Title
Finding that the Class “A” Valet, Inc. violated Saint Paul Legislative Code, Chapter 224, and imposing restitution in the amount of $21,658.
Body
WHEREAS, Class “A” Valet, Inc., a Minnesota business corporation (the “Respondent”), previously provided contracted valet parking services to a restaurant located at 1096 Grand Avenue (the “Restaurant”) in the City of Saint Paul (the “City”) from February 2024 to March 1, 2025 (the “Contract Period”), and was the subject of a Determination of Violation (the “Determination”) and a Notice of Violation and Imposition of Proposed Restitution (the “Notice”), sent to Respondent on March 23, 2026, both of which are attached hereto and herein incorporated; and
WHEREAS, the basis for the Determination was that on February 13, 2025, the Department of Human Rights and Equal Economic Opportunity (“HREEO”) received a complaint (the “Complaint”) from an employee of the Respondent (the “Complainant”) alleging that the Respondent had violated Saint Paul Legislative Code, Chapter 224, the City’s Minimum Wage Ordinance (the “Ordinance”), by failing to pay the Complainant the required minimum wage under the Ordinance; and
WHEREAS, as detailed in the Determination, HREEO thoroughly investigated the Complaint and found that Respondent violated (a) Section 224.03 of the Ordinance because Respondent paid covered employees between $1.00 and $2.00 under the required hourly minimum wage during the Contract Period; and (b) Section 224.08 of the Ordinance because Respondent failed to give employees annual notice of the required minimum wage under the Ordinance and their right to report minimum wage violations; and
WHEREAS, when it has been determined that an employer has violated the Ordinance, the Ordinance states that covered employees may be entitled to backpay and liquidated damages, which is defined as the greater of the amount of wages withheld from that employee or $250; and
WHEREAS, penalties for Ordinance violations are recommended by the Director of HREEO and imposed by the City Council of the City (the “City Council”);
WHEREAS, HREEO’s investigation determined that Respondent had approximately seven (7) employees working at the Restaurant during the Contract Period and the investigation found that all seven (7) employees had been paid below the required hourly minimum wage; and
WHEREAS, the investigation further found that each employee worked approximately 952 hours during the Contract Period and is entitled to $1,547.00 in back pay (See attachment A to the Determination); and
WHEREAS, the Director recommends that the City Council order the Respondent to pay liquidated damages to impacted employees because Respondent has not shown that their Ordinance violations were reasonable or done in good faith, and because the amount of back pay per employee is greater than $250, the liquidated damages per employee is equal to the backpay amount; and
WHEREAS, the Director recommends that the City Council order the Respondent to pay $10,829.00 in backpay and $10,829.00 in liquidated damages to the seven (7) employees for a total restitution amount of $21,658.00; and
WHEREAS, the Notice gave the Respondent until April 13, 2026, to select from the following options: (1) do nothing and a resolution would be submitted to the City Council to impose the total restitution amount of $21,658.00; (2) pay the total restitution amount of $21,658.00; or (3) request a hearing before an administrative law judge to dispute the facts and/or contest the recommended resolution; and
WHEREAS, the Respondent did not respond to the Notice; and
WHEREAS, the Director of HREEO asks that the City Council adopt HREEO’s findings and find that the Respondent violated the Ordinance and impose upon the Respondent a total restitution amount of $21,658.00, made up of $10,829.00 in backpay and $10,829.00 in liquidated damages, to be paid to seven (7) employees; and, now therefore be it
RESOLVED, the City Council finds that the Respondent violated Sections 224.03 and 224.08 of the Ordinance and imposes a total restitution amount of $21,658.00 upon the Respondent, made up of $10,829.00 in backpay and $10,829.00 in liquidated damages, to be paid to seven (7) employees.