You can find out more information regarding the RCBO on the city of Richmond’s website, including the Employer Compliance Procedures, Commuter Benefits Compliance Guide and the Commuter Benefits Ordinance Registration Form.

If you have any questions or need assistance complying with the RCBO, please call (510) 620-6869, or email cbo@ci.richmond.ca.us or lori_reese-brown@ci.richmond.ca.us.

Covered Employers

The RCBO applies to all registered businesses in Richmond with an average of 10 or more employees.1 A registered business means any “individual or entity engaging in business in Richmond who must obtain a business registration certificate from the Office of Treasurer and Tax Collector.”2

The employee count includes those who work on a full-time, part-time, or temporary basis, including employees [who] work outside the geographic boundaries of Richmond, including those who were hired through a temporary service, staffing agency, or other similar entity.3

• If you have more than 50 employees across the Bay Area, you need to register with the Bay Area Commuter Benefits Program (BACBP) and are exempt from the RCBO. You may, however, have to submit quarterly progress reports or annual reports to Richmond. Read more about the BACBP and its requirements.4

Covered Employees

A covered employee is any person who:

• Performed an average of at least 10 hours of work per week for compensation over a 90-day period within the geographic boundaries of Richmond for the same employer; and
• Qualifies as an employee entitled to payment of a minimum wage from the employer under the California minimum wage law, or is a participant in a welfare-to-work program.5

Commuter Benefit Options

Covered employers must offer one of the following transportation benefits:

• Pre-Tax Benefit: This option allows employees to exclude commuting costs from taxable wages and compensation up to the maximum level allowed by federal tax law (see the current IRS tax code for any updates or changes).6 The commuting costs can include transit passes, vanpool charges and other such expenses — except for parking.
• Employer-Paid Benefit: Under this option, the employer supplies a transit pass or reimbursement for equivalent vanpool charges that cannot exceed the cost of an adult monthly AC Transit regular pass for the public transit system. The employer can also choose to reimburse qualified vanpool charges.
• Employer-Provided Transportation: The employer provides transportation at no cost to the employee using a vanpool or bus, or similar multi-passenger vehicle operated by or for the employer.
• Alternative Commuter Benefit: You may provide an alternative commuter benefit, but it must be pre-approved by Richmond.7

Businesses must offer consistent benefits to each Richmond worksite if they have multiple locations.8

Registration

Once you select which benefit program you want to offer, designate a benefits coordinator and register your business annually by April 30. Even if you don't need to comply with the RCBO, you must register that you are exempt. Businesses with 10 to 49 employees should register with Richmond; those with 50 or more must register with the BACBP.9

Richmond may also issue a semi-annual commute survey that, if received, must be completed.10

Businesses can submit one form for multiple locations since the Richmond registration form contains a space for businesses to list additional worksites, such as a corporate office or equipment yard.11

Posting and Recordkeeping Requirements

Richmond will issue certificates of compliance upon approval of your commuter benefits program. The certificate should be posted at the worksite in an area visible to employees with an outline of the commuter benefits program so all employees can review it. The employer is required to make sure employees know about the program and offer guidance for planning a commute using one of the commute alternatives, such as public transportation, carpool, vanpool, biking or walking.12

Businesses not covered by the RCBO or that are exempt are still required to provide information to employees about commute alternatives and the 511 Contra Costa program.

There is no specific recordkeeping requirement according to the RCBO. However, since the city will enforce this ordinance and may request that you demonstrate compliance, it is recommended that covered employers keep records on their commuter benefits program or evidence of their exemption from the RCBO.

Enforcement

Richmond enforces the RCBO in coordination with 511 Contra Costa and the City Manager's Office. Prior to taking any enforcement action for failing to offer at least one transportation benefit program to covered employees, Richmond will issue a written notice to an employer requesting proof of compliance within 90 days. The Richmond City Attorney may seek legal, injunctive or other equitable relief including civil penalties not exceeding $200 for the first violation, $400 for the second violation, and $600 for each subsequent violation in any given year.13

1. Richmond Muni. Code sec. 9.62.010(3)

2. Employer Compliance Procedures, pg. 2

3. Richmond Muni. Code sec. 9.62.010(3)

4. Commuter Benefits Compliance Guide, pg. 1

5. Richmond Muni. Code sec. 9.62.010(2)

6. IRS Code 132(f)

7. Richmond Muni. Code sec. 9.62.030 (1-3); Commuter Benefit Compliance Guide, pg. 2; Employer Compliance Procedures, pg. 1

8. Employer Compliance Procedures, pg. 2

9. Employer Compliance Procedures, pg. 2; Commuter Benefits Compliance Guide, pg. 1

10. Richmond Muni. Code sec. 9.62.020

11. Employer Compliance Procedures, pg. 2

12. Employer Compliance Procedures, pg. 2

13. Richmond Muni. Code sec. 9.62.040