Patchwork of rules grows as Iowa counties change minimum wages

CEDAR RAPIDS — In less than three months, the minimum wage in Linn County increases a dollar an hour to $8.25 in its eventual climb to $10.25 by 2019.

But not all cities in the county are likely to force businesses within their boundaries go along.

Last week, for instance, the Robins City Council approved the first of three considerations of a measure to stick with the existing state and federal minimum of $7.25 an hour.

'I think our concern is that unless it's dealt with at the state level, we will end up with a patchwork of minimum wage regulations scattered across a number of counties,' Robins Mayor Chuck Hinz said afterward. 'It will become very confusing for employers, employees and the general public.'

But the patchwork already is growing.

Linn, Polk and Wapello counties this year joined Johnson County — which passed the state's first countywide minimum wage ordinance last year — as counties with their own wage thresholds.

City councils within those counties have the option of following the higher wage rules or passing their own counter ordinance — essentially opting out of the countywide increase.

So even within these counties, the minimum wage differs depending on where a business operates or where an employee works.

In Johnson County, councils in Oxford, Shueyville, Solon and Swisher declined to follow the county rate, while Tiffin passed a separate ordinance establishing a $9 an hour minimum wage.

It's turning into a similar scenario in Linn County.

The county ordinance calls for the minimum wage to increase by $1 at the start of the next three years until it reaches $10.25 an hour in 2019.

In addition to Robins, Ely's City Council has agreed to keep the minimum wage at the state's $7.25 an hour level.

'Overall, the feeling from the city that we received from our citizens was they wanted to opt out,' Ely Mayor Eldy Miller said.

Prairieburg, which is home to three businesses, seems poised to discuss a counter ordinance at the City Council's November meeting, Mayor Arlene Holub said.

Central City Mayor Don Gray said his community also plans to stick with the state wage, but the council in early 2017 could revisit it.

'We will review it again after the first of the year,' Gray said. 'We just felt there wasn't enough time to get our hands wrapped around it and thoroughly investigate it.'

Mayors in Fairfax, Palo and Springville said their councils will be following Linn County's ordinance, at least for now.

Springville Mayor Roger Shebetka said most businesses in his community already pay above the first two tiers of the county's new requirement, but added the third increase to $10.25 an hour has some employers concerned.

Until then, Springville is on board, he said.

'We're going to ride along with what Linn County has come up with and go from there,' he said.

Hiawatha's City Council this month passed a resolution supporting the county's ordinance.

Meanwhile, councils in Cedar Rapids and Marion — Linn County's two largest cities and home to about 75 percent of its population — have had no formal discussion on the wage ordinance. Unless they act otherwise, those communities will follow the county's wage increases.

Mayors in Mount Vernon, Coggon and Center Point said their respective councils still are undecided on the issue.

'We have a group in town that is working with area employers to gauge where they're at, that will help us kind of determine our path,' Mount Vernon Mayor Jamie Hampton said. 'We want to make sure we have a clear understanding of what they're looking for and the impact to them.'

Officials in Alburnett, Lisbon and Walker could not be reached last week for comment.

Draft minutes from Alburnett City Council's Oct. 13 meeting show it is the council's intent to follow the state's rule and not the county increase.

The Walker City Council on Sept. 20 passed a resolution to adopt Linn County's minimum wage ordinance, while Lisbon's City Council is scheduled to hold a public hearing Monday on the ordinance, according to council draft minutes.

For some of the county's smallest communities, such as Bertram, which is zoned entirely residential, the minimum wage isn't much of a talking point.

'There aren't any companies or businesses in town,' Bertram Mayor James Drahos said. 'It's not really a topic of discussion. If it came up, I'm sure it would be a short discussion.'

LINN COUNTY MINIMUM WAGE TIMELINE

January 2016: The Linn County Board of Supervisors votes to create a working group to explore the pros and cons of a countywide minimum wage increase.

March: The working group — which includes elected officials, residents and other vested individuals — holds its first meeting.

June: In its third meeting, the group votes to recommend supervisors raise the minimum wage from the state and federal rate of $7.25 an hour to $8.25 in January 2017.

August: Supervisor Ben Rogers proposes three annual $1 increases to the minimum wage starting Jan. 1, 2017. Under the proposal, the minimum wage would reach $10.25 an hour on Jan. 1, 2019.

August: The board votes 4-1, with Supervisor John Harris opposed, in favor of the proposal. Language that would have implemented future annual increases based on the Consumer Price Index's Midwest region is removed by the board.

September: The board passes the second and third readings of the ordinance. City councils now have to decide whether they wish to go with the ordinance or pass their own minimum wage ordinance within their jurisdictions.

Jan. 1, 2017: The first $1 increase will raise the Linn County minimum wage to $8.25 an hour.

Jan. 1, 2018: The minimum wage in Linn County will reach $9.25.

Jan. 1, 2019: Linn County's minimum wage will reach $10.25 an hour.