The Bloomington City Council voted 4-2 Monday to table proposed amendments to the city's prevailing wage ordinance indefinitely after facing strong opposition from labor unions and worker advocates.

The proposed changes would have created a waiver process for certain development projects and expanded exemptions for housing projects up to 20 units, compared to the current eight-unit federal exemption. City Administrator Sarah Amory presented the amendments as a mix of administrative clarifications and broader policy changes designed to provide flexibility for challenging development sites.

Nine speakers testified against the policy changes during the public hearing, including representatives from the North Central States Regional Council of Carpenters, Fair Contracting Foundation, and North Star Policy Action. Lucas Franco of Laborers Minnesota and North Dakota criticized the proposal as potentially opening the door to wage theft, stating that developers seeking exemptions were "not negotiating" but engaging in "extortion."

Council members expressed concerns about the lack of stakeholder engagement in developing the proposals and questioned whether the changes would undermine the ordinance's effectiveness. "We can't put these two against each other," said Councilmember Dallessandro, referring to housing development and fair wages. "I think there's other levers in this particular case."

The council directed staff to continue discussions with stakeholders and return with alternatives for addressing development challenges, particularly for a contaminated site on Minnesota Drive that served as an example case for the proposed waiver process.