Excuse me.
Uh, we will have, we will begin the meeting We're waiting
for One more Alderman, for Quorum.
Mateo. I'll be here. Nick will be.
Good Morning everyone. Happy Wednesday.
The Committee on Finance is called to Order.
We'll begin today's meeting with a roll call.
Roll call sheet. Vice
Chair Conway Present.
Alderman Lafata. Alderman Hopkins. Alderman Hall.
Alderman Harris. Alderman Beal. Alderman Ramirez.
Alderman Quinn. Alderman Lopez. Alderman Moore.
Alderman Curtis. Alderman O'Shea. Alderman Mosley.
Alderman Rodriguez. Alderman Scott Alderman.
Brunette. Alderman Irvin. Alderman.
Talia Farrell. Alderman Cardona.
Alderman Waba. Alderman Rodriguez Sanchez.
Alderman Cazada. Alderman Viegas.
Alderman Mitts. Alderman Pdo.
Alderman Vasquez. Alderman Riley. Alderman Knutson.
Alderman Martin. Alderman Silverstein. Alderman Quinn.
I see you. We have
19 members present.
We have a quorum.
We have Alderman Taylor, alderman Ccho Lopez, alderman Lee
and Alderman Mitchell have requested to participate remotely
at today's meeting for reasons stated under the provision
of Rule 59.
Can I have a motion to allow these alderman to participate?
So moved by Alderman Rodriguez.
All those in favor signify by saying Aye. Aye.
Opposed an opinion of chair.
The ayes have it and the motion carries. I want to confirm.
Alderman Taylor. Alderman Ccho Lopez.
Alderman Lee, present Alderman Mitchell.
All right, well, good morning ladies and gentlemen.
The Committee on Finance meeting is called
to Order again today.
We will be holding a tefra public hearing for the Home
and Square Apartments Phase four project
for which the city will issue multifamily housing debt.
Let the record reflect that this is a public hearing
that is being held pursuant to the requirements
of Section 1 47 F of the Internal Revenue Code of 1986.
As amended notice
of this public hearing was published on October 1st, 2025
on the website of the Office of the City Clerk
for the City of Chicago.
Let the reporter mark the screenshot of such notice
as committee Exhibit number one for identification.
This is a hearing regarding a plan to finance
and to issue a multifamily
Mortgage Revenue Note 2025 Series A for the home
and Square Apartments Phase four
and a principal amount not to exceed $20 million,
which we will refer to this as the Holman Square note.
The proceeds of the Holman Square note will be loaned
to Home and Square Apartments, phase four holder, lp, LP
and Illinois Limited Partnership, which we will refer
to them as the Holman Square borrower to finance a portion
of the cost for the redevelopment
of an affordable housing development project,
which we are calling the Holman Square Project.
The Holman Square project consists of the acquisition
and rehabilitation of a residential development consisting
of six residential buildings,
such buildings being located at
36 0 7, 36 21,
and 36 45 West Polk Street, 9 0 6
and 9 0 8 South Central Park Avenue,
and 9 21 South Lawndale Avenue in Chicago, Illinois.
The home and square project will contain 107 housing units,
of which a hundred percent will be affordable
for households earning up to 60%
of the area median income.
The home and square borrower will be the initial owner
operator of the Holman Square Project
and the Holman Square four manager, LLC
and Illinois Limited Liability Company is the manager
of the Holman Square borrower.
The city will issue the Holman Square note pursuant
to its powers as a home rule unit
of government under the 1970 Constitution of the state
of Illinois and an ordinance adopted by the City Council
of the City of Chicago.
The home at Square Note will not be a general obligation
of the city, the state of Illinois,
or any political subdivision thereof,
but will be a limited special obligation of the city.
The premium of, excuse me, the principle of premium, if any,
an interest on the Home
and Square Note will be payable solely out of the revenue
of the Home and Square Project and other funds pledged
and assigned for their payment by the home
and Square borrower in accordance with the loan agreement
between the city and the home and Square borrower.
The home and Square note will not constitute an indebtedness
or an obligation of the city, the state of Illinois,
or any political subdivision of the state
of Illinois within the purview
of any constitutional limitation or legal provision.
No holder of the Holman Square note will have the right
to compel any exercise of the taxing power of the city,
the state of Illinois, the United States of America,
or any political subdivision of any of them
to pay the principle of premium.
If any or interest on the Holman Square note
written comments related to this plan
to issue the Holman Square note must have been submitted
by email to the Committee on Finance no later than 10:00 AM
Friday, October 10th, 2025.
Let the record reflect that no written
comments were submitted on this project.
Ladies and gentlemen, if any resident taxpayer
or other interested person attending this hearing
desires an opportunity to express their views for
or against the proposal in proposed issuance of the home
and square note, please do one of the following.
For those attending this hearing in person, please come up
to the microphone in the aisle when your name is called,
or for those who have called in on the toll free phone line,
please enter star nine on your phone to notify the host
of the call-in number.
Once you've been called upon to provide your comments,
please enter star six to unmute your phone.
Each speaker will be limited to three minutes.
Is there any member of the public taxpayer interested person
who wishes to make a statement with respect to this manner?
We have received, uh,
four public comments on this matter.
Uh, the first one will be by Jessica Jackson.
While Ms. Jackson is coming to the microphone,
I wanna acknowledge Alderman Riley, Scott Mitts
and Lopez have joined us and will be counted towards quorum.
Good morning, Ms. Jackson.
Good morning. Um, the issue that I have with
this housing project, as with anything that's has to do with
spending money in the city of Chicago at this present time,
is the mere fact that all this debt
that the city is getting, even in projects like this,
when you all claim that there won't be debt, the reality is
that it is, the reality is that people
who own property like myself
are reaping absolutely no benefit
from all this quote unquote affordable housing
because you all have decided that the only remedy
to the black community,
and I guess to the city
of Chicago at large is affordable housing.
No matter what the question is,
the answer is affordable housing.
We, we talk about our education being
better for our local schools.
The response from City Hall is affordable housing.
We talking about crime going down affordable housing.
We've been coming here almost three years talking about
how the city of Chicago
and Cook County is stealing the real estate
of black people's property.
And it's the answer to that affordable housing.
When I talk about the corruption of the courts
in Cook County and the corruption of public officials,
it's the answer to that affordable housing.
I just wanna know, when does affordable housing not
become the solution?
When you're looking at people in here that are supposed
to be officers of the court like Alderman Conway,
like Matt Martin Al the Alderman Riley,
who you knew about my case,
and you were looking for Kwame Raul
and you can't never find him,
but he's popping up at press conferences now.
So now to find him, it's affordable housing.
The answer to that, I'm just trying
to find out how it is that affordable housing seems
to be the answer for everything.
When you all know that black people are not even going
to go in these new for affordable housing.
These illegal immigrants are going in there,
but you gonna have them down here talking
about it today, right?
When you already know.
And the evidence is already there
because all money spent in the city of Chicago
for the last three or four years has spent on
illegal immigrants.
Every dime die. Every dime.
So to sit here and try
to manipulate this like it's another good charity,
like it's something good for the city when you already know,
ain't nobody gonna reap benefits for some
of these developers that's looking up the clock
that want me to hurry up and get finished?
You all should be embarrassed, but you're not.
Thank you, Ms. Jackson. The next speaker is Dennis White.
Good morning everybody. Good morning.
Um, the question is, when are y'all gonna stop spending
and start cutting unnecessary spending here in Chicago?
I see every time you have homeless veterans,
you have homeless blacks on the south and west side.
Every the city is like going down to hell
because you all Brandon Johnsons keep on saying, we
spending on affordable housing.
We all know that every time when it's close to the end
of the fiscal year,
everybody running up here doing these committee budget
meeting, finance meeting
and they want to do a tax increase.
They want to find out where the money is
because Donald Trump already made his promise that he going
to freeze up this federal funding here in this state
because JB Pritzker
and Brandon Johnson do not want to, uh,
help Donald Trump trying
to get these illegal aliens outta here
in the city of Chicago.
The money you all talking about affordable housing.
When are y'all gonna put some money in the police budget
that y'all want to take $92 million out of it
so more crime could increase.
So the cartels could put money in some of these, uh,
alderman's pocket like Byron Saint Lopez, Jessica Fuentes,
and then everybody else who betray the black voters
on the south and west side who betray everybody else.
Then you got this so-called social study teacher
who don't know nothing about the constitution,
but then he talking about a black man, uh,
is free a black man.
This, he's the worst black politician towards black people
after his twin brother Lori lfa that go vote office.
So my thing is this here, when are we gonna stop voting
for these so-called black traitors that sub
that keep us down in a barrel like a bunch of crafts
and more likely lied to us through the church?
Because I'm surprised
that the church didn't catch on fire when
Brandon Johnson was lying and stuff.
I'm surprised that lightning didn't strike Brandon Johnson
every time he opened his mouth
and then he going to say everything about everything.
But guess what we gotta worry about when the next
teacher strike going to come?
Because now he gonna say affordable houses
and stuff, but guess what?
No money is not going to help itself.
Those who disobey every law
and those are these illegals.
You gotta stop these spending
and do a lot more of these cuttings and stuff.
'cause these spendings are beyond unnecessary.
We don't have no money here in Chicago.
We don't have no money for this project
because when Ms. Jackson say the question is, who is going
to benefit blacks residents or these illegals and stuff?
'cause every time ice is here,
y'all over here protesting with them and stuff.
Thank you Mr. White. Our next speaker is, uh,
Mr. George Blakemore.
I got eyes. I can see, I see all
a cesspool of Democrats.
Not one Republican, not one socialist,
all Democrats, the black ones,
the white ones, the Hispanic to Asian.
A one party system is something evil.
Here is something un-American here.
All one party system.
And I use a little term
and then just say, oh, don't say don't use the word 69
or nothing like that.
A man or yo or my high caliber.
Well, that's what's going on here.
A one party system during the French Revolution,
uh, the the old head Maria Antoinette said,
feed these people cakes, give these people contracts
or high behind a affordable housing.
It wasn't, uh, the French, it wasn't going on.
You know what they ended up doing to Maria Antoinette?
They cut a neck off. It was a revolution.
A truck can't, uh, clean up this swamp.
They need to clean it up.
All of them are corrupt and she's,
and reading is fundamental,
but I keep hearing you madam, uh, saying this,
that it's no liability to the city of Chicago.
You're lying. You, you're doing voodoo economics for
that $20 million.
You're doing voodoo economics.
So it is a liability to the city by the mere fact
that this bond is passing in.
That That, that, that puts you right there.
The city is liable for that money.
And when they build that, how many black contractors,
how many black plumbers Brickell going be
working on that project?
It only makes the little white rich at the expense
of poor black people.
We have black faces
In black people out out.
You look back to me, you look back to me
and I know your hair is happy too.
Oh, we have to be selfish black people.
We have to Focus on us.
It's an invasion here
of illegal immigrants getting resources that we can't get.
And these black
One, each one of their family two
All of them clean up this guy.
Thank you Mr. Blake Moore, our next speaker, Mr.
Blakemore, your time has ended.
Mr The next speaker is TTA Thomas. Ms. Thomas,
Good morning chair, members of the finance committee.
Morning. I wanna speak specifically about agenda item nine.
Item nine, the homeless square apartment phase four project.
Once again, we see another multimillion dollar deal
going through this body.
A 20 million multi-family revenue bond
and another 10 million tax increment financing
or TIFF drawn from the Har Holman Arthur TIF district
and imported in from the Midwest tif.
That's a total of 30 million public dollars stacked on top
of decades of funding
that have already poured into the Holman Square area.
Let's be clear, the original Holman Square vision started in
the 1990s as a model of mixed income revitalization,
but since then, it has become a model of
how Tiffs can recycle public wealth into the hands
of developers without ever rebuilding true ownership
for the people who live there.
Every phase of this project has received new rounds
of public financing while the surrounding west side
neighborhoods, Lawndale, Garfield Park,
Austin are still drowning in foreclosures, bordered up homes
and generational displacement.
Meanwhile, city departments keep saying there's no funding
for home repair, flood recovery,
or small black on contractors to get in on the work.
And let's not ignore that. What's being repackaged here?
Holman Square has become a brand name
for community progress without the actual transfer
of power or property.
It's a site that's been marketed
as re revitalization while the community
around it still fights for survival.
How can we justify another 30 million bond
and TIF package for the same location when South
and west side homeowners can't even get a $10,000 grant
to fix a flooded basement or repair a roof?
How can we call this equity when the money never multiplies
for the people, only for the institutions?
If this city wants to prove that TIFs serve the public good,
then home and square should be the case study
that finally gives ownership back to the public,
not just the same developers on a revolving line of credit.
No more ribbon cutting without resident cut-ins.
No more bond deals without community equity
until we can see measurable black-LED return on investment
in home and square and surrounding neighborhoods
until residents actually hold stake
as ownership and what's being built.
These are not community projects.
They are city backed transactions
that keep equity out of reach.
I stand here asking this committee to pause
and audit the home and square funding structure.
Find out how many times this site has received tips,
bonds and grants.
Find out who has truly benefited
and make sure that if 30 million more is going there today,
at least 30 million more goes
to the people who've been waiting decades
for the same opportunity.
Thank you for your time.
Thank you, Ms. Thomas. Ladies
and gentlemen, that concludes the public hearing
on the proposed plan for the City of Chicago
to issue the not to exceed $20 million principal amount
of multifamily mortgage revenue
Note 2025 Series A for the home and Square Apartments.
Phase four, uh, for the Home and Square project.
Let the record reflect
that the public hearing on this matter was concluded at
10:42 AM
October 15th, 2025.
That concludes the Teer hearing.
I want to acknowledge, uh, alderman Irvin, Beal
and Mosley have joined us and are counted towards quorum.
We have a second Teer hearing
and so I want to take the, uh,
roll call for that meeting.
Vice Chair Conway.
Alderman Lata Alderman
Hopkins, alderman Hall.
Alderman Mitchell. Alderman Harris.
Alderman Beal. Alderman
Lee Alderman Ramirez.
Alderman Quinn. Alderman Lopez. Alderman Moore.
Alderman Curtis. Alderman O'Shea. Alderman Taylor.
Alderman Mosley. Alderman Rodriguez.
Alderman Scott Alderman. Che Lopez.
Alderman Burnett. Alderman Irvin. Alderman Talia Farrell.
Alderman Cardona. Alderman Waga. Back.
Alderman Rodriguez Sanchez. Alderman Cazada.
Alderman Viegas. Alderman Mitt
Alderman Sdo Alderman Vasquez.
Alderman Riley Alderman Knutson.
Martin Alderman Martin Alderman Silverstein
Chair, vice Chair Conway's Here.
Chair Dowell is here. We have a quorum.
We have 26 members present in the council.
Good morning ladies and gentlemen.
The Committee on Finance meeting is called to Order Today.
We will hold a tefra hearing for the Indiana Trails Project
for which the city will issue multifamily housing debt.
Let the record reflect that this is a public hearing
that is being held pursuant to the requirements
of Section 1 47 F of the Internal Revenue Code
of 1986.
As amended notice
of this public hearing was published on October 1st, 2025
on the website of the Office of the City Clerk
of the City of Chicago.
Let the reporter mark the screenshot of such notice
as a committee's exhibit Number one for identification.
This is a hearing regarding a plan
to finance multi-housing revenue bonds
for the Indian Trails Apartment Project series 2025
and the principal amount not to exceed $35 million,
which we will refer to as the Indian Trail Bonds.
The proceeds of the Indian Trail Bonds will be loaned
to TTG Indian Trails Limited Partnership
and Illinois Limited Partnership, which we will refer
to them as the Indian Trails borrower to finance a portion
of the cost for the development
of an affordable housing project,
which we are calling the Indian Trails Project.
The Indian Trails Project consists of the acquisition
and rehabilitation of a residential development consisting
of three five story multi-family residential buildings
located at 2 21 through 2 23 East hundred
and 21st place
and 2 1 21 41 South Indiana Avenue
in Chicago, Illinois.
The Indian Trails Project will provide 179 units
of affordable housing
to low income individuals and families.
The Indian Trails borrower will be the initial owner
operator of the Indian Trails Project.
TTG Indian Trails LLC
and Illinois Limited Liability Company is the general
partner, the Indian Trails General partner
of the Indian Trails borrower
and the Transcend Development Group.
LLCA Delaware Limited Liability Company is the manager
and sole member of the Indian Trails General partner.
The city will issue the Indian Trails bond pursuant
to its powers as a home rule unit
of government under the 1970 Constitution of the state
of Illinois and an ordinance adopted by the City council
of the city of Chicago.
The Indian Trails bonds will not be a general obligation
of the city, the state of Illinois,
or any political subdivision,
but will be a limited special obligation of the city.
The principle of premium, if any,
and interest of on the Indian Trail bonds will be payable
solely out of the revenue of the Indian Trail Project
and other funds pledged
and assigned for their payment
by the Indian Trails borrower.
In accordance with the loan agreement between the city
and the Indian Trails borrower,
the Indian trails bonds will not constitute an indebtedness
or obligation of the city, the state of Illinois
or any political subdivision of the state
of Illinois within the purview
of any constitutional limitation or legal provision.
No holder of the Indian trails bonds will have the right
to compel any exercise of the taxing power of the city,
the state of Illinois, the United States of America,
or any political subdivision of any of them
to pay the principle of premium.
If any or interest on the Indian Trail bonds
written comments relating related to this plan
to issue Indian Trail bonds must have been submitted
by email to the Committee on Finance no later than 10:00 AM
Friday, October 10th, 2025.
Let the record reflect that the following submitted, that
that no written comments were submitted on the project.
Ladies and gentlemen, if any resident taxpayer
or other interested person attending this hearing desires an
opportunity to express their views for
or against the proposed issuance
of the Indian Trail Bonds, please do so.
Um, for those attending in this hearing by person,
please come to the microphone when your name is called.
Um, we do not have anyone that has, uh, uh, contacted us
by phone for a call-in number.
Each speaker will have three minutes to speak.
Um, is there any member
of the public taxpayer interested person who wishes
to make a statement with respect to this matter?
Um, we do have four speakers
this morning on this matter.
Uh, but before I, before I called them,
before I called
them, I called them already.
All right. Alderman Taylor, Che Lopez, Lee
and Mitchell have requested remote participation
for reasons stated under provision of Rule 59.
Can I have a motion to allow these alderman so moved
by Alderman Mosley?
Uh, all those in favor signify by saying Aye.
Opposed in the opinion of the chair.
The ayes have it and the motion carries.
I, um,
first speaker will be Lanisha Cooper.
Hello, chairman and the whole council. Good morning.
Morning Ms. Cooper. I'm a part
of the Indian Trails Union.
I'm here to oppose the bond
and financial service, which is supposedly given
to another so-called Slumlord who could get any chance
to pocket any money from this bond sale
or given I'm a 30-year-old mother, a mother of two.
My apartment has not had heat within four years
since I moved in.
I stay up to five o'clock in the morning to disinfect,
to clean, to make sure my kids are not tainted
by any rodents, roaches, bugs
to the worst smelling plumbing to no heat,
which I put out a work order that was not even attended
to within the two months
or two weeks that they were supposed to do it.
How is it that money is steadily passed out while living
conditions are worsening at the same time?
We are asking to put a hold on this bond.
Opposing on this, there is nonstop issues we have
and been facing for years.
I am here today a representation of from younger to older
to ex to speak
and express how others feel as well as many spoke today,
I saw others on you guys team laughing, texting,
leaving out, posting up the peace sign.
Okay. There was still no real concern
as I was seeing from of you peers.
How can we make sure that we are part of this change as
to being told and not seeing any promises
as a young other coming
as a young mother coming into these issues,
I see no matter hard, how hard I pay my bills, my bills,
my utilities, I keep up my agreement.
There was still no real concern for my building.
People have been waiting out waiting issues
since I've been placed there.
It is beyond grace and patience.
Now the photos that I have in my phone
and documents I can submit
to the public right now and it would not be pretty.
We submit and verify everything
that I have spoken to you today.
Thank you.
Thank you Ms. Cooper. Uh, the next speaker is,
uh, DEA Sandlin.
I,
Hey, how you doing?
Good morning. I'm DeShaw de Sandlin.
I am a tenant in Indian trails
and I'm also a member of the tennis right unit.
Um, I oppose this bond.
Reason being is 'cause we need a contract stating that we
are gonna get what we're promised.
Now. Also, I have a lot of plumbing issues.
I got rodents, I have children,
I have grandchildren that can't even come to my home
because of the problems that we have.
Um, it's a lot missing outta this thing
that y'all talking about with this bond, the plumbing,
you know, it's a lot of things.
The management, all of that, the management
that we have is, it is crazy.
It's obsolete. They just bogus, they're wrong.
Hiking, rent, putting people out illegally.
It's a lot going on in Indian trails that even
Anthony Bill knows about
and he won't do nothing about it.
We tried to get Anthony Bill's attention.
We've been trying to get Anthony Bill's attention.
He over for years.
I've been in Indian trails for 43 years
and Indian Trails has never looked the way it does now.
Never Indian trails
has been my home since I was a child.
And there's no way that we should have a black man.
And this whole, that whole community is black
who speak for us.
You are right.
Thank you. It is he, he, he just,
and with Anthony Bill, ignoring everything
that we are trying to get going
and with like, we have a pedophile house,
not even a block away from our homes in Indian trails.
400 feet and they're four blocks away from schools.
It's two schools right there.
And it makes no sense that nobody is trying
to get these people out of there.
Like I crazy. I all day.
All of this is crooked and crazy.
These,
So I oppose this bond, this bill, wherever.
Thank you Ms. Soland.
The next speaker is Janessa Nicholson.
Can I have some order? Ms uh, Nicholson, you're up.
Good morning. Good morning. Um,
I'm, I'm gonna let Noah speak on my behalf
because my cramps aren't working with me today.
You're what? Mother Nature is visitors.
Oh, uh, we don't normally allow
that, but in this case I will allow that today.
Thank you Alderman. Um, my name is Noah.
Um, I'm the organizing director
with Jane Adams Senior Caucus,
which is the community organization supporting the
Indian Trails Tenant Union.
Um, the conditions in Indian trails are egregious.
As you've heard. Everybody knows that a rehab is needed
and in a general way.
The money being spent on this building is
absolutely appreciated and needed.
We understand, however, that the bond has been under
discussion for almost a year, if not longer.
The residents, as you heard,
have repeatedly asked Alderman Beale
for meetings only to be ignored.
And we didn't find out about this hearing until last week.
So why didn't anybody consult the residents of Indian trails
or ask their input before the vote was scheduled?
A lot is missing from the scope of work.
You heard about plumbing, mold remediation, electrical
security is needed, fair management and resident services.
This all being said, we understand the vote today is not
final and we appreciate
that the commissioner confirmed the bond isn't final
and that she's willing to
negotiate on the terms of the bond.
Until then, as you've heard from residents, um,
rehab promises have been made before
and things only got worse.
We need to make sure this buyer follows through.
The representative seems nice,
but we don't know anything about them.
We don't know about their plans yet.
For instance, the city, the DOB has had a lawsuit against
the owner for years and hasn't improved conditions.
Um, and we can't only rely on agencies
that are already overstretched.
So to make a long story short, the money is needed.
The money is supported,
but without a tenant union contract
guaranteeing tenants private right of action
to ensure the promises made will be kept.
The tenant union can't yet support the bond.
So we hope and look forward
to negotiating over the next two months
before the bond is finalized, um, to ensure
that promises made will be promises kept
and that those promises will encompass all the needs
of the building from full rehab, plumbing, mold, remediation
to onsite security, fair management, and residence services.
Um, that's my time. Thank you.
Yeah, yeah. Thank you.
Our next speaker is Jasmine Duckett
and I'd like to, uh, acknowledge Alderman Hopkins
who will be counted towards quorum.
Ms. Duckett? Yes.
Good morning. All. Morning. Morning.
My name is Jasmine Duckett.
I'm a tenant leader of the Indian Trails Thank you.
Of the Indian Trails Tenant Union.
Um, I want to express this, um, point.
First we do, um, want to have a contract to ensure
that this project does take place
because we've been told this same thing years.
Um, I, myself personally, with
or without a union, has gone personally
to Alderman Bill's office.
I just went to his town hall last month.
And personally as is it a way we can negotiate the living
conditions for us with my two children?
And I was shunned off
and so not to work outside of my community
where I myself have gone to him without my community
as a community leader with my kid's school as well.
I don't know. Um, oh my goodness, I'm sorry.
I'm so emotional about it
because I have done this fight with the city.
I was one of the tenants
who got our building into building court
for the heat three years ago.
And it's been recurring. We keep on getting passed.
We keep on getting passed, keep getting passed.
Nothing is being done.
We have the worst management known to mankind when we say
that our living conditions are deplorable,
they are deplorable.
I, myself have reached out to state representatives.
I'm was on the verge of going to Springfield. Is that bad?
My kids have gotten asthma have missed, I've missed work.
They've missed school for senselessness.
We've gone to management for years.
All they do, all they do is switch it up
and somebody else buys it.
We have this nice little dream pack up our stuff
and then it just sits there.
That creates pest as well.
Having to have boxes in your closet for years,
not knowing whether or not you're going to leave for real,
are they really going to rehabilitate where we stay?
That's why we asked for the contract
because of the constant lies that's been done
through the whole system.
We have gone to court about plumbing to today.
To today our building is flooded.
Every time it rains, it floods.
I reached out to representatives that's not even in our ward
because I don't know what our ward alderman is doing.
Honestly, I'm honestly tired of talking to Ms.
Evan even though she's a beautiful lady.
But all she can do is pass the torch
and that's all we've been doing for years
and years and years.
I left. I had to get my kids to school stupid early just
to come down here and express how important it is to us
that this needs to get done and be addressed.
We are all for the rehabilitation of course,
but if it's not backed by a contract ensuring
that it's gonna actually happen to us personally, yeah,
we do not trust it and we have the right
to not trust it honestly,
because we're the ones still stuck.
Getting water, dropping off our heads from our ceiling,
going to the hospital in and outta urgent cares.
You guys couldn't even imagine, couldn't even imagine.
Couldn't fathom it, couldn't even fathom it.
All these back to school events and these Halloween events.
Don't even imagine where these kids come
from, but I thank you God.
Thank you Ms. Duckett.
Our next speaker is Jessica Jackson.
You know, um, he's one of those.
I am so proud of the fact that you all came down here
and spoke up today.
I'm so proud of you guys.
I'm telling you because oftentimes
we see that people who live in,
and I'm just assuming affordable, affordable housing
and low income and subsidized housing situations
won't speak up because they quote unquote scared of
to lose they benefits.
And I'm, I'm telling y'all, come on
and I'm telling y'all that the time has come for us
to not be threatened for you all
to not be threatened like that.
Anytime you can look at this city council assure people
who own nothing in this country, who don't have a right
to be here, who haven't paid to dime here,
who in fact can have people sitting in a seat that calls us,
n*****s him right there.
And they can allow him to be here
and assure Hispanics
that they can have somewhere to live.
Don't y'all dare be scared to speak up.
I want y'all to know there is a population
of black people out here that are homeowners,
that are voters, that are riders and we riding with y'all.
Don't y'all be scared they doing us the same way.
Don't y'all see me sitting up here talking about
how they cheating me in court?
'cause they trying to steal my mother's property.
Property that's spending my family for over 63 years.
I've been coming in here
for three years asking every last one of them
to help us protect our property.
And they won't do it. They look away.
Look how they talking to each other over there.
They could care less about what's happening with us.
They could care less, but they gonna be out there
with channel two.
They gonna be talking and see, here's the thing
to my black alderman out here, y'all know what it is.
Y'all know I love y'all as black people.
Y'all know what it is, but Right, but you gotta do right.
And we've been saying that from day one.
We coming for them seats.
If y'all don't do right by us, we going
to encourage them to vote.
Y'all ain't going to just take us from granted no more.
We got too much to lose.
Y'all done disrespected us in our face
for the last three, four years.
Blatantly the fact that that clown gets to still sit here
and we see y'all greet him with a kiss.
It was bad enough in a missing.
You know, we cool that I saw you would forgive Rosa
after he messed up everybody for the sanctuary city.
Then y'all gonna sit here and greet him with a kiss
and let him sit here
because Stephanie called miss a, she forgive him.
Stephanie called me. Don't speak for all us.
I know she don't speak for me.
She don't speak for everybody in here
or we gonna organize with them.
They ain't gonna think that they by theyself. No they not.
Our next speaker is TTA Thomas.
Good morning again.
Chair members of the finance committee.
I want to speak on agenda item 11,
the Indian Trails Apartments Rehabilitation
located at 2 21 through 2 23 East 121st place
and 1 21 41 South Indiana Avenue.
Right in the Ninth Ward, my lifelong ward.
This proposal authorizes 35 million in multifamily housing
revenue bonds to TTG Indian Trails Limited partnership
to restore and renovate the that property.
But before we congratulate ourselves for doing something,
let's acknowledge what this item really represents.
Decades of neglect finally catching up
to the city of Chicago.
Indian Trail has been a crisis for years.
I have been childhood friends,
I have childhood friends from Curtis Elementary
and Julian High School respectively who lived there
and had moved out of there
to neighboring suburbs like Riverdale.
Residents there have endured everything from broken pu
plumbing and poor heat to pest infestations
and dangerous stairwells.
I've been on that property.
I've spoken to families
who lived there 20 plus years paying rent faithfully while
repairs never came.
They've waited through administration,
after administration budget
after budget while conditions worsened.
And there's what and what's here is hard
to ignore is we have an alderman touting 20 years
of service to this very ward, my ward, Anthony Bill.
Yet buildings like Indian trails still look like the city
forgot them right across the street from your office.
Anthony Bill, since a senior citizen apartment building
won't where the elevator hasn't worked properly
for years, if not longer.
And you sit Anthony Bill on the board of that building
and still our elders have to climb stairs
and wait for neighbors to help carry groceries up.
I know because those residents come to me.
I'm who they come to. Nette Thomas, check it.
Check the D one foul. Thank you.
So when we talk about rehabilitation, let's tell the truth.
Rehabilitation isn't just about
buildings, it's about leadership.
You cannot claim decades of service while your cons.
Constituents live in unsafe,
inaccessible housing, especially our seniors and residents.
The Ninth Ward deserves better than photo ops
and press statements.
We deserve oversight, transparency,
and proof that these 35 million in public back bonds will go
to the real improvements,
not just paperwork and press releases.
And this committee should not approve another dollar
for Indian trails without a community led accountability.
That includes quarterly progress reports mandatory
of higher local black contractors
and a tenant oversight committee like this
one that just came today.
I had more, but Anthony, don't play with me.
My granddaddy worked for you for over 10 years
and you still have not given him a resolution
for his death on his dying words to me.
He respected you as a man. Show me pictures of you. And I
Thank, thank you very much.
The next speaker is Dennis White.
The next speaker is Dennis White,
The resident of Indian Trail.
You all have a problem. We all have a problem.
It's called lack of accountability.
They not account, nobody is not going held accountable
for what's going on in y'all neighborhood.
Nobody in the council member
and nobody how many time they have a committee meeting.
They should inform y'all during a town hall meeting
to say, what will happen?
How do you feel about it? Sh vote on it.
I if you all say no, your, your representative
of each war should say no, my residents,
my constituents say no.
But guess what you say No. But they gonna continue on.
Say yes because every time they have a committee meeting,
they say yes to anything except
for cutting unnecessary spending, cutting everything
for the illegals.
So what's going to happen is you going to stay in here
because the contract has not been coming to you All.
The contract has not come to nobody here who voted for these
for the, uh, city council member for decades
ever since I was born.
Nobody ain't going to do that.
And then you got this dumbfounded mohawk. Mr.
T want to be mayor who want to do everything
to hurt us black people.
We over here do everything for everybody,
but everybody ain't doing for us.
Nobody ain't trying to do for us and they never will.
But when these illegal aliens come in, they find money,
they find contracts for them,
they say they have due process.
When are our due process is going to come in as a people
who voted for everybody every 50 aldermans in the city.
So they going to say one thing,
but they're gonna do another.
That's how the game going to be played so far.
So here's the thing.
If they don't do right for by them
during the election season, vote 'em out.
Vote everybody out. And you know what?
Don't not only vote for them in because they black.
Don't vote everybody in because they're a smooth talker.
'cause alcohol is a smooth drink,
but you still gonna get drunk off of it.
So what you don't do is don't vote for no more Democrat.
Find a Republican, find a white Republican that will stand
by you all because the Democrats ain't going to do nothing.
Look what's going on here.
Every time ice come in that it is not funny no more,
but they find it funny.
They think it's humorous.
But when election time come, guess what they going to do?
They going to run, giving out Thanksgiving.
Turkeys giving out cheap backpack from the dollar stores.
They going to give y'all some
to earn a vote, but guess what?
They don't deserve y'all votes.
Our last speaker is George Blakemore.
Father g Woodson.
The miseducation of the black man, miseducated,
our black so-called representative.
They are misfit. What do you mean Mr.
Blakemore using the term misfit.
They're not fit for the job. Misfit.
And, and you, you are giving me you young people,
uh, and education.
This man been here 20 years, Uhhuh.
And, and, and the whole financial way is set up.
The golden rules. He who has the gold rule?
Who has his gold? These white men.
How did they get all that money? Stolen labor.
Enslaved black people made America great.
Free labor, black blood, sweat and tear.
Now what I'm saying to my black people right now,
you must use what you got to get what you want.
And if you don't use what you got to get what you want.
You don't need what you got.
You cannot continue to go down this road.
You must get these angel mamas, these sambos
these house ends out.
And when I use the word in, he can say, Mr.
Blackmore, that's inappropriate.
But also right there, all black people, n****r.
And they voted him the n*****s voted him right back in.
Right back in.
So a lady, a lady, pat down,
you can't tell me, don't use n****r. You will not.
You've used it quite enough. Keep
Going, keep going here.
You didn't put him out. Keep going anyway. I will matter.
I will matter. White we
back labor reparation.
We never received it.
And you black people, uh, you've been miseducated that,
that's another scheme to make the white people rich again,
to make them even filthy rich.
But they use samone house ends and all.
So this is nothing new here. Racism is alive here.
But what's so egregious is
that black people are selling out black people.
Black people. Just
because you would look like me, that don't mean you, you,
you think like me.
Some of 'em have Harvard degrees,
but all these degrees, all of y'all look good today.
I find you dress good today. You talk good today.
But you are piece
of SHI don't smell you, but you're funky.
I don't smell you, but you funky.
And if I'm funky, I can just
Thank you. This
concludes the public hearing on the proposed plan
for the city of Mr.
Mr Blakemore. This concludes the public hearing on the
proposed plan for the city of Chicago to issue that not
to exceed $35 million principal amount,
multi-family housing revenue bonds
for the Indian Trails Project series 2025
for the Indian Tails Indian Trails Project.
Let the record reflect
that the public hearing on this matter was concluded at
11:16 AM October 15th, 2025.
That concludes the Tefra hearing.
We will now move into the regular meeting
of the Committee on Finance.
And that meeting is called to order.
We will have a roll call to establish quorum.
Vice Chair Conway Alderman Lata
Alderman Hopkins, alderman Hall,
alderman Mitchell, alderman Harris.
I'm sorry, alderman Mitchell. You're rule 59.
I'll get you in a minute. My bad. Alderman Harris.
Alderman Beal. Alderman Ramirez.
Alderman Quinn, alderman Lopez. Alderman Moore.
Alderman Curtis, alderman Os. All right.
Alderman Curtis, glad you're back.
Um, alderman, OSHA Alderman Taylor, I mean, sorry,
Al, uh, alderman Taylor will be back with you in a minute.
Alderman Mosley. Alderman Rodriguez. Alderman Scott.
Alderman Burnett. Alderman Irvin. Alderman Talley Farrell.
Alderman Cardona. Alderman Wapac.
Alderman Rodriguez Sanchez. Alderman Cazada.
Alderman Viegas Alderman. MIT Alderman Sdo.
Alderman Vazquez. Alderman Riley
Alderman Riley Alderman Knutson.
Alderman Martin Alderman Silverstein, chair Dowells.
Here we have a quorum. We have 24 members.
Alderman Taylor, Che Lopez, Lee
and Mitchell have requested to participate under Rule 59.
Can I have a motion to allow these Alderman alderman moved
by Alderman Moseley motion moved by Alderman Moseley
Al. Also dear
rule 59,
Alderman Irvin as well for Rule 59,
alderman Mosley renews this motion
to let these aldermen attend by remote means.
All those in favor signify by saying Aye. Opposed?
And the opinion of the chair, the ayes have it.
Um, alderman Taylor, Chel Lopez, Lee, Mitchell
and Irvin are now part of this meeting At this time,
we will begin the public comment period.
The comment period will be for 30 minutes.
Out of respect for everyone's time.
Each speaker is limited to three minutes.
We have no callers that have asked us speak, uh, remotely.
Um, we have four speakers this morning.
Uh, the first speaker's, Jessica Jackson.
Now see how they got up and left
because they're not trying to hear public comments,
but they're gonna come back when it's time for them
to get some money for them to get something passed.
You know, it's just the craziest thing that you ever seen.
And it's a dynamic that as a black person,
you really can't understand
until you look at things historically.
Right? And if we look at, let's say like
slave movies, right?
And it's, it's, it's like, like a crazy dynamic
when you see the house negro, right?
How he can be in the big house
and like those scenes, they always show where the master
and them be sitting around those big tables
and they be talking about, uh, what they gonna do
to they slaves and how they going to treat they bed wats,
how they gonna sell they slaves, how they going
and how those house Negroes could literally just stand there
with that long tail oh, hanging over they arms
and stand at attention and not blink, not flinch.
How they could just sit there and listen to master
and the slave owners talk about their own family and,
and can That would be in the fields.
Talk about about them like that and not be affected.
They could just sit there and take it.
That's what we looking at right now in City Hall.
That's how our politicians, our black politicians are.
They hear us talking about our conditions, how we living,
how they taking our money, how they down in our schools.
And look at 'em. Look at 'em.
They sitting that that go that long time. It's over there.
Arm. Yeah it is. Look up under that table. She got one.
She got, she got. That's
how they can look down at their computers,
how they can keep on talking.
They, that's that long time. That's that long time.
They standing at attention.
They letting Mouse talk about his goodness.
We need what they going to do. And they stand there.
They don't feel nothing about their own mama.
They own daddy that could be in that field.
They don't feel nothing about a child.
That master didn't knock them up with.
That's your original baby daddy, right?
They knock them up with and they out there in the field
and they say at attention, attention when master say, pour
that cup of water, that Sir boss and get right back in line.
That's what's up. That's the dynamic.
And we got hooked winked by Hollywood.
'cause they always made slave movies about the field
and deciding how they get in the way,
how they running, da da.
And they never let us inside the mind of
that house negro who's sitting there listening to it,
taking it all in, taking all the secrets back to nasa,
telling him where the Underground Railroad is, telling them
what that song mean.
Telling them how you can get 'em.
That's who we got in here, y'all.
It's time that we wake up, smell the coffee
and deal with that as a people.
We gonna deal with it as a people.
That's what's going happen. We saw it here today.
Our next speaker, our next speaker is TTA Thomas.
Thank you Ms. Jackson. Your time is done. TTA Thomas.
Lynette Thomas.
Good morning again. Morning.
I know we've been talking about all these alderman,
but one alderman I can say
that does show up his constituents
is Alderman Ronnie Mosley.
Because I get his weekly bulletins.
That's the only thing, reason why I know stuff happened.
My alderman, you have to make an appointment
during constituent night.
I never heard of that before.
You, he won't show up
unless you make an appointment for constituent night.
That's unheard of. You get paid for constituent night.
I know. 'cause Alderman Mosley is sitting in his office
during constituent night.
That's neither here nor there.
Before I speak on these agenda items, I need
to remind this body that every dollar,
every dollar we vote on our, on real people, taxpayers,
family owned owners, people like me.
On April 13th, 2024 to July 16th, 2025, I was outta my home
because of flooded, my basement was destroyed.
I lived displaced for over 15 months.
Rebuilding piece by by piece, waiting on the city
to care about residents who lose everything.
Not by choice, but by circumstance.
And then just last Friday, the Department
of Finance called me about a water bill.
They told me I signed up for a paperless building
and that's why I hadn't received statements.
I told them I never did. I hadn't even been home.
But I have a bill, outstanding Bill.
And I hadn't even been home for a year,
but they were building me every single month.
They said, well, you were
supposed to tell us to turn it off.
They, they, y'all don't even tell residents.
And if you're gonna be out your house, tell,
tell us to turn it off.
I've never gotten that. My my ultimate.
Don't send me anything about helpful tips.
Um, what's really,
really crazy is the city can find a flood victim
to help collect from,
but can't find the urgency
to correct what's broken in its own system.
We can track residents for revenue,
but we can't track accountability for
how our money is spent.
And that brings us to today's agenda.
A list that says everything about Chicago's priorities,
police settlements, union station tip,
Northside Park upgrades, Holman Square,
phase four Indian Trail Apartments, Eden, Bronzeville,
and p Pulaski redevelopment.
What's missing, what's missing from this agenda are the
things that matter most to working class Chicagoans.
No funding for flood mitigation in neighborhoods
that flood every spring.
No new investment in home repair grants
for low income homeowners, no
or veteran homeowners like myself.
No emergency fund for residents, displaced
for infrastructure failures.
No equity plan. Ensuring that these bonds
and TIF dollars actually reach black
and brown communities proportionate to our tax base.
We call ourselves a sanctuary city under
the New American plan.
And yet the residents who built this city, the veterans,
the teachers, the parents, the taxpayers, are living
through silent disasters without santu,
without a sanctuary of their own.
We have spent hundreds
of millions health housing new arrivals while longtime
Chicagoans are still living
with black mold backed up basements
and unpaid bills they never should have received.
This isn't a question of compassion,
it's a question of balance.
And right now, Chicago's balance sheets show love
for everyone except the people who've
already invested the most.
Thank you. Our next speaker is Dennis White.
Uh, here's the thing. We got three group of people.
No, lemme correct myself.
I know y'all tired of us talking about this.
We you're tired of us coming to the mic.
Say what we need to say.
Here are grievance in
and you all vote yes about everything
that our grievance is based off of.
So we got three type of people who going vote
for yes for some of these things.
You got the Hispanic voters who going to say yes,
you have some of the white, uh,
voters in these city council chamber.
Who gonna vote yes.
And you got the black voters who going to say yes
to everything against what we need
to survive in Chicago.
And the biggest traitor that will vote yes on
are the black council members.
They going to vote yes with some of the white voters.
It may the Hispanic vote.
And we getting tired of keep on coming
from the south side, the west side.
We tired of keep on talk about what's going on, what's
what We need to make this city a better place to live.
But every time we talk, you don't listen.
You hear, but you don't think,
and then you make promises.
It's like a dope fiend.
And what's worse than a dope fiend is a hope thing
that keep on, we keep on hoping
that they will make better changes.
So we could live in our war.
And there are 50 aldermans here who say one thing,
some vote no.
But the majority of 'em vote yes.
We went from a $300 million property tax.
All 50 aldermans voted no.
But then Brandon Johnson came up with a $40 million
short term high interest rate law.
The majority, especially some of these black aldermans say,
yes, you.
And then every time we come here,
it's the same cycle every day.
And this is the, here's the thing about me being black, is
that this place is worsen than roots
because you got a lot of fiddlers that's in these,
in these black wards.
And when they, when when they do, they scratch,
they keep on buck dancing to the master.
Brandon Johnson's not alone. Who's doing this?
'cause somebody's pulling his string.
But I'm gonna say this to some of you council members.
You all gotta stop this
because when election time come, you gonna need our votes.
And you gotta learn how to speak when we need to speak
because you, we paying y'all salary.
Thank you Mr. White. Our
that last speaker is George Blakemore.
You my black people. You deserve the government you get
and you get the government you deserve.
So you cannot blame that only on these alt ones and
and on the mayor,
this is worse than coming into China.
So I, when I spoke previously, I said, if you don't use
what you have to get what you want,
you don't need what you have.
The black man's problem in, in America is the black man.
Something egregious happened to us.
We was enslaved in America.
Have you ever been a slave where the day all of
that doodoo is still in our mind.
My mama hated that daddy. Her or her.
She just hated it. She wanted straightened hair.
She hated her napping hair.
Now, uh, my mama wasn't like, I, I can't get mad at her.
She was brought up in her ante, belly tied.
And today you see our winning,
but a long straight hair all the way down they butt.
We hate us, us in our problem.
God free our people from the slave in town.
Not only the alternate, it's the something a reason happens
to all of them in America,
in slave in America.
Just imagine that, that you work feeding
and soul and abuse.
Just imagine what happened to your mentality.
We are a problem. I love my mama.
She a empty belly mama.
She hated her feet, her neck hair.
She liked that yellow face
and her thin lips and her keen nose.
She said, I'm pretty. Look at me. I look at my feet.
Now they not big and wide like the black woman.
She, she, she was part of a antebellum mental illness.
Our people are mentally ill today looking at that wig.
Look, look up over there for that wig uhhuh look.
Just
how do it I would that,
that lady said keep marching.
Oh, Harry trouble said, keep marching with that gun.
Keep marching March on radar off
because he was gonna turn back, throw back, rap,
and turn on the in.
So our enemies, we got to prayer ourself of our
Thank you Mr. Blakemore.
I'd like to acknowledge, uh, alderman.
Excuse me, Mr. Blakemore,
if you're gonna kick up some dust, you can leave.
Thank you. I'd like to acknowledge Alderman Mana Hopin,
who's joined us as a non-member.
Um, we have a total of 13 items on the agenda this morning.
We will start with the Department of Law
who has four proposed orders
authorizing the corporation counsel to enter into
and execute settlement orders in the following case.
Please come forward. Uh, Margaret Mendenhall Casey.
The first case is item one a Victoria Candace Powell
as the special administrator of the estate of Mario Winters
versus the City of Chicago.
Case number 20 L 7 6 2 2 in the amount
of $615,000.
We will hear this case from Margaret Mendenhall, Casey
of the Department of Law. Good morning.
Good morning. And thank you chair.
On July 8th, 2020, the decedent, Mario Winters,
who was then 33 years old, was traveling on a mini bike.
Officer Evangels Andis was responding
to an emergency radio call for assistance
with his lights activated.
While the officer was traveling 93 miles per hour.
Mr. Winters attempted
to make a u-turn in front of the police.
The police vehicle collided with Mr.
Winter's motorized mini bike leading to his death.
The plaintiff alleges that the city's willful
and wanton driving caused the accident.
And Department of Law recommends settlement in the amount
of $615,000.
Around 10:30 PM Officer Ann Lakers was on patrol when he
heard a radio call for a fleeing individual
with a firearm near 128th and Parnell.
The officer was on a hundred and 11th Street near Halstead.
He activated his lights and sirens
and proceeded south on Halstead.
Mr. Winters was traveling north on Halstead,
on a motorized minibike.
He then made a u-turn in front of the police
to travel back south on Halstead.
Officer Anki first observed a dark figure when he was about
100 feet from the intersection in the left hand turn lane.
Mr. Winters turned in front of the police
and Officer Ekes unsuccessfully attempted
to avoid the collision.
Mr. Winters was thrown 20 feet off of his bike.
The police vehicle driven by Officer Anna Lake,
left the roadway and struck three light poles
before coming to a rest.
Mr. Winters was, uh, deceased on scene.
He had marijuana alcohol with the BAC of 0.15
and methamphetamine in his system.
At the time of death,
the Chicago Police Department investigated the collision.
The black box recorded the vehicle's speed five seconds
before impact at 85.7 miles per hour.
At 1.5 seconds
before the impact, the speed was 93.5 miles per hour.
And then one second before the impact,
the officer applied the brakes
and the vehicle speed went down to 66 miles per hour.
At the time of impact, Mr.
Winter's minibike was not equipped with front
or rear rear lights or reflective gear.
The accident is not captured on video.
The major accidents unit investigated
and determined that the dominant reason
for the traffic crash was Mr.
Winter's failure to obey the Illinois vehicle code.
Mr. Winters did not have a driver's license.
He was operating unregistered minibike
and that did not have headlights or taillights,
and he did not yield to the authorized emergency vehicle.
However, the investigation also indicated
that Officer Anna Lakes may have exceeded the maximum speed
limit in a manner that endangered life or property.
BIA investigated this matter
and found that Officer Ekes violated the emergency driving
general order when he went
through the intersection without determinating determining
that it was safe to do so
and issued a 20 day suspension, which the officer accepted.
Mr. Winters is survived by three minor children
who range from 17 months to six years old.
At the time of the accident.
The plaintiff initially demanded $12.5 million on this
matter, and the Department
of Law recommends settlement in the amount of $615,000.
Uh, thank you Margaret. Do I have
any questions on this case?
Alderman Lopez.
Thank you, chairman, and good
morning members of the committee.
Uh, just a real quick question.
Were the officer's lights activated
At the time of the accident?
Yes, the officer's lights were activated
And were the sirens activated,
Uh, intermittently.
So they were turned on, on and off.
So they, the officer was toggling them?
Exactly, yes. Okay.
Chairman, if I may just ask, we continue to see settlements
where officers are toggling sirens
or lights as opposed to letting them go consistently
as they're traveling through intersections.
What are we doing to address this?
Because it seems that that is now the bulk of our
settlements in this arena.
Um, I, I'm, I'm happy to, uh, address that, that question.
Um, in, in terms of this particular case, um, the
plaintiff will argue, uh,
that the liability truly stems from the speed.
Um, not necessarily the fact
that the lights were, were toggled.
In fact, um, BIA found
that the emergency driving general order was violated
because the officer went
through the intersection without determining
that it was safe to do so.
So really the, the,
the primary liability stems from the speed, um,
that the officer was traveling at the time of this accident.
But there are no general orders that it has to be
that the sirens and lights have to be
fully engaged when you are going through intersections.
Isn't that the general order as well?
Sure. So in, in terms of this particular case, the
No, I'm just asking Yes.
As a whole in general, that's, that is the,
the requirements, if you're gonna go
through the intersection, it's not just to oop, it's, it has
to be fully engaged.
Correct. The
General order does require that lights, um,
and sirens are engaged.
And I actually have the general order here with me.
Uh, gimme one second.
So, um, the relevant general order is emergency vehicle
operation oh 3, 0 3 0 2.
Um, and it states, um, that
when a vehicle's engaged in a non-emergency vehicle
or non pursuit, excuse me, emergency vehicle operation,
the operator of a marked vehicle will, number one,
activate the emergency roof lights.
Number two, activate the siren in advance
of encountering any traffic obstruction
or to alert others of the approach of his
or her vehicle, um, as well
as operate the vehicle at a speed
and in a manner compatible with weather
and local conditions to ensure that control
of the vehicle is maintained at, at all times.
So those are the, the relevant, um, portions
of the general order in addition to proceed
through intersections or traffic signals only
after determining it is reasonable and safe to proceed.
So then based on that order,
they do not ha they can toggle that
and still be within the requirements of the order.
Certainly, if we were, um, proceeding to trial, um,
my trial team, the city would make the argument, um,
that toggling is, uh, compliance with the general orders.
And in this case, uh, BIA found that the violation was
that the officers failed
to essentially clear the intersection.
Um, BIA did not find a violation pertaining to, um,
lights and sirens.
And the vehicle that he was driving is not suited
for Chicago streets, correct?
Uh, uh, no, I, I don't agree with, with that statement.
What did you say with regards to all of his violations
of the Illinois statutes?
Oh, oh, he, my, my, my apologies, uh, alderman, um,
I When you said he, I, I thought that you were firm. No,
No, not the police.
My apologies. Uh, yes.
So, um, as to the decedent, Mr. Winters, um, he, at,
at the time he was driving, he was not compliant
with Illinois statutes.
That, that's accurate. Um, he was required
to register that minibike.
Um, he did not have a valid driver's license, um,
at the time of the incident as well.
Thank you Alderman Curtis.
Basically what was the same, um, uh, it is important.
Emergency lights means, uh, there's an emergency.
It seems as though that, uh, we awarding someone
that was intoxicated had, uh, that was on
an illegal motor scooter.
Uh, and I mean, things do happen.
Uh, but, uh, the, the officer did have emergency lights.
I was wondering about the sound
that did make a big difference, and, and he did.
He was hollering the, uh, the siren also.
So, uh, those were my questions. Thank, thank you.
Sure. Thank, thank you Chair.
Um, a as to the investigation that was performed, um,
by BIA, uh, alderman Lopez as well, alderman Curtis are,
are accurate in that there were no findings of violation
of the general order for lights and sirens.
However, there was a finding that the officer, uh,
drove essentially at, at, at a rate of speed, um,
that made it, uh, un unsafe,
and it made it difficult for him
to operate his vehicle in a safe manner.
Um, and that he cleared, he went
through the intersection without clearing it first
and determining it that it was safe
because he was driving 93 miles per hour.
That is what the plaintiffs will argue.
Um, and BIA did sustain a violation
and issue a 20 day suspension in this case due
to the officer's actions.
Al my Curtis, You? Yeah. Yeah, I did.
So how, how, who determined that he did not
look both ways before he entered into the intersection?
Sure. So, um, when I say that he failed to clear the,
the intersection mm-hmm.
I, the, the conclusion that
that BIA reached is based on the,
the results, you're accurate.
I don't know if they determined
that he didn't look left, he didn't look right.
They determined that when he passed
through the intersection, he did not ensure
that it was safe to do so.
Um, and that's evidenced by the unfortunate
accident that occurred here.
Thank you, chairman. Thank you.
Alderman Sdo. Mayor, uh, Anthony, can you,
can you slide over a little bit?
Thank Anthony. Um, um, I,
I didn't know we can ever register many bikes in the city
of Chicago as a, as a legitimate vehicle.
Is that, is that something new or do you know,
and I'm not trying to I got
you or anything, but I didn't think
So Many bikes on our streets.
Sure. So the, the minibike is motorized,
my understanding is that there is a requirement to register
motorized minibikes.
Not that they, it would be equivalent to, um,
a vehicle like a, a car or a truck,
but that an individual in possession
and driving a motorized minibike needs to register it.
That's my understanding.
Register that you have it in your garage
or register, you can drive it on the streets.
I mean, I'm not, I'm not trying to I got you or anything.
I'm just, I'm a little miff because I'm oldest
person here in the council.
They've been living in the city the longest,
but I never remember, uh, many bikes ever being,
you could drive them on city streets.
So I'm just curious that one of our concerns seems to be
that, or it's really not a concern,
because the concern is that he put his lights on,
put 'em off, turned 'em off and on, you know, whatever.
Um, so I mean, basically the guy was as high as a kite,
and he was driving a mini bike up and down the streets,
and then he basically was got killed
In, in, uh, alderman Rosado.
I, I hear you speaking to, uh, the concept of really, uh,
comparative negligence here.
Um, and the idea that Mr. Winters is not,
his hands are not completely clean, um,
and that there is some fault that that lies
with Mr. Winters.
Um, and my, my response to that would be, I,
I believe it's reflected in the, the settlement
that is being presented to counsel.
Um, a dollar $2, um, a hundred thousand dollars,
$615,000.
It is a significant amount of money, I would say,
as the person who's responsible
for managing the city's personal injury defense practice.
Um, typically wrongful death cases
average is about $10 million verdict.
So the negotiation, um,
and the proposed settlement does take into account, uh,
contributory negligence on Mr.
Winter's part with the plaintiff initially demanding
$12.5 million in the city,
or, uh, subject to city council approval, settling for 600,
uh, and 15,000.
Okay. All right. Well, I, I mean, I,
I don't think we have much of a choice here,
but I mean, it just appears to be, you're telling us if he,
if he had a, if he was driving a motorcycle
that was registered and he had a license
and he wasn't as high as a kite,
we potentially could be paying this guy 10 million.
He'd be asking for 50 million.
We could potentially be paying him 10 million.
So, I mean, it's just speculation
and that, like I say, once again,
appreciate all you're doing.
It's just these things that get so frustrating
and I, I know it's just as
frustrating for you and, and your team.
So I, I just, I, I appreciate you, so, all right.
Thank you, Madam Chair. Thank you.
Alderman Spto, alderman Hopkins.
Yeah, thank you, Madam Chair.
Uh, was my understanding correct that there is no violation
of the general order for proper use of lights
and siren in this case?
There was no finding of improper use
yet the finding was failure to clear the intersection.
Uh, that's accurate. Okay.
That concerns me and puzzles me,
because frankly, for first responders, they have no other
tools to clear an intersection other than lights and siren.
So if they were using the lights and siren properly,
and the intersection failed to clear, uh, you know, that,
that raises concerns about setting a precedent here.
Um, how, how are we going to apply this in future cases
when the general order for, you know,
that should work, doesn't work?
How is the respondent the one that's, uh,
the responding officer, the one that's liable for that?
Sure. So, I'm certainly happy to, to raise your,
your concern regarding the, the general orders, uh, to, uh,
the police department.
I, I would note that as the general order currently stands,
and this is emergency vehicle operation non pursuits
oh 3 0 3 0 2, it does say
that when engaging in non-pro pursuit emergency vehicle
operation, the operator of a marked vehicle will proceed
through intersection or traffic signals only
after determining it is reasonable and safe to to proceed.
So the order, um, as it it stands now does,
or the plaintiff would argue, it does place, um, an onus
and a burden on the emergency driver to ensure
that it is reasonable
and safe to go through the intersection.
And, um, BIA did determine that that portion
of the order was not followed
and issued a 20 day suspension, which the officer accepted.
Alright, thank you. Thank you.
Can, uh, alderman Lopez, you have another
Question? I do,
yes. I'm sorry.
To that point, which my colleague from the second ward just
raised, you did state that the decedent
unexpectedly pulled a U-turn.
Correct. That was part of the narrative.
So the, the narrative was that the decedent
made a u-turn in front of the police that the officer first
observed, uh, the decedent, um,
about a hundred feet away from the, the impact.
So yes, if we were to proceed to trial, the city would argue
that Mr. Winters made a, a quick turn
that Mr. Winters darted out.
Um, the counter argument to that,
that the plaintiff would make is that
by traveling at 93 miles per hour, the officer, um, did not
allow for any room for error to slow down to try to swerve
and avoid the, the accident.
But yes, he did. We would argue he darted out.
Even if he was going,
even if the officer was driving 60 miles an hour,
we still would've hit that person
because if they were only a hundred feet away,
there's no way that anyone humanly could stop their vehicles
if someone is that close,
literally three car lengths in front of you
and pulls a U-turn as you're
coming, regardless of what we're doing.
So I think to my colleague's point, the expectation was,
as we've seen time again on our streets, you're going
through the intersection, it's clear, the sirens,
everything, and if someone pulls a U-turn in front of you,
no one plans for a U-turn.
So to hold us to that standard is just
for remarkable. So you chairman,
Thank you
Alderman Alderman burg.
Um, if I could, I'd just like to see if, um,
through the chair we could get all of the city.
I think I know which one of, of the city code it is,
but all of the city and state, uh, laws
that were cited in the settlement, um, through the chair so
that we can, um, just basically see which ones, uh,
counsel on both sides were citing as to what the, uh,
code is for allowable use
of the motorized vehicle on the streets.
Thank you. Will
Do. Thank you, alderman.
Thank you. Alderman wa back.
Uh, there are no other questions.
Can I get a motion for approval of this item?
So moved by Alderman Cazada. Recommending do pass.
All those in favor signify by saying Aye. Aye. Opposed?
Uh, we will record Alderman Cardona,
alderman Spto, alderman Riley, alderman Curtis,
alderman Moore, alderman Lopez,
and Alderman Quinn as no votes,
but the item does pass the committee
and will be reported out at the next,
uh, city Council meeting.
Item number one B is Franklin
PS versus City of Chicago,
case number 2021 L 0 0 0 5 14,
and the amount of $950,000.
We are joined, uh, by Derek Kmb from the Department of Law
to present the, uh, case.
Mr. Kuhn,
speak up.
This is a whistleblower. Que
Switch mics.
We switch chairs. How about that?
Oh, you have to state it. Okay. Good
Morning, chair. Do
members of the finance committee,
this is a whistleblower retaliation lawsuit brought pursuant
to the Illinois Whistleblower Act in the Circuit Court
of Cook County, Franklin Poz.
A CPD Lieutenant claims that in the summer of 2020,
he refused to engage in
and reported an illegal quota requirement implemented
by the supervisor of CPDs,
newly formed community safety Team, CST.
The supervisor was a commander who became a deputy chief
during their relevant time, and has since retired.
Shortly after complaining about the alleged quota
requirement, plaintiff was removed from the CST placed on
the midnight shift in October, 2020,
and sent to the third district.
Plaintiff filed suit against the city in January, 2021.
The city moved for summary judgment,
which the court denied on March 6th, 2025.
A jury trial began on April 14th, 2025
after jury selection.
But prior to opening statements, the parties learned
that plaintiff's mother had passed away
and the court declared a mistrial and rescheduled the trial.
If this matter does not settle, it will proceed
to a rescheduled jury trial.
Plaintiff alleges that as soon
as the commander took over supervision of the CST,
he began urging plaintiffs
and other lieutenants under his command
to increase police activity, including the number
of traffic stops, arrests,
and citations, regardless of criminal activity
that would justify police intervention.
Shortly after being assigned to CST,
plaintiff was in a motor vehicle crash
and went on medical leave from July 31st, 2020
through September 21st, 2020.
Plaintiff alleges
that the commander took over plaintiff's roll call
during this time and required members of his team
to make at least 10 traffic stops per day.
Plaintiff alleges he made verbal complaints about quotas
in September, 2020.
He also alleges that he sent an email to the commander
who had by then become Deputy Chief on September 25th, 2020,
stating I cannot in good faith
and will not mandate officers to bring in X amount
of numbers and activity.
The Deputy Chief responded to plaintiff's email later
that night stating that plaintiff had grossly misrepresented
his expectations and that plaintiff should contact
CPDs Bureau of Internal Affairs with his allegations.
Approximately one week later on October 2nd, 2020,
plaintiff's detail to the CST was canceled
and he was sent to the third WA district on the first watch
after plaintiffs transferred to the third district,
he never returned to work.
Instead, he went on medical leave in February, 2024, uh,
until until February, 2024, at which time he applied
for duty disability benefits through the police pension fund
and went on a disability leave of absence.
Plaintiff claims he's unable to return to work
because of anxiety
and post-traumatic stress disorder stemming from the alleged
retaliation against him.
An independent medical expert retained
by the police pension fund, Dr.
Steven e Roki testified
that the primary reason plaintiff cannot return
to work is due to emotional
and psychological injuries he sustained as a result
of the retaliation against him.
The Deputy chief emphatically denies
that he implemented an illegal quota
or that he ever required a specific amount
of police activity for members of the CST.
According to the Deputy Chief plaintiff was not removed from
CST for complaining about quotas,
but due to his belief
that plaintiff had engaged in misconduct, specifically
that a sergeant under plaintiff's command had improperly
signed Supervisor Management logs while he was on restricted
duty, and that plaintiff had improperly approved those logs,
the deputy chief believed this conduct may have violated.
Rule 14, the Deputy Chief raised this concern with the Chief
of Patrol and first Deputy Superintendent resulting in
plaintiff's detail to the CST being canceled.
The Deputy chief failed
to inform BIA about plaintiff's alleged misconduct
for five months, however, until
after plaintiff had filed his state court lawsuit.
Additionally, the sergeant to the Deputy Chief also accused
of engaging in misconduct remained in CST until 2021.
On November 11th, 2020, plaintiff filed a complaint alleging
that Deputy Chief, the Deputy Chief IMP
imposed illegal quotas.
On August 8th, 2024, the Office of Inspector General,
after investigating closed the investigation
as not sustained
after plaintiff filed his lawsuit in January, 2021,
CPD discovered that the Deputy Chief's concerns about
plaintiff's potential Rule 14 violation had not been
reported to the Bureau of Internal Affairs.
The Deputy Chief then submitted a complaint on
February 8th, 2021, five months
after he learned of the issues with the logs
on December 10th, 2021.
The OIG closed the investigation into plaintiff's
falsification of logs as not sustained
and found there was not sufficient evidence
to support the conclusion
that plaintiff had committed any violation of rules
in the lead up to the originally scheduled trial in
April, 2025.
The court made several pretrial rulings, including
that plaintiff may call an expert witness,
professor Frank r Baumgartner,
who is deemed an expert in the area
of traffic stops racial profiling, racial disparities,
and racial discrimination, as well
as the statistical methods used
to evaluate such disparities.
Professor Baumgartner would testify
that if a traffic stop quota was in effect
as plaintiff claims, then the result would've been increased
stops of minority individuals and increased illegal stops.
If plaintiff were to prevail on the issue of liability,
he would be entitled to lost wages out-of-pocket medical
expenses and attorney's fees and costs.
Plaintiff claims lost back pay
and front pay damages in the amount of $829,000
and out-of-pocket medical expenses in the amount of $13,000.
Plaintiff also claims significant emotional damages,
which have been substantiated by medical testimony
and the amount of $1 million.
Plaintiff's counsel likely has over $750,000 in attorney's
fees and would accrue additional attorney's fees if this
matter were to proceed to a rescheduled trial.
Exposure in this case likely exceeds $2.7 million
and could be higher if the jury awards plaintiff amount
for emotional damages higher than our expectations.
Taking all risks into consideration,
the law department recommends
that the city settle this matter for a total
of $950,000 inclusive of all attorney's fees and costs.
Any questions? All Vice Chair Conway.
When I, I worked with, uh, deputy Chief Barr significantly
as an assistant state's attorney, as well as an alderman,
and as a result of that, out of an abundance of caution,
asking to recuse myself on a rule 14. Thank you.
Thank you. Alderman Vazquez will count you towards
Quorum Alderman Lopez.
Thank you, Madam Chairman, members
of the Committee in accordance with the municipal code
and Rule 14, I ask to be recused out of an abundance
of caution because of a personal relationship I have
with the defendant or not with the, uh, with Franklin Paz.
Thank you. You mean the plaintiff?
We're the defendant. Yes.
I have a relationship with us too. But you know,
Any other questions on this matter?
Alderman Spto and Alderman
Hopkins, followed by Alderman Hopkins.
Thank you, Madam Chair.
Um, I too have a relationship with the person in question.
I was told that I don't have
to recuse myself if I don't want to,
so I don't believe I'm gonna recuse myself.
Um, but I do have a question
or something that's a little baffling to me.
Um, first of all, I, I think the world of the guy.
Um, but, um, now how old was this lieutenant when he
and how many years did he have when he, when he left the job
that he can't come back to work?
Because, uh, the, the, the, the, the retired,
he retired at the time as a commander has been retired for,
I don't know, maybe a year now.
So I'm a little baffled.
Why, if he's off the job,
why the guy didn't feel he could come back to work?
Uh, I, I can answer that question through the chair. All.
He's approximately 50 years old,
About around 50, 52.
All right. 52, we're not sure how many years.
20 ish maybe or something, or 25. We don't,
I I believe he's 52.
Okay. 52.
And, and the person
that the whistleblower filed a complaint
against is off the job.
Um, but he still can't come back
to work to the best we know.
That is correct. Okay. Thank you. Thank
You. Alderman Hopkins.
Yeah, thank you Madam Chair.
I too know the parties involved,
but, um, I don't believe that precludes me from, uh,
making a fair and objective decision in this case.
I think everybody has to decipher themselves if
they're conflicted or not.
Uh, and, and clearly in my estimation, um, this is a, uh,
a reasonable settlement.
Uh, is it fair to say, uh, counselor,
that there's a significant amount of
uncorroborated assertions on both sides of this case
and has been since the beginning?
There are many issues of fact. Uh, that is correct.
Right? And, and that would not, uh,
that would not serve us well in front of a jury.
Um, we don't want this case to go to a jury
because when it becomes a he said, she said type
of scenario, um, we're, we're more likely to lose
and see a significantly higher, uh, judgment.
So I, I think it's the right thing to do, uh,
to settle this matter and, uh,
I will be voting. Aye. Thank you, Madam Chair.
Thank you. So you make a motion recommending to pass.
So moved by Alderman Hopkins.
All those in favor signify by saying aye. Aye.
Oppose in the opinion of the chair, the ayes have it,
and the do pass a recommendation will report it out at the
next city Council meeting.
Thank you. Uh, the next case is going to be reported out by,
uh, Margaret Mendenhall Casey.
Item number one C Cina Lee as special representative
of the estate of Abert Wilson
and Yvonne Lee Wilson versus City of Chicago,
officer Wayne Oz Mina,
and Officer Jonathan KCA
and Hertz Corporation,
etal case number 22 L 30 91 in the amount
of 7.5 million.
Uh, Margaret, you might have to switch seats again
on
February 28th, 2022, around 1115 in the evening,
officer Wayne Mina
and properly activated his emergency lights to go
through an intersection when no emergency existed.
The plaintiff alleges this caused the offender Vale Lofton,
who was then 20 years old
to believe he was being pulled over and flee offender loft
and crashed into a car containing spouses, Adelberg Wilson,
who was 69 years old,
and Yvonne Lee Wilson, who was 66 years old at the time, um,
causing both of them to pass away.
The plaintiff pursues two theories of the case.
The first theory is that Officer
Osm is negligence in activating the emergency lights when no
emergency existed, caused the accident.
The second theory is that Officer Mina's willful
and wanton pursuit caused the accident.
The Department of Law recommends settlement in the amount
of $7.5 million as to this matter
near 111th
and State Street Officer Mina's Sergeant ordered him
to return to the station.
Officer Mina did not know why the sergeant wanted him back
at the station, and there was no emergency
at the red light at a hundred and 11th
and Michigan offender Vale Lofton was two
to three car lanes in front of the police vehicle
in the same lane of traffic without any other cars.
Officer Mina turned on the emergency lights to go
through the red light at that time.
Offender Lofton went
through the intersection at a high rate of speed.
Officer Mina also proceeded through the intersection
with lights on, but once he crossed the intersection,
he turned off his lights
and total emergency lights were activated
for about 10 seconds,
and the officers did not activate sirens.
Offender LOF often continued to drive at a high rate
of speed eastbound on 111th Street.
The officer traveled for about
or at 50 miles per hour for a few seconds
after passing Michigan.
Then the officer traveled consistently with the speed limit
for the duration of the incident near the intersection
of 111th
and Cottage Grove offender Lofton collided
with the vehicle driven by Mr. Wilson.
Five seconds before the accident,
offender Loftin reached a top speed of 69 miles per hour,
while the Wilsons were traveling less than
20 miles per hour.
At the time, offender Loftin struck Wilson's vehicle.
The officer was 0.4 miles away
and traveling at 37 miles per hour.
Offender Loftin was driving a stolen car.
However, the police did not know the vehicle was stolen at
the time of this incident.
Uh, additionally, an illegal firearm was
recovered from the vehicle.
BIA investigated this incident
and found that Officer Mina violated the general orders
by activating his emergency lights without an emergency
and issued a reprimand.
The Wilsons are survived by their adult daughters, Tanisha,
who's 48 at the time of this incident.
And Chantia, who was 50 years old at the time
of this incident, Ms. Lee Wilson was a pastor at her own
church for 27 years, body of Christ Deliverance Ministries,
which is located at 115th
and Halstead, the plaintiff initially demanded
$37.7 million in this case.
If this matter were to proceed to trial,
the Lee family would seek compensation for grief
and sorrow due to the loss of Mr. Lee grief
and sorrow due to the loss of Ms. Lee Wilson.
Loss of society due to the loss of Ms. Lee Wilson, loss
of society due to the loss of Mr. Lee, as well as Mrs.
Lee's pain and suffering prior to, uh, death.
And Ms. Lee Wilson's emotional distress prior to death,
the Department of Law recommends settlement in the amount
of $7.5 million in this matter.
Thank you, Margaret. Seeing no questions?
No. Alderman, Mosley? Uh, I'm sorry. Alderman.
Beal, did you wanna say something?
Yeah. Thank you. Uh, Madam Chairman.
Um, Madam Chairman, I'm going to, uh,
recuse myself under Rule 14
because I do know the Wilson's family very well.
So noted Alderman Harris
Reuse myself because I'm very familiar with the,
the Lee Wilson family. Thank you.
Right. I anticipated there would be some recusals on this.
Alderman Mosley, you wanna renew your motion to do pass?
Yes. All those in favor signify by saying Aye. Aye.
Opposed in the opinion of the chair of the A's habit.
And this due pass recommendation will report it out at the
October 16th City Council meeting.
Um, item number one, D Sylvia Tanguma
as the independent administrator of the estate
of Leonardo Guerrero, deceased versus City of Chicago,
Dakota Ibrahim
and Joseph Schultz,
case number 2023 L 0 0 64 66,
and the amount of $8 million.
Also to be reported out by
Margaret Mendenhall, Casey Margaret
On August 31st, 2022, paramedic in charge, Dakota Ibrahim
and candidate fired paramedic Joseph Schultz,
were dispatched to 8 3 3 West Buena Avenue for a call
of a sick person and found the decedent.
Leonardo Guerrero, who was then 44 years old,
located in the parking lot.
Body-worn camera reflects that Mr. Guerrero was conscious,
naked, shouting
and rolling around on the ground
the paramedics approach without their bags
or a gurney in violation of the CFD rules.
Officer Tino, who was already on scene, told paramedic,
I Ibrahim, that Mr. Guerrero took an unknown substance.
Paramedic Ibrahim ordered Mr. Guerre to get up. Mr.
Gure walked to the ambulance with paramedic Ibrahim
and Officer Sentara holding onto him.
Once in the ambulance, he was told to lie down on the cot.
Mr. Guerrero then tried to exit the back of the ambulance.
Mr. Guerrero struggled with the officers
and paramedics paramedic Schultz fastened gurney seat belts,
um, or fastened Mr. Guerrero into the gurney
with seat belts in compliance with CFD policy.
After paramedic Schultz moved to the driver's seat officers,
Tino and Biji handcuffed Mr.
Guerrero's wrist to the gurney.
The struggle with Mr. Guerrero lasted about three minutes
after Mr. Guerrero was handcuffed.
He immediately became quiet and did not appear to move.
The ambulance departed for the hospital at 2:40 AM
during the drive to the hospital,
while paramedic Schultz was driving the ambulance,
paramedic Ibrahim did not record vital signs.
He did not call Thorac Hospital to inform them
that they would be en route with the patient.
And he did not appear on body-worn camera
to interact in any way with Mr. Guerrero Lopez.
Paramedic Ibrahim worked on reporting on his electronic pad
while chatting with Officer Santino about shift schedules.
And when they got off of work,
officer Santino rode in the back of the ambulance
with his body-worn camera activated.
Upon arrival at Dora Hospital at 2 43,
paramedic Schultz open the ambulance back door,
saw Mr. Guerrero and asked, is he still alive?
Paramedic Schultz then entered the hospital
to see if a bed was available
as paramedic Schultz entered the hospital,
the officers remained
with the ambulance waiting near the back doors
with a view of Mr. Guerrero.
Only after one
of the officers questioned whether
Mr. Guerrero was still breathing.
Did paramedic Ibrahim notice
that the patient had become unresponsive
and was not breathing?
Paramedic Ibrahim ordered the officers
to close the ambulance back doors at 2 47,
paramedic Ibrahim powered on the EKG machine,
which revealed Mr. Guerrero was in cardiac arrest.
Mr. Guerrero was brought into the hospital and, uh,
after 25 minutes of attempted revival,
he was pronounced, uh, dead.
The plaintiff will argue that seven critical minutes passed
between Mr. Guerrero becoming silent
and still in the ambulance and his medical providers.
The paramedics finally rendering care.
Mr. Guerrero is survived by his parents, um, Leonardo Sr.
And Sylvia Guerrero
and his siblings, Sylvia Tanguma, Alicia Morley,
Veronica Guerrero, Christina Salinas, Leticia Guerrero,
and Leonardo Guerrero, Jr.
There was an investigation into this matter.
The medical examiner ruled that cocaine, alcohol,
intoxication, heart disease,
and stress related to being restrained, caused Mr.
Guerrero's death and found that the cause
of death was homicide.
Mr. Ibraheem was terminated by the city due
to this incident, and paramedic Schultz was
suspended for three months.
CFD found that paramedic Ibraheem violated department
policies by leaving Mr. Guerrero Unmonitored.
Unassessed and untreated.
CFD found that paramedic Ibrahim failed
to contact the hospital during transport.
CFD found that paramedic Ibrahim made false statements when
he wrote in his report that Mr.
Grell was combative
and that the crew noticed
that the patient was not breathing.
CFD found, um, that the paramedics, both
of them violated policy by failing to meet Mr. Guerrero
with their bags, failing to use a gurney
to transport Mr. Guerrero to, um, the hospital.
Finally, CFD found that both paramedics, um, violated policy
by waiting over 12 minutes to assess Mr. Guerrero
and determined that if an assessment had been performed
prior to transport,
the paramedics would have recognized the NEC necessity
to initiate advanced life support court.
CFD found that paramedic Ibrahim attempted
to cover up his negligence.
When he asked the police officers
to close the ambulance door,
the plaintiff initially demanded $35 million in this matter,
and the Department of Law recommends settlement
and the amount of $8 million.
Uh, thank you Margaret. Uh, alderman Lopez.
Thank you, chairman. And again, good afternoon.
Members of the committee. You know,
these lawsuits we're seeing are pivoting.
They're pivoting away from the police
misconduct and abuse,
and now focusing the,
I believe this is our third lawsuit now,
our fourth within the last few months with regards to our
EMTs and our fire, our paramedics rendering aid
to individuals
Blaming the straps.
And, and this narrative, while ignoring
what I feel is the fact that he was high on cocaine
and alcohol is setting the precedent,
we are on our third law, third
or fourth lawsuit with regards to pointing the finger,
which means we are opening ourselves up as we have
with other city service related issues to creating the new
niche industry for lawyers
who are quite literally now chasing ambulances to try
to find ways in which to sue us.
As we start turning the chap closing the chapter
on police misconduct.
I think that we need to think long
and hard how we're moving forward with these.
And I've said this before and before that,
and I'm gonna say it again after this,
because we contin we can't continue to be
the piggy bank for individuals whose conduct brings them
to us for help, and yet
we are the ones that have to pay out.
So I understand the narrative,
but I don't think I'll be able
to join in support of this item. Thank you.
Thank you. You, you have any response? No.
Um, alderman Lata,
Thank you so much. Um,
if it can be said on the record, how much time elapsed
before aid was rendered to the victim?
Um, thank you for the question, alderman.
Seven minutes passed between, um,
Mr. Guerrero on body-worn camera becoming still and quiet,
and the paramedics rendering aid to Mr. Guerrero.
Um, once paramedic Ibrahim ordered
or instructed the CPD officers
to close the back of the ambulance.
So seven minutes from leaving the parking lot
to paramedic Ibrahim finally, um, rendering aid
that is not including the time that, um, Mr. Guerrero was,
uh, struggling against the, the paramedics
and trying to get out of the ambulance.
So that's in a, that time elapsed,
but then another seven minutes passed
before aid was rendered. Is that accurate?
Sure. So in, in terms of the, the timeline,
so seven minutes, uh,
I'll give a bit more information about, about the timeline.
Um, so the paramedics arrive at 2 35 in the morning,
and the ambulance left the scene at 2:40 AM Um,
and aid was rendered at
2 47 in the morning.
So, um, in the most generous light to
the paramedics, it would have been seven minutes.
That aid was not rendered.
If you count the entire time
that the paramedics were interacting with Mr. Guerrero
and aid was not rendered, that would be a total
of 12, 12 minutes.
Would it be fair to say
that this suit could have been avoided
by rendering medical services to the victim?
If medical services were, were rendered with the victim,
it would put us in a, a much stronger posture.
Um, earlier this year, my team did proceed to,
to trial on a case against a paramedic, um, a wrongful death
with a mom with two children.
Uh, it was alleged that the,
the paramedics did not provide appropriate care.
We tried that case and we were successful.
It was a, a verdict in favor of the city.
So when we have our paramedics rendering care, um,
it is a much more defensible case than a case where
there is seven minutes, essentially of unaccounted for time.
Thank you. I appreciate that context. Thank you, chair.
Right. And, and also, um, Margaret,
there was no call from within the ambulance to the hospital,
which is required
That, that's accurate chair.
Um, the, the paramedics did not call to inform the hospital
that, that they were en route.
Um, the reason for that rule is so
that the hospital can prepare a bed, perhaps have somebody
to meet the, um, paramedics at, at the ambulance bay.
The call was, was not made.
Okay. Thank you. Alderman. PDO
Chair. Thank you once again,
Maggie.
Um, I think my colleague Ray Lopez hit the nail right on the
head, but unfortunately, um,
I don't think we have much to stand on.
Certainly one thing for certain here, some
of the questions you were asked about would be in a
different predicament about seven minutes.
We certainly wouldn't be in this predicament if he,
if we didn't have a guy on the street as as high as a kite
and, and all hyped up and everything.
That, that's for sure.
That's one thing we could say for sure.
But with the, uh, with the firing
and the three month suspension, um, um, unfortunately,
I don't, I don't think we have much to stand on here.
So, um, but once again,
if somebody's not doing stupid stuff,
we wouldn't be in this predicament.
So, but I, I, regrettably, I do support it.
Thank you. Thank you, Madam Chair,
Vice Chair Conway A, um, uh,
different place based on the short time involvement
of the paramedics, the contributory negligence,
the plaintiff, meaning the cocaine,
the alcohol, it's toxicology.
Not to mention the size of the settlement, 8 million.
Uh, I, I will be voting no
and would ask for a roll call on it.
Thank you.
Uh, alderman Bill, Uh,
Madam Chairman, I, I just want to, um, make a comment on
what Corporation Council stated, uh,
which I think is very important for us.
Um, you say you guys tried a case
and one, you know, I think you guys need to report some of
that back to us sometimes instead of, you know,
It coming out at a hearing like this,
because we need to know sometimes that you all are fighting
on behalf of the taxpayers
and not just rolling over, paying these things out.
So that would be extremely helpful if you guys could find a
way to incorporate that in some kind of summary that,
you know, Hey, we won this case, we tried it, we won it,
you know, when we're making these decisions,
because some of these are tough decisions
that we make every single month.
Um, but that would give us a little comfort level
that you guys are fighting on our behalf.
Of course. We'll be happy to accommodate that request.
Great suggestion. Alderman.
Bill, um, alderman Hopkins.
Thank you, Madam Chair. We were to go to trial on this.
Would we, uh, be required to use
outside counsel for this case?
Um, we wouldn't be required to utilize outside counsel.
However, we are utilizing outside counsel, um, in,
in this case, um,
and in, in fact, there are two separate teams, typically in,
in my area of practice.
Um, I don't have divided representation.
Um, however, due to the termination of one of the employees,
um, I did set up divided representation to, um,
in ensure that, that the employee was,
or the former employee was properly represented
and wanted to still participate in
the defense of this lawsuit.
Okay. So is it, uh, fair to say that, uh, costs
and fees for a case like this to go
to trial would be substantial?
And have we done any back of the napkin estimates on
what that might look like?
Sure.
So the, the estimate in, in terms of if this matter were
to go go to trial, we do anticipate that, um,
outside counsel expenses would be within the,
the six figures.
Um, the other thing that I, that I wanted to know,
and I, I did say it in my, my presentation,
but I just wanted to, to emphasize that, um,
in in this case, alcohol and
and drugs were at, at play, um, as well as Mr.
Guerrero's, um, prior, um, heart disease.
However, what's also at play is the finding
of the medical examiner, which the jury is going to see them
as a independent, um, uninvolved third party.
Um, and that the finding of death,
or excuse me, the cause
of death in this case was a homicide,
and that is a finding of a homicide.
Um, that un unfortunately the finding was that
that was committed by city actors.
So that is why I am recommending that this,
this matter be resolved in addition to the, the termination.
Um, and just simply the, the, um, graphic nature of,
of the body-worn camera.
Thank you. Thank,
Thank you. Uh,
raised another question for Alderman Spto,
Once again, Madam Chair.
So if it was a homicide, why wasn't,
why weren't the PA paramedics arrested and tried?
I, I can't opine on that.
I'm not a state's attorney, okay. Anymore.
All right. Because it gets more and more confusing to me.
I mean, so we know. Uh, thank you.
Thank you, Madam Chair. Thank you.
Al wack. Um, Ms.
Mendenhall, what was the, uh, ruling of the death
and the deceased mother in the case?
The prior case that you mentioned,
or did the, was the medical examiner, uh,
what was the ruling on that for the
Death? Death? So, um,
the, oh, the deceased mother, the case
that I mentioned that we, uh, proceeded to trial
and we were successful on.
Um, she was experiencing respiratory conditions.
Um, and there, there certainly was not a, a finding that
of homicide or intent on, on behalf of the paramedics.
I can answer through the chair.
Um, I know the manner, the manner was respiratory issues,
but, but the, cause I would think accidental,
but I can certainly answer that question through the chair.
It wasn't homicide though. Yeah. Through
The chair would be fine.
And then when you're, when you're, uh, thinking about trial,
actually, when you're thinking about this settlement
and you're, uh, putting forth the fact
that there was alcohol
and drug induced, uh, a drug induced person, does that, uh,
how much of a factor did
that play into reducing the settlement?
Just, just gimme one moment.
I wanna make sure I note down your other questions
so I can answer it accurately. No
Rush.
Um, sure.
In, in terms of my, my valuation, uh, of this file, um,
I'm trying to think of what to, to disclose here.
This, um, this
Time. Take your time.
'cause I don't want you to Thank
You. Thank
You. Disclose anything that's, uh,
This, I mean this file, I, I'm fine with saying this.
In, in, in, uh, a open form.
This file is, uh, a file that, um,
in my opinion has potential harm markers of what we, um,
might call a, uh, a nuclear verdict.
Um, the body-worn camera, um, and,
and what it depicts, um, the finding of homicide
by the, by the medical examiner.
Um, the conversations between the paramedic
and the officer in the back, you know, chatting about, um,
when they're getting off their shift
and when the schedules change and,
and all of that, that to me, um, has a, a number
of emotional factors that are within the record
that could lead to a jury being angry, um,
and potentially, uh, the city receiving an,
an outsized verdict.
So, um, in, in, in my opinion, if we proceed to trial,
typically, um, a wrongful death case is,
is worth about 10 million on average.
This is a case that I would see to be valued higher
based on the finding of the medical examiner, um, as well
as the, the body-worn camera with, um, the paramedic,
the minor junior paramedic who's who, um,
was suspended opening the back door
and saying, is he still breathing?
And then no check being done.
And then the police having to say, is he still breathing?
And then only then
after seven minutes of not providing care is care provided.
So, um, I hope that answers your question about,
about valuation.
This is a case that if we proceed to trial, um,
I would be concerned about what we call a nuclear verdict.
Okay. Thank you. I think it just, um, it just kind of
explained that some of the questions
that came up earlier about a person being, uh, induced and
or inebriated with alcohol
and then goes into drug induced, um, uh,
dysfunction of the body, that
that is irrelevant in these cases.
So, um, I appreciate that.
And that's all I had, chairwoman. Thank you. Thank you.
Alderman Wack. Alderman O'Shea.
Thank you, chairman. Um, I wanna backtrack a little bit
on the night that this happened.
Chicago Fire Department paramedics arrive on the scene,
the individual is on the ground,
That's accurate.
And we have body worn camera of everything that
happened there, correct?
That's accurate.
And what was the interaction between the two paramedics
and the individual there on the ground?
When the paramedics reach the,
the individual on the ground, uh, the decedent,
Mr. Guerrero, first, they approached him without bags
and without the gurney as required by the, um, CFD rules.
Um, they instructed Mr. Guerrero to get up, um,
and he walked to the ambulance with a officer
holding one side and a paramedic holding the other side.
Um, which ag again, it's not, um,
what best practices call for,
and that's not what the, the orders call for.
And moving forward, the at, at some point,
the individual is now in the back of the ambulance
and there's a paramedic in the back with the individual,
and the Chicago policeman taps on the door
and opens the door and says,
asks if he's, if he's breathing.
Yes. So once the paramedics get to the hospital,
the ambulance door is open, um,
and a Chicago police officer inquires is
Mr. Guerrero breathing.
Um, after that question is asked seven minutes,
um, after Mr.
Guerrero's subdued d the paramedics then render treatment
at, at that point.
And all this we just talked about is on camera.
That's accurate. There was a police in the
back of the ambulance.
Sure, sure, sure.
So, uh, chair do has asked me to clarify the narrative.
I'll be very short. Um, once they get into the ambulance,
there is a police officer
and a paramedic in the back of the ambulance.
Um, yeah.
And the body-worn camera is on while, um,
while the transport is happening from
the scene to the ambulance.
So a as your point, alderman, OSHA from when the
police initially arrive on scene until when, um,
Mr. Guerrero goes into the hospital,
the entire interaction is captured on body-worn camera.
And many parts of that interaction
go against the general orders
of the Chicago Fire Department.
That's accurate. And, um, CFD found that
and terminated the paramedic in charge due to violations
of the, uh, CFD orders.
Okay. Thank you. Thank you.
The third time's the charm.
All right. Uh, this one's just a point of information.
I'm not like one of those guys that likes
to spout out a point of information.
Alderman sdo, just waiting to give my point of information.
Thank you again, Madam Chair, a point of information
as a person, as a man, I'm sorry, as a man
that's been on a few of these runs in my day,
it's not uncommon for a police officer
or a fireman to ask if somebody is breathing
or if they're still breathing.
So that's it. Just a point
of information. Thank you. Thank you.
Um, will you move, make a motion on do pass on this one?
You will not. Alderman Harris, uh, moves. Do pass.
All those in favor, signified by saying Aye. Aye. Opposed?
Oh, you wanted a roll call.
Vice Chair Conway.
Alderman Lata. Alderman Hopkins.
Alderman Mitchell.
Alderman Harris. Alderman
Beal Alderman Lee.
Yes. Alderman Ramirez. Alderman Quinn.
Alderman Lopez. Alderman Moore.
Alderman Curtis. Alderman O'Shea.
Alderman Taylor. Yes. Alderman Mosley.
Alderman Rodriguez. Alderman
Scott Alderman.
Che Lopez. Alderman
Burnett. Alderman Irvin.
Alderman Irvin Votes. Aye.
Alderman Talia Farrell.
I first we'll count you towards quorum,
and now I will ask you your vote.
Alderman Cardona. Alderman Waba
Alderman Rodriguez Sanchez.
Alderman Cazada. Alderman Viegas. Alderman Mitts.
Alderman Sdo. Alderman Vazquez
Alderman Riley Alderman Knutson,
alderman Martin Alderman Silverstein,
chair Dell Voles.
We have 22 yeses and three nays.
The item passes and will be reported out at the
next City Council meeting.
Thank you. Moving on
to item number two, is an ordinance from the Department
of Transportation authorizing the execution
of a capital funding agreement
with National Railroad Passenger Corporation, better known
as Amtrak, to provide tax increment financing, funding
for various improvements at Chicago Union Station,
located at 2 25 South Canal Street in the
28th, 34th,
and 42nd Ward in an amount not to exceed
1.75 million in tiff.
And the second project not to exceed 2.9 million in tiff.
Uh, we're joined today by Grant Davis, director
of Grants Management for CDOT
and Tim Jeffries, um, is also with us if need be.
Mr. Davis.
Good afternoon, chairman
Dowell and members of the committee.
Okay. Good afternoon, chairman
Dowell and members of the committee.
My name is Grant Davis, the Chicago
Department of Transportation.
Also with me today in the box is, uh,
Mr. Martin Sandoval from Amtrak.
I'm here to present this request for approval
of an ordinance authorizing CDOT
to enter into a capital funding agreement with Amtrak.
This project is located at Union Station
and is located between Canal Street
and the Chicago River from Polk to Lake Street,
and it is in the canal Congress.
Tiff, the wards for both the TIFF
and the project are the 28th, 34th, and 42nd ward.
Uh, each alderman is aware of the request
and does not object to the use of TIFF
for funds for this project.
The requested action before you this morning
or this afternoon of, um, excuse me, is approval
of Ordinance 2025 dash 0 1 9 9 25,
authorizing CDOT to enter into a capital funding
agreement with Amtrak.
This agreement is for city funding.
It's for city funding commitments, uh,
for the Chicago Union Station improvements project,
including the construction phase
of the Union Station mail platform, reactivation,
and the nepa preliminary preliminary engineering phase
of the Union Station Metro Commuter platform expansion
and ventilation improvement project.
Both projects are part of a larger multi-agency partnership
that includes cdot, I, idot, Amtrak, cook County Metro,
and the Federal Railroad Administration.
CDUs commitment was made in 2023 by then Commissioner Biji
as part of amtrak's successful application
to the Federal Railroad Administration
for grants funds for the project.
4.65 million of TIF funds was subsequently approved, uh,
from the Canal Congress of tif, uh,
at the October, 2024 TIF investment Committee meeting.
The total cost for both projects is $117 million.
Uh, for background, both projects are part
of a larger multi-agency effort known as the Chicago
Hub Improvement Program
or chip, uh, which includes both improvements
to Chicago Union Station itself
and rail access improvements in the region.
Partners include Amtrak, cdot, host, railroads, Metro,
the FRA, idot Cook County, and the Michigan DOT.
The first project that is part
of the Capital Funding Agreement is the mail platform
reactivation project.
This project will reactivate the high level mail platform
located, be old below the old post office for passenger use.
This will create additional capacity
and operational flexibility
and provide the first level boarding
platform at Union Station.
Additionally, as part of this project,
five emergency egress stairwells will be constructed in
order to improve safety in the event of an emergency.
These stair, several points will provide emergency egress
from the platforms to street level located above the tracks.
Uh, the schedule for this design
of the male platform reactivation
and emergency egress points is actually wrapping up.
Construction is anticipated in 2028.
Total cost for the construction phase is $62 million,
of which, uh, C Ds commitment is $2.9 million.
The second project that is part
of the Capital Funding Agreement is the commuter platform
expansion and ventilation improvement projects.
The goal of this project is to widen,
improve the commuter platforms
for improved customer service,
improve air quality within the train shed
by mitigating diesel fume exhaust, and improve fire safety
and smoke evacuation in the event
of a fire in the train shed.
Uh, the NEPA preliminary engineering phase
of this is scheduled to start in Q4 this year,
construction is still TBD.
Total cost of this improvement is $55 million,
of which CDOs commitment is $1.75 million.
The main goal of this project is
to expand capacity on the passenger platforms.
Currently, the passenger platforms are narrow
and undersides, which leads to, uh, high levels
of congestion during peak commuter times.
This is due to an outdated platform layout that, that,
while innovative when it was first built,
allocates a large portion of the platform
to baggage unloading
and unloading a use that is no longer needed in the station.
This pla this project will reconfigure the track layouts
to provide greater capacity
to passenger lighting and boarding.
Additionally, the project will make ventilation improvements
in order to improve air quality within the train shed
and improve smoke evacuation in the event of a fire.
Cdo. T'S commitment for these projects was made in 2023
by then Commissioner Biji as part
of Amtrak's successful application
to the Federal Railroad Administration for a $93.6 million
to grant funds for the projects.
Total funding for these two projects that are part
of the Capital Funding Agreement is a $117 million
of which CDOs commitment is roughly 4% for the use
as matched to the federal, uh,
federal Federal Railroad Administration funding.
Um, again, the requested action is approval
of Ordinance 2025 dash 0 0 1 9 9 2 5,
authorizing CDOT to enter into a capital funding agreement
with Amtrak providing $4.65 million
of funding from the Canal Congress, TIFF,
for the city's funding commitment
for the Chicago Union Station Improvements project.
Um, with that, thank you.
And, um, I'm here and available to answer any questions.
Yes, Almon Hopkins. Thank you, grant.
Thank you, Madam Chair. Uh,
do we currently still receive mail, uh, via rail,
but just in another location?
Uh, and and how is that, uh, conflicting
with passenger traffic flow under this proposal?
So the pass, the mail platform is no longer used for mail,
so it's below the old post office.
Um, and it's not used for mail at this location. Is,
Is there still mail activity though?
Uh, do we still receive mail in some other, some other way?
Uh, I, the person from Metro, shaking his head no.
Do you wanna step forward?
Just, uh, for the record,
give your name, title,
Yeah. Afternoon
everyone.
Martin Sandoval, manager
of Government Affairs for the Midwest Region.
Um, currently there is no, there has not been mail, uh,
being, going through that platform for, for decades, years.
Um, and it's been dormant ever since.
And so we want to bring it back to life.
Um, it'll be the first a DA level boarding, uh,
platform in pretty much the region.
And so it's non-existent.
So this will be a major component to increasing,
increase the capacity of service
for Amtrak and both, uh, Metro.
Okay. Thank you. I'm in, uh, full support of this, uh,
especially the, uh, platform widening,
which is desperately needed.
Uh, in the event of any delay, sometimes you have, uh,
you know, uh, passenger loads doubling up and tripling up.
It can actually be, become a very unsafe situation.
There simply isn't enough room.
Uh, so this is desperately needed,
and it's good that we're able to leverage some TIFF money,
uh, for a, a larger project of, uh, $117 million.
It's no small amount, small, so this is a,
a necessary thing, and I'm in full
support. Thank you. Right,
Thank you.
Uh, motion made by Alderman Hopkins. Recommending Do pass.
All those in favor signify by saying Aye. Opposed?
And the opinion of the chair, the ayes have it,
and the Do pass recommendation will be reported out at the
next City council meeting.
Item number three is from the Department of Planning
and Development and Ordinance concerning the authority
to enter into
and execute the first amendment
of the Intergovernmental Agreement
with the Chicago Park District for the allocation
of tax increment financing funds
from the Lawrence Kedzie Tiff District
for improvements at River Park, located at 5,100
North Francisco Avenue in the 33rd Ward in an amount not
to exceed $200,000.
We're joined by Beth O'Reilly from the
Chicago Park District.
Good afternoon, members and council. Good
Morning. Good afternoon.
Uh, I'm here to, uh, seek an additional $200,000
for a great project happening at River Park along the river.
We have been working on this project for a number of years.
Um, this is an amendment
to add $200,000 to the project budget.
Uh, it is located, um, in the 33rd ward,
and we have the alderman here, and she is supportive.
It's in the Lincoln Square Community area.
Uh, river Park is one of our many
spots along the river, but it's the only one
with an adaptive paddling program.
We have, uh, a lift that, uh,
helps mobility impaired people into their craft.
We have created an accessible ramp down to the water level.
We have additional boat storage,
and, uh, we are wrapping up the work.
You can see the before and after of the project.
It's been transformative, taking an inaccessible,
brightening looking river edge into an accessible, uh, area.
Again. Um, the before and the after is transformative.
We've added additional boat storage
that people can store their kayaks.
Here is the accessible lift in the area.
Um, the price increase came from the,
uh, geography.
We have to make sure certain slopes are adhered to for, um,
accessible access.
And so we are seeking in another $200,000
to complete this project.
Any thank you, Beth. Any questions?
Alderman Rodriguez Sanchez.
Thank you, chair. Um, yeah, I would like to ask
for your favorite consideration for this item.
Um, the work that is being done in this park is
fundamental for people to be able
to have access to the river.
The programming that the park has been providing
for the community is amazing,
and it's getting a lot more people interested in nature,
interested in spending time, um, along the river.
And, um, and this investment is, is necessary in order
for us to be able to have a fully accessible, uh, riverfront
for our community.
I did wanna ask, it says
that the community area is Lincoln Square.
Is it, is it because River Park,
the field house is in Lincoln Square.
'cause this is Albany Park. Everybody.
This is not Lincoln Square.
No, it, it, that could be it.
I probably just pulled it off of
Where they, because Yeah, because
because the River Park Field house is on Lincoln across the
River Square, but we're across the river.
Right. And this is Albany Park.
I don't know if it's important to write
that in, in the, in November.
I'll make the correction, but thank you. Okay.
Okay. Thank you. Uh, yeah. Thank you so much.
I am fully in support of this investment.
Okay. Uh, can I get a motion
to recommend do pass of this item?
So Move Madam Chair.
Yes. Alderman Irvin.
Yeah. Thank you. Uh, just a really quick
question. Uh, and this is for,
I'm, I'm sorry I didn't see your hand up.
No, no, no problem. No, I understand.
Just a quick question.
And this is for, uh, Beth from Chicago Park District.
Um, is it possible that through the chair you can submit
to us a, a listing of projects that are TIFF funded,
but in the various stages that they're in?
Um, it just seems like, um, things just, uh,
I don't know if they're moving at a snail pace or,
or what the right pace is,
but, uh, I know we approve a lot of projects,
but very just seem to be moving at a snail space over there.
So could you provide us through the chair a listing
of projects that have been approved by council,
but yet what the state's completion are?
Sure. We can get that. I've got a list of active projects.
All right. Thank you much. Thank you. Mad chair.
And I'll, uh, make that motion, uh,
for approval if no one has
Okay. Motion made
by Alderman Irvin recommending due pass
of item number three.
All those in favor signify by saying Aye.
Opposed in the opinion of the chair.
The ayes have it and will be reported out at the next
City Council meeting.
Um, Beth, stay with us.
'cause you have item number four, which is an ordinance
concerning the authority to enter into
and execute the first intergovernmental
agreement with the Chicago Park District for the allocation
of tax increment financing funds for the Lawrence Kedzie.
From the Lawrence Kedzie Tiff District for improvements
to Ronan Park, located at 3000 West Argyle,
or 29 54 West Lawrence Avenue,
also in the 33rd Ward in the amount not
to exceed 2.85 million.
Great. Again, I am here to seek an amendment again,
unfortunately asking for more money for Ronan Park.
This, uh, project, again is in the 33rd Ward in the
Albany Park community area.
Um, Ronan Park, we had, when we first passed this project,
um, a few years ago, it was the plaza component,
and it also had the river edge development
and the global gardens.
Many of these, uh, amenities have been completed.
We are on the final stages,
which is the Gateway Plaza right now.
Um, we were to alderman's Irv point,
we did take a long time on this project, uh,
but again, that we had some situations with the MWRD.
They have a major piece of infrastructure
underneath our plaza.
We had permits approved, and then they held us,
and they went and did their project
before we could complete our project.
So this one had a reason why we're so late,
and, um, also contributed
to the extra cost we are now seeking.
We are asking for an additional $2,850,000 for this project
to complete the gateway and Plaza overlook area.
Um, we can go through, this is the overview of Park.
When we originally took on this project, we, um,
picked up the property on the left corner of here.
You can see those little plots that was city owned property,
uh, managed through neighbor space
for, uh, community garden.
Uh, that transaction has completed.
That work is now, uh, being done with this tiff
and it's now Park District Property.
Uh, when we took that property, we, um,
shut down the, the garden.
We remediated it, rebuilt it, provided utility,
and, uh, the gardeners are back
and, uh, enjoying their new space with really
clean environmentals.
This is the new space. Uh, we created pathways utility.
Um, this is all part of the process
that has been made and is complete.
Um, we have water on site, um, and better electricity.
The River edge piece has also been completed.
We have improved trails
and access right down to the waterway.
Uh, this is the before conditions. It was, uh, not safe.
Uh, you could probably skid right down into that water,
but now we have, uh, accessible pathways.
This is the final element to be completed. It's the Ronan.
This is the gateway piece.
Uh, the whole new plaza with, um, seeding
and community area, a river overlook, a shade structure.
All of this has been, um, vetted
through a very robust community process.
And construction is underway. This is a general schematic.
I believe this might have been changed.
I don't have the latest on the drawings, um,
but I do know that it's been cast
because I just saw the invoice for that.
So, um, it's moving along again.
Uh, we are seeking additional funds to complete this work
for a total request of 6,350,000,
uh, for Ronan. Um,
Okay. Thank you. Beth.
Uh, well
before you speak Alderman, I just wanna say,
I'm gonna drive by Ronan Park.
This is a beautiful, a beautiful park.
It looks very serene and peaceful. Yeah,
So Ronan Park is a very small park in my community.
Um, it does not have a field house.
Um, it is, uh, it is sort of
administered by River Park, so the supervisor
for River Park, it's also in charge of Ronan Park
and of the west side of River Park.
So it doesn't have a lot of,
um, infrastructure.
Ronan Park is just a little park with some picnic tables.
That's all there is at Ronan Park.
So this plaza would create a space for community to gather.
Albany Park is a very, very dense neighborhood,
and we don't have a lot of spaces together.
It is not a, we don't have a lot of parks necessarily in,
in Albany Park for like, big gatherings.
And this plaza would, um, provide that for the community.
So we are very excited about the, all of the, um,
beautiful projects that we have been being able
to fund with TIF money.
I think that this is what TIF money should be for,
and I'm very excited to use this money, um,
to improve the infrastructure for the community.
Um, so I also ask
for your favor, consideration for this item.
Uh, seeing no questions.
Uh, alderman Lasa, he so moves,
um, motion made by Alderman lasa recommending Do pass.
All those in favor signify by saying Aye.
Opposed in the opinion of the chair.
The ayes have and the do pass recommendation will be
reported out at the next city Council meeting.
Congrats alderman.
Item number five, depart from the Department of Planning
and Development and Ordinance concerning the authority
to enter into and execute an intergovernmental agreement
with the Chicago Park District for the allocation
of TIF funds.
For the Holman Arthur t TIF district
for the improvements at Holman Square Park.
Located at 35 17 West Arlington Street in the 24th
Ward in the amount not to exceed 600,000. Beth,
Uh, again, thank you.
Beth O'Reilly Park District.
We are seeking $600,000
to make improvements at the Holman Arlington
from the TIFF into the Holman Square Park.
Uh, the planned improvements
for the Holman Square will include the replacement
of the soft surface playground while keeping the existing
play structure in place, but adding new features
and amenities as, um, determined by public process.
Additional enhancements
to the site will include the installation
of an outdoor fitness station
and the construction of a new walking path.
We are seeking $600,000 to make these improvements.
This is the existing park. It's pretty much just a square.
Um, the outdoor fitness equipment, um,
we don't have a design yet.
Once we secure the funding,
we will go out into the community
and seek their, um, opinions.
And this is a pretty clear cut, easy project site work.
Thank you, Beth. Uh, alderman Scott.
Uh, thank you Beth. And, um, I'm asking
for your most favorable vote for this, um, older structure.
Uh, it goes in line with the school that is across.
So there are multiple schools that are in that area
that can take advantage of the,
the fitness center on the playground.
So I think that it's just a, an incredible impact
to the, uh, community.
Uh, thank you Alderman Scott.
Uh, seeing there's no questions on this matter.
So moved by Alderman Mitts. Recommending do pass.
All those in favor signify by saying Aye.
Opposed in the opinion of the chair, the ayes have it.
And this will be reported out at the
next City Council meeting.
Congrats Alderman Scott.
Item number six is from Thank you, Beth. Thank you.
Um, item number six is from six is from the Department
of Planning and Development,
an ordinance approving the First Amendment
to the redevelopment agreement with JTA Development Inc.
To modify the payment structure
and extend the project completion date
for the Renaissance Estates Project,
located at 1555 West hundred and 22nd Street.
In the 21st Ward.
Uh, we will have this project presented by, uh,
Tim Jeffries from the
Department of Planning and
Development. Good afternoon, Tim.
Well chair. Uh, good afternoon, chair Dowell, members
of the Finance Committee for the record.
Tim Jeffries, managing Deputy Commissioner in the
Department of Planning and Development.
I'm here today to request your authority
to amend an existing redevelopment agreement
with JTA Development Incorporated, um,
supporting the Renaissance Estates residence residential
development and RDA for the project was originally approved
by City Council in 2002,
with construction substantially completed in 2012,
but requires an amendment in order to be closed out.
Uh, as the chair said, this ordinance would allow that
by extending the current project deadline as well
as restructuring, but not increasing
how city funds are provided.
Uh, Renaissance Estates is located on the city's far south
side, uh, at approximately 120 second and Ashland Avenue.
Uh, this is within the Morgan Park community area,
the 21st Ward and the hundred 19th and I 57 TIF District.
The subject property, uh, is approximately a 6.3 acre parcel
that's highlighted in red on this map.
The property is immediately adjacent to the city's,
or is immediately along the city's southern border
and adjacent to Calumet City.
Uh, prior to the early two thousands,
the property was an auto scrap yard for a number of years.
Uh, shown here, uh, is the current conditions
of the property, which involved, uh, the construction
of 78 units of attached town homes.
Uh, the project was developed pursuant
to a redevelopment agreement
that was initially approved in 2002
and subsequently amended by City Council in 2010 and 2018.
Uh, work on the project was completed over two phases.
Phase one involved the construction of 27 town homes
and was completed in 2006.
Work on phase two was substantially delayed by the 2027
to 20 2007 to 2009 recession,
but eventually restarted work with re
with the remaining 59 units completed in 2012.
Uh, outstanding work associated
with the projects includes the construction
of resident amenities, including playgrounds and open space.
But the redevelopment agreement requires these elements be
completed before the certificate
of completion be issued and payments made.
Total cost associated with this project is 26.2 million
with non-city funding coming from debt
and equity, the majority
of these funds have already been expended
with approximately $1 million in outstanding costs
to be incurred associated with the remaining amenities.
Uh, if approved, this ordinance would modify the 2018
amendment in two critical ways.
The first is to extend the project completion deadline
to October 31st, 2026.
This will provide sufficient time for the developer
to deliver the remaining amenities required pursuant
to the RDA and secure the certificate of
or certificate of completion.
While giving DPD time to review
and process payment prior to the expiration
of the TIF district on December 31st, 2026, second change,
uh, will modify the financial structure.
Previously, the, the city was scheduled
to provide the remaining 4.455 million in TIF as a series
of annual payments over a six year period.
This is no longer possible given the pending expiration
of the district, uh, to address this DPD proposes
to modify this financial structure.
Uh, specifically the ordinance would allow DPD to provide,
uh, a single payment of 4.455 million, uh,
following the issuance of the certificate of completion.
Um, I'll just emphasize again
that this ordinance does not authorize the use
of additional funding above what has already been provided
and that all other typical city
requirements will remain in place.
Uh, DPD would request the committee's favorable
consideration of this technical amendment.
I am also joined today by John Poland from the development
team, and am available
to answer any questions you might have.
Uh, thank you, Tim. Are there any questions on this, uh,
project before we turn it over to Alderman Moseley?
Seeing none, alderman Moseley,
Thank you so much, Madam Chair
and, uh, colleagues would ask for your support here.
This is allows us to finish the American Dream for folks
who have invested and bought, uh, homes in this,
this development, uh, to have, uh, a further development,
to have the amenities
and, uh, primarily to transform the vacant field
behind homes that has given a lot of grief, uh, to the, the
tennis courts, the dog lots
and so forth that, uh,
they desired when they bought this property
or bought their homes, would ask
for your favorable consideration. Thanks.
Thank you, alderman Moseley.
Uh, seeing no other questions, can I get a motion
to recommend approval of item number six?
So move by Alderman Mitts recommending Due Pass.
All those in favor signify by saying Aye. Aye. Opposed?
And the opinion of the chair, the ayes have it,
and this will report it out at the
next city Council meeting.
Congratulations, alderman Mosler. Thank you, Tim.
Item number seven is from the Department of Housing,
an ordinance amending, uh, ordinance.
So 2025 dash
0 0 1 8 1 4 9,
which passed City Council on July 16th, 2025
to restore section two dash 40 44 dash one
40 of the municipal code.
Regarding lien assignments, uh, this
project will be okay.
So Jim Wheaton is not here.
We skip it. We'll come back. I'm gonna send a note.
We're skipping item number seven.
All right. We'll skip item number seven and come back to it.
We'll move on to item number eight,
which is an ordinance approving the establishment
of the 2026 Qualified Mortgage certificate program
and continuation of the single Family Mortgage Credit
certificate program series 2026 in an amount not
to exceed 75 million in bond volume cap.
We're joined by Destiny Durham,
the project manager from the Department
of Housing. Good afternoon, destiny.
Good afternoon. Good afternoon.
And thank you Chair Dow, the members of the Committee
for the record, my name is Destiny Durham,
and I serve as the project Manager
of Home Buyer Programs within a home ownership bureau
of the Department of Housing.
I'm here today to respectfully request your authority
to continue issuing mortgage credit certificates under the
city's single family TAs smartt, MCC program series 2026
with the TAs smartt MCC program series 2026, the Department
of Housing is seeking authorization
to continue issuing mortgage credit certificates under its
single family MCC programs.
The direct cost to the city is that of $10,000,
which is an annual cost of ACK Rock, LLP,
which is Bond Council For the single family income
and purchase price limits opinion, the source of funding
to continue the program is $75 million from the
city's private activity.
Bond volume cap funding does not happen in the traditional
sense that a source of money is tapped into to issue MCCs.
Instead, the city makes an election to the IRS pursuant
to the IRS private activity bond regulations
regarding volume cap amount and intention to issue MCCs.
Instead of using the volume cap to issue bonds,
the new allocation will allow the Department of Housing
to issue Tax Mart series 2026 MCCs
to eligible home buyers in the City
of Chicago over the next three year period from 2026
through 2029.
Through this initiative,
the city anticipates assisting approximately 300 home
buyers, further supporting affordable home ownership
opportunities across Chicago neighborhoods.
I'd like to provide some background on the Tax
SMART MTC program.
The program was established under section 25
of the Internal Revenue Code of 1986,
which authorizes the federal government to permit states
and their political subdivisions to issue
mortgage credit certificates.
As a home rule municipality, the city
of Chicago is authorized
to issue MCCs within its boundaries.
The Test Smart program allows eligible home buyers
to claim a federal tax credit for a portion
of the mortgage interest paid annually, as long
as the home remains their primary residence,
and they continue to pay interest on the mortgage loan.
Specifically, home buyers may claim a tax credit equals
to 25% of the mortgage interest paid each year up
to an annual IRS cap of $2,000.
Since 2005,
the task Smartt MCC program has assisted over 2,170
households supporting more than
330 million in mortgage loans.
This program has helped expand assets to home ownership
for low to moderate income families across Chicago.
One key benefit for participating lenders is the ability
to treat the annual value of the MC tax credit
as additional household income.
This increases a buyer's purchasing power
and improves their ability to qualify
for a mortgage loan to add home.
Buyers who receive the MCC from the city
of Chicago are entitled to retain the ability
to claim their mortgage credit if the home is
refinanced display.
Here is the map of the target areas
for the task SMART MCC series 2026 program.
Target areas are defined as census tracks,
where at least 70% of households had incomes below 80%
of the state meeting income based on the 2020 census.
These tracks have been officially designated by the state
as areas of chronic economic distress.
It's important to note that while the map offers a general
overview, it should not be used to make final determinations
about whether a property qualifies as being in a target
or non-target area.
Participating Task Smart lenders must verify
property eligibility by visiting the Federal Financial
Institution's Examination Council website
and use the GL coding mapping system within the census track
number from the Task Smart Program manual.
If the assistance track number is listed,
then the property is located in a target area.
The slide before you outlines the income
and purchase price limits
for the task SMART MCC program series 2026,
which are governed by federal law,
home buyers must meet each of the listed eligibility
criteria to qualify as an example, for households
with fewer than three people,
the income limit is $119,900 in a non-target area,
and $143,880 in the target area.
For households with three
or more people, the income limit increases
to $137,885 in a non-target area
and $167,860 in a target area.
The purchase price limits for both existing homes
and new construction are also provided.
It's important to note that certain properties are
ineligible for MCCs in non-target areas.
New construction two, three,
and four unit properties are not eligible in target areas.
New construction three and four unit
properties are not eligible.
The reason for these exclusions
of most high unit new construction properties is
that mortgage credit certificates are intended to assist low
and moderate income first time home buyers
by offering a federal tax credit, not a loan
or cash assistance focusing support on affordable single
family home ownership.
On this slide, you'll see a sample scenario illustrating the
first year of tax savings available
through the Task SMART MCC program.
In this example, we assume a homeowner with an annual income
of $80,000 and a gross, I'm sorry, my apologies.
And a mortgage loan amount
of $180,000 at an interest rate of SIS percent.
This results in a first year mortgage interest payment
of $10,800.
Under the Task SMART MCC program, the homeowner is eligible
for a 25% tax credit on the mortgage interest, which amounts
to $2,700.
The remaining $8,100 remains deductible under
standard IRS rules.
The slide compares two scenarios, one,
without the MCC tax credit and one with the MCC credit.
Without the MCC,
the homeowner would owe approximately 17,300
in federal income tax.
However, with the MCC credit applied, the amount drops
to $15,275 resulting in attached savings
of 2020 $5 in the first year.
However, it's important to note
that the IRS caps the allowable
mortgage interest credit at $2,000 per year.
So the as benefit in this case will be limited.
Accordingly, while the homeowner benefits from increased tax
return earnings, the annual credit cannot exceed the cap
of $2,000 per year.
The public benefits of A MCC credit is a direct federal tax
relief for home buyers.
Improving housing affordability
and loan term afford affordable home ownership.
Citywide homeownership is promoted
and encouraged with this program by reducing tax burdens.
For buyers, communities are strengthened
as higher home ownership rates contributes
to neighborhood stability
and long-term community investment, while also allowing
for flexible loan options
as the Task Smart program is compatible with conventional
and FHA mortgage products.
Lastly, an annual task credit is a direct public benefit
as the program provides up to $2,000 per year
to help offset the cost of home ownership.
The timeline for Task Mart MCC series 2026 will be
as follows, city Council passage
to occur this month following the public notice
to be printed in the Chicago Tribune
and on the city of Chicago's Department of Housing website
preparation and filing of the MCC election form certificate
of me and affidavit
of CEO will follow the public notice in December.
Mortgage lenders will be invited
to participate in the Task SMART MCC C Series 2026 program
following the invitation to lenders
to participate in the program.
A lender training will then be conducted in January
to discuss the program process along with notifications
to automatic offices of the new series
and the rollout date no later than February
of 20 26, 90 days
after the public notice issuance
of the mortgage credit certificates
to home buyers can then begin
to conclude the Department
of Housing again is seeking authorization to continue
the single family MCC Task SMART program,
ensuring continued support for first time home buyers.
The proposed task Smart MCC C series 2026 aims
to promote sustainable home ownership
and enhance housing affordability across all neighborhoods
in the city of Chicago.
And that concludes my presentation. I'm Destiny Durham.
I'm here for any questions you may have.
Uh, thanks, destiny. Um,
before we go to questions, I just wanted
to let the committee members know
that I asked the Department of Housing for a list
of the properties by Ward, um,
that have participated in this program, uh,
from 2019 to 2025, September, 2025.
Um, I will make sure that all of that information gets, uh,
sent to everyone through the chair.
And I also asked them for a list
of the participating lenders, uh, in this program.
I think this is something that we need to pay more attention
to because I looked at the list of, uh, people
who took advantage of this,
and most of them, in my opinion,
are from non-targeted areas.
So we need to make sure that we can market these to,
uh, people who live within the targeted areas
as shown on this map so
that they can take advantage of this program.
Um, uh, want to start with Vice Chair Conway, followed
by Alderman Irvin.
So where does the
75 million come from?
Like, who's paying that? Is that the city?
Is that the federal government? Is that,
That is the federal government.
That is gonna be from the city's private
volume activity bond cap.
Mm-hmm. And it's for IRS, um, purposes
and the ACK Rock Buying Council, they are there to make sure
that the city
of Chicago is implementing the program correctly
under IRS regulations.
But it, but it doesn't cost a city anything, right?
No. The only cost, direct cost to the city
of Chicago is $10,000 of our DOH annual budget.
And that is to pay for the services of Kack Rock,
which is the bond council.
By the way, the rest of my question became much less
important, but curiosity about how do we,
and this actually kind of dovetails with what, uh,
chairwoman Dowell was saying.
How did we come to the price of $665,000 a unit?
I mean, that's seems like a, I mean,
that is a very expensive one unit home that seems that
Is the maximum.
So that means the buyer purchasing cannot exceed
that cost to purchase.
And those are provided to us from the IRS
and governed by the federal law.
Oh, really? Income purchase price limits
Seems like a huge number, which I, I suspect lends itself
to some of the issues that, uh, chair Wind Dow spoke of.
But if it's necessitated
by the federal government, that's, yes, that is.
Um, that's all I have.
Thank you for the informative presentation. Yes.
That's the ceiling. It's the ceiling.
You could get a home at a lower price. I mean, you
Can merely get a $650,000 home.
You know, who would've thought, who,
who would've thought? Mm-hmm.
All right. Um, alderman Urban.
Oh, it's, that was good. Yeah. I have other questions here.
You wanna go? All right.
Alderman Waga back followed by Alderman Mitchell.
Um, when you were asking for the full list, you went back
to 2019,
and were you expecting just to have a year
to year breakdown also of that cap, or just word by word?
It's a, uh, list by year of, uh,
the addresses where this program was implemented.
Okay. By ward
and by type of unit, whether it's a condo
or a single family home.
Oh, okay. Okay. So does, uh,
and I don't know if you can answer this.
When you ask for that list, does the department then have
to provide a list of all the projects
to show it won't exceed the 75 million
or that it falls into that annual category of 75 or less?
Yes. Can you repeat your question, please?
Uh, just essentially, uh, does the department have
to provide a list of all the potential projects to show
that they won't exceed the 75 million? Yes,
That is correct. And
that's, we actually do a quarterly report to the IRS,
and that is also monitored again by Kack Rock Bond C
I'm sorry, is monitored by who?
The Cusack Rock, LLP, who is the bond council that covers
to make sure we are in IRS regulation standards.
Okay. And does the state have
to get anything from that as well?
No, not to my Straight to the federal, yes. Okay.
All right. Thank you very much. Thank you. She,
Thank You Alderman Mitchell.
Um, and chair, thank you for asking for that
through the chair information.
Um, one I would like to get a copy of,
of this presentation, if that's okay.
I'm pretty sure my other colleagues will, can we all,
I'm pretty sure my colleagues will want that as well.
It was, it was emailed to you already. Okay.
I'll, I'll dig it out. Okay.
Um, I was, I was paying attention in, but I was dropping.
So I need some clarity on the, the ir the, uh,
the, uh, the tax piece up to $2,000,
up to $2,000
of the annual interest payment can be written off on taxes.
Yes. It is gonna be a deduction as well.
A deduction. Okay. On the mortgage interest.
On the mortgage interest, yes.
How does that, is that a direct conflict with
what you can write off from the federal standpoint?
No, it's not a conflict at a, so
You can actually write off two
and then write it off. How does that work,
Actually? So at the end of the year,
each homeowner receives a
10 99 mortgage interest statement.
Right. And it provides what you have paid
for your interest the entire year.
Mm-hmm. This program will allow that homeowner
to get 25% mm-hmm.
Up to two Up. Yes. It cannot exceed the 2000. Mm-hmm.
And it will receive that back on their federal
income tax returns.
So it's providing a tax credit and a deduction as well.
So it's gonna be off the mortgage interest at the end
Of the, okay. I'm very familiar with
the forms. Mm-hmm.
Where would that, how would you write that off?
It's a form called eight, I think it's 83 80.
Um, I can get the, the correct number to you of the form
that is completed, but it is completed by the task preparer
and the, you know, the individual's taxpayer,
but I can get the correct form number
for you, but there is an attachment.
Mm-hmm. And I believe it's form 83 80. 83 80?
Yes. Okay. So let me make sure, write that off on 83 80,
but I can still write that, uh, if I choose
to write, 'cause I think you have to itemize in order
to write interest, take advantage of the interest deduction.
I am still able to do that as well,
To my knowledge, yes. But
those are the questions that we do advise our homeowners
and buyers to seek their task preparer.
Okay. All right. Yes, because they will be definitely,
We need to dig into that. Yes,
because, okay.
And the, the other question I have, um, is, um,
um, it escaped me that fast.
I'm sorry, that chairman just called senioritis.
I don't do me like, um, for,
and this is for this existing,
existing homes, new construction up to a two unit.
We can do up to four units as long as
they're within those parameters,
if they purchase on your screen,
you have the non-target area and target area.
So it's for new constructions for two, three,
and four units, you cannot purchase a new construction.
Okay. And the same for target area.
It cannot be a three or four unit, cannot purchase a new
Construction unit. Okay. Is there any
impact for homes that have been slated
for owner I for multiple unit buildings
that have been slated for owner occupied over the long
term, over like 30 years?
Does that have any, does that No.
Have any impact on that? No.
Okay. And this credit is also
for the life of the loan as well.
Okay. So they'll receive this, if they have a mortgage
for 30 years, they'll receive this for the full 30 years.
Is it transferable? No. Yes. Okay.
It would not be transferable.
All right. Last question that I was gonna ask.
So the lenders, you have to be a, a participating lender.
Yes. How do you become a participating lender?
And are we soliciting certain lenders
and if there, is there a benefit
for certain lenders to target?
Our areas are, are, yes.
We definitely look into lenders that, of course, they have
to be currently licensed active of.
We do have our relationship with certain lenders
that we still promote and we reach out to them.
But new lenders also come through to us actually
and ask, can they be on a list?
They hear about it from other lenders.
We do, um, point, um, target campaigns for lenders to
advertise and market the program.
And then if they respond
and would like to be a task smart participating lender,
we then look into the areas that they service the products
that they have, the services,
and then from there, provide an application.
Okay. Go through the onboarding process.
They have to apply once they apply
and we check their credentials to make sure
that they can service all of our City
of Chicago neighborhoods.
Certain areas they're currently licensed and it's active.
Yes. Okay. We then allow them to onboard
as a participating lender.
Okay. So If you know of mortgage RS in your
respective communities, uh, you should get them
plugged mm-hmm.
Into maybe participating in this realm. Yeah. Coming up.
Okay. All right.
Um, is there any issue with
mortgage assumptions or foreclosed properties?
No, we have not seen that.
All right. I'll,
I'm sure I have more questions later
after I review it. No. Alright. Thank you, chair.
Thank you. Uh, alderman Irvin.
Thank you. Uh, thank you, uh, Chad Al, um, just for Greg,
for your, uh, edification.
It is a, uh, it's an, it is not a refundable tax credit, so,
but it does have the ability to carry forward,
I don't know the number of years, but it's,
it is a carry forward if you don't have any tax liability.
So, um, but, um, I don't know if it's in perpetuity or not,
but I, I know it, I know you can carry it forward,
but I just don't know how many years
you can go forward with it though.
Uh, the only other question I had, why isn't this, uh, able
to be used in, uh, two to four units, uh, property?
I see in targeted areas? Yes.
Like I look at communities like West Garfield,
north Lawndale, where we're primarily a two flat community.
Um, and, uh, not, you know,
being able to do three or four flat.
Uh, why, why is that the case?
Um, we have been made aware just that
because it's intended for the on to moderate income buyers,
so you can get it if it's existing,
but they consider new construction.
If you can afford a new construction, more than likely
you may not be a low to moderate home buyer.
So for the new construction properties is the ineligibility
piece, but if it's existing,
they would definitely be able to apply.
But only if it's a two flat, why,
why not three or four units?
It's three and four as well on your screen.
If you look at the existing one,
I'm sorry, went through Four units. I'm
Just reading. I I
said this earlier today, reading is fundamental.
So, um, that's only for new construction.
That's only for new construction.
Okay. So you can utilize it for existing
units in targeted areas.
Um, is there a map of the targeted area?
Yes. And we could provide that
to you as well, if you like.
And the basis of the targets are what
They're based off the 2020 census that was completed.
So based on that census, they consider these areas
where the households are below 80%
of the state media income.
Okay. Alright. Um,
And so this more than likely will not be changed
until we conduct another census.
Okay. Um, but I mean, it looks, uh,
that does make some sense based on what I'm,
what we're seeing and how many, um, what is our
limit to being able to provide this?
Uh, currently we want to assist as many as we can.
So the goal is for at least 300 home buyers, 2026
through 2029
for approximately a hundred home buyers per
year, per calendar year.
Okay. And I, I guess, I mean,
that doesn't seem like a lot of home buyers. It
Doesn't, but, And, um, what's holding
people back from utilizing this particular program?
Um, my personal opinion is probably just knowledge.
People are just not informed about it.
They're just not aware.
And The, we do promote
through our hu delegate agencies.
We promote on our website, we promote
through our test smart lenders as well,
but just getting the word out even more so for this season,
we're also gonna promote through our automatic offices,
we're gonna provide you with information to provide
to your constituents as well.
Okay. And then my, my final question is, is this,
you said the mortgage provider, so are we targeting some
of our like deposit depositories that we work
with from the cities where we're depositing our funds?
No. Um, the, the mortgage lenders not mortgage.
Which, which part did you,
So for example, chase, uh,
or BMO, which is they are general mortgage originators.
Uh, are they participants in this program
or do you have to,
how do you become a participant in the program?
Maybe that's the better question.
Um, they are not currently participating lenders.
Will they be a for the next round? Absolutely.
We will again do that campaign markets to all lenders.
And it's the matter of if they're responding to be willing
to become a tax smart lender.
And is, is there a cost? Is there a No. Is it
The, the program fee is $225 for the home buyer,
and that's typically implemented within their mortgage
loan closing cost?
Um, I mean for the participating, uh, lender. Lender,
Yes. No, they have
a lender fee that they can charge of $150.
And that is optional. So it's up to them,
the loan officer if they wanna pay.
No, I mean, for them to participate.
So for bank A to come to be part of this program,
what do they need to do to be part of this program?
It's no fee. There's not a fee. There's not a fee.
We have a program fee
and that program fee totals $225 for the borrower
and $150 for the lender.
And that is once they are a participating lender.
But for them to provide an application free of charge,
No. Okay. And
there's no real reason why we have such a small
pool of people parti a small pool.
Let me correct that. Of lenders participating.
No, we don't have a reason for that.
Currently we have 13 participating lenders.
Could you, uh, could you provide that through the We have,
We have the list. That's
what I said I was sending you, I was sending you the,
um, participating lenders, a list of participating lenders.
And when you look at this list, uh, I don't recognize a lot
of names except for perhaps, um, neighborhood housing,
neighborhood housing services,
and Wintrust Mortgage Company.
Right. But there are a bunch of others here.
Uh, so I, I think we should like, try
to look within our own community. Oh,
No, I, I agree. Yeah,
I agree. I mean, this
Is, but I'll send this to you. It's,
I'm sending it to everyone. Okay. Thank you.
This is a great program. I,
Uh, yeah, it's a, it's a refundable credit.
It's not mean, it's not a refundable credit,
but it's a, it is a tax credit.
Again, like you said, it's aimed to Marley.
Probably may be more medium income, uh, owners
and low income owners, but be there as it may, uh,
sounds like something that we should be
pushing and taking advantage of.
So thank you. Thank you Madam Chair.
Thank you, destiny. Thank
You. Um, alderman Curtis
M for I didn't targeted area. So
How was it chosen? No,
No, no, no. That
don't make me, you're
Saying your area is a non-target area?
Absolutely. It's based on the census
census data that yes,
This was based on the census data that was provided.
Right. But listen, that's not what I'm trying to hear.
Thank you, chairman.
Right, but when you look at the list, alderman,
you might see some 18th water dresses on there.
Don't have any pink bats on it.
Okay. Can I get a motion to approve, uh,
this item motion made by Alderman Irvin?
Recommending do pass. All those in favor
signify by saying Aye.
Oppose in the opinion of the chair, the ayes have it,
and the do pass recommendation will be reported out.
Thank you. Thank you, destiny.
We're going back to item number seven.
Welcome, which is an ordinance amending,
uh, ordinance.
So 2025 dash 0 180 1 49,
which passed the city council on July 16th, 2025
to restore section two dash 44 dash one 40
of the Chicago Municipal Code regarding lien assignments.
Um, we are joined in this presentation by Willie Edwards,
deputy Commissioner in the Department of Housing.
Thank you, chairman. Good afternoon.
Thank you, chairman Do thank you. Committee.
Um, the city of Chicago has more than 45,000 vacant
and abandoned buildings and are in
that are in various states of disrepair,
but available for rehabilitation in south
and west side communities.
The Department of Housing housing Preservation Division
works to provide subsidy to fill the gap between the cost
of acquisition, rehabilitation,
and sales price in communities
where comps are lower than the cost of rehab.
In many cases, city debt sits on these vacant buildings
and is uncollectible city.
Debt on properties in need
of rehab significantly impedes the ability
to reclaim single family homes for rehab
and sale for home ownership,
utilizing programs seeking local developers.
In 2021, the Department
of Housing proposed the encumbrance Debt waiver ordinance
and City Council passed that ordinance in January of 2022.
In July of this year, a similar ordinance was passed
to support similar activity on vacant
land and commercial buildings.
This ordinance unintentionally repealed the existing
ordinance, thus halting activity relevant
to reclaiming single family homes.
Primarily I source in areas
where the private market cannot support rehabilitation.
We're asking at this time to reinstate the 2022 ordinance,
supporting the revitalization of vacant
and abandoned homes when the opportunity
for local wealth building by local developers
and home ownership opportunities exist.
Thank you, Ms. Edwards. Alderman Mitchell.
Thank you Chair. Um, this, this ordinance, uh,
will and I worked, have been working
on this ordinance for years.
And, uh, it was definitely an unintended consequence
of the, of the amendment.
So I asked for everybody's favorable consideration
and the provenness so we can add that back.
This has been a great, great move for communities that,
like you said, has eyesore, um, in their respective blocks.
And we could actually seek to, you know, uh, seek
to get those back into the hands of homeowners
and, you know, start, start progressing our blocks.
So I appreciate this ordinance,
but I ask for everybody to support this. Thank
You. Alderman Mitchell.
Alderman Beal.
Can you,
Um, uh, I think it was called the Forgivable Loan Program,
where the city, um, uh, banks would walk away from property,
give 'em to the city, and then we could look to
get a small contractor in the community to rehab it
and sell it to somebody within the
community. Is this similar to that?
It's similar Bill. It's not, it's not that heavy.
I wish it was, I wish it was that.
I wish we could get some of the bank's return this,
but this particular ordinance is just
to get us out of our own way.
So in many cases, when we're trying to rehab a property,
or we're trying to use a program to provide subsidy
for a property so it can be rehabbed
and sold for home ownership, we may have city debt in the,
in the way of a water bill or, ah, fines
and fees in 20, 30, $40,000,
which increases the overall cost.
All this, uh, ordinance does is move that debt out
of the way so that we can use our programs
to actually rehabilitate that building. Great.
How many buildings did you save?
Were vacant right now in the city of Chicago, roughly.
It's, it's a, it's a rolling number.
So pulling from reports that we've gathered
and the numbers we're working with,
they say the vacancy in Chicago is about 10%.
So 126,000.
The problem is about 64,000
of those are rolling meaning in and out.
Right? And so that vacancy still gets a, uh,
um, a ping, if you will.
There's about 46,000 or so that are actively in south
and west side communities.
Just vacant eye source things.
We need to pick up things on the demo
list, that sort of thing.
So working with the forfeiture program
and with the circuit court judges, we're trying
to move in a way that will allow this debt to be released
so they can actually provide a forfeit forfeit opportunity.
Well, I would, I would, um, encourage you all,
'cause you know, I don't want to date you,
but I think you were around when we had
this program years ago.
Um, you know, and it was effective, you know,
because when property were going to court, sometimes the,
um, judge would just make the city the receiver
and we would acquire the property
and then we would work with local, uh, contractors
and they would get the house for about 5,000, $10,000
and then they can rehab it and then live in it.
That's, that's about, that's about right.
You, you got that. That's about right.
It's just that it doesn't include the banks.
When you talked about the banks forfeiting
or Exactly giving the property away, that part
of it is not included,
but the part where we're actually working
with the circuit court, the buildings are forfeited.
We're working with, we're also adding in a subsidy
because without set subsidy, the building is 20, 30, 50,
70,000 underwater. Okay.
Well, I I would tend to, um, you know, agree
that if we were to broaden this and include the banks
and start working closely with the banks, you know,
they don't want these properties
and they're sitting on 'em, the banks probably own majority
of the properties that are sitting
vacant and they're just sitting on them.
And if we can work to getting those properties back
to somebody within the community for a couple
of thousand dollars so they can rehab it,
get it back on the tax roll,
I think that would be beneficial.
So I would look to you guys to try
to re-implement something like that.
I appreciate that. Alman Mitchell has suggested the same
and, and we've been working on it.
Well, is the preservation Chicago program
still functional?
I'm, I'm not aware of that. That's
Where the city had real estate
and various communities that they gave away to people.
Do we still have real estate in our inventory?
I know we have land. We do
Not. We do not.
Okay. We do not.
We do not as a, it, it's too, it's generally very cumbersome
for the city to, to pick up properties
and then dole 'em out.
So we do it outside of our process.
We work with delegate agencies to do that work.
Okay. Um, is there a motion to recommend approval
of item number seven?
So, moved by Alderman Mitchell. Recommending do pass.
All those in favor signify by saying Aye.
Opposed in the opinion of the chair.
The ayes have it and the do pass recommendation will be
reported out at the next city council meeting.
Thank you, Mr. Edwards.
Thank you Chair. Uh, item number nine,
from the Department of Housing, a substitute ordinance
authorizing the issuance of financial assistance
to Holman Square Apartments, phase four holder LP
and restructuring of existing city financial assistance
for the Holman Square Phase four project at
36 0 7, 36 21,
and 36 45 West Polk Street and 9 0 6
and 9 0 8 South Central Park Avenue
and 9 21 South Lawndale Avenue.
In the 24th Ward, uh,
there is a substitute ordinance
that was emailed to everyone.
Can I get a motion to accept the substitute?
So moved by Alderman Beal.
All those in favor signify by saying aye.
Post an the opinion of the chair. The ayes have it.
And the substitute ordinance is now before the committee
and will be explained by Amee Creighton
and Joseph Lewis of the Department of Housing.
Good afternoon. Good afternoon.
Thank you. Chair dial
and members of the finance committee.
Um, for the record, my name is AM Creighton
and I'm a financial planning analyst
for the Multifamily Finance Division within
the Department of Housing.
I'm also here with Joe Lewis, uh, assistant commissioner.
I'm here to present the comprehensive financing plan
for the Home and square project, phase four,
which involves the rehabilitation of home
and square apartments, located at 36 0 7, 36 21,
and 36 45 West Polk Street,
9 0 6 0 9 0 8 South Central Park Avenue
and 9 21 South Lawndale Avenue.
Development is situated in the 24th road represented
by Alderman Alderwoman, Monique Scott.
The ordinance before you seeks authorization
for the issuance of up to 20 million in bonds,
which will generate 4% tax credits in support
of the transaction.
Approval for the issuance of up to 10 million in TIF funds.
And also consent is also requested
to restructure the existing city home loan to subordinate
to subordinate to the first new first mortgage for give up
to 4.2 million of principal,
adjust the interest rate and extend the loans.
2028 maturity date.
The repayment terms will remain unchanged.
The project site is located in East Garfield Park in North
Lawndale community areas within the homing ar home,
home in Arlington, TIFF district,
and the West planning area.
It lies in the 24th ward, which I said is represented
by Alderman Monique Scott, who's
provided the letter of support.
The project also includes 3.5 million imported funds from
the Midwest TIF districts, which
with additional support from Alderman, Jason Irving
and Walter Burnett Jr.
The Home and Square Apartments 107 unit,
fully affordable development built in 1999, was selected
for financial assistance, joined the 2023 QAP round
for moderate rehabilitation,
formerly known as West Side Village.
Phase four. The project's part of the foundation for Home
and Square's broader effort to
redevelop the former Sears campus
into a vibrant mixed use community.
The existing buildings features masonry,
exterior shingle roofs, natural gas, HVAC systems,
and no elevators.
Amenities include laundry rooms, intercom, entry,
and basement storage.
The proposed project includes interior upgrades
with en energy star appliances, LED lighting, low flow,
plumbing, new camera tree and and flooring.
For the exterior, there will be new roofs and,
and windows, masonry tuck, PO and tuck pointing
and stair repairs
or replacement site upgrades will also include parking lot,
repairs, ev charging stations, sidewalk improvements,
and exterior mailboxes.
The current, the development currently has nine
to 10 vacant units.
The relocation plan involves renovating these vacant units
first, then sequentially relocating existing tenants into
the completed units as the remaining
apartments undergo renovation.
The total project cost is estimated at 32 million
with 10 million in TIF funding requests.
Construction is anticipated to begin in January, 2026 with,
uh, completion expected in summer of 2027.
The aerial image shows the development site outline in red
comprising of six three story walkup buildings,
three in West Polk Street, two on South Central Park,
and one on South Lawndale Avenue.
Arranged around boiler Park
and a campus style layout located in North Lawndale.
An area long effect, uh, affected
by disinvestment industrial decline.
The community began to recover
after the 1988 closure of the Sears headquarters,
which spurred the Home
and Square Community Development Initiative.
Since then, more than 350 affordable
and mixed income housing units have been added along
with major community assets such
as the High School Community Center,
Lawndale Christian Health Center,
and A-Y-M-C-A displayed is the current view, front view
of the exterior condition of the building.
Located at 36 21 West Polk Street,
all five remaining buildings within the development share,
identical architectural design, structural characteristics,
and overall condition.
Here's another, um, picture displayed as exterior view of
of the building on Polk Street.
This aerial view captures all six buildings within the
development, providing a comprehensive visual representation
of the current condition of the entire site
image highlights the uniform architecture layout,
the central positioning around boiler park
and the overall physical state of the structures
and surrounding grounds.
The ownership entity for this development is Home
and Square Apartments, phase four Holder lp,
an Illinois Limited partnership created
by IFF Real Estate Holdings, specifically to own
and operate home and square apartments.
Phase four, the development will be a partnership
between IFF and the foundation for Home and Square.
IFF is Chicago based CDFI founded in 19 eight finances
and develops community projects across nine states
and has partnered with the City
of Chicago on multiple home and square phases.
Prior to, since the late 2010, IFF has served as a developer
and asset manager for the rental housing portfolio
FHS established in 1995 as a non-profit co-developer
and product sponsor leading ongoing revitalization efforts
in Holman Square and managing key community assets.
WJ architects will serve as project architect
with general contracting
provided with by joint venture
between boiling Burling builders and sole construction.
Hush Blackwell will provide legal counsel
and project financing will be supported
by BMO Harris Redstone Equity in Cedar Rapids Bank.
The developer organizational chart outlining the ownership
structure is, uh, for your viewing.
Uh, the IFF Board of Directors comprises a diverse group
of senior executives with strong community ties across the
Chicago area and the broader Midwest region.
Many also maintain direct affiliations with the foundation
for Home and Square, and the board of direction
for Foundation for Home
and Square is comprised of a diverse group
of community leaders, professionals,
and residents who bring deep rooted connections
to the North Lawndale neighborhood
home and square apartments.
Phase four will be a fully affordable housing development
comprising of a total of 107 rental units.
The unit mix is designed to serve households across a range
of income levels with 12 units reserved
for residents earning up to 30% of the a MI 11 units.
Of those earning up to 50% of a MI
and the remaining 84 units allocated
to the households earning up to 60% of the a MI.
The 32.3 million Home
and Square project will be financed
through a mix of permanent sources.
The City of Chicago will issue 20 million in bonds privately
placed with BMO Harris Bank
to fund construction period financing that will convert
to a 6 million permanent first mortgage
with Cedar Rapids Bank.
Tax exempt bond financing will generate approximately
11.8 million equity at 84 cents per credit.
A existing debt of 4.1 million includes 3.4 million
of a home loan and $700 in reserves.
Tiff funding of 9.9 million will provide about 29%
of the total cost with 404,000
of the Dell developer fee being deferred.
Total products include 5.5 million for acquisition,
19.9 million in hard construction costs
and 1.8 million contingency
and 6.9 million in soft costs such as fees, interest,
insurance, taxes, reserves, and tenant relocation.
The developer fee is budgeted at 1.8 million.
The TIS assistance of approximately $10 million will be
structured as a grant and secured
by a recapture mortgage in favor of the city.
These funds will reimburse the developer only for, uh,
eligible rehabilitation and affordable housing costs,
and will be dispersed in four installments at 30, 60
and 90% completion
with the final 10% installment released only upon issuance
of certificate of completion
by the Department of Planning and Development.
Importantly, the certificate of completion requires
that the developer not only complete construction,
but also demonstrate compliance with the city's typical
construction compliance requirements,
including prevailing wage standards, minority
and woman owned business enterprise participation goals
of 20%, 26% MBA, and 6% WEE
and the city residency requirement, which mandates
that at least 50% of all construction hours be performed
by Chicago residents.
Long term housing s covenants will outline specific
affordability requirements, income limits,
and rent restrictions.
The project will preserve 107 rent restriction,
rent restricted affordable units for households earning 30
to 60% of a MI, maintaining affordability
for at least 30 years.
Um, rehabilitation work will include sustainable upgrades
such as LED lighting throughout high efficiency,
hot water heaters, and other improvements
that support the city's goals for energy efficiency.
The development will create about 30 temporary construction
jobs and has received a letter
of support from Alderman Monique Scott.
Lastly, in summary, the proposed transaction request
authorization for the issuance for up
to 20 million in tax exempt bonds
to generate 4% low income housing tax credits in support
of the PRO project, and approval for the allocation for
of up to 10 million in TIF funds
and consent to the restructuring of the existing home loan.
Now this concludes my presentation.
Please let me know if you have any questions for us.
Thank you and appreciate your time.
Thank you very much. Um, pronounce your first name again.
Um, esi. Esi, yes. Okay. I said Amsi. That's
Quite all right. Esi.
Okay. Any questions for this
before we go to Alderman Scott?
Alderman Irvin.
Think mad 'em chair. Uh, what,
when were these originally built?
1999. 99.
And there was a, I thought that was a second set.
Is this second set of these built two or was that, uh,
When were they It was actually six different phases.
Three of them are home ownership phases
and three of them are actually rental unit phases.
Okay. But there is this So are there,
they're all built now?
Yes. Okay. So the last phase that was, was, uh,
I think was a more of an original phase.
This is the first rehab phase of all of these.
Alright, very well, thank you.
Uh, alderman Fuentes will be added to the non-members.
Good to see you. Uh, alderman Cher Lopez has joined us
and is from off of, uh,
rule 59 Alderman Scott.
So I wanna, I mean, this is a lot
and, um, I wanna thank the Department of Housing efforts
for this, uh, because this is a huge project for the ward.
Uh, it's not only gonna bring jobs,
but it's gonna bring some solid, uh, residents, uh,
residency because of the way that they built it before.
So it's gonna bring some strong housing
to the ward, which we need.
Um, so I just ask for your most favorable vote. Vote.
Thank you.
Uh, thank you. Any
Chairman Irving and also Walter Burnett Jr.
For supporting me on this project through Tiff.
Oh, Okay. I know.
Um, motion made
by Alderman Irvin recommending do pass all those in favor
of this project or this motion signified by saying aye.
Aye. Opposed? And the opinion of the chair
of the ayes have it and the do pass recommendation
will be reported out at the next city council
meeting. Thank you very much.
Thank you very much. And Mr. Lewis,
you're staying with us, correct?
Yes. The next one is yours, uh, the Department
of Housing item number 10,
an ordinance authorizing the bond inducement
for tax exempt housing revenue bonds
to 58 53 North Broadway, four LP
for the affordable housing development, located at 58 53
North Broadway in the 48th Ward.
We are joined by Joseph Lewis, uh,
who will give a summary on this project.
Mr. Lewis?
Thank you. Chair Dowell, members
of the Committee for the record.
My name is Joseph Lewis
and I serve as commissioner in the multifamily finance
division of the department House before you.
Today is,
is a bond inducement ordinance authorizing the issuance
of up to $26 million in tax exempt housing revenue bonds,
or notes to support the development
of the 58 53 North Broadway apartments. Hold on a sec,
You switch mics. Start over. I
I'll slide on over. How
about that? That
apologies there.
Um, so thanks, thanks again.
Chair Dowell, members of the committee for the record.
My name is Joseph Lewis.
I serve as Assistant commissioner in the multifamily finance
division of the Department of Housing.
And before you today is a bond inducement ordinance
authorizing the issuance of up to $26 million
in tax exempt housing revenue bonds,
or notes to support the development
of the 58 53 North Broadway apartments in the
Edgewater community area.
Specifically, this ordinance requests authority
to induce the issuance of up
to $26 million in tax exempt bonds
or notes on behalf of 58 53 Broadway for lp.
A development entity affiliated
with Icker D**e Redevelopment Corporation
to support the development
of the 58 53 North Broadway Apartments project.
This action will allow the developer
to incur eligible project expenses with the expectation
that such costs may later be reimbursed from bond proceeds.
The requested action does not constitute the final issuance
or approval of city financial assistance.
The ordinance that approves the final issuance
or approval of city financial assistance is expected
to return to this committee in the coming months.
The subject property is located at 58 53 North Broadway
within the Hollywood
and Sheridan TIF district on the city's north side.
The project lies in the 20, in the 48th ward, represented
by Alder Woman, mana Hoppen, who has
provided a letter of support and is present with us today.
The development proposal from Bicker D**e Redevelopment
Corporation related to this bond inducement ordinance calls
for new construction of an 11 story
affordable apartment building.
This approximately $73 million development will create 90
affordable rental units, all of which will be restricted
to households earning no more than 60%
of the Chicago area median income.
The unit mix will consist of ten three bedroom, 52 bedroom,
and 31 bedroom apartments.
The site's plan development zoning was approved in
April, 2025.
The project site is located on the east side of Broadway,
just north of ARD Ardmore Avenue.
In Chicago's Edgewater neighborhood, surrounded by a mix
of commercial, residential, and institutional uses.
The site sits at the heart of the neighborhood,
which is a vibrant transit rich community
of more than 56,000 residents over half
of whom are, are renders.
The site is directly adjacent
to the Thorndale redline station
and within walking distance of Broadway Armory park,
schools, shops, restaurants,
and the lakefront shown here are ground level views
of the property in adjacent conditions.
The property is currently a, a city owned streets
and sanitation facility used for snow equipment storage
and fleet operations.
Property consists of an asphalt lot
with a small administra administrative structure bound
by Broadway to the west and an alley to the east.
The Department of Fleet and Facilities Management will
relocate the streets and sand operations
prior to construction.
The site was publicly noticed for disposition in November
of 2024.
The design features a three story podium along Broadway
contextual with neighboring buildings
with the taller portion setback.
A brick facade design with varied materials
and massing breaks responds directly to community feedback
provided in connection with previous land use entitlement
actions for this project in addition to 90 units
of affordable rental housing,
the project will also provide a community engagement room
onsite management and maintenance offices, a green roof deck
and landscaped outdoor space laundry facilities on every
floor and a bike.
Concierge and secure bicycle parking.
Parking will be limited
and accessed through the alley to maximize housing
and encourage transit use the pro The project is designed
to meet Enterprise Green community standards
and will be an all electric building with heat pumps,
electric hot water and induction appliances.
Features include low, uh, e glazing windows, LED lighting
and permeable pavement.
The project sponsors Bicker D**e Redevelopment Corporation,
a not-for-profit community development organization f
founded in 1967.
Bicker D**e emerged
to combat combat housing decline on Chicago's northwest side
and has since become a local leader leader in preserving
affordable housing and stabilizing communities.
Bicker Dyke's mission is to redevelop the Westtown Humble
Park, Logan Square, Hermosa,
and Avondale communities for the benefit and control of low
and moderate income residents.
In 2021, members voted to expand its service area to,
to most of Chicago's North side,
further supporting residents vulnerable to displacement,
particularly low income households of color.
Over its history, bicker D**e has, uh, developed
or rehabilitated more than 2200 affordable rental
and for sale homes across approximately 370 buildings
and has supported over 150 families in becoming homeowners.
Currently, bicker D**e owns
and operates approximately 1,600 apartments in Chicago,
that house more than 3,500 residents.
Key members of the development team include Landon Bone,
baker Architects, uh,
and the general contractor is a joint venture
that includes Leo Pardo companies, uh,
and all a LL Construction Group, a Chicago based, uh,
certified minority business enterprise.
The project is estimated to cost approximately $73 million.
Financing sources include city TIF funds, developer,
low-income housing tax, credit equity, uh,
tax exempt housing, revenue bonds, DOH multifamily funds,
donation tax credits, and other support from Come ED
and miscellaneous tax credits.
The city will also provide a write down on the land value
to $1 approximately 70 76%.
Co of costs are related to construction hard costs
and 23% are related to soft costs and developer fees.
As previously mentioned,
the project will provide 90 affordable rental homes
with a strong focus on family sized units
and long-term affordability.
In total, all 90 units will be affordable to households at
or below 60% of the area.
Median income, five units will be designated for referrals
for supportive housing,
and 23 units will be supported
by CHA project based vouchers ensuring long-term
affordability For extremely low income residents,
unit sizes will range from approximately 700 square feet
for one bedrooms, 900 square feet for two bedrooms
and 1200 square feet for three bedrooms.
For the 23 units supported by CHA project-based vouchers,
the tenants will pay 30% of their income toward rent.
With the vouchers covering the balance up
to the full contract rent,
the remaining 67 affordable units will be leased at rent set
in accordance with the HUD
and City of Chicago Affordability limits
for the Chicago Metropolitan area.
Ownership and financing will be structured
through two limited partnerships, 58 53 Broadway four lp,
which will utilize 4% low income housing tax credits
and tax exempt bonds, and which is the subject
of today's inducement resolution
and represented here as well as an additional entity.
58 53 Broadway nine lp,
which will utilize 9% low income housing tax credits.
For the balance of the development.
Each entity's general partner will be a wholly owned
subsidiary of Bicker D**e Redevelopment Corporation.
While institutional investor partners will hold 99.99%
limited partner in partnership interest
to provide equity in exchange for tax benefits.
The overall project will return to the finance committee
for further consideration at the time
of the final bond issuance and financing approval.
As previously mentioned,
the requested action authorizes the developer
to incur certain project related exp expense expenses
with the expectation that eligible expenses may be re
reimbursed from bond proceeds at a later time.
This resolution does not constitute approval
or issuance of city financial issuance,
city financial assistance.
Such, such actions are anticipated in the coming months.
The bonds are expected to be structured
as a private placement conduit issuance whereby the city
issues bonds on behalf of the developer
and a bank purchases the bonds directly.
The proceeds from this transaction will then fund a real
estate loan to support project development as a condition
of city participation.
The project will be subject
to standard construction compliance requirements,
including prevailing wage, minority
and women-owned business enterprise participation goals
and city residency obligations.
Key project outcomes include the creation
of the 90 affordable rental homes in the Edgewater
community, 60 of which are family sized and committed,
and all of which are committed for long-term affordability
for at least 30 years.
Uh, the pro the programming,
the development program includes five supportive units
and 23 CHA voucher units expanding housing opportunities
for households with the greatest need.
The site offers convenient access to schools, transit jobs,
and neighborhood amenities.
The development is designed
as an all-electric sustainable building,
advancing energy efficiency,
and providing residents with healthy modern homes.
In addition to housing benefits, the property,
the project will return a tax exempt property
to the tax roll generate,
thereby generating new revenue for the city.
And the project will support the creation
of 70 construction jobs and six permanent jobs.
And finally, under the city's affirmative action
and workforce requirements, the developer will meet
or exceed participation goals
of 26% minority owned business enterprise participation,
6% woman owned business enterprise participation,
and the developer will ensure that at least 50%
of all construction hours are performed
by Chicago residents.
In summary, the Department of Housing respectfully requests
that the Committee on Finance approve the bond inducement
resolution authorizing the issuance of up
to $26 million in tax exempt housing revenue bonds,
or notes for the benefit of 58 53 Broadway.
Four LP representatives from Bicker D**e Redevelopment
Corporation are with us today
to answer any questions you may have.
Thank you for your consideration.
Thank you very much Joseph.
And I just wanted to acknowledge Joy Ti
and Omar Becka from, uh, bicker D**e, uh,
long-term, uh, uh, advocates
for Affordable Housing in the city of Chicago.
Just wanna say hi to you, joy.
Um, I have one question on the 23
CHA voucher supported units.
Uh, those spread across the one twos and three bedrooms.
Um, He's he's nodding his head yes, so, oh,
So, uh, yes.
All, all the, the, the voucher units are dis distributed
across the unit mix.
Um, alderman Manah Haworth.
Hi chair. Thank you to the Committee on Finance.
Uh, this is a project that Edgewater welcomes
and when first presented, they stood up and and cheered.
So we are looking forward to the progress
of this affordable unit, uh,
where streets and sand is right now.
They have a plan to move and, um, and I thank Joy
and Omari for being here.
This is just another step along the way.
Um, so I ask for this committee's favorable consideration.
Thank you, alderman, and seeing no more questions.
Alderman Burnett recommends do pass.
All those in favor signify by saying aye. Aye.
Opposed in the opinion of the chair, the ayes have it,
and the do pass recommendation will be reported out at the
next city council meeting.
Thank you very much, Mr. Lewis. Thank you Chair.
Item number 11, uh, from the Department
of Housing is a substitute ordinance
authorizing the issuance
of multifamily housing revenue bonds
to TTG Indian Trails Limited partnership
for the rehabilitation of Indian Trail Apartments,
located at 2 21 through 2 23 East hundred
and 21st place,
and 1 21 41 South Indiana Avenue in the Ninth Ward,
uh, in the amount not
to exceed 35 million in multifamily housing revenue bonds.
There is a substitute ordinance, which has been prepared
and sent electronically to everyone.
Is there a motion to accept the substitute?
So moved by Alderman Irvin.
All those in favor signify by saying aye. Aye. Opposed?
And the opinion of the chair. The ayes have it.
Uh, and the ordinance, the substitute ordinance, go ahead.
No,
and, uh, in the opinion of the chair, the ayes have it,
and the substitute ordinance is now
before the committee, um,
before Dean Wayne explains the project, the commissioner
of the Department of Housing has requested an opportunity
to speak to the committee.
Thank you so much, chairwoman.
For the record, I am Lisa Caina, the Commissioner
for the Department of Housing.
Um, I just wanted to acknowledge
that there were some comments this morning
that were made at, um, during the public comment period.
And, um, I want to, um, for the records say that we have met
with the tenant union, um,
and we also spoke
with them since the public comments were made this morning.
Um, they are not asking that this be delayed
and that can be confirmed with them.
Um, they are still seeking a agreement between the union
and the buyer, and there is nothing that the Department
of Housing is doing that will preclude
preclude that from happening.
Um, we also, as a department, have committed to working
with the union to ensure that the scope of work
that is being done and
that the bonds proceeds eventually fund will meet the
needs of the tenants.
We have heard from the tenants that they believe there are.
So things missing from the scope
and that is something that we will be
addressing with the buyer.
Thank you so much, chairwoman.
Uh, thank you commissioner.
Uh, we will now have a presentation
by Dina Wayne on this project,
and she will also explain the, uh, substitute ordinance.
Dina?
Thank you Madam Chair. Uh, my name is Dina Wayne.
I'm the Financial planning analyst
and the department, a financial planning analyst,
and the Department of Housing and the substitute ordinance
before you, um, is necessary
because we did not have all
of the bond documents ready at the time
of introduction at the September meeting, which is standard.
So the ordinance now has all of the information in
and is attached with the various exhibits,
including the bond documents.
You need to say anything else or just continue. Okay.
So just to continue with my presentation, um,
before you, as a request to authorize the issue in
of $35 million, uh, in housing revenue bonds
for Indian Trails Limited Partnership,
the developer is the Transcend Group,
which is based in California.
They were formed in 2022,
and their entire portfolio across many states is, uh,
made up of projects that were built, uh,
using HUD subsidy programs.
So they're very used to large affordable housing projects.
Their architect for the rehabilitations would be Fitzgerald
Associates Architects, the general contractor Walsh.
Um, they're represented by Applegate Thorn Thompson
Berkadia Commercial Mortgage will be the lender,
and the property manager is Ludwig and Company.
And they also specialize in the management
of affordable properties,
both in Illinois and across the country.
Here's an aerial image of the three buildings.
The chair mentioned that there's a building on Indiana
that's a single building that you see,
and then the two buildings, uh, side by side on hundred
and 21st place.
These buildings, here's a, a picture of them.
Our three five story buildings for a total of 179 units.
So the project before you is to rehab the 179 units.
Obviously the whole project outside the site, uh, has a lot
of issues as we heard about this morning, as well
as within the units themselves.
The three buildings are located on five acres of land.
There are a hundred and fifty nine one bedroom units
and 22 bedroom units.
All affordable between 30 and 60% a MI all,
but five of the two bedroom units are covered
by a HAP contract.
Uh, so the, the current tenants
and then the future tenants will pay only 30% of their, um,
income for rent.
The five two bedrooms that are not part of the HAP will be,
uh, low income housing tax credit units
and they will be at 60% a MI.
Again, the request is to issue up to $35 million in bonds
for a $58 million approximately total project cost.
Uh, we are hoping to start the project, have them start in,
in January, and then it would be completed in August
of 2027.
Again, showing the unit mix, it's primarily, uh,
two bedroom apartments, 109, uh, two bedrooms
with HAP contracts, five without, um, at 60% a MI
and then six at 30% a MI, uh, three
one bedrooms at 30% a MI
and 56 at 60% a MI, again, for a total
of 179 units.
In terms of the project sources,
you see the bond amount there, um, currently
that they think the cost will be about 33.5 million,
that they'll be supported by bonds,
but again, we could go up to 35 million.
They'll support the project.
Also from net operating income, the bonds are expected
to generate 22.2 million in 4% tax credits.
There would be a deferred developer fee that would also help
with funding of the project.
And the a hundred dollars of general partner equity
that's required in such projects,
the rehabilitation cost comes out
to $322,672 per unit.
In terms of the public benefits,
obviously the most important thing is to improve conditions
for the existing residents who have, um,
suffered greatly under the current ownership,
which I understand has been around for about eight years.
Um, the Department
of Housing strongly encouraged the developer to, uh,
negotiate the price down from the, uh,
$27 million asking price.
So that extra $6 million that they won't have to be spending
in acquisition, uh, can go towards improving the,
the building and the units.
The, um, scope of work,
and we can talk about that more later,
is based on both a property needs assessment
that the developer did and that the city is using.
Um, that was done by the CIC nonprofit here, setting forth
what they felt the scope of work needed to be
to bring the project up to, to good living conditions.
The environmental features that they will use
to meet the sustainability requirements will be the low flow
water fixtures, energy star appliances, new windows,
high efficacy lighting and controls.
And there will be about a hundred, uh,
full-time equivalent construction jobs.
So again, uh, we're hoping for council approval tomorrow to,
to close by the end of the year if possible.
Otherwise, as, as long as it takes to, you know,
work out the scope, which we understand is extremely
important, both to the department and to the residents.
And then starting construction early next year
and finishing in August of 2027.
Uh, that concludes my presentation.
Uh, I know the representatives from the developer team here,
from the architect, uh, from the property manager,
and of course I'm joined by Esther Ral,
our Deputy commissioner, um, and the Alder.
Yes. Uh, thank you Dina.
Uh, as can a representative of the development team,
please come forward, give your name and
Hi. Good afternoon.
Can you hear me?
My name is Peter Wallace and I work for the Transcend Group.
Uh, and I'm here to represent the developer for
the long-term preservation and sub
and subsequent, uh, rehabilitation
of Indian Trails Apartments.
Did you hear the presentations from the public
of the public members this morning? Were you here for that?
I was present for that and I'm very glad that I was, um,
in fact, I I was moved by how passionate the residents
of Indian trails who chose to join us today spoke.
And I wanted to say for the record, we want the same things.
The Transcend Group over the last two
and a half years has been working diligently, not only
with the Chicago Department of Housing,
but also the building department and Alderman Beal
and HUD to craft a comprehensive renovation scope
that we believe will address all of the immediate needs
of the property, as well as position it so
that it will extend its useful life
and be in excellent shape for the next 15, 20, 30 years.
And beyond the, you know,
we heard how passionate the current residents spoke today
and we are, uh, very deeply committed to making sure that,
um, all items are addressed in the scope
and we believe that our scope of work
as we've developed it will address all those items.
Right now we have a construction budget
of approximately $130,000 a unit.
Um, as Dina Wayne mentioned, thanks to uh, DOH
and hud, we were able
to negotiate down the acquisition price from the seller,
which was nego, you know, which was a market based price
by uh, uh, I believe it was $7 million.
And all of that has gone directly into the scope of work.
Have you met with any of the residents personally?
So I personally have not
yet met aside from the few folks I saw today,
but we are going to work with Mr.
Moskowitz here to set up tenant resident
meetings in the coming weeks. They're
The buyer. I understand you're
the buyer, right? So Correct.
I just would encourage you, I was struck by
what was said today
and just so you're from California,
I hope you have an office here in Chicago. Do you?
So we are, uh, a little bit about us.
The Transcend Group are the principles
of the Transcend Group have over 50 years combined
of the long-term preservation
and rehabilitation of existing rent subsidized apartments
nationwide, including a number of properties in Illinois
and in the city of Chicago.
One of our principles, Nick Ano,
is originally from the city of Chicago.
Um, we will be instituting new management agent, uh,
upon the acquisition and the renovation, uh, Ludwig
and Company, which is based in the Chicago area.
Our, uh, architect Fitzgerald
and Associates is based here in Chicago.
And our general contractor, Walsh Construction,
is also based here in Chicago.
Yeah, I don't mean to be hard on you, I'm just saying,
I'm asking that when residents have, have to call somebody
'cause they want something done in their unit,
is there somebody in the city of Chicago that they can call
besides the alderman?
We want to have, uh, somebody like a,
a management company is, are they gonna be in Chicago?
Yes, they will. All right, that's all I needed to know.
Um, alderman. Beal,
Thank you Madam Chair.
I'm sorry, alderman, would you let Gentleman wa back?
You can close. Alderman Waba.
Sorry, chair. Uh, sorry. Alderman.
Beal just wanted to, uh, put a couple comments in two
'cause I was listening to the meeting, the, uh,
Teer meeting earlier on.
Um, so for the development team,
is the 130,000 per unit, uh, part
of the funding that comes out of this
or was that pre-funding estimate that you wanted
to spend 130,000 per unit?
Correct. So that is funded by the bond issuance as well as
with the, uh, equity that's derived from the syndication
of 4% low income housing tax credits that come as
of right from the bond issuance.
Okay. So one 30 total for each? Correct. Roughly one 30?
Correct. Okay. Um,
and then I was also looking for contact information,
just curious about who they were, chairwoman
and I saw a website in California,
but it doesn't really have anything on it.
So, um, just creating a a very good, uh,
avenue for contact for the apartment dwellers is,
is very important so
that the Alderman doesn't end up taking all the calls
for any issues that arise during construction and after.
So it was just a suggestion too. Thank you very much. Thank
You. Thank you
Alderman. Uh, seeing no other questions.
Alderman, Beal to close.
Um, Madam Chairman and members of the committee,
let me just state how excited I am that the transient group,
um, is finally to this point.
Uh, I have been working diligently with them
for the last two and a half years.
Um, and for the record, I would like to submit two letters,
um, to the budget committee.
One March 11th, 2024,
and then September 19th, this 2025.
These were support letters that I wrote in support
of the Transient group, like I said, going all the way back
to March 11th of last year.
Uh, so that tells you
how long we've been working on this particular project.
And let me just say,
I do appreciate the residents coming down
'cause my staff has been working diligently
with these residents.
And it wasn't until they hired some people from
outside the community to organize them to come down here
and start protesting.
And these people don't even live in our community,
probably don't even live in the city of Chicago.
Um, but you did hear them recognize
that they have been working with my staff.
But let me just say back in 2023, this building had 60
no heat violations.
2024, they had 66 no heat violations
this year already, they have 32 no heat violations.
And I have a report here from the Department of Buildings
where they have 57 sheets of current violations,
57 sheets, and I'm gonna submit that for the record as well.
So that is just leading me up to the fact
that you all have heard me here numerous times talk about
this project and that the department was failing
to move on this project.
I've said numerous times that we have a couple
of hundred units ready to go, affordable housing.
Nothing happened, nothing happened.
But I tell you what, I want
to thank Mary Richardson Lowry from the law department
because I called her a couple of weeks ago
and told her that this project was about to
go belly up if we didn't get movement.
That was on a Friday.
I get a call Tuesday from the commissioner saying,
we are going to move forward with this project.
That's why we had to amend this ordinance
because it was a rush job to hurry up and get it done
because they were holding this project up.
Okay? Now, when you see people come down here upset
because of their living conditions, they're upset,
they're, and they're pointing their upset,
their madness at my administration
when we have done everything that we were supposed to do
to make sure that they have a quality of life.
And for those people that have to come downtown and fuss
and be upset because of their living conditions,
they're exactly right.
They should be upset, no doubt about it.
But I'm equally as upset
because they shouldn't have
to come down here when we've been fighting
to get the transit group in control of this building
when you have a slum landlord.
And that's what we have.
We have a slum landlord who's been trying to get out
of this project for years and they couldn't
because they couldn't get any help from the administration.
And so now we have somebody that's willing to step up
to the plate, thank God that's gonna come in
and put the resources into this building
to uplift the quality of life of those residents
that have been living in subpar conditions.
We've worked with the, the past group
to move people from one unit to the other
because of the conditions of this building.
And so to say that I'm upset is a understatement.
It's a understatement because I think it's a travesty
and a disservice to the people who we claim that we serve to
have to live in these type of conditions.
It doesn't make any sense.
We claim that we are for affordable housing, we claim
that we're for the black
and brown people in our communities,
but you're holding up projects because of what, who knows?
But I think we all know.
But again, I'm gonna close by thanking Mary Richardson Lowry
for making a phone call to the commissioner
to finally get this thing going.
And I move Due pass
Motion made by Alderman Meal Bill to do
recommending due pass of this, uh, mo this project.
All those in favor of the motion signify by saying aye. Aye.
Opposed in the opinion of the chair. The ayes have it.
And the do pass recommendation will reported out at the next
city council meeting.
Thank you de thank you chair. Thank you Esther.
Uh, item number 12, from the Department of Housing
and Ordinance authorizing the transfer of physical assets
and assumption of the home loan
and the regulatory agreement
for Pioneer Gardens Development LLC
to 3,800 King properties, LLC
for the Eaton Bronzeville Project at
3838 0 4, 38 0 8 38 10
and 38 14 South King Drive
and parking lots at 37 44
and 37 46 South Calumet Avenue in the third ward.
Um, we are joined today by Michelle Pinar,
who will give the presentation. Hi.
Um, good afternoon, chairman Al.
Um, for the record, my name is Michelle Pinar
and I'm a financial planning
analyst for the Department of Housing.
Today I'm presenting a transaction
for the Pioneer Garden Senior Housing Development,
which is located at 3,800 South Martin Luther King
Drive in the third ward.
Um, the current owners are requesting a transfer
of physical assets and the assumption of the home loan
and regulatory agreement.
Please note that there's no new
financing in this transaction.
Pioneer Gardens was originally built in 2006 utilizing a HUD
2 32 loan housing revenue bonds,
and 1.8 million in DOH home loan.
The 15 year tax credit period expired in 2021.
At that time, the investor ex exited
the home loan affordability period ends in 2026.
Um, the property has struggled with HUD inspections
and was unfortunately headed to foreclosure prior
to Eid in services stepping in as the property manager.
Um, the,
and we're hoping the closing will take place by 2025.
Sorry about that. So at, um,
pioneer Gardens there are 120 units, 40, uh,
all 120 ish studio apartments, uh,
48 are rented at the 50% A MI
and 72 are rented at the 60% a MI
current, um, maximum rents in Chicago
for a studio apartment.
Uh, at the 50% a MI is $1,050
and $1,260.
For the 60%.
A MI
here are renderings.
The top two are pictures of the building
and the bottom two are pictures of the parking lots.
And then the neighborhood map.
So the development teams, um,
the proposed owner will be 3,800 King properties.
The operator will be Eden Bronzeville.
Um, Mitch Hamlet, the CEO
and founder of Eden Services is present today
and will be available for any questions.
Um, and Eden services will also be the property manager.
The ownership structures here, I apologize.
Work in progress is still there.
It's not supposed to be, but 3,800 King properties LLC will
acquire the property from Pioneer Gardens Senior Housing
Limited partnership consistent with the structure
of other Eden supportive living facilities.
Pioneer Gardens, which will be rebranded
as Eden Bronzeville will be owned by one entity
and operated by a separate entity.
Elise will be finalized at closing that engages,
engages Eden Bronzeville, LLC to supervise, manage, lease,
operate, and maintain the property.
Both entities are a hundred percent owned
and controlled by Mitch Hamlet,
and this is a traditional structure in the assisted living
and skilled nursing facilities.
Okay, um,
this is the Eden Service Supportive Living Portfolio.
Um, Eden is a longstanding owner
and operator of SFS throughout Illinois,
including two in Chicago,
one in South Shore, and one in Uptown.
To immediately address pioneer's challenges, Eden took over
as a property manager in 2024
and has been working diligently
to address the many outstanding issues.
The mission of Eden's supportive Living is
to improve the quality of people's lives while helping them
overcome any boundaries that need overcoming
the proposed sources and uses.
The proposed sources of funds include the assumption
of the $8 million HUD loan,
and then the assumption of the 1.8 DOH home loan
and the providing with an equity of 4.8 million.
The use of funds includes the HUD loan,
$35,000 in construction, 178,000 in professional fees,
29,000 in lender fees,
and then 870 thou 875,000 placed into reserve accounts.
Again, uh, my request to action is the approval
of the physical transfer of physical assets
to 3,800 king properties,
and then the approval of the assumption of the DOH home loan
of $1.8 million
and the, along with the regulatory agreement.
Thank you Ms. Pinar.
This is in my ward, so I'm asking for approval, uh,
and support, but I did wanna say to Mitch Hamlet,
uh, thank you very much.
You got questions? You got some questions?
Yeah, we're gonna get to questions,
but I wanted to, uh, thank, um, Mitch Hamlet
for coming in
and taking over a property
that's very important in the Bronzeville community.
Just wanted to say that Alderman Harris, thank
You. Uh, not so much
a, a question as a comment.
Um, I wanna thank the chairman for working with Mitch,
who has the Eden Eden supported living in my ward.
He built this facility from the ground up,
took a old property owned by the archdiocese,
and has built a wonderful, uh,
assisted living community there.
And he's been true to his word.
He has competent staff, um, who,
who he holds them accountable for everything
that happens in his buildings.
And for a person who has problems
with another assisted living building, I have zero issues
with this building and I really wanna thank him on the
public record for being a great, uh,
property manager and a landowner.
I appreciate that. Uh, vote of confidence Alderman Harris.
Uh, were there any other questions?
Alderman Irvin, you had a question? You moving do pass?
I'm moving pass. Uh, so,
uh, motion made by Alderman Irvin recommending do pass
of item number 12.
All those in favor signify by saying
opposed in the opinion of the chair.
The ayes have it and the do pass recommendation
who will be reported out at the next city council meeting.
Um, wanted to acknowledge Alderman Desmond Yancy from the
Fifth Ward, who is not a member of the committee,
but is joining us today.
Item number 13 from the thank you Dena. I mean not Dina. Ms.
Pinar, um, from the Department of Housing,
an ordinance authorizing the execution of redevelop
of a redevelopment agreement
and issuance of tax increment financing funds
and other financial assistance
to Hispanic Housing Development Corporation
and related entities for the redevelopment of the property.
Located at 1539 North Pulaski Road in the
26th Ward.
Um, we are joined again by Joseph Lewis,
who will give his presentation on this project. Mr. Lewis,
Thank you Chair Dowell, members
of the Committee for the record.
My name is Joseph Lewis
and I am assistant Commissioner over the Multifamily Finance
Division with the Department of Housing.
Before you today is an ordinance authorizing the use
of tax increment financing assistance as well
as city adopt a landmark funding assistance
to support the adaptive reuse
of a vacant historic building in, in the construction
of new multifamily housing at 1539 North Pulaski Roll Road
in the Humboldt Park community area.
Specifically the ordinance
before you requests authorization
to execute a redevelopment agreement
with Hispanic Housing Development Corporation
and related entities for the use
of $13,244,690
of Pulaski Corridor TIFF funds
and $510,000 of City adopt a Landmark Funds
to support the development of this project.
The subject property is within the Humboldt Park community
area in the 26th Ward, represented by Alder Jesse Puentes,
who's provided a letter of support for the project.
The subject property is also located within the boundaries
of the Pulaski Corridor Tax Increment Financing District
and letters of and letters of support have been
provided by other affected elders
with an interest in this TIF district.
The 1539 North Pulaski elderly apartments will adaptively
reuse the existing 1920s Arab Pioneer arcade structure
and incorporate attached new construction resulting in a
six-story approximately 63,000 square
foot residential building.
This approximately $36 million development will create 60
affordable rental units along with one onsite managers unit
for a total of 61 apartments.
All rental apartments will be restricted
to elderly households aged 62
or older with a majority of units de designated
for households earning no more than 50%
of the Chicago area median income.
The unit mix will consist of 58 1 bedroom units,
two two bedroom units and one two
bedroom resident managers unit.
The project site is on the east side of Pulaski Road,
just south of North Avenue, is surrounded by a mix
of commercial, residential, and institutional uses,
and sits immediately south
of a city supported senior housing development completed
by the developer in 2015.
Shown here are ground level views
of the property in adjacent conditions.
The property consists of five parcels,
comprising approximately a half acre in area
and includes the vacant historic pioneer arcade structure
and, and adjacent vacant unimproved land.
Shown here is a rendering of the proposed project
as depicted the Pioneer Arcade's historic terracotta facade
and a portion of the structure
behind the facade will be carefully preserved,
maintaining the property's original architectural character
while integrating it into the new residential construction
Behind the preserved structure.
New construction will contain residential units,
common areas, and resident service areas.
Common facilities will include a community area,
exercise room, health exam facilities, bicycle storage,
a gardening area, a dog run, and a landscaped outdoor patio.
The project will also provide 26 parking spaces,
including four accessible spaces.
The sponsor and lead developer developer
of this proposal is his is Hispanic Housing Development
Corporation or H-H-D-C-A mission-driven not-for-profit.
Founded in 1975 to stabilize Latino communities in Chicago
and elsewhere through housing economic opportunity
and neighborhood revitalization.
HHDC is developed rehabilitated over 4,500 homes
and apartments with a total development value exceeding
$465 million
and currently manages more than 8,000 units across
Illinois and surrounding states.
Key members of the development team include Leo Pardo
Construction Urban Works, providing architectural services
and legal representation from Applegate
and Thorn Thompson Casa Central.
A longstanding community-based provider is,
is Hhd C'S partner
for delivering comprehensive supportive services
for very low income elderly residents.
Services will include daily living support
and wellness programs, onsite health
and counseling rooms, fitness and exercise spaces, social
and cognitive activity, programming and volunteer
and partner led engagement opportunities.
The project was selected
for financing assistance under the state
of Illinois Housing development authorities competitive 9%
low income housing tax credit funding round.
And the project has also secured HUD section 2 0 2
funding for deep affordability.
Total development costs are estimated at approximately
thirty six million one hundred thousand one hundred fifty nine thousand dollars.
The developments funding sources include approximately
$16.2 million in equity, principally from the syndication
of 9% low income housing tax credits allocated
by the Illinois Housing Development Authority,
approximately 13.2 million in tiff, uh,
dollars in TIFF assistance
and $510,000 in adopt a landmark assistance from the city
of Chicago and approximately six
and a quarter million dollars from public
and private sources, including a competitive $6 million
Section 2 0 2 supportive housing
for the elderly grant from the United States Department
of Housing and Urban Development, as well
as combat energy efficiency incentives
per unit development cost is approximately $593,000.
As previously mentioned,
the projects unit mix will include 58 1 bedroom units,
two two bedroom units
and one two bedroom resident managers unit.
Affordable one bedroom units will be supported
through HUD's Section 2 0 2 project rental assistance
contract or prac, which limits rent contributions
to a small income based tenant portion
with the prac covering the remaining
operating costs for these units.
The unit characteristics
and overall unit mix were dis were developed
by HHDC in alignment with the funding parameters established
for this specific competitive Section 2 0 2
HUD funding opportunity.
The one bedroom units will average approximately 560 square
feet while the two bedroom units will be
around 805 square feet
as previously stated under the Section 2 0 2 program.
Tenants of the 58 units benefiting from the project's rental
assistance contract will pay an income adjusted rent
contribution while HUDs subsidies will cover the
remaining operating costs.
The ownership entity for this development is 1539 N Pulaski
Road, HHDC lp, an Illinois Limited Partnership created
by H-H-D-H-H-D-C specifically to own
and operate the 1539 North Pulaski Road Elderly apartments.
The general partner holding a 0.01% ownership interest is
1539 N Pulaski Road, GP, LLC,
an Illinois Limited Liability Company organized in 2022.
The sole member and manager of that LLC is 1539
N Pulaski Road Charitable Corporation,
an Illinois not-for-profit affiliate
of Hispanic Housing Development Corporation.
The charitable corporation serves
as the controlling entity within the project's ownership
structure and was established
for limited liability purposes.
The Charitable corporation shares overlapping governance
with HHDC in ensuring consistent leadership
and accountability across both entities in connection
with the projects low income housing tax credit
allocation from the Illinois Housing Development Authority.
A passive investor member affiliated
with the National Equity Fund will be admitted at financial
closing to acquire a 99.99% ownership
interest in the ownership entity.
This investor will contribute.
The previously mentioned $16.2 million
of equity financing in exchange for the ownership interest
and associated tax benefits including the tax credits.
Hispanic Housing Development Corporation will remain the
developer, the Project guarantor,
and through its affiliates,
the property manager after completion.
Turning now to the structure
and requirements of the two sources
of the city's financial assistance for this development.
The TIFF assistance of approximately $13.25 million will be
structured as a grant and secured
by a recapture mortgage in favor of the city.
These funds will reimburse the developer only
for eligible rehabilitation and affordable housing costs,
and will be dispersed in four installments at 30, 60
and 90% completion
with the top final 10% installment released only upon
issuance of a certificate of completion
by the Department of Planning and Development.
Importantly, the certificate of completion requires
that the developer not only complete construction,
but also demonstrate compliance
with the city's typical construction compliance
requirements, including prevailing wage standards, minority
and women owned business enterprise part participation goals
of 26% MBE and 6% WBE
and the city's resident participation requirement,
which mandates that at least 50%
of all construction hours be performed by Chicago residents.
The Adopt A Landmark Funds totaling up
to $510,000 will help restore the properties historic facade
and related architectural features.
These funds will be dispersed in three installments at
approximately 23% completion, 51% completion,
and upon final completion of the project,
once the certificate of completion has been issued,
both funding sources will be bridged
through a construction loan and will only be released
after verification of eligible expenses.
The project will also be subject to covenants
that impose restrictions on the use
and operation of the property as affordable housing
for at least 30 years, ensuring long-term preservation of,
of affordable senior housing at this location.
Next, I'd like to highlight the public benefits
associated with this project.
First, there's the previously mentioned
affordable housing benefit.
Uh, the apartments will provide 58 total units affordable
to households earning 50% of the area median income or less,
and two units affordable to households earning 60%
of the area median income or less.
These affordability restrictions will remain in place
for a minimum of 30 years.
Second, the project represents a significant community
revitalization effort by transforming a long vacant
and historically significant property into a new affordable
housing with supportive services for older adults.
This adaptive reuse not only preserves an important
neighborhood landmark,
but also brings new residential activity
and reinvestment to the Pulaski corridor.
Third, the project will contribute
to job creation generating an estimated 50 temporary
construction jobs and four permanent positions upon
completion, supporting both local employ supporting
local employment goals.
And finally, under the city's affirmative action
and workforce requirements, the developer will meet
or exceed participation goals at 26% minority owned
business enterprise participation,
6% woman owned business enterprise participation,
and the developer will ensure that at least 50%
of all construction hours are performed
by Chicago residents.
In summary, the Department of Housing respectfully requests
that the Committee of Fi on finance approve the execution
of a redevelopment agreement
with Hispanic Housing Development Corporation
and related entities for the use of $13,244,690
of Pulaski Corridor TIFF funds
and $510,000
of City Adopt a Landmark Funds Representatives from Hispanic
Housing Development Corporation are with us today
to answer any questions.
Thank you for your consideration of this matter.
Are there any questions from members of the committee on,
on this, uh, project?
Seeing none, uh, alderman Fuentes.
First I want to, uh, say what a beautiful building.
Um, I'm always been a fan of adaptive reuse of
old historic buildings
and this looks phenomenal, so congratulations.
Thank you, chairwoman.
You know, I've lived in the neighborhood my entire life
and for decades, uh,
this old arcade building has been abandoned and dilapidated.
Uh, such a disappointing sort of use
of such beautiful architect.
This intersection is also an intersection
that is right across the street from Pioneer Bank.
There was another TIFF allocation that came
before this committee for the
revitalization of that landmark.
This is going to be the revitalization
of not just this particular site,
but the entire intersection in my ward.
We have a housing waiting list of hundreds of individuals,
predominantly seniors who can no longer afford
to live in Humboldt Park
because of the increase of rent
that we are seeing in our community.
Developments like this given opportunity for our residents
to stay in a place that they call home.
Uh, for many of my residents, they moved to Humbold Park 50,
60 years ago and they don't wanna leave.
This community has everything that they need,
but this building is also gonna offer
so much more an opportunity for them to exercise inside,
to have community space, places to play bingo and dominoes,
and to be in community and to live with dignity.
This is a development by Hispanic Housing Corporation
that also has a senior building just adjacent
to this property where many of our seniors live
and build community with one another.
There's now gonna be so many more residents that get
to join them here on this intersection.
We are also working with CDA and IO uh,
because we have a street scape project
that's gonna take place on North Avenue from
Kedzie to Costner.
The type of quality of life these individuals are gonna have
is something that many
of them have dreamed of for a long time.
I'm excited about being able to have, uh, this reuse
of a historical landmark, uh,
but more importantly to not see those
vacant lots any longer.
Uh, my streets and sanitation folks are gonna be
so excited not to have to respond to the amount
of fly dumping that happens in this lot, uh,
but more importantly, the toxins
and sort of garbage that our residents have to deal
with on a day-to-day basis
because, uh, it's difficult to keep up with some
of the vacant lots that we have across the ward.
Uh, so I'm extremely excited about this opportunity.
I'm excited to respond to the individuals
that are on our waiting list, uh,
to let them know there's gonna be more units coming
and that they get to, uh, you know, apply for what is going
to be beautiful architectural, uh, style apartments.
You know, the Pedro bi su Campos building,
that Hispanic housing just, uh,
built on north on Division Street in California.
People think that those are super expensive condos,
high-rise condos across the street from the park,
but it's affordable housing
and that's what affordable housing should feel like.
You shouldn't look at a building
and say Oh, that's public or affordable housing.
'cause people deserve to live with dignity and respect.
And that's what Hispanic housing offers.
Uh, not just the 26th Ward, but the city of Chicago.
Uh, so I'm in support of this project.
Our community's in support of this project,
and I ask for my colleagues favorable
vote. Thank you, chairwoman.
Thank you Alderman. Is there a motion to approve,
uh, this item?
So moved by Alderman Cazada.
All those in favor signify by saying Aye.
Oppose and the opinion of the chair. The ayes have it.
And the Due Pass recommendation will reported out at the
next city council meeting.
Well, today was a long one
and there being no further business before the committee.
Can I get a motion to adjourn? So moved by Alderman Mitts.
All those in favor signify by saying, I oppose if
the Committee on Finances hereby adjourned.
Thank you Chair.