In this past Monday's SF Chronicle, March 16th, a front page story detailed the unforeseen circumstances of the good intentioned wage increases in Oakland. In summary it details how those business and their employees that are operating on the margins will be hit the hardest by the rise in cost: some will close and some will have to lay off employees and it is not possible to just raise prices for their guests and clients because just does not work that way. But even more importantly the proponents of Oakland Measure FF admit that they never specifically analyzed the impact of this wage increase on all industries.

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March 18, 2015 j -

Ms Debbra Lindo, Administrator Emery Unified School District 1275 61st St Emeryville CA, 94608-3096

R E : Strong concerns over the proposed Minimum Wage Ordinance

Dear Ms Lindo,

As you are aware, the City of Emeryville is intent on increasing minimum wage to $14.42 by July 1, 2015 ~ more than 60% higher than the current minimum wage.

I am writing bcc?fcrsc this will deeply hurt our ability to conduct business in Emeryville. With my own business, this wil l increase my labor cost by $300k per year. I would need to increase prices by almost 20% to break even.

Emery Unified School District will be greatly hurt by this increase! I l l

* Businesses will be forced to increase prices and reduce our labor in order to break even to meet this 60% minimum wage increase. This assumes that our business level will stay status quo and we wil l continue to get the same volume of patronage from our Emeryville community.

* Customer's will elect to spend their dollars at businesses in neighboring cities, where prices have not been inflated in order to meet such a high minimum wage, and where service has not been compromised due to labor reductions. Emervville residents will not be helped bv this increase in minimum wage. They will now be faced with paving much higher costs for all products and services. i I ; j| I I I

* The community will ask themselves: Why buy gas in Emeryville i f I can drive to Albany and pay less? Why eat a burger in Emeryville, when I can pay less in El Cerrito and get better table service? Why shop at the mall in Emeryville, or go to a movie in Emeryville, when I can go to a

-f^lose-by city and pay so much less? How wil l the child care facilities survive from this increase?

* Emeryville has so far enjoyed the advantage of attracting businesses to our City. However, this steep minimum wage increase will discourage businesses from coming into Emervville, and wil l encourage existing businesses to flee. This inflated minimum wage increase is ceding our former business advantage to our neighboring cities. | | I I

* Businesses will strategically locate just outside the Emeryville borders to take advantage of the lower labor rates in our neighboring cities, but capture the increased business from | | Emeryville residents who will venture out of Emeryville to buy lower-priced goods and services.

* This increase wil l greatly impact the food service industry. Full-service restaurants wil l not be able to absorb the hit that this minimum wage increase wil l impose, so they wil l not relocate here and those already here wil l leave Emeryville. Those who try and stay will consider drastic changes to their service model such as robotic, mechanized processes in order to cut steep labor.

* Full-service restaurant employees receive hourly pay in addition to tips. Customers wil l consider the cost increase and the corresponding tip increase in deciding to not go to full-service restaurants. Full service restaurants will disproportionately vanish from Emeryville's business landscape, leaving only fast food restaurants to serve Emeryville's residents. ^ ^

* Most residents of Emeryville do not actually work in Emeryville. The majority of workers in Emeryville are employees who work here but commute in from other cities. So it is not our own Emeryville residents who would gain from the increase in minimum wage. But Emeryville residents wil l suffer by paying inflated costs within our city for their goods and services.

I stress to you that the City Council of Emeryville is "rushing in" with their intent toward this magnanimous minimum wage increase,

poised to occur in less than five months! j |

* The State of California has just recently raised minimum wage to $9 per hour, with plan to raise it to $10 on January 1, 2016. ^ 111 _ Li t

* Why is the City of Emeryville Council imposing itself in front of the State Legislature?

* Currently there exists a bill in State Legislature, SB 3 (Leno), that wil l increase the entire State's Minimum Wage to $13.00 per hour. Why doesn't the City of Emeryville wait for this bill to fulfill itself? What is Emeryville's motive to "rush" though such a steep increase?

* What studies has the City Council conducted to justify an increase of 60%? | I : II: 111 "'^1.

I personally understand what the State of California is doing with respect to State increases in minimum wage, and how it is designed to meet the day to day needs of the minimum wage worker. It is in my best interest to pay over the minimum wage in order to keep the best talent, which keeps the community coming into my store and keeps my workers earning a paycheck.

This proposed increase wil l hurt the businesses that operate in the city, hurt the residents in the city, and make the city far less competitive than neighboring cities when attempting to attract new businesses and amenities for the city's residents. }

I am gravely concerned that the schedule by which the City of EmeryYiUC iS PfOPOSlllg tO increase 60% in such a short timeframe is vastly out of line. Emeryville's City Council ^ should reject this drastic and rushed proposal!

The City of Emeryville should instead look to the State legislator as the proper place to consider an appropriate minimum wage, or provide a longer timeframe for discussion, comments, and voting on this proposal so that it can be fully and thoughtfully considered and voted on.

No worker should go home worrying about being hungry, but no business owner in our I Emeryville community should go home worrying about how they will meet the next payroll.

Sincerely, ^t- \I ^ : ; ! ^ - f 1 : '

c u ^ - - s ? ^ . ^ w ^ I Celina Gonzales, ceIma@bavafeabears.eom Black Bear Diner of Emeryville

Debbra Open & Read!!! , City of Emeryville proposed Minimum Wage Increase The time is NOW for City Council to hear from YOU!

\ , ' I i l l

Deadline to Object is April 5th (Monday)!

The Business Community within Emeryville needs to come together to oppose this over 60% Minimum Wage increase. Our deadline to voice our objection - Monday, April 5^ ^ -- is less than 15 days awav- We must pull together fast!

We are inviting you to a pre-Council meeting on Wednesday, March 25th to form a collective voice of Em.erjwiik businesses. Our goal for this meeting is to join together as Business Owners to create a powerful collective voice on how this extraordinary high minimum wage wil l impact our businesses.

March 25th Meeting - 7pii| EWri^fe'Witnesses Concerned about Minimum Waff'IncreS^

At Four Points Sheraton Hotel, Marina Golden Gate Roonj J^ 03 Powell Street

Emeryvillj

We would really appreciate having you join us. It would be helpful i f you can RSVP by sending me an email to celina@bayareabears.com. We look forward to meeting you! I

Should you be unable to attend the March 25^ ^ Pre-Council Meeting, do not worry. You are also invited to attend the real City Council Hearing on April 7^*^ at 6:30 PM in the Emeryville City Hall. At that meeting you will have three (3) minutes to share your story regarding this minimum wage hike directly with the Mayor and City Council. It is critically important for us as business owners to pack the room during this hearing!

Title First Name Last Name Email Address Phone

Mayor Ruth Arkin ratkin(a)ci.emervville.ca.us (510) 596-4376 Press 5 Vice Mayor Nora Davis ndavis@ci.emervville.ca.us (510) 596-4376 Press 4 Councilmember Jac Asher iasher(a)emervville.orq (510) 596-4376 press 3 Councilmember Dianne Martinez dmartinez(2)emeryville.ora (510) 596-4376 Press 6 Councilmember Scott Donahue sdonahue(a)emeryville.ora (510) 596-4376 Press 7

City Manager Sabrina Landrith slandreth@emeryville.org (510) 596-4376 Press Acting Manager Michelle De Guzman mdequzman@emerwille.ora (510) 596-4376 Press

All can be reached at this address: 1333 Park Ave, Emeryville, CA 94608