The new rules don't prevent the city from considering its current bidding factors, which take into account a company's financial history, among other concerns, when awarding contracts.

Anderson, who did not return a phone call for comment, had previously pondered creating an ordinance enacting a living-wage rule. As an ordinance, however, the changes would need City Council approval, which some at City Hall predicted might be a struggle.

Anderson used his administrative authority to alter the city's procurement rules.

The council and mayor have sparred in the past over how far Anderson could reach with his mayoral powers.

Council members and the mayor reached a written compromise in 2001 acknowledging that three controversial executive orders Anderson signed didn't trump existing city ordinances. The accord also asserted the mayor's right to manage administration employees.

Councilman Dave Buhler, who was often at odds with the mayor then, said he would withhold judgment on the new procurement rules until he sees them.

"If it has far-reaching policy implications, it probably should be an ordinance," he said.

Along with the procurement changes, Anderson prepared a written defense of the changes, noting that other cities don't pay significantly higher costs due to living-wage rules, that contractors show improved productivity because of them and that cities don't experience adverse business impacts.

"This is actually going to be a benefit to the city based on their research," Neckel said. "These factors can actually improve the quality of contracts for the city."

---

E-mail: bsnyder@desnews.com