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January 9, 2015 Hon. Herb J. Wesson City Council President Sharon M. Tso Chief Legislative Analyst Miguel Santana City Administrative Officer Re: Selection of U.C. Berkeley for Los Angeles minimum wage study Dear President Wesson, Ms. Tso, and Mr. Santana: ‘Our goal from the very beginning of this discussion was to support 2 necessary hike in the minimum wage in a fair and equitable manner based on factual criteria and a complete understanding of all the implications before making a policy decision. Itis critically important that we avoid unintended consequences of a city-wide wage policy that could result in layoffs, reduced worker hours, reduced federal benefits, and business closure. While we respect U.C. Berkeley as one af the top academic institutions in the country, they are the same economists that produced the original report for which the Mayor is basing his minimum wage proposal, The speed at which the Request for Proposal took place, during the peak of the holiday season, does not speak to a process that gives the City much flexibility in identifying interested and qualified bidders. In addition, the full City Council has not had the opportunity to discuss the scope and timing of this critically important analysis. The City Council should seek data from a neutral source in order to make a decision that will be deeply impactful to the Los Angeles economy. We are about to enter into what could be the most important policy decision we make as elected officials. ‘The selection of U.C. Berkeley, by perception, compromises the possibilty of a fair and balanced discussion. | would like to reopen and extend the Request for Proposal deadline, so that we can engage in a process that is worthy of our employers, workers and their families, and the well-being of our economy. Sincerely, F a MITCH O'FARRELL FELIPE FUENTES Counciimember, 13" District Councilmember, 7th District &

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