City Treasurer Kurt Summers projects his office will generate an additional $38 million in new revenue next year by investing more of the City’s cash on hand. Summers provided more details how he plans to do that, as well as giving a general update on the city’s investment portfolio during a public conference call yesterday afternoon.

October was a slow fundraising month for the City Council, while fundraising heavyweights Zoning Chairman Danny Solis (25), Finance Chairman Ed Burke(14), and downtown alderman and Vice Mayor Brendan Reilly (42) eased up during last month’s budget talks.

At one point, in the midst of the City Council’s tense city budget debate, the whole chamber went quiet. Every aldermen held their breath, Clerk Susana Mendoza and Mayor Rahm Emanuel froze at the podium and every reporter in the press box stilled themselves to see what would happen next.

Aldermen David Moore (17) had voiced an objection to Finance Committee Chairman Ed Burke’s (14) motion to suspend the rules of the Council.

Backroom negotiations, last minute concessions, and waves of phone calls to Aldermen from the Mayor’s office, coupled with a fear that there were no alternatives, ultimately helped pass Mayor Rahm Emanuel’s nearly $8 billion budget, historic property tax hike, and a new monthly garbage fee Wednesday.

According to our conversations with aldermen, the first important move was to take something office the table. In the week leading up to the budget vote, mayoral staffers assured aldermen 311 privatization wouldn’t happen. Then, Mayor Emanuel agreed to cap the $9.50-a-month garbage fee through the next election, and put the new revenue in an enterprise fund solely dedicated to trash collection. He agreed to working on implementing a rebate program to help mitigate the impact of his property tax increase should Springfield fail to pass the homeowners exemption in time.

Those and other privately-made concessions were just enough for some aldermen to flip their vote. Of the ten aldermen who opposed the Mayor’s revenue plan when it was voted on in Finance Committee October 19th, four switched their vote.

The most notable switch was Ald. John Arena (45), a member of the Council’s Progressive Caucus, a “no” to last year’s budget, and one of the Mayor’s biggest targets in this year’s election. When Aldertrack spoke to Arena yesterday to ask if he made a separate deal with the Mayor to help sway his decision, he replied, “No, I don’t really deal that way.”

Arena said he voted in favor of the budget because it finally addressed fundamental issues he had with budgets from prior years: too much dependence on borrowing to pay for basic city services, lower than required pension payments, and no new sources of revenue.

But minor concessions were made. Arena was able to get a rideshare ordinance he co-sponsored with Ald. Anthony Beale (9) through the City Council. And even though their original proposal, a requirement for Uber drivers get a public chauffeurs license, was cut out of the final version, Beale and Arena were able to increase the surcharge on all rides hailed through a ride-sharing app, start a rebate program to mitigate the fees taxi drivers have to pay on fingerprinting and background checks, and a request that the Commissioner of Aviation conduct a traffic study to determine the impact of opening the airports to ride-share drivers. Arena said the last item keeps the door open for potential changes down the road.

Arena and Ald. Michele Smith (43) were also successful in getting the Mayor to bend on the rebate issue. Smith’s vote was also in play since she represents Lincoln Park, one of the areas expected to be hardest hit by the increased property tax. Smith was one of several aldermen who called for a city-wide property tax rebate.  

Two weeks ago, in the midst of budget hearings, the Mayor poured cold water on the rebate idea, saying he preferred exemptions over rebates, because they don’t require a stable revenue stream and can be easily applied. But this past week, according to multiple aldermen Aldertrack spoke to, the Mayor’s office began promoting Arena and Smith’s rebate resolution, even pushing Council members to co-sponsor it the night before the budget vote.

With the Mayor’s support, Arena and Smith secured their plan by attaching their resolution to the agreed calendar vote at Wednesday’s City Council meeting. They called for creation of a city-administered property tax rebate program by June 1, 2016 if the Illinois General Assembly fails to enact the Mayor’s homestead exemption into law by April 30, 2016.

Joanna Klonsky, a representative for the Caucus, says she believes the whole caucus supports the ordinance. The rebate deal is why none of five Progressive Caucus revenue amendments introduced last week made it into this year’s budget, according to Arena. Since a rebate plan is estimated to cost between $20 and $40 million dollars, depending on how many people apply, and since the city doesn’t currently have a dedicated revenue source to pay for it, some of the Progressive Caucus ordinances, like closing amusement tax loopholes, are being held back as potential ways to pay for the rebate, Arena says.

One aldermanic staffer, who asked not to be named for this story, claimed Arena excluded the rest of the Caucus when he made that deal.

Arena wasn’t the only Progressive Caucus alderman to support the Mayor’s plan. He was joined by Ald. Nick Sposato (38) and Ald. Leslie Hairston (5), who had originally voted against it in committee but changed their minds when it went to the full Council; Ald. Roderick Sawyer (6), Ald. Rick Munoz (22), and Ald. Toni Foulkes (16) also voted “yes”. Ald. David Moore (17), split his vote, approving the Mayor’s spending plan, but rejecting the revenue ordinances, because he refused to support the monthly garbage fee.

Ald. Foulkes said the mayor’s decision to not pursue 311 privatization and the cap on the garbage fee secured her vote, in addition to the unprecedented open line of communication between her, the Mayor and his staff.

“I stopped counting after nine meetings [with Mayoral staff],” Foulkes told Aldertrack yesterday. She says she never experienced a budget cycle that involved as many meetings and follow-up calls as this one. On one occasion, one of her constituents asked her to clarify language on new snow shoveling regulations. Soon after Foulkes called mayoral staff for an answer, she got a quick response from the Mayor’s office to explain the changes.  

Ald. Tom Tunney (44), who voted against the revenue plan in committee after lamenting how high commercial property taxes in his Lakeview ward has already contributed to vacant storefronts, ultimately voted in favor of the budget. In an email sent to constituents after the vote, Tunney explained that his decision was based on the assurance he’d get an additional 35 police officers assigned to the 19th Police District and a new multi-million dollar capital investment in Lake View High School.

Ald. James Cappleman (46), whose ward is also within the 19th district, cited increased police presence as part of how he got to yes. So did Ald. Pat Dowell (3), a critic of many of the Mayor’s revenue proposals, but who voted yes, because of extra police and “the opportunity to address overcrowding issues affecting some my neighborhood schools and allows other schools in my ward to get the deferred maintenance and upgrades - like air conditioning - they desperately need.”

But not everyone on the Council felt the mayor had done enough to mitigate their concerns, or felt the backlash from constituents would have been too much to stomach.

Ald. Deb Silverstein (50), who voted against the budget in committee and at the full City Council meeting, told Aldertrack there weren’t any offers on the table to change her mind and that her decision was based on negative feedback on the budget from constituents. The chiefs of staff for Ald. Deb Mell (33) and Ald. Harry Osterman(48) also cited constituent outrage as the reasons for their no votes.

Ald. Brian Hopkins (2), a new alderman who voted “no,” wrote on his Facebook page that while the Mayor made compelling arguments, he stuck to his campaign pledge to vote against a property tax hike. 

Ald. Jason Ervin (28), Vice Chair of the Budget Committee, says he wasn’t offered a deal, despite his plan to vote no. “I laid out my position [with the Mayor’s staff] and that was about it,” Ervin said. The driving factor for him: The iniquity of how the new garbage fee will impact Chicago’s poorer communities.

Ald. Milly Santiago’s (31) Chief of Staff, Kevin Lamm, said the alderman met with the Mayor and his staff and was even offered to have the schools in her ward wired up with new fiber optic technology. But she rejected that offer, according to Lamm, and ultimately decided to go against the Mayor’s spending plan, because she felt uncomfortable with how much it relied on help from Springfield.

Santiago also had one of the closest races this past election, narrowly beating long-time incumbent Ald. Ray Suarez, by highlighting his close relationship with the Mayor and portraying him as someone who was out of touch with the needs of the ward’s residents.

The City Council approved Mayor Rahm Emanuel’s 2016 budget plan that calls for nearly $8 billion dollars in city spending, a $544 billion dollar property tax increase to be phased in over four years, a $9.50 per month garbage collection fee, a new cloud tax and various increases in existing fines and fees. As expected, Finance Chair Ed Burke (14) lumped the 2016 Revenue Ordinance and all four years of the property tax increase into one motion, forcing opponents of any item into one opposing or supporting vote.

The day came down to a series of key, divided roll call votes with some surprising last minute changes.  One of the day’s biggest surprises: Ald. John Arena (45), one of the Progressive Caucus’ most outspoken critics of the Mayor, voted in support of Emanuel’s budget plan.

[Official Clerk's Office Vote Tally]

Along with another earlier property tax opponent, Ald. Michele Smith (43), Arena introduced a resolution, later passed unanimously as part of the consent calendar, saying if Springfield did not enact double the existing homeowner’s exemption by April 30, City Council would consider a city-managed rebate program by June 1. In off the record discussions with Aldertrack earlier this week, a number of aldermen said the resolution would help make a yes vote easier for them.

Reading from a prepared speech, Ald. Arena said that while none of the revenue proposals the Progressive Caucus introduced will be implemented in this year’s budget, he’s still determined to get them in future budgets. The Mayor’s decision to not outsource 311 is the main reason he'd vote in favor, he said.

Another surprising vote came from Ald. Jason Ervin (28), who served as Budget Chairman Carrie Austin’s (34) right hand during the budget hearings as she dealt with health issues. He gave one of the most impassioned speeches of dissent on the floor yesterday.

“We always tell people that we have to do more with less, but the truth is, we do less with less,” he said, adding that it is unacceptable that city’s Police Department has been a hundred million dollars over budget for the past four years, mainly due to overtime costs, but “decent folk can’t sit on their porch or walk to the corner for fear of being the next [shooting] victim.”

Raising his voice as he pressed on, Ervin was furious that nearly $600 million dollars in new revenue–the money from the property tax increase–was going to one item, “while the rest of our services and our police department doesn’t have what it needs.” He continued to rail against the garbage fee, warning the time would soon come when the city would need to raise revenue again, and Springfield will be unlikely to help.

Vote: Management Ordinance and 2016 Appropriations – 36-14
First, there was the 36-14 roll call vote on the actual spending plan, which included the appropriation ordinance, management ordinance and the community block grant. The “no” votes came from aldermen Brian Hopkins (2), Susan Sadlowski-Garza (10), Roberto Maldonado (26), Jason Ervin (28), Chris Taliaferro (29), Milly Santiago (31), Scott Waguespack (32), Deb Mell (33), Carlos Ramirez-Rosa (35), Gilbert Villegas (36), Anthony Napolitano (41), Brendan Reilly (42), Harry Osterman (48), and Deb Silverstein (50).

Vote: Revenue Ordinance and 2015-2018 Property Tax Levies – 35-15
Second, there was the 35-15 roll call vote on the revenue ordinances, which included the phased-in property tax increase, a $45 million property tax levy to help fund capital expenditures at Chicago public schools, a $9.50/month garbage-fee, and various increases to existing fines and fees.

Ald. David Moore (17) joined the group above in voting “no”, after his motion to break up the revenue vote failed. Moore wanted to vote against the garbage fee and support the property tax, but when he called a motion to separate the ordinances, 46 aldermen voted against him.  

Vote: Rideshare Rule Changes – 38-11-1
Finally, there was a roll call vote on the recent amendments made to the rules and regulations governing taxi and ride-share drivers. It gives Uber and other ride-hailing drivers the right to pick up passengers at O’Hare and Midway Airports, McCormick Place, and Navy Pier, in addition to slapping on a $0.52 surcharge on all ride-share rides and a rebate program to minimize the fees associated with background checks and fingerprinting taxi drivers have to pay.

That motion passed in a 38-11-1 roll call vote. Ald. Gilbert Villegas invoked Rule 14, abstaining from the vote, while the following aldermen voted “no”: Leslie Hairston (5), Roderick Sawyer (6), Susan Sadlowski-Garza (10), Raymond Lopez (15), David Moore (17), Ricardo Munoz (22), Scott Waguespack (32), Carlos Ramirez-Rosa (35), Nick Sposato (38), Anthony Napolitano (41), and Deb Silverstein (50).

Prior to the votes, aldermen stood up one by one to explain why they were either voting or rejecting the Mayor’s 2016 plan.

A number of the Mayor’s surrogates, like Ald. George Cardenas (12), Pat O’Connor (40), Ameya Pawar (47), and Joe Moore (49), urged the rest of the body to vote in favor of the budget, saying it would finally put the city on the right course to funding its public pensions and reducing its dependence on borrowing for basic city services.

But not everyone in the chambers was convinced by their pleas and expressed concern the mayor’s budget would cause more harm than good.

“This is incredibly stressful and incredibly crazy,” newly-elected 41st Ward Alderman and former firefighter Anthony Napolitano said, describing the pressure in the leadup to yesterday’s vote as worse than being trapped in a basement during a fire. And even though most of his family and constituents are public pensioners, he voted no, citing the impact the property tax hike would have on his North Side ward.

He was joined by Logan Square Ald. Carlos Ramirez-Rosa (35), who said he was sad his peers would rather vote to increase property taxes than cut city spending and their own six-figure salaries. In the weeks leading up to the budget, Rosa introduced an ordinance calling for a salary reduction for public employees who make more than $100,000, a stormwater stress fee, and a property tax rebate ordinance based on a homeowners’ salary. None of those items made it into the budget.

“I’m sad today because four to six months from now, a tenant will come to my office and tell me, ‘Alderman, I’m being pushed out. The council voted to raise property taxes...and as a result my landlord is raising my rent.’” He then equated the series of fees and tax hikes included in this year’s budget to a playground bully demanding money out of someone’s pocket.

His comments prompted Ald. Danny Solis (25) and Ald. Joe Moreno (1) to go on the offensive.

“This is the job you signed up for,” Solis said, looking back at Rosa. “Your number one job as an alderman is to make sure that your neighborhoods are improving, that the quality of life is good [...] How are you going to do that without money? Without revenue?”

“I cannot stand here to listen to hyperbole and pandering, you know, someone says they are sad in the 35th Ward,” Ald. Moreno said, raising his voice. “You know what I’m sad about? That people aren’t willing to bring their own solutions to the table, but yet vote against the solutions that have been brought about by your administration and many in this room.”

“That kind of hyperbole is why I got into this business, because I was tired of those so-called leftists that I share the floor with,” he added.

Taking another direct shot at Rosa’s emphatic no vote, Ald. Moreno tweeted out a statement almost immediately after council wrapped. “Aldermen cannot lament about this budget and tell their residents they're fighting for them by voting no without presenting viable solutions to address and resolve our budget crisis. Empty rhetoric is not going to dig us out of our budget hole. Pandering about how terrible this budget is and suggesting tax increases for corporations to resolve our city's fiscal problem, and then voting in favor of a major multi-million dollar tax break to a wealthy car dealer in their ward is simply unconscionable.”

Moreno was referring to the recently passed $5.5 million class 7(b) real estate tax break for a new Berman Mid City Nissan dealership in Avondale, in Rosa’s ward. He testified in favor of the tax break to help with a $19 million dollar renovation to turn two old warehouses into a new car dealership.

Other Items Approved

In addition to the budget-related items the City Council approved an ordinance that paves the way for the proposed Lucas Museum, the Mayor’s appointment of David Reifman as the new Commissioner for the Department of Planning and Development, and a new universal parking pass that lets Chicago realtors park their cars along any zoned street in the city during business hours. Nine aldermen asked to be recorded as no votes for the Lucas Museum: Pat Dowell (3), Leslie Hairston (5), Gregory Mitchell (7), Ameya Pawar (47), Scott Waguespack (32), Tom Tunney (44), Harry Osterman (48), John Arena (45), and Brendan Reilly (42). Chairman Burke abstained.

Post-Vote Statements From Aldermen

In an email to his newsletter subscribers, Ald. Tom Tunney (44) called this year’s budget vote the most difficult he’s had to take. Tunney’s “yes” was threefold: he was assured 35 extra officers would be assigned to the 19th police District, be believed police and fire pension obligations had to be met, and the budget included a new addition: a multi-million dollar investment in Lake View High School “to increase the academic rigor of the school, inclusive of an honors program, and stronger connections to area elementary schools. The investments provided in the 2016 budget will make Lake View HS the quality neighborhood option which our residents demand. This will further build on the efforts of the current leadership of Lake View High School.”

Ald. Michele Smith (43), whose ward is likely to be one of the hardest hit by the property tax increase, voted “yes”, after securing Mayor Emanuel’s support of her and Ald. John Arena’s (45) rebate ordinance. Arena also voted in favor of the budget, despite being a staunch Emanuel critic. In a statement emailed shortly after Council wrapped, Smith said, “This is an iron-clad commitment to extend property tax relief to the people that have helped build our community and stabilize our neighborhoods… The plan provides tax savings, whether or not the expanded homeowner’s exemption passes in Springfield.” Smith said the Mayor also gave her a direct commitment to aggressively pursue major spending reforms, and form a task force on absenteeism, a common line of questioning from Smith during the budget process.

Ald. Will Burns (4) also sent an e-blast in the hours after the vote, saying pension obligations were his main driver. He cited the state-mandated requirement for payments, growing liabilities, and an obligation to police and firefighters to pay up. But he also called out no voters: “A vote against this budget is a vote against guaranteeing the future of Chicago. A no vote says that we will not fulfill our contractual obligations, invest in affordable housing, early childhood education, and afterschool programs.”

Ald. Matt O’Shea (19), explained his “yes” vote in his newsletter, saying hundreds of millions of dollars worth of cuts had already been made, and voting “no” would go against the “interests of the nearly 5,000 first responders who reside in Beverly, Morgan Park and Mount Greenwood. Our police officers and firefighters deserve their pension benefits.” O’Shea was one of a few aldermen who successfully pushed the Mayor’s office to cap the proposed garbage fee at $9.50 through 2019 (the next election year), and to dedicate funds from the fee to a sanitation enterprise fund, rather than the corporate fund.

Ald. Deb Mell (33) was generally laudatory of the Mayor and his openness during the budget process in a statement on her Facebook page, but said her “no” came down to the impact the property tax would have on residents in her ward. “I’m concerned about the young family that has purchased their first home, the senior citizen living on a fixed income, the small business owners who are struggling to stay afloat, and the renters who are finding it more difficult to make ends meet in this great city. This property tax increase asks too much of these residents and not enough of those in Chicago who have the means to absorb a larger share of the tax burden.”

Carlos Ramirez-Rosa (35) released a brief statement echoing his floor testimony, and highlighted Rosa’s proposed aldermanic salary reduction ordinance and the revenue ideas the Progressive Caucus pitched this summer. Rosa’s statement reads, "It takes courage to cut your six-figure pay. It takes courage to turn to your big and powerful corporate donors and ask them to pay. It's easy to turn to those with the least power and ask them to empty their pockets; that's what bullies do every day. City Hall should have cut its six-figure salaries and emptied out hundreds of millions in TIF funds before raising property taxes and fees on Chicago's working families."

Ald. Sue Sadlowski-Garza’s (10) statement reads, in part: ““It isn’t fair to stick home owners [sic] with the bill.  From parking meter deals, CPS no-bid contracts, to top heavy city departments – city government sure finds way to waste and mismanagement money, and now home owners [sic] are left to clean up the mess.”

Ald. Gilbert Villegas (36) also tweeted his post-vote statement, saying he didn’t believe his middle-class constituents could afford “another $1,000” in new taxes and fees. He invited residents to a job fair he’s holding in a couple weeks. "A lot of people are going to need better paying jobs and/or second jobs after the way Council voted today. I know we will make it work, but it's unfortunate that it has to get worse before it gets better."

In a short Facebook post, Ald. Anthony Napolitano (41) said pressure from his constituents opposed to the budget pushed him to vote no. A large chunk of his North Side ward current and retired police and firemen. “I believe this budget put too much of the burden on the taxpayers and small businesses. My job is to represent the entire 41st Ward, pension holders and non-pension holders. Over the last few weeks a large number of residents contacted my office to voice their opinion. An overwhelming amount were opposed to this budget.”

Ald. Roberto Maldonado (26) simply wrote it was unfortunate the budget passed, and shared this post from the Hermosa Neighborhood Association, which reads, “The garbage fees ($114-$456) are going to come as an utter shock and burden to many who haven't been able to stay informed about this complicated budget process, and in the second installment of their 2016 property tax bills will come another shock, a $500-$1,000 increase in property taxes. However, HNA is very happy to see that ALL the Aldermen who represent Hermosa voted ‘no’ against the budget.”

Ald. David Moore (17) shared these pictures from his recent budget town hall, and said 98% of those who attended told him to vote no if a garbage fee was included.

Mobile food vendors, who won licensing approval from Council just a month ago, might face a lock-out from some of Chicago’s busiest sidewalks. The Committee on License and Consumer Protection approved substitute ordinances limiting vendors from certain portions of the Central Business District, around Wrigley Field, and in parts of Lakeview on Tuesday.

Attendance (members in bold): Chairman Emma Mitts (37), Vice-Chair Deb Silverstein (50), Will Burns (4), Gregory Mitchell (7), Sue Sadlowski Garza (10), George Cardenas (12), Marty Quinn (13), David Moore (17), Ricardo Munoz (22),Michael Scott Jr. (24), Walter Burnett (27), Chris Taliaferro (29), Ariel Reboyras(30), Brendan Reilly (42), Michele Smith (43), Tom Tunney (44)

Ald. Brendan Reilly (42) told committee members the Central Business District has 5,000 workers, all filling sidewalks already obstructed by benches, signs, landscaping, and bus stops. He wants to keep food cart vendors from blocking narrow or cluttered sidewalks during heavy pedestrian hours. It’s not a blanket ban across downtown, he told members, and he plans on possibly walking back some restrictions after looking at infrastructure changes over the winter.

Ald. Roberto Maldonado (26), the key driver that pushed licensing for mobile food cart vendors and a member of the license committee, did not attend Tuesday’s meeting. Reilly applauded him, saying he supported the ordinance and even worked at food truck back in the day, but food carts in certain stretches of sidewalk in the CBD would pose a public safety risk. “The way food carts work is that they take up 3 or 4 feet of the public right of way, but then people queue… [during rush hour] you can imagine there will be pinch points created.”

Reilly’s substitute ordinance limits carts on Michigan Avenue from Oak Street all the way down to Roosevelt; Rush from Division to Pearson; Clinton, near Ogilvie station; Halsted, near Mariano’s Whole Foods, and a string of Greek restaurants, the Lasalle street business district near City Hall, stretching all the way to Jackson; and big chunks of Michigan, Chicago, Sedgwick, and State streets. Read the full list here. He says there are many other public spaces in CBD where vendors can make good money.

Ald. Tom Tunney’s (44) substitute ordinance limits carts “on the sidewalk immediately adjacent to Wrigley Field; such sidewalk consisting of the north side of Addison Street, the east side of Clark Street, the south side of Waveland Avenue, and the west side of Sheffield Avenue” plus stretches of Halsted, Belmont, Broadway, Clark, and Diversey. He said he’s spoken at length about congestion problems around Wrigley Field, which he says has an already too small footprint. And on other major East Lakeview Streets, he says sidewalks are only 6 or 7 feet wide, where it’s tough for a couple to pass a baby buggy.

Like Reilly, Tunney says the ban isn’t ward-wide “by any stretch”, and mentioned the Southport Corridor as a better possible alternative for vendors. Lakeview East Chamber of Commerce Executive Director Maureen Martino echoed Tunney, saying there’s not even space for sidewalk cafes on Clark Street, “let alone a cart.” Broadway has 73 restaurants already, and half have cafes, Martino says, leaving little room for cart vendors.

Both substitutes passed unanimously and will be reported out at today’s full Council meeting.

Ald. Will Burns (4) also won unanimous approval for a municipal code change allowing private companies to boot cars parked on their property. He told the committee it’s quicker for businesses to get a car moved by booting than by towing, and cheaper and more convenient for the driver who got the boot. He called it a “win-win”, and said there would be signs posted warning the car will be booted if the driver leaves the premises. Private booting is legal in more than half the City, according to DNAInfo.

The committee also expanded the city's definition of service dogs beyond their assistance to the blind, an ordinance introduced by City Clerk Susana Mendoza. The amendment to the municipal code calls for a broader definition of service dogs who are trained “for the benefit of a person with a disability, including a physical, sensory, psychiatric, intellectual, or other mental disability.” Service dogs are exempt from the City’s $5 per-year dog license (which costs 10 times more for dogs who aren’t spayed or neutered).

All other agenda items passed the committee and will be reported out today.

While as many as seventeen aldermen have been leaning against voting for Mayor Rahm Emanuel’s 2016 budget and property tax increase this morning, following a series of intense negotiations over the last week, strong opposition has been whittled down to about half a dozen Council members. Another half dozen members have been holding on to make a decision until the last minute, mostly waiting to squeeze out some last concessions from the Mayor.

Speaking off the record to Aldertrack, aldermen expressed no doubt the Mayor’s budget will pass, despite a fever pitch of constituent calls to oppose the property tax increase and new garbage fee. Better to get some political goodies in return for a “yes” vote than to just register a protest vote, over a dozen aldermen told Aldertrack yesterday.

But freshman Ald. Derrick Curtis (18) spoke for many: aldermen don’t have much of a choice. “Right now, it’s the only option we have. It’s either be part of the problem or part of the solution, and I’d rather be part of the solution,” he said.

Two big concessions are expected in tomorrow’s budget vote: first, a resolution endorsed by the Mayor calling for passage of a city property tax rebate plan if Springfield does not pass an exemption by April, and second, to lump the vote for the property tax, corporate budget, management ordinance and revenue ordinance into a single motion with a roll call vote.

Typically, the budget is broken into a number of roll call votes, but by lumping the ordinances into a single motion, aldermen avoid scrutiny on each item and are provided a cover of, “I had to vote for it.”

Aldermen Carlos Ramirez-Rosa (35), Joe Moreno (1) and Michele Smith (43), all loud opponents of the property tax hike, have each introduced city property tax rebate ordinances, with dozens of co-sponsors.

Council members also told Aldertrack that votes were swayed from “no” to “yes” this past week by the creation of a senior exemption for the garbage fee, compromises on the ridesharing ordinance and what one aldermanic staffer called, “the most inclusive budget I’ve ever seen,” after noting how many amendments were allowed in the last week.

Indeed, in a sharp break from previous years, Mayor Emanuel has been practically obsequious with aldermen, soliciting their ideas at almost every step. While the budget plan is still very much Mayor Emanuel’s, old hands agree this budget process is unlike any they have ever experienced.

Still, as late as last night, aldermen were personally meeting with the Mayor to obtain more concessions, including promotion of development in their wards, capital spending on neighborhood high schools and assurances that Chicago Public Schools will not increase their property tax levy in the next year.

While the city budget is just about a done deal, CPS’ budget problems still loom in the background, since it passed with a $480 million hole that needs to be filled by a state government unable to even satisfy its own budget needs.

Many aldermen agreed CPS’ money problems will be the Council’s next crisis to address, either through an ordinance, or by just trying to calm an angry electorate.

The Council’s Zoning Committee approved the appointment of David Reifman as the new Commissioner for the Department of Planning and Development, in addition to approving zoning changes to permit a handful of large-scale development projects, such as a 47-story residential high rise in Streeterville and a 70-unit, family-oriented residence in the West Loop.

With few aldermen on hand at yesterday’s meeting, most of whom trickled in and out of the Chambers, the committee spent under five minutes for each application, finishing the 21-page agenda before lunch. All zoning applications, excluding those deferred at the request of the local alderman or lawyer, passed. Zoning Chairman Danny Solis (25) will recommend passage on all but two of the approved items at the City Council meeting today.

Attendance (members in bold): Chairman Danny Solis (25), Vice Chairman James Cappleman (46), George Cardenas (12), Toni Foulkes (16), David Moore(17), Walter Burnett (27), Marge Laurino (39), Brendan Reilly (42), Tom Tunney(44), Ameya Pawar (47), Harry Osterman (48)

Approved Appointments

David Reifman received a lot of praise from committee members. Downtown Ald. Brendan Reilly (42) said Reifman has a “breadth of experience” that DPD will benefit from, while Ald. Toni Foulkes (16) said she’s looking forward to working with him on two new development plans in Englewood.

After Reifman’s brief statement expressing excitement to work on the Mayor’s second term agenda, Ald. David Moore (17) went on offense. “How do you balance the Mayor’s agenda with what I call the people’s agenda?”

Reifman said those two things are synonymous, telling Ald. Moore the Mayor is looking to incentivize more transit oriented development, revitalize local retail corridors, and give tax incentives to businesses that commit to investing in underserved areas. But Moore continued to push Reifman, asking him to explain whether aldermen should have more local control over development projects and TIF funds. After Moore rephrased the question several different ways, Reifman expressed confusion, “Alderman, I’m not sure exactly what you’re asking me to say.” He said he sees the alderman’s role as very important, but there are a lot of stakeholders that need to be taken into account.

Moore ultimately voted in favor of Reifman’s appointment.

The committee also approved several appointments and reappointments to the Public Building Commission and the Building Board of Appeals. Albert Tyson, III and Hector Rico were the only two new appointments out of the bunch.

Tyson, an appointee to the Public Building Commission, is the presiding elder for the African Methodist Episcopal Church on Chicago’s West Side. Prior to that, he spent 26 years at another West Side church, St. Stephen African Episcopal Methodist Church. The PBC is an 11-member board tasked with maintaining, acquiring and building public facilities across the city, including schools, libraries, parks, and police and fire stations. Ald. Moore, who was worked with Tyson, vouched for him.

Rico is the executive director for the Latino Organization of the Southwest, a non-profit that helps immigrants and at-risk youth on the Southwest Side. Rico will serve on the Building Board of Appeals, a nine-member board that hears appeals from the Commissioner of the City’s Building Department.

Approved Applications (The Highlights)  

47-Story Residential Highrise in Streeterville (42nd Ward) - Jupiter Realty and Pappageorge Haymes are behind a plan to build a 513-foot residential tower that will house 444 residential units north of the Sheridan Hotel in downtown Chicago. There will be commercial retail and a residential lobby on the first floor, a parking lot for 181 cars on the second through fourth floors, and residential units on the subsequent floors.

“This is really the last undeveloped parcel on this block,” Ald. Brendan Reilly (42) said, adding he’s especially thrilled the developer has agreed to revamp the neighboring Ogden Plaza, which he called the “derelict open space in the heart of Streeterville.”  

“So we’re going to see a dramatic aesthetic improvement for the neighborhood, finally usable open space, where it is very much needed,” he added. According to the applicant’s attorney, John George, the developers increased the building’s height at the request of local community groups whose members wanted the units to be bigger. To start construction on the project site (465 N. Park Dr.), the applicants sought an amendment to the existing Residential Business Planned Development (No. 368). The project received Plan Commission approval earlier this month.

Family-Oriented Residential Building in West Loop (25th Ward) - A luxury condo developer received approval to up-zone a property in the West Loop for a new six-story, 70-unit residential building. Alan Lev, with the Belgravia Group, said all of the units will be “family-sized” with 2,000+ square-feet, three bedroom three bath units. “There is a real need in the West Loop community for primarily residents who live there already, and lived in one-and-two bedroom units, and who want to stay in the neighborhood,” he said. Belgravia had two other projects of similar size in the ward that sold out quickly, he added.

Residential Development Near Sheridan Red Line Stop (46th Ward):  Loukas Development got the green light to build an 8-story mixed-use development near the Sheridan Red Line stop. Loukas is affiliated with George Loukas, owner of the Cubby Bear and Sports Corner bars and rooftop buildings that overlook Wrigley Field. The developer wants to demolish the existing 3-story vintage building on the 3900 block of N. Sheridan Road and replace it with a 54 unit building with 3,100 square feet of commercial retail space and 27 parking spaces.

The original proposal called for 60 units and 24 parking spaces, but according to DNAinfo, members of East Lakeview Neighbors expressed concerns about density and traffic. Developers made significant changes to the architectural style of the building, changing the original design, a modern structure with floor to ceiling windows and thin, metal paneling, to a pared down stone and masonry vintage-inspired building. Vice Chairman James Cappleman (46) said he prefered the modernist design, but ultimately went with what the community wanted.  

North Side Museum Gets Zoning Change (48th Ward): The Swedish American Museum Association of Chicago got approval to up-zone their museum in Andersonville, to obtain a Public Place of Amusement license to host receptions and events on site. In an unusual move for the committee, attorney Thomas Mooreasked Ald. Harry Osterman (48) speak on behalf of the applicant.

New Condos for Avondale (33rd Ward): Dorel Ardelean got the okay from the committee to build one of three condo buildings in Avondale. Intending to build the residential complex in phases, Ardelean filed an application for the first building, which he wants to construct on an irregularly shaped vacant lot on the corner of Belmont and Elston Avenues (2854 W. Belmont Ave). Plans call for a three-story condominium with 9 residential units and basement, and detached garages, at the back of the building, with enough space for 12 cars. According to the applicationArdelean filed with Ald. Deb Mell’s office, the full plan calls for two additional three-story, six-unit buildings. DNAinfo reported residents were disappointed none of the buildings will contain retail.

Deferred Items 

We previously highlighted three applications filed by Buffalo Grove-based real estate firm Svigos Asset Management to repurpose three shuttered CPS schools for residential development, but those and a dozen other applications were immediately deferred.

Two applications on the deferred agenda that were approved yesterday will be held in committee. An application for a 30-story mixed-use building next to the Cabrini Green row houses will be held, per request of the attorney. Chairman Solis is holding the other application for a proposed 354-unit residential highrise in his ward’s Near West Side community.

Ald. Joe Moore (49) asked to defer an application to rezone 6453-55 N Newgard Ave. from RS3 Residential Single-Unit (Detached House) District to RM4.5. The applicant, 6453 N Newgard Inc., is seeking to add two additional residences in addition to the six existing on site. The plan also calls for more parking spaces.

Ald. Patrick O’Connor (40) requested deferral for an application from Svigos Asset Management Inc. to rezone a former school building at 5200 N. Ashland from RS3 Residential Single-Unit District to B3-3 Community Shopping District. The plan calls for a complete renovation of the building’s interior, including the rehabilitation of the existing community theater on the first floor and the 49 residential units that will be added on the top floors.

O’Connor also held an application from AB Marathon Ltd., which is seeking a zoning change from RS3 Residential Single-Unit District to C1-1 Neighborhood Commercial District in order to add one story to an existing motor vehicle repair building.

John George, of law firm Scuyler, Roche & Crisham PC, representing Oakley Building LLC, requested a deferral on the proposed zoning change for 2817 N Oakley in the 32nd Ward. The requested change is from M2-3 Light Industry District to RM4.5 Residential Multi-Unit District, which would allow for the construction of 11 residential units with 13 parking spaces.

A proposed zoning change from C2-2 Motor Vehicle related Commercial District to C2-5 Motor Vehicle Related District and then to a Planned Development in the 32ndWard was deferred pending Planning Development Commission approval. The huge proposal calls for 240 apartment units and retail space at 2434-2436 N Sacramento Ave, 2456-2496 N Milwaukee Avenue, 2500-2544 Milwaukee Ave. and 2401-2467 N Linden Pl.

The Law Office of Samuel VP Banks, representing Svigos Asset Management Inc., requested a deferral on a proposed zoning change from RS3 Residential Single-Unit District to B2-3 Neighborhood Mixed-Use District for a former school property at 739 North Ada Street. The proposal calls for the conversion of the school property and into an all-residential building and construction of a new building on site for a total of 57 units. According to the application, the property is still owned by the Chicago Board of Education.

Attorney Thomas Moore, on behalf of VCP Opportunity Fund II, LLC Series III-917 W 18th St., requested a deferral on a zoning change at 917-925 W. 18th Street. The change, from M1-2 Limited Manufacturing/Business Park District to B2-3 Neighborhood Mixed-Use District, would allow for the renovation to a mixed-use retail space with 26 residential units on the top floor.

The Law Office of Mark Kupiec & Associates, representing Fox Chicago LLC, deferred an application for a zoning change at 1414-46 W. 21st St. and 2013-25 S. Laflin St. The change from M1-3 Limited Manufacturing/Business Park District and C1-2 Neighborhood Commercial District to B2-5 Neighborhood shopping district, would allow for the rehabbing of the building and the establishment of commercial units on the ground floor and 99 apartment units.

Kupiec also deferred an application from the Chinese Consolidated Benevolent Association of Chicago to change the zoning at 246-250 W. 22nd Place from RT4 Residential Two-Flat, Townhouse and Multi-Unit District to RM-6.5 Residential Multi Unit District. The applicants are seeking to demolish an existing building in order to erect an eight-story building with commercial space on the first two floors and housing for the elderly above.

Ald. Brian Hopkins (2) deferred several applications to rezone properties within his ward. The first application from 56 W. Huron LLC is seeking a change from DX-5 Downtown Mixed-Use District to DX-7 Downtown Mixed-Use District. The proposal calls for an 11-story, 11-unit condominium development with parking on the first floor.

Hopkins also deferred action on a proposed change at 1728-1748 N. Clybourn Ave. from B1-2 Neighborhood Shopping District to B2-5 Neighborhood Shopping District. The proposal, from The Richden Company, calls for a six-story, 68 unit apartment building with 68 parking spaces, and a proposed change at 1011-1023 N Ashland Ave from B1-2 Neighborhood Shopping District to B2-3 Neighborhood Mixed-Use District. Applicant Virage LLC is seeking the change to construct a four-story building with retail at grade and 33 residential units above.

The alderman also deferred judgement on an application from Robert Picchietti for a zoning change at 1623 N. Milwaukee Avenue, from M1-2 Limited Manufacturing/Business Park District to C1-2 Neighborhood Commercial District. The building will be used as a restaurant.

Svigos Asset Management, a Buffalo Grove based real estate firm, filed three separate zoning applications that seek to turn shuttered CPS schools into residential buildings. Since closing nearly 50 public schools in 2013 as part of a cost saving measure, the Board of Education has been issuing public bid requests for some of those vacant school buildings.

Since then, Svigos purchased Lyman Trumbull Elementary School in Andersonville for $5.25 million, and two West Town schools, Near North Elementary and Peabody Elementary, for $5.1 million and $3.5 million, respectively. 

Peabody Elementary School was the the first school the Board sold as part of the repurposing process developed by Mayor Emanuel’s Advisory Committee for School Repurposing and Community development. Svigos bought the building for $3.5 million in October 2014. Svigos will renovate the building’s interior to accommodate 23 residential units.

Near North Elementary, a former special education school, was Svigos’ second acquisition. The Board of Education approved the sale of the building on 739 N. Ada St. for $5.1 million at their July 22, 2015 meeting, on the condition that Svigos apply for landmark status of the building and maintain the exterior facade and building structure. According to the application Svigos filed, the school building will be converted into a four-story residential building with 30 units and 16 indoor parking spaces. Plans also include construction of an adjacent four-story residential building.

Svigos also filed an application to convert the former Lyman Trumbull Elementary School in Andersonville into a residential building and community theater for kids. The Board approved the sale at their September 29th meeting. The building was appraised at $4.1- $4.7 million by KMD Valuation Group. Svigos submitted the highest bid, $5.25 million, beating the second highest bidder, the Chicago Waldorf school, by $50,000. Plans call for a complete interior renovation of the existing building, which includes rehabbing the existing theater, located on the ground floor, and adding 49 residential units on the top three floors. Over a hundred parking spaces will be provided on site: 69 spaces for theater goers, and 40 for tenants.

Other Items On the Agenda

• The official appointment of David Reifman as the new Commissioner for the Department of Planning and Development. He has been serving as acting commissioner since August, when Mayor Emanuel announced former Commissioner Andrew Mooney was retiring. Reifman comes from well-known zoning law firm, DLA Piper.
• 2nd Ward (O2015-6415) An application to demolish a hair salon that First Lady Michelle Obama used to frequent when she lived in Chicago. The Van Cleef Hair Studio on 56 W. Huron would be replaced with an 11-story, 11-unit residential building. Property owner Michael Flowers, Obama’s hair stylist, put the building up for sale in 2010, according to Chicago Magazine. Joseph Kiferbaum, with Adama Associates, filed the zoning application so that he could build taller than is currently allowed under the existing designation.
• 45th Ward (O2015-6397) Loukas Development is behind a proposal to build an 8-story mixed-use development near Sheridan Red Line stop. Developers want to demolish the existing 3-story vintage building on the 3900 block of North Sheridan Road and replace it with a 54 dwelling unit residential building that will also include 3,100 square feet of commercial retail space and 27 parking spaces. The original proposal called for 60 units and 24 parking spaces, but, according to DNAinfo, members of East Lakeview Neighborsexpressed density and traffic concerns.  Developers made significant changes to the architectural style of the building. Originally calling for a modern-style structure with floor to ceiling windows and thin, metal paneling–a stark contrast from the existing brick building–the architect significantly changed the building design. Loukas Development is affiliated with George Loukas, owner of the Cubby Bear and Sports Corner bars and rooftop buildings that overlook Wrigley Field.
• 33rd Ward (O2015-6422) Dorel Ardelean wants to build three condominium buildings in Avondale. Intending to build the residential complex in phases, Ardelean filed an application for the first building, which he wants to construct on an irregularly shaped vacant lot on the corner of Belmont and Elston Avenues (2854 W. Belmont Ave). Plans call for a three-story condominium with 9 residential units and basement, and detached garages, at the back of the building, with enough space for 12 cars. According to the application Ardelean filed with Ald. Deb Mell’s office, the full plan calls for two additional three-story, six-unit buildings. According to DNAinfo, residents were disappointed that none of the buildings will contain retail.
• 27th Ward (#02015-6359) Taris Real Estate is behind a plan to build another luxury high rise condominium on the corner of West Washington Boulevard and North Peoria Street in the West Loop (900 W. Washington Blvd.). The application the developer filed with the City asks for a zoning change of the existing property, currently home to a one-story office building. Taris will demolish the existing building and construct a 10 story modern-style residential building with 24-units and two duplex penthouse suites with “expansive skyline views of downtown,” according to the architectural firm, Northworks. The building will have a mix of two- three- and four- room apartments, and garage parking with enough space for 24 cars (more information).

After hours of last-minute, closed door negotiations between the Mayor’s Office and aldermen, the City Council’s Finance committee approved a watered down version of Ald. Anthony Beale (9) and Ald. John Arena’s (45) ordinance amending the rules and regulations governing drivers employed by ride-hailing companies like Uber. Noticeably taken off the table: a requirement that would have forced those drivers to get a public chauffeur's license in order to gain access to the city’s airports, McCormick Place, and Navy Pier.

The final version of the substitute ordinance was approved by voice vote following an hour-plus recess; a lengthy public testimony, which consisted of taxi drivers and their Uber counterparts throwing insults with lots of cheers and heckling from the gallery; and finally, testimony detailing the changes from Ald. Beale, Budget Director Alex Holt and Business and Consumer Protection Commissioner Maria Lapacek.

Attendance (committee members in bold): Chairman Ed Burke (14), Joe Moreno (1), Pat Dowell (3), Will Burns (4), Leslie Hairston (5), Gregory Mitchell (7), Anthony Beale (9), Susan Sadlowski-Garza (10), Patrick Daley Thompson (11), George Cardenas (12), Marty Quinn (13), Raymond Lopez (15), David Moore (17), Derrick Curtis (18), Matt O’Shea (19), Willie Cochran (20), Howard Brookins, Jr (21), Rick Munoz (22), Michael Scott, Jr (24), Danny Solis (25), Roberto Maldonado (26), Walter Burnett, Jr. (27),  Jason Ervin (28), Ariel Reboyras (30),Milly Santiago (31), Scott Waguespack (32), Carrie Austin (34), Carlos Ramirez Rosa (35), Gilbert Villegas (36), Emma Mitts (37),  Nick Sposato (38), Marge Laurino (39), Pat O’Connor (40), Brendan Reilly (42), Michele Smith (43), Tom Tunney (44), John Arena (45), James Cappleman (46), Harry Osterman (48), Deb Silverstein (50)

The updated version the Committee approved would add an additional $0.02 to the Mayor’s original $0.50 additional surcharge on all rides hailed through an app. The change is expected to bring in “a couple more million” to the city, according to Ald. Beale, who said the changes were, “not a total compromise but a huge, huge step in the right direction to bring parity to these two industries trying to co-exist.”

The additional revenue will offset the fees taxi drivers pay to acquire a chauffeur's license by implementing a so-called “taxi chauffeur rebate program”. Under the program, which would be implemented by the commissioner of the Department of Business Affairs and Consumer Protection (BACP), an eligible taxi driver could get subsidies that would cover up to $50 towards fingerprinting and background check costs, $25 towards biannual drug tests and physical examinations needed to renew the chauffeur's license, and $50 towards chauffeur training courses.

The amendment also reduces the fees cab drivers have to pay to obtain a chauffeur's license  from $15 to $5 for the first license, and from $8 to $5 for the renewal. Ride-share drivers can’t have outstanding debt owed to the City if they want to obtain a Class A license to operate in the city, and they could be required to put additional “distinctive signs or emblems” advertising the company they work for on their car.

The new fees are expected to bring in $60 million dollars in annual revenue to the city, up from the Mayor’s original $48 million projection. Any dollar above that amount would be earmarked for new police hires, which Ald. Beale projects to be about 20-60 new hires on top of the city’s annual recruitment numbers. Directing revenue from ride-share companies for public safety expenses was an idea Ald. Patrick Daley Thompson (11) floated in committee last week.

At the time, Aldermen Beale and Arena had introduced a brief, two-page ordinance requiring Uber drivers get a public chauffeur license if they wanted the ability to pick up passengers at the City’s airports, Navy Pier, and McCormick Place. At the start of yesterday’s meeting, an earlier draft of the substitute ordinance the committee approved was leaked to the press. That version which we have uploaded outlined a fee structure that would have required ride-hailing companies pay an annual licensing fee based on how many divers they employ. Under the city’s existing law, Uber pays a flat, $10,000 annual rate to license all of their drivers.

For example, if a ride-hailing company had less than 2,500 active drivers on Chicago streets, the company would pay the City $40,000 for the Class A Transportation Network Provider licenses (the official name for rideshare companies) required for these drivers. The highest bracket, with 100,000 employed drivers, would have cost $1.25 million. Under that plan, Uber, which has approximately 20,000 active drivers in Chicago, would have had to pay the city $750,000 a year to make sure their drivers are appropriately licenced. The new version the committee passed eliminates the fee structure completely. It was replaced with an additional 2-cent surcharge on all rides within city limits.

When Ald. Roberto Maldonado (26) asked why the public chauffeur requirement was nixed from the deal, BACP Commissioner Maria Lapacek said it was “unnecessary” to require that Uber drivers, a majority of whom work part-time, to apply for a license meant for full-time transportation drivers, like cabbies. Noting that the city already vets rideshare drivers when they apply for a Class A license, compounded by the fact that BACP’s licensing operation is taxed, Commissioner Lapacek said it would have been “too taxing of a process” for drivers of a “transient nature”.

The final vote on the rideshare amendment was taken at the tail end of the meeting, more than 4 hours after the start time.

When Chairman Burke called the meeting to order at 10, he announced he would “temporarily” hold the first two items on the agenda–the ridesharing ordinances–and move on to “items that can be resolved quickly”. He then held three Progressive Caucus-backed items in committee: Ald. Carlos Ramirez-Rosa’s (35) proposed stormwater stress fee that would lower homeowner’s sewer fees by shifting the burden to large commercial properties; and Ald. Arena’s proposals to end the tax exemption on horse-drawn carriage rides and extend that exemption to opera tickets purchased by CPS and the Park District for education programs.

Going in the order of the agenda, he called the five Special Service Area appointments up for a vote. The appointments passed without testimony or discussion. He called a communication from the Law Department detailing all judgements and settlements for August up for a vote. The item passed without testimony or discussion. He called up ordinances to re-establish SSA #44 and property tax levy requests, service provider agreements, and budget proposals for 20 SSAs. Those also passed without testimony or discussion. Burke invoked Rule 14, and abstained from voting from SSA #7 (Kedzie Industrial Park), and SSA #39 (Brighton Park/Archer Heights). Those two applications were filed by Craig Chico, Executive Director for Back of the Yards Neighborhood Council and brother of former mayoral candidate Gery Chico, a close business associate of Burke’s law practice.

The Committee also approved two separate redevelopment loan agreements for Midway Point, LLC and Maple Marketplace, with Chairman Burke abstaining from voting on the latter. It took the Committee less than ten minutes to push through and approve those items, before Burke said, “Ald. O’Connor moves to recess for 10 minutes.”

Over an hour later, the Committee was called back in session. But instead of starting with a summary brief detailing the newly drafted ordinance, Chairman Burke went straight to witness slips calling up over a dozen representatives and drivers from the taxi industry and Uber to testify. The move brought a lot of mudslinging and accusations from both sides.

But the fighting between the two factions started even earlier, with two competing rallies on the second floor of City Hall before yesterday’s hearing. Chanting “airports now”, Uber drivers in teal colored shirts that read “Keep Chicago Uber” spoke out to demand the City lift its current ban on pickups at O’Hare and Midway Airport. They were flanked by the city’s cab drivers, who countered with their own chant, “Same service, same rules.”

After a 20 minute delay due to technical issues, the Committee quickly approved two real estate tax incentives to support the rehabilitation of two dilapidated industrial properties on the city’s Northwest Side.

Members present: Chairman Howard Brookins (21), Derrick Curtis (18), Michael Scott, Jr. (24), Jason Ervin (28), Chris Taliaferro (29), Carlos Ramirez Rosa (35), Marge Laurino (39), Tom Tunney (44)

A class 6(b) property tax incentive to help support the purchase and rehabilitation of a nearly century-old, vacant, 110,000-square-foot industrial warehouse in Austin (5801 W. Dickens Ave.) passed committee Monday. Miller Bay, LLC, the applicant, plans to spend $1.8 million dollars renovating the facility, but they don’t have a tenant lined up yet, according to Essie Banks, who testified on behalf of the Department of Planning and Development.

Calling the site an “eyesore” and threat to public safety, former police officer and 29th Ward Alderman Chris Taliaferro said he was glad to see the property put to good use after it had been vacant for close to four years. “In fact, as a police officer in that area, where I worked the last three years, we had to constantly send patrol over there because of the illegal breaking in and all the other things I won't mention that happened in that area,” he said.

The second application, introduced by Mayor Emanuel, would help Berman Mid City Nissan rehabilitate two vacant, industrial buildings in Avondale into a new car dealership (3444-56 N. Kedzie Ave.). The company is seeking a Class 7(b) tax incentive to help with the $19 million dollar renovation that will turn one site into a showroom and the other site into a vehicle storage and service center. Denise Roman, with the Department of Planning and Development, said the applicant plans to relocate from their Irving Park location once the project is complete. The new dealership is expected to generate $7 million in sales tax revenue, Roman added. The two warehouses are located in Ald. Carlos Ramirez-Rosa’s 35th Ward. He testified in support, calling their existing facility “beautiful”.

Issuing a light reproof of Mayor Rahm Emanuel’s proposal to privatize 311 services, The Council Office of Financial Analysis (COFA) released its first major report on city budgets to Aldermen last Thursday. While the private report contains the clearest analysis of city budget plans from any government agency, it mostly supports the Mayor’s budget plan, saying that, “The Mayor’s 2016 budget proposal is a strong step on the path towards fiscal stability.”

Download, “Review of Mayor’s 2016 Proposed Budget”

The most eye-catching part of the 65-page analysis is the Conclusions section near the end, of which COFA Director Ben Winick told Aldertrack, “The opinions are mine. I think the words speak for themselves.”

Winick reviews the mayor’s proposals for a dozen or so major city programs, providing an opinion on their feasibility and appropriateness. While the COFA review finds few faults with the Mayor’s budget proposal, the mere fact that an official city document with an analysis of the Mayor’s plans even exists, is a big change for City Hall.

The report also does not review the city’s revenue estimates for new city revenue items, like the Cloud Tax, which Mayoral budget analysts say will total $40 million, while businesses say could add up to as much as $100 million.

Winick discounts businesses’ complaints, however. “When something new is being taxed that that, there are typically pretty significant compliance issues in the first year,” he said.

The report puts all the city’s 2016 estimated revenue and expenses in a simple balance sheet format, adjacent to comparisons from 2015 projections. This simple comparison, is in stark contrast to Mayoral budget documents, which never put all the numbers in one place, forcing readers to do additional and subtraction on a separate scratch sheet. COFA’s report then presents a breakdown of every city agency and its major program areas, again with 2015 projections, side by side.

The COFA report also provides Aldermen with a property tax payment table, potentially valuable foresight into how much the increased property tax levies and exemption will impact homeowners. “Since we’re going through the triennial [property assessment review], I wanted to people to know what [taxes] will be since the Equalized Assessed Value is going up across the city,” said Winick.

A resolution supporting new training to help identify victims of domestic violence passed the Committee on Public Safety Monday, but Springfield will need to make the next move. The resolution approved Monday (R2015-480) will kick off hearings in Chicago about the feasibility of a possible statewide program that would train salon workers to identify and aid victims. Cosmetologists would be required to complete an hour of training to identify victims and help them seek out law enforcement when they apply for or new or renewed their license. The bill, HB-4264, was recently amended and referred to the Rules Committee in the Illinois House. It added 20 co-sponsors last week.

In Chicago, the resolution calling for hearings on the potential program in Chicago has 36 co-sponsors, and was introduced by Ald. Matt O’Shea (19) and Ald. Marge Laurino (39).

Cook County State’s Attorney Anita Alvarez testified in favor of hearings. “A quick trip to the salon may be the only time a victim is in the company of others for more than a few minutes without their abuser present, and women tend to bond with their hairdressers, as I certainly know,” she told aldermen. She says her office's "staggeringdomestic violence caseloads include 15,000 misdemeanor domestic violence prosecutions and more than 500 felony cases a year. Those numbers don’t include murder or sexual assault cases likely linked to domestic violence, she says.

Alvarez was one of many political figures that have appeared in the anti-domestic violence  “Chicago Says No More” TV PSAs. Cook County Commissioner Bridget Gainer, Cook County Board President Toni Preckwinkle, Chicago Police Superintendent Garry McCarthy and Illinois First Lady Diana Rauner have also appeared in the ads.

Tara Campbell, a survivor of domestic abuse who now works with Chicago Says No More testified that court advocates and friends were crucial members of her tribe, but bringing salon workers into the mix would be “monumental.” Her own hairdresser was a key support during her abuse. “She knew everything… I would often share with her the gory details of my experience.”

Training salon workers could help address abuse of all kinds, Ald. Emma Mitts (37) told Alvarez, voicing her support. “I don’t know no one who talk more than people talk in salons. Anything you want to know, go to salons… Too many people are being abused and they don’t know they’re being abused.”

Cosmetologists renew licenses every two years in Illinois. A similar program that passed last spring in Ohio is slated to train 120,000 salon and spa workers. It’s sponsored by the Professional Beauty Association Foundation.

The committee also approved a substitute ordinance changing the destination of a donated ambulance to Charcas, San Luîs Potosî, Mexico, a municipality with 20,000 people but just 112 ambulances. The donation was supposed to go to Mexico’s Red Cross, in Ciudad Sahagun, Hidalgo, Mexico, but Evelyn Rodriguez, a staffer for Ald. Joe Moreno (1), said there were “financial issues” and the vehicle should be redirected.

The resolution and substitute ordinance both passed by voice vote, and will be reported out at Wednesday’s full City Council meeting.

NOTE: The Council’s Budget Committee, originally scheduled to meet this afternoon, cancelled their meeting.

Finance Committee to Discuss More Regulations on Ride-Hailing Apps

At 10:00 a.m., the Finance Committee will take another stab at tinkering with the Mayor’s revenue plans for next year.

Since the official revenue ordinance was voted on in committee and deferred and published at last Wednesday’s full City Council Meeting, the five budget-related items listed on the Finance agenda will be taken up individually.

Two of those items further amending the Mayor’s proposed surcharges, fees, and licensing requirements for drivers who use ride-hailing apps like Uber will be introduced, discussed and potentially voted on.

Over the past week, Finance Chairman Ed Burke (14) has expressed interest in adding more licensing requirements for Uber drivers to bring in additional revenue to address the City’s financial woes.  

At last Tuesday’s Finance Committee meeting, Burke said it, “simply doesn’t seem fair,” medallion taxi drivers are required to pay $500 a year for a city-issued public chauffeur's license, while Uber drivers are exempt from the requirement. Instead, drivers employed by ride-hailing apps are required to get a special, so-called transportation network provider, or TNP, licenses.

“It might be interesting to see if those companies can be assessed a $500 per driver fee to make it more evenly spaced with the cab company,” Burke told reporters.

The following day, Ald. John Arena (45) and Ald. Anthony Beale (9) introduced an ordinance requiring a public chauffeur's license for any transportation provider interested in picking up passengers at O’Hare and Midway airports, Navy Pier and McCormick Place.

That ordinance is on today’s Finance Committee agenda, in addition to another rideshare-related ordinance, which will be directly introduced.

The ordinance is in response to Ald. Roberto Maldonado’s (26) concern over the number of rideshare drivers with out-of-state license plates and its impact on passenger safety. Ald. Maldonado suggested his peers look into the legality of requiring Uber drivers to have an Illinois driver's license, license plate, and City-owned sticker. Budget Director Alex Holt and Chairman Burke said they would look into it. When Aldertrack reached out to Ald. Maldonado Friday afternoon, he said Chairman Burke was working with the Law Department to draft the ordinance.  

The Finance Committee will take up three other Progressive Caucus-backed ordinances that would bring in additional revenue to the City.

A proposed stormwater stress fee, introduced by Ald. Carlos Ramirez-Rosa (35), would increase sewer fees for big box retailers and other commercial properties with large concrete parking lots that prevent rainwater from seeping into the ground.

The Progressive Caucus floated the idea of a stormwater stress fee over the summer when they announced a laundry list of cost-saving and revenue enhancing plans they wanted the Mayor include in his 2016 budget proposal. At the time, they said the tax “could ease the burden on working families while asking large corporations and other major entities to pay their fair share.” Since then, Ald. Ramirez-Rosa worked with the Mayor’s legislative aides and the Legislative Reference Bureau to research the feasibility of the fee. Ald. Ramirez-Rosa told Aldertrack that while he hasn’t had an opportunity to talk to Chairman Burke about his proposal, he has received positive feedback from the Metropolitan Planning Council and other policy groups.  

The ordinance would create a two-tier system for sewer fees; one formula for single family homes, the other for all other properties. To determine fees, the Department of Water would first have to find a median residential unit square footage. The city would aggregate the stormwater management cost for all single family homes, and then divide it by the total number of single family homes. Single-family homes would then be assessed by that amount. The same formula would apply for all other properties. Ramirez-Rosa estimates single-family sewer fees would go down as a result, while fees for large parking lot owners surfaces would go up.

Progressive Caucus aldermen are also behind an ordinance that would exemptChicago Symphony Orchestra or Lyric Opera Company tickets purchased by Chicago Public Schools or the Park District from the city’s 9% amusement tax, and another ordinance that would end tax exemption on tickets for horse drawn carriage rides.

Their ordinance to double the minimum fee for sidewalk cafe permits to $1,200 did not make it to today’s Finance agenda.

In addition to those budget related items, the Finance committee will also vote on new appointments to various Special Service Areas (SSAs) across the city, in addition to approving another round of property tax levy requests and service provider agreements for 20 SSAs.

Meanwhile, the Committee on Public Safety will hold a 9:30 a.m. hearing on city-run programs for domestic violence victims. The resolution Ald. Marge Laurino (39) and Ald. Matt O’Shea (19) introduced in June is modeled on a training program in Ohio that teaches salon workers how to identify victims, and aid in reporting abuse to local authorities. The resolution asks Public Safety Chairman Ariel Reboyras (30) to invite advocacy groups, law enforcement experts and trade associations to examine whether Chicago could do something similar. Aldermen on the committee are also set to approve the donation of a city-owned vehicle to Mexico.

The Committee on Economic, Capital and Technology will meet at 11:00 a.m. to consider two real estate tax incentives for companies interested in rehabilitating old industrial buildings. Berman Mid City Nissan applied for a Class 7(b) tax incentive to build a car dealership in two buildings in Avondale (3444-56 N. Kedzie Ave.). The Cook County Class 7(b) tax incentive lowers property taxes on qualified commercial properties for a 12-year period. If approved, Nissan would save an estimated $5.5 million.

Miller Bay, LLC applied for a class 6(b) tax incentive to subsidize the purchase and renovation of a vacant warehouse in Austin (5801 W. Dickens Ave.). The project is expected to cost $1.8 million. The Cook County Class 6(b) tax incentive lowers property taxes on qualified industrial properties for a 12-year period. If approved, the company would save an estimated $148,000.

Two critical, seemingly unrelated facts are bearing down as the Chicago City budget moves to a vote next Wednesday. First, nobody has offered an alternative to Mayor Rahm Emanuel’s plan to dig out of Chicago’s fiscal hole. And second, Governor Bruce Rauner made $53 million last year. The two items are more connected than you may think, and are the chief factors why Chicago remains in dire financial straits.

To recap, Chicago desperately needs Illinois government to enact three big ticket items. The Chicago Public School Board passed a budget that only adequately funds its system through December. $400 million more is needed from state government to make it to June 2016, officials say. The Chicago City Council is preparing to enact a budget that includes a phased-in $544 million a year property tax increase, but relies on state government to enact a pension reform that reduces payments by $220 million a year, and a doubling of the homeowners exemption that lifts the property tax burden off the majority of residential property owners.

While the state legislature is controlled by Democrats who are likely to support Chicago’s financial needs, Gov. Rauner, who is Republican, made it clear in a speech to City Council last July: “For Chicago to get what it wants, Illinois must get what it needs… We don’t have the money to bail out Chicago.”

What Rauner means is that Illinois needs to follow his plan for eliminating government employee collective bargaining, a veritable death sentence for Democrats in state government and deeply unpopular in union-blue Chicago.

Democrats in the Illinois House and Senate have big enough majorities to override Rauner’s vetoes, but in the House the margin is razor-thin: No extra votes. However, at least four Democrats have suggested they would vote against additional state spending on behalf of Chicago.

And yet, only one plan has been proposed for Chicago: Mayor Emanuel’s. Unlike state, federal or even Cook County government, Chicago’s City Council has not engendered an alternative solution, like cutting city services or jacking up taxes even more. So aldermen are lining up behind the Mayor even as some doubt the long-term revenue will be enough to pay for the city's mountain of debt.

There’s no question the Mayor’s plan will pass City Council next Wednesday. This week, Aldertrack sifted through public statements, talked to aldermen and their staff, and reviewed each ward’s political viability. There are enough aldermen with a firm grip on their wards that the Mayor can depend on. And then there are a few nearing retirement that could take a few bad votes in return for a cushy job and help to pass on their seat to a chosen successor.

By our count there will be at least 16 “no” votes against the property tax and budget, maybe as many as 22, but the mayor certainly won’t lose the vote, or even have to break a tie of 25-25.

All this puts our city on a collision course with a governor who seems to enjoy a good game of chicken and has nothing personal to lose. After all, he’s already made his millions as a tremendously successful businessman. As proof, this month he released his 2014 tax return, showing that he made $53 million last year.

Past Illinois governors needed public support, or at least a modicum of popularity, to build on for a post-government career. Bruce Rauner needs none of that. Politics is a second act for him, and he’s come to office with a specific worldview and a plan to make it happen.

Someone who took a more traditional path, by climbing up the political ladder to the Governor’s mansion, might buckle under the political pressure. Give in today to fight another day. But if Rauner’s plan doesn’t work out, he’ll always live comfortably. If Illinois and Chicago suffers, Bruce Rauner won’t.

Under those circumstances, it would seem Chicago’s odds are not great. But there’s no other plan in the offing. So into the breach our city government goes.