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*** UPDATED x1 - Uber responds *** Lightfoot says Uber is buying off black ministers to oppose her rideshare tax plan with $54 million

Wednesday, Nov 13, 2019 - Posted by Rich Miller

* StreetsBlog Chicago

In case you missed it, last week Crain’s Chicago ran an excellent piece by columnist Greg Hinz on Mayor Lori Lightfoot’s plan to raise the tax on traffic-clogging solo and downtown ride-hail trips, while lowering the fee for more sustainable shared rides in the neighborhoods, and earmarking about $2 million of the revenue annually to fund transit. He did a great job of explaining why, despite Uber and Lyft’s self-serving claims that the initiative would hurt South and West side residents, “in fact, it targets Lincoln Park types, and it is intended to shore up CTA service that is far more important.”

However, this weekend Uber tweeted out an earlier Crain’s op-ed on Lightfoot’s proposal, written by some of its official allies in local chambers of commerce, which is full of misleading — or even downright false — statements about the plan. The piece was penned by Illinois Hispanic Chamber of Commerce head Jaime Di Paulo, Illinois Chamber of Commerce chief Todd Maisch, and Chicagoland Chamber of Commerce senior vice president Michael Reever. All three organizations are listed as partners of Moving Illinois Forward, a lobbying group for Uber and Lyft. Let’s take a look at some of the claims from their op-ed.

Go read the rest. Good stuff. Lots of disinformation out there.

* From November 6

A group of more than 30 South and West side ministers is complaining that Mayor Lori Lightfoot’s proposed ride-share tax increase will hurt low-income riders and drivers, but city officials dispute the claim.

“Ride-share has truly been a blessing,” said the Rev. Walter Turner of New Spiritual Light Missionary Baptist Church in the South Shore neighborhood, at a news conference on Tuesday. Turner said the proposed fee hike would have a “major impact” on people trying to get to doctor visits or buy groceries.

“Do not tax our people,” said Turner, who was among the group of ministers who signed a letter to Lightfoot complaining about the fees.

* Today…


That’s a pretty darned bold statement to make. Let’s see if she can make that stick. If not… well, let’s just see what happens first. Whew.

…Adding… Sun-Times

“Is this the one where they’re paying off black ministers by $54 million? That one? Or is this a new one?” the mayor said.

“They offered up black ministers $54 million — a one-time deal — if they would convince the mayor to do away with any other kind of regulation. And as we walked these ministers through the realities of what’s actually at stake here, I think they realized that, frankly, they’d been hoodwinked.”

Pressed for proof, Lightfoot said, “I’ve had a number of ministers who’ve met with us and said, `Uber promised us $54 million if you [convince the mayor to] back off.’ … We’ll get those names to you.”

*** UPDATE *** Response…


If this was about $54 million in revenues for the city and not $54 million in payoffs to black ministers, she’s got some walking-back to do. Again.

This kinda reminds me of when Maryann Loncar said she witnessed then-Rep. Lou Lang being offered a $170 million bribe, but it was actually about new revenues for the state.

  49 Comments      


Towns selling sewer systems to pay down pension debt

Wednesday, Nov 13, 2019 - Posted by Rich Miller

* Brian Brueggemann

In 2018, Alton’s pension funds for firefighters and police officers had about $117 million in unfunded liabilities — the retirement money that will have to be paid to retirees.

But in June, the city cut that shortfall nearly in half. How? They sold the city’s sewer system to a company, Illinois American Water, for $53.8 million.

Godfrey also sold its wastewater system to Illinois American, for $13.5 million.

And now Granite City, which has $83 million in unfunded liabilities in its police and firefighter pension funds, is looking to sell part of its wastewater system.

But Kent Redfield, an expert in Illinois politics and government, warned that selling off city assets could be a bad move, particularly if the sale provides only a quick, bandage repair to a long-term pension problem. He said once a city sells its sewer system, there’s little chance the city will ever own it again.

“You can only sell your car once to make your house payment,” Redfield said. “Is it a long-term fix, or is it a temporary Band-Aid that kicks the can down the road?”

I’m not a fan of these sales. At all. But this isn’t about selling your car to make a house payment. It’s about selling your car to pay off as much as half your mortgage, which I’d say is not a terribly bad idea.

…Adding… I’m seeing a lot of comments like this…

This is exactly like the city’s parking meters

Nope. That’s ridiculous.

Mayor Daley spent all the parking meter money right away. The lease had no lasting value. If he had put the windfall into the city’s pension funds, Chicago would be a whole lot better off today.

  38 Comments      


*** UPDATED x1 *** City Club rejects Jay Doherty’s resignation

Wednesday, Nov 13, 2019 - Posted by Rich Miller

* I somehow forgot to include this in today’s Corruption Roundup post. Greg Hinz

The City Club of Chicago is contending with the fallout of its president’s involvement in a federal probe of Commonwealth Edison influence in Springfield. Weeks after Jay Doherty’s City Club offices were raided—and in the wake of disclosures that the prominent public affairs group’s chief was paid more than $3.1 million over a span of years by the utility giant—a growing roster of speakers are canceling upcoming City Club appearances. […]

After some internal debate, the club’s board decided to reject Doherty’s offer to resign, insiders tell me, at least in part because Doherty in recent years has been critical to the club’s success in landing prominent public officials to its forums, including governors and mayors, U.S. senators and even candidates for president.

“Mr. Doherty is the president of the club. I don’t know of any move afoot to change that,” club attorney Michael Hayes told me. “I hope he stays. He’s largely the reason we’ve been successful.”

At the same time, club leadership has declined to press Doherty for some explanation of exactly what he did to earn that much from ComEd, a state regulated entity, and to answer whether that big check conflicts with the club’s very public role in helping shape city and state public policy.

Yeah, well, they can add me to the list of people who aren’t speaking this year.

*** UPDATE *** Look who’s speaking tomorrow…

  50 Comments      


*** UPDATED x3 - City is not giving up - Out of time? *** Today’s quotable

Wednesday, Nov 13, 2019 - Posted by Rich Miller

* Text from a friend regarding the gaming trailer bill…

Gaming is a plane with no wings and a lot of finger pointing about who built a plane with no [gosh-darned] wings.

Heh.

Stay tuned.

…Adding… I’m hearing the city’s police and firefighter unions are “beating down the door” in favor of the gaming bill. That will definitely help. Unions have been a big part of every major legislative success this year.

…Adding… Some language has finally surfaced. Click here. I do not think that’ll be the vehicle used because it’s a Senate Bill in the Senate. They’ll likely use it for a subject matter hearing so they can skip a full hearing if the House passes a bill.

*** UPDATE 1 *** Bad news for Mayor Lightfoot…


*** UPDATE 2 *** A city hall source tells me they have “multiple partners” working the House as hard as they possibly can to get a roll call taken today. “Hold on tight.” We shall see.

*** UPDATE 3 *** Gonna take a near miracle…


  15 Comments      


*** UPDATED x3 - EtO bill dies in SEXC - Insulin bill passes - Pension consolidation bill agreement *** Veto session updates

Wednesday, Nov 13, 2019 - Posted by Rich Miller

* The Senate Revenue Committee is meeting today at 11 in Room 400 to take up the aviation repair tax credit bill, HB3902, that Gov. Pritzker has vowed to veto. The Senate Executive Committee meets today at noon in Room 212 to take up HB3888, the ethylene oxide phase-out bill. Keep an eye on SB516, which might possibly be used as the gaming vehicle bill, although it could start in the Senate with a different bill.

*** UPDATE 3 *** The House bill was apparently just too stringent for Senators to climb aboard. The backstory is that Rep. Rita Mayfield (D-Waukegan) has a primary opponent who is an EtO activist. So, they got the job done for her in the House…


…Adding… IMA…

“As recently noted by the U.S. Food and Drug Administration, the number of facilities using ethylene oxide to sterilize medical equipment is limited and additional closures could result in years of shortages of critical medical devices,” Mark Denzler, president and CEO of the Illinois Manufacturers’ Association. “Illinois recently enacted bipartisan legislation imposing the toughest regulations on ethylene oxide in the nation. That measure should be allowed to be fully implemented while a comprehensive, long-term solution is explored by state and federal officials.”

…Adding… Medline…

We are grateful legislators recognize the need for additional study of this important issue, which comes amid warnings from the U.S. Food and Drug Administration that additional closures of facilities using ethylene oxide to sterilize medical devices could lead to equipment shortages that compromise patient care.

Medline’s top priority is the safety of our employees and the communities we operate in and we remain committed to working in partnership with state and federal officials.

[ *** End Of Update *** ]

* Very good point at the end of Hannah Meisel’s report

A proposal to ban flavored tobacco products would not include traditional tobacco products. An amendment filed Tuesday on SB 668 would ban all flavors of vaping products — including mint and menthol — leaving only tobacco-flavored vapor products on the market. This latest amendment is a departure from negotiations that as of Friday included a ban on flavored cigarillos, but allowed for mint- and menthol-flavored vape products like liquids and one-piece e-cigarettes such as the ones made by vaping giant Juul. The Black Caucus has pushed hard for menthol cigarettes to be excluded from any sort of flavored tobacco ban, as menthol cigarettes have been targeted at African Americans since their introduction to the market decades ago. State Rep. Thaddeus Jones (D-Calumet City) told The Daily Line that he also opposes “regulations that harm businesses near the Indiana border,” saying attempts to ban menthol and other tobacco products “only [exacerbates] the significant black market sales of loosies and single packs in our communities. This hurts local businesses who are struggling to keep afloat at a time when investment in our communities is not as strong as it needs to be.” But SB 668, sponsored by Senate President John Cullerton (D-Chicago) is a vehicle bill that has not yet been over to the House, meaning its chances for full passage this week are extremely slim, given the constitutional requirements that bills be read into the record on three separate days.

Yep. After much hype, the air has at least temporarily gone out of this issue.

* Also from Hannah

House Speaker Mike Madigan (D-Chicago), who on Monday called for other Democrats to pick a replacement without Arroyo, told reporters he agreed with Gov. JB Pritzker’s contention that a large-scale ethics package should wait until January. “I agree with the governor,” Madigan said Tuesday after a lengthy House Democratic caucus. “I think he’s correct. We should take some action this week, and then we should move toward a fuller study in the long-term.”

* One more from Hannah

A bill that would partially consolidate Illinois 649 suburban and downstate police and firefighter pension funds is on track, despite a hurdle that nearly derailed the bill Tuesday.

SB 1300 passed the House Personnel & Pensions Committee Tuesday evening with what would have been unanimous bipartisan support, Republicans said, had it not been for a last-minute addition to the bill in language filed Monday afternoon.

As The Daily Line reported Tuesday afternoon, the Illinois Municipal League — for years one of the loudest voices in favor of consolidating the state’s hundreds of public safety pension funds — announced it was opposing the bill in its current form. […]

State Rep. Mark Batinick (R-Plainfield) was the only aye vote on the GOP side, after asking everyone in the committee room to raise their hands if they wanted the language Cole and the league opposed to remain in the bill. No one raised a hand. […]

Batinick ultimately said he trusted Hoffman would work out a deal, and voted the bill out of committee.

Subscribers know a bit more about the status of that bill.

*** UPDATE *** From the Illinois Municipal League’s PR person about new amendments to the consolidation bill…

Amendment #6 resolves the issue that was of concern by the Illinois Municipal League. They are supportive now. Amendment #7 is purely technical.

The House will take this bill up this afternoon; it’s an agreed bill.

[ *** End Of Update *** ]

* Capitol News Illinois

Legislation aimed at capping the out-of-pocket costs of prescription insulin for those with state-regulated health care plans passed a House committee Tuesday with bipartisan support and a 13-2 favorable roll call.

Senate Bill 667 now awaits a vote from the full House of Representatives. If it passes, it will head to the desk of Democratic Gov. J.B. Pritzker, who has been a vocal supporter of the measure.

The bill would cap the price for a 30-day supply of insulin at $100 for people covered under certain kinds of insurance policies.

Chicago Democratic Rep. Will Guzzardi, the bill’s sponsor, said it would apply to those purchasing insurance on the marketplace, as well as public plans such as the state employee health program. He added it would apply to roughly 20 percent of Illinois’ population — about 260,000 of an estimated 1.3 million insulin users.

The sponsor thinks he has maybe as many as 80 floor votes. Stay tuned.

*** UPDATE 2 *** Rep. Guzzardi was a little off. His bill received 100 votes. It now goes back to the Senate for concurrence.

[ *** End Of Update *** ]

* Also from Capitol News Illinois

A bill calling on the Illinois Department of Transportation to conduct a study on the use of automated red light cameras advanced in the state Senate on Tuesday, lawmakers’ first day back at the Capitol for the final three days of the fall veto session.

Those devices, and the contracts that many Chicago-area suburban governments have with the companies that provide them, are believed to be one subject of an ongoing federal corruption probe focusing on state Sen. Martin Sandoval, D-Chicago. […]

The measure passed out of the Senate Transportation Committee, which Sandoval chaired before he was pressured to step down while the investigation continues.

If the full Senate does not vote on the bill by Thursday, the final day of the veto session, it could leave no time for the House to consider the measure this year. Lawmakers would then need to take it back up when they return in January for the start of the regular 2020 session.

Um, that bill is on Second Reading in the Senate. If it passed the Senate today, there would not be enough time to run it through the House because of the three-day reading requirement.

* Politico

Chicago Mayor Lori Lightfoot is close to winning a hand in Springfield after spending Tuesday talking to lawmakers about why helping Chicago is good for the state.

Sources familiar with the discussions between the mayor and Gov. J.B. Pritzker say the mayor’s request to tweak the tax rate for a Chicago casino could see approval this week — as early as today.

“It’s a good day,” Lightfoot told reporters after her meetings. She also discussed her sales pitch to lawmakers. […]

The mayor’s and governor’s offices have been going back and forth to nail down a palatable tax rate that downstate and suburban Democrats would agree to support. They think they’ve got it and the governor would sign off on it, too.

We’re about to find out.

Keep a close eye on our live coverage post for instant updates.

  8 Comments      


Tribune: Feds recorded McClain phone calls

Wednesday, Nov 13, 2019 - Posted by Rich Miller

[This Tuesday night post has been bumped up for visibility.]

* By Ray Long and Jason Meisner at the Tribune

Federal authorities recorded phone calls of one of House Speaker Michael Madigan’s closest confidants as part of the burgeoning investigation into ComEd’s lobbying practices, two sources with knowledge of the probe told the Chicago Tribune.

Recordings of phone conversations involving Michael McClain, who lobbied for ComEd and parent company Exelon before retiring in 2016, are part of the expansive probe that has rocked the Springfield political establishment over the past several months, the sources said. […]

It is unknown if the FBI listened in on any calls between McClain and Madigan, who is famously cautious about what he says in public and over the phone.

But McClain, 71, whose friendship with Madigan dates to when they both served in the House in the 1970s, is widely viewed as one of the few people in Springfield who would have candid conversations about legislative and political strategies with the speaker. Before he retired, McClain often could be found camped out in front of the speaker’s third-floor Capitol office.

He was also a frequent MJM dinner companion. But, as I’ve said before, Madigan is a lot like Paulie Cicero

Paulie hated phones. He wouldn’t have one in his house. He used to get all his calls second hand, then you’d have to call the people back from an outside phone. There were guys, that’s all they did all day long was take care of Paulie’s phone calls.

Then again, they got Paulie in the end.

  54 Comments      


Lightfoot leaves Springfield with no promises

Wednesday, Nov 13, 2019 - Posted by Rich Miller

[This Tuesday night post has been bumped up for visibility.]

* From Jordan Abudayyeh at 5:45 pm…

The governor and mayor had another productive meeting and conversation this afternoon, and he remains committed to encouraging members of the General Assembly to support the mayor’s priorities.

* Tribune

Mayor Lori Lightfoot headed to Springfield on Tuesday looking for help on legislation aimed at eventually shoring up Chicago’s troubled finances — a sweetened casino tax structure and the power to hike taxes on expensive real estate deals.

She was leaving Springfield without a deal in place on either.

Lightfoot stressed the urgency of getting a casino deal done this week to help ease the concerns of bond ratings agencies and provide certainty for future budget years.

* Sun-Times

Meanwhile, the casino bill’s House sponsor, state Rep. Bob Rita, D-Blue Island, said state Sen. Terry Link, is no longer involved in negotiations.

Link, D-Vernon Hills, had been a key player in gambling talks. Sources have told the Sun-Times that Link wore a wire in the investigation that ended with bribery charges against former state Rep. Luis Arroyo. Link denies any involvement, and he has not been charged.

“I haven’t talked to Sen. Link since the bill signing. No, he hasn’t [been involved],” Rita said. “I’ve talked with some of the senators, and I asked who was going to be the Senate sponsor, and we’re still waiting on that. But we have been negotiating with the Senate and staff. I’ve had talks with Senate President [John] Cullerton too.”

Rita said there were a number of questions from lawmakers in the south and north suburbs — areas where new casinos are proposed — about where the Chicago location would go. And negotiations aren’t just focused on restructuring the 33 percent tax rate. Rita said a change in fees is also in play, should the tax rate be adjusted.

“We’re getting close, but you know there’s other outlying issues that we need to address that [Lightfoot has] seen in caucus here that have been around,” Rita said. “So it’s not all just about the tax rates … and what it’s going to impact on the city of Chicago in the state, but there’s other issues that we’re faced with that we’re trying to work through.”

* From Jordan Abudayyeh at 8 pm…

The governor has said from the outset that it’s important for all parties to get the Chicago casino right, including maximizing the opportunities for jobs for residents and revenue to address our financial obligations, and if the city’s gaming legislation reaches his desk, he will sign the bill. Over the past several days, staff from the city, both the House and the Senate and the governor’s office have discussed the contours of a proposal, and there has been broad agreement from the parties. Our understanding is that legislators will be filing a bill shortly, and the governor would encourage lawmakers to support it.

* Related…

* Chicago Mayor Pleads Case in Springfield on Casino, Budget: Lightfoot told reporters after meeting with House Democrats that talks are continuing and said legislation to fix the casino problem would come “shortly.” She didn’t say whether that meant before Thursday’s adjournment of the fall session.

* Chicago mayor pleads case in Springfield on casino, budget

* Mayor Lightfoot Tells State Lawmakers City Needs Casino To Fill Budget Hole

  3 Comments      


*** LIVE COVERAGE ***

Wednesday, Nov 13, 2019 - Posted by Rich Miller

* Follow along with ScribbleLive


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