City Council is expected to vote Monday to amend the penalty fee for contractors who do not hire Evanston residents for city-funded construction projects.

The ordinance, brought to the council by the Minority, Women and Evanston Business Enterprise Development Committee, suggests changing the penalty for noncompliant contractors to 1 percent of the total project value from the current penalty of $100 per day. Under city code, contractors for construction projects funded by the city are required to pay a fine if they do not employ Evanston residents.

Council decided to hold off on making changes to the penalty for the Minority, Women and Evanston Based Employer and the Local Employment Programs last spring. When the amendment was first up for consideration in April, the original plan recommended changing the penalty to 3 percent of a project’s value.

Added to the amendment is the creation of a Workforce Reserve Account. Funds collected from the penalties will enter the account, which can be used to advance the goals for the city’s Local Employment Program and Workforce Development Program.

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