider Councilmember Marc Elrich’s bill to raise the minimum wage to $15 per hour that was vetoed by County Executive Ike Leggett, who outlined changes to the bill that he would like to see. Elrich’s bill was one vote short of being able to override Leggett’s veto.

As we are heading into an election year, there is a lot of political pressure around the issue and I imagine something will emerge from the Council. Rather than focus on the politics, however, what are the questions that councilmembers and voters ought to consider?

Direct Impact on the County Budget

For all of the controversy over the effect of a wage increase on the County’s economy, it remains surprising that little thought has been given to the potential impact on the county budget. Marc Elrich argues that it shouldn’t be much:

Probably not much if any [impact] on the County’s own budget. County employees and those who contract for the County have to pay a living wage which this year is around $14.50. So any inflation would get you to $15 in two years at the most.

The PFM Study on the minimum wage was widely discredited as junk science but nonetheless outlined the argument for why a higher wage could cost the county money:

[A $15 minimum wage] would likely present a significant cost to the County both in terms of adjusting employees’ pay to reflect a higher wage floor and to avoid wage compression in relation to that floor, but also through the resulting increases in additional compensation dependent on the base rate of pay (e.g. overtime) and in the County’s pension liability for eligible employees, due to increases in base earnings.

The fiscal impact statement for the bill is rather Delphic:

This legislation, as well as this fiscal impact statement, does not address the issue of wage compression in the County. Any action taken to address this issue would have a significant fiscal impact, which would be difficult to determine at this time.

Seems like it would be good to have a healthy discussion of budgetary impact to make sure we don’t have a repeat from 12 years ago with the county government racking up wage bills that it couldn’t afford in advance of an election. Elrich makes a good case but would the County need to have a higher floor to compete with the private sector?

Should the County Leave It to the State?

Libertarians argue that there should be no minimum wage because individuals should have the right to make contracts at any mutually agreeable wage. Assuming that this ship said long ago in Montgomery County, the question still remains if it wise for the County to enact its own rate substantially different from the state and double that of Virginia.

Del. Bill Frick, a candidate for county executive, has argued we should have a higher minimum wage but it should be done by the State:

Minimum wage policy, however, is more effective as a state policy than as a local one.  Maryland has a Department of Labor, with the statutory power and duty to enforce minimum wage and other employment laws. Montgomery County does not. Just as zoning and land use decisions belong at the County level instead of the state, I believe employment regulation is better in the hands of the state . . .

Additionally, statewide action eliminates risk of losing business to either Howard or Prince George’s Counties, though not DC or Virginia. At-Large County Council Candidate Seth Grimes argues that the county needs to act because the state hasn’t:

The self-sufficiency standard varies widely across Maryland, [so] legislators outside high-cost counties including Montgomery might see a higher minimum as less of a priority than we in Montgomery do. Montgomery County especially needs a higher minimum, but statewide action has failed. Yet Mr. Frick would let a specious search for “more effective” policy hold us back from needed local action.

Still, the county has spent much time focused on areas outside of its core services and regulated in areas, such as pesticides, where it has little enforcement capacity. Frick raises the broader question of whether the County Council spends too much time on issues that should be legislated on in other arenas rather than the nuts and bolts of county government.

Tomorrow morning, 7S continues with a discussion of the impact of minimum wage increases on employment in Part II.

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2018 Montgomery County Executive Race

Floreen Endorses Krasnow

Apparently, Rose Krasnow announced that she was in for county executive at the Montgomery Women breakfast on Friday. Nancy Floreen, who also attended the breakfast, announced her support for Krasnow.

I believe this is this first endorsement by a sitting member of the County Council in the race. Floreen looked past three of her colleagues – Roger Berliner, Marc Elrich and George Leventhal – in making her choice.

If elected, Krasnow would be the first woman to serve as Montgomery County Executive. The two leading candidates in the Prince George’s race, State’s Attorney Angela Alsobrooks and former Rep. Donna Edwards, are women, so the two counties may both have their first female county executives.

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2018 Montgomery County Executive Race

Krasnow Looks In for County Exec

Adam Pagnucco has quite the scoop that he asked me to post. It looks like former Rockville Mayor Rose Krasnow is getting past mulling about a bid for county executive and ready to take the plunge and enter the race.

She has just established a campaign finance entity, Friends of Rose Krasnow, to collect campaign contributions for a run for Montgomery County Executive. The Chair of her committee, Marye Wells-Harley, is a former Vice Chair of the Planning Board.

Not a coincidence, as Krasnow has worked at the Planning Board since 2004 and is now Deputy Director. Krasnow will be the only woman in the race – not a bad niche as women make up roughly 60% of Democratic primary voters.

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2018 Montgomery County Executive Race

Raise the Minimum Wage? George Leventhal Answers

Seventh State is pleased to present George Leventhal’s response to our question on the minimum wage.

Do you favor an increase in the Montgomery County minimum wage and, if so, by how much and on what timeline? Would you have any exemptions and, if so, for whom?   

I support raising the minimum wage to $15 per hour by 2020, as our neighbor, the District of Columbia, has already done. I am amenable to a slower rate of increase for businesses with 25 or fewer employees and for non-profit organizations.

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2018 Montgomery County Executive Race, Minimum Wage

Raise the Minimum Wage? Bill Frick Answers

As the County Council is getting ready to vote on raising the minimum wage, Seventh State continues its series of candidate responses to questions with this issue.

Do you favor an increase in the Montgomery County minimum wage and, if so, by how much and on what timeline? Would you have any exemptions and, if so, for whom?  

I have co-sponsored and voted for bills to raise the minimum wage statewide in Annapolis. A thoughtful minimum wage policy, properly enforced, can be an important tool in reducing income inequality. That is why I helped enact a minimum wage increase as a legislator in Annapolis.  Minimum wage policy, however, is more effective as a state policy than as a local one.  Maryland has a Department of Labor, with the statutory power and duty to enforce minimum wage and other employment laws.  Montgomery County does not.  Just as zoning and land use decisions belong at the County level instead of the state, I believe employment regulation is better in the hands of the state, where those regulations can be effectively enforced and implemented.

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Montgomery County

Council Places M-83 in the Freezer

By a 7-2 vote with Nancy Floreen (D-At Large) and Craig Rice (D-2) opposed, the Montgomery County Council approved a resolution sponsored by Councilmember Hans Riemer (D-At Large) telling the Planning Board to ignore that the controversial M-83 road in making future plans.

The controversy pits Upcounty residents against smart growth and environmental opponents of new roads. Many Upcounty residents in communities like Clarksburg would love to see the long promised alternative route to their communities built in order to alleviate excruciating traffic. Environmentalists and smart growthers think that new roads promote the use of cars and sprawl.

Compromise or Just Spin?

The resolution is being presented by Riemer as a compromise because it keeps M-83 in the Master Plan but tells the Planning Board to act as if it will never be built. Nancy Floreen outlined the politics of spin surrounding this resolution in explaining her “no” vote:

There is nothing in here that says we are going to build M-83. So that is a win for the environmentalist, I guess. And, there is nothing in here that says we are going to build M-83, which is a win for the UpCounty.  I suppose, I should be happy about this because we leave M-83 on the master plan for the future, which is a good thing. But, because we are doing something that is designed to fuel public perception one way or the other, I think it is just plain irresponsible. It is a gratuitous slap in the face to the people who relied on the master plan. And for the people who are opposed to it, it continues the argument ad infinitum.

Indeed, the resolution in amenable to being messaged in a variety of ways to different audiences. Environmentalists and smart growthers can be told it all but kills the road for the time being. M-83 supporters will be told that it’s still in the Master Plan and that the anti-road people aren’t happy for this reason.

Road Opponents Carried the Day But this Street Fight Continues

Riemer, an M-83 opponent, is deeply misguided to the extent he believes that the sop of maintaining M-83 in the Master Plan will appease road supporters. They’re not fooled. The “it’s a compromise” argument only annoys because it comes across as disingenuous to people who wanted this road built yesterday.

Marilyn Balcombe, President and CEO of the Gaithersburg-Germantown Chamber of Commerce, is campaigning for at at-large seat on the County Council and making this an issue:

[T]o invoke the Paris Climate Agreement for any project that someone may disagree with is a very slippery slope. . . . Does this proposed resolution mean that we are never building any more roads in the County?

Not a bad substantive policy question in this election year.

Politically, the impact of this issue remains unclear. It’s a great way to rally Upcounty residents who want the road. But how many vote in the key Democratic primary?

Environmentalists are indeed are unhappy that the county didn’t just kill the road outright. Another county council can take the road out of the freezer and thaw it out. They have a lot of support Downcounty but it’s more diffuse pro-environmentalism rather than opposition to this particular project. Can they rally people beyond the small set of usual suspects to oppose the road?

A more likely strategy is that environmental and smart growth groups endorse against pro-M-83 candidates but mention other more compelling issues or general concerns about climate change in their messaging to voters.

Time to Get Off the Pot

While Riemer presents the resolution as a compromise that leaves all unhappy, another way to see this decision is that they decided not to decide. Often, waiting is a good decision. In the case, however, it has the strong whiff of kicking the can down the road to no purpose as the major fact we can expect to change is that traffic will get worse.

The “solution” that our elected officials voted for is really no solution at all. If councilmembers are against the road for whatever reason–the environment, smart growth, the lack of funds–they should just tell the people by killing it. Similarly, supporters should demand a resolution that actively prepares for it and be ready to explain how they will fund it.

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2018 Governor's Race

Van Hollen to Endorse Baker for Governor

Sen. Chris Van Hollen is set to endorse Prince George’s County Executive Rushern Baker for governor tomorrow.

During the 2016 Democratic primary, Baker took heat from some corners for endorsing Van Hollen over then-Rep. Donna Edwards in the hotly contested Senate race. Like Baker, Edwards is African American and from Prince George’s. Baker’s bet has now paid off handsomely with Van Hollen returning the favor and endorsing him early for governor in a large field.

This is a big endorsement for Baker, as it gives him an entry to new areas of the state. Critical to making use of any endorsement, however, is an ability to take advantage of it by communicating it to voters along with other reasons to vote Baker. Putting that together will require money and a good campaign team.

They seem off on the wrong foot. I don’t know why they’ve chosen to go big with this major endorsement on the Friday before the Virginia elections. Still, Baker will have plenty of time to tout Van Hollen’s support, which will be more valuable if Van Hollen is game to introduce him publicly, cut commercials, or connect him with major donors to political campaigns.

Here is the Baker campaign’s press release:

TOMORROW: U.S. Senator Chris Van Hollen to Endorse Prince George’s County Executive Rushern L. Baker, III to be Governor of Maryland

Upper Marlboro, MD –  Tomorrow, U.S. Senator Chris Van Hollen will announce his endorsement and support of Prince George’s County Executive Rushern L. Baker, III for Governor of the State of Maryland at 11:00 a.m. during a media event at the Wayne K. Curry Sports and Learning Center, 8001 Sheriff Road, in Landover, MD.  During this endorsement event, Senator Van Hollen and County Executive Baker will also address the impact and consequences of Republican attacks on and changes to the Affordable Care Act (ACA).

“I am proud and honored to have the endorsement of Senator Van Hollen for my candidacy as Governor,” said Baker.  “I have known and worked with Chris for nearly 30 years and am proud to call him not only a colleague but a friend.  Chris’ sterling reputation as a budget and policy wonk is only matched by his compassion and dedication to his constituents in Maryland.  Chris was an incredible Maryland State Delegate, Maryland State Senator,  Congressional Representative, and, now, as our U.S. Senator, he is fighting every day on Capitol Hill for the issues and concerns of every Marylander.  I thank him for his endorsement and am confident that as Governor of Maryland, we will accomplish so much for the residents of this great state.”

WHAT:
U.S. Senator Chris Van Hollen Endorses Prince George’s County Executive Rushern L. Baker, III to be Governor of Maryland

WHEN:
Friday, November 3, 2017, 11:00 a.m.

WHERE:
Wayne K. Curry Sports and Learning Center
8001 Sheriff Road
Landover, MD

Note: I have mentioned it previously but wanted to remind readers that I am supporting Rich Madaleno for governor.

 

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George Leventhal, Montgomery County Executive

In Their Own Words, Part IV: George Leventhal

We continue with our County Executive questionnaires with Councilmember George Leventhal (D-At Large).

What was your most important achievement in your current or past office? How do you think it demonstrates your leadership ability?

My most important achievement is that I have consistently been a champion for those who most need a government on their side. My leadership in public office has been to utilize innovative methods of helping and serving those who, but for the involvement of government, could not achieve a high quality of life on their own.

  • I established the Montgomery Cares program, a network of community clinics that this year will provide 70,000 visits to patients without health insurance. The program includes medical check-ups; sick visits; medications; lab tests; X-Rays; flu shots; access to specialty care; access to behavioral health care; oral health care; and more.
  • In 2015, because of my leadership, Montgomery County housed every identified homeless veteran in the county. We are one of three states and 51 communities that have achieved functional zero for veteran homelessness.
  • In 2017, I provided funding to ensure the county can house every chronically homeless individual by the end of 2018, through the “Inside Not Outside” campaign.
  • I have been the champion every year since 2003 for supplementing the wages paid to caretakers for people with developmental differences.
  • I passed the Design for Living legislation, which provides property tax credits for investments that make housing accessible for elderly and disabled residents.
  • I created the county’s Interagency Commission on Homelessness.

I have consistently championed funding for the Maternity Partnership Program, to ensure prenatal care for expectant mothers without health insurance, and Care for Kids, to ensure health insurance for all Montgomery County children.

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Bill Frick, Montgomery County Executive

In Their Own Words, Part III: Bill Frick

We continue with our County Executive questionnaires today with Del. Bill Frick (D-16).

What was your most important achievement in your current or past office? How do you think it demonstrates your leadership ability?

During my career in Annapolis there have been many legislative successes that I am proud of, and each highlight different approaches to leadership.  For many, I have been a negotiator and dealmaker. I was the lead legislator in creating a state-sponsored retirement plan to help low-income workers save for a secure retirement. When I started on this path, the bill was seen as a fringe liberal proposal, but I worked with colleagues in the House and Senate of both parties and carried the bill to a bipartisan success that has been held out by AARP as a national model.

There have also been times when I have served as an unapologetic warrior for our values.  I was the lead house sponsor on legislation to increase the state’s reliance on clean renewable energy, an issue that enjoys little Republican support.  For two years, I championed this legislation until it passed the House and Senate in 2016, only to have Larry Hogan veto the bill.  As a part of the leadership team, I led the override vote that finally allowed the Clean Energy Jobs Act to become law, despite the united objection of the Republicans.

Different circumstances call for different leadership styles, and I am proud that I’ve been able to adapt my role and style to promote and protect Maryland’s values.

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Maryland Politics Watch