Morning, everyone.
The Joint Committee on economic Kaplan technology
development and Environmental Protection and energy will
now come to order at 8 is one item before the Joint
Committee a subject matter hearing regarding lead service
line replacement program first will begin with the
roll-call vote to establish call. Mr. Valdez. Please call
the roll.
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Otterbein Mosley
Alderman Knutson
alderman laspada
Alderman Hall
Alderman Mitchell
Alderman Chico
all the women lie
alderwoman Ramirez
alderwoman Gutierrez
Alderman Lopez
alderwoman Tamara's
alderwoman Scott
Alderman sexual Lopez
all the women Cruise
Alderman Cardona
alderman waguespack
all the women Rodriguez Sanchez
Alderman Conway
alderwoman mix
Alderman Napolitano
Alderman Riley Alderman Lawson
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Alderman Martin
alderwoman Manhattan worth
we have a quorum. Thank you.
Is that Alderman Hall to Auburn hop present? Thank you.
We have also Alderman Burnett as a non-member.
Joining us virtually are Alderman Tavares Robinson in Las
Vegas Sanchez purple 59. Can I have a motion to approve
adamant about as Robinson and Sanchez to participate via
remote in order to establish a quorum
Alderman Alderman Lisa moves all those in favor. Say aye all
the Posse name the pentateuch are the eyes have it and
older woman to Lourdes Rodriguez Sanchez and Alderman
Robinson movie Marcus present for today's meeting.
It this time we'll begin with the comment the public
comment. Please be advised that pursuant to Chicago city
council Rules of Order procedure with 49. Sergeant-at-arms
sets forth. The following rules of conduct be followed
during the public comment period into the ratio of all
comedian City Council meetings profane or vulgar
threatening abusive or destructive language is not
permitted the meaning discriminatory or harassing behavior
and speech directed toward others is not permitted
destructive Behavior, including destructive or just
disrespectful conduct during all those presentations not
permitted banners flyers or signage are not permitted
backpacks large bags and search up objects are not
permitted clear bags not tinted in color. They do not
exceed 12 by 6 by 12 be permitted and are subject to search
food and beverages including a metal containers are not
permitted cell phones must be placed on silent prior to
entering a meeting room individuals remain seated public
comment speakers are permitted to stand only when providing
public comment small handheld devices may be used only
while seated
The user must refrain from interfering with the view or
hearing of all the other individuals individuals or groups
failing to adhere to these rules will be asked to see such
destructive conduct and failure to comply will result in
their being subject to removal from the meeting by the
sergeant-at-arms. That being said public comment is limited
to 30 minutes. I respect everybody's time each day. Each
speaker is limited to three minutes. Our first speaker is
Jamila Wilson.
Hi everyone. Good morning. Yes. My name is Jamila Wilson
and thank you for this opportunity. It is very important.
It is very important to have the voice of child care
providers, which I am an educator in this facility. I have
been in early childhood educator for over 18 years and I'm
located. My program is located on the west side of Chicago
in the Austin area. I serve 12 children ranging in ages
from 10 to 12 years old.
And one of my main responsibility is the well-being and
health of my children since 2018 under DCFS licenses. We
were asked to comply with a mandatory requirement to test
our water in our homes. A lot of I'm all for it. But a lot
of providers tested well over the limits with high lead
with no time.
Help or assistance at all.
I myself have my master's degree in early childhood
Administration. I would like for my children to be able to
exceed beyond their expectations index and education and it
is well known Through official studies that lead is a
poison for our children the most vulnerable B newborns
until the age of five years old and that's predominantly
what own child care providers serve.
What does the time when the brain develops we have met the
mandatory requirements, but there is still much to be done.
The problem is not solved by getting us tested
continuously. Where is the assistance? Where is the help?
This is apart from being a health problem that affects
everyone. It is an environmental justice problem as an
educator in child care provider. I make an urgent appeal to
expedite the work to replace the service lines that are
contaminated with water.
Also, everyone that passes we continue to poison our
children. We don't want to wait 10 to 15 years for all the
work of replacing service line to be done in the state.
Yes. The city of Chicago has been implementing service line
changes for many providers and we are at the top of the
Bliss but there are many providers that have yet to have
their service done. Also. There are tacked on fees for Us
beside what the
He is already providing. I had my work done. I had a piece
out of my pocket of over $2,000 that I had to pay for
myself. So a lot of providers may choose not to have their
service lines dumb because they can't afford to complete
the work. So I really really really a stressing that this
is very important for child care providers. Thank you.
Our next speaker is Jana Simba.
Hello, good morning up really quick. Sorry.
Auto chairperson had in and out of the chairperson and
members of the committee on Environmental Protection and
economic capital technology development. I want to say
thank you for the opportunity to testify today. My name is
Ayana Simba and I'm commenting on behalf of the Illinois
Environmental Council as their City programs director has
represent over a hundred different environmental
organization in many members here in Chicago focused on
water issues before the city. I see working with many of
our partners here today as well as all the men of my
Robinson to pass the blood service on replacement
notification act in 2020 21 which made Illinois the third
state in the name.
TrueCar full replacement LED drinking water pipes before its
passage Chicago Beginnings equity in home water initiative.
Let service on her placement program today at the city as
replace roughly 3800 of its nearly 400,000. Let service
line is Detroit in Newark have a place there pipes in this
band of the few years out facing our city. We need to move
faster. We can't afford to risk people's lives at risk the
safety of our water for the next 40 to 50 plus years
Chicago must be up his replacement as finding comes to
Illinois. And we also know that funding is another issue
while the city has successfully secured 15 million and
Community Development block grant funds in a recent 336
million and up with your loan for lead pipe replacement. In
reality. We are dealing with an 8 to 10 billion dollar
problem in short. I see we applaud the city first ever to
replace a pipe and we hope today is hearing will be speedy
and Ecuador replacement Mercedes LED pipes so that every
tap in the city deliver safe.
Fresh drinking water to all Chicago and thank you for your
time.
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Good morning. My name is Isis by salua. I am with blue just
want us and I am a lifelong resident of the south side of
Chicago.
At age 12. I was diagnosed with polycystic ovarian.
Syndrome. PCOS was short when I was 19. I learned that that
could be a dog that caused due to pollution and lead
poisoning.
That should not be a case for anyone at 23. I was diagnosed
with a teletie and this could be a direct cause due to
drinking lead water at the age of 5 something that happened
over twenty years ago should not be impacting in the fact
that we are constantly going through this shouldn't happen.
We cannot allow myself to keep drinking this water families
are spending hundreds of dollars on water filters and water
bottles questioning whether or not it's safe to even cook
their food in water from the tap. That should not be the
case. It should not be the case that people I know suffer
so much. My nephew was diagnosed with kidney issues in
utero.
And my sister beat yourself up in one day is it because she
drink tap water during her pregnancy?
That should not be a case for anyone D should not be
questions. We asked myself we should not ask myself that
living and drinking water a basic human right is what the
poisoning our system. The city of Chicago is allowing us to
drink from a poison straw.
50 years 10 years is not soon enough to prevent these
complications from happening to Generations to come.
My niece is my nephew should not have to drink contaminated
water. I should not have to spend hundreds of dollars on
water bottles and water filters to ensure that no more
damage happens to my body. No more damage happens to my
pet. I can't even trust my pets to drink and three dogs
drink a lot of water we cannot and I don't want to give
them blood water.
We can't allow ourselves to keep letting the poison straw
impact our lives in facilities to issues in utero. This is
something that needs to be addressed now and 10 years is
too long. We need to change as soon as it can happen
because this is going to impact My Generation generation
Alpha generation beta and so on and we can't continue to
let that happen to these children to ourselves and to the
people that we love. Thank you.
Our next one next speaker is Crystal Vance.
Good morning, everyone. Yeah, similar stories here along
with my friends. I'm also a life-long resident of the
southeast side South Chicago. One of the oldest
neighborhoods in Chicago steel mills Steel City, you know
built this downtown is beautiful downtown that we get to
Appreciate every day and part of that Legacy is also that
we do have a large amount of the city's lead pipes in our
neighborhood and like my friend I said is I to experience
this regarding my child in a different way at the age of
one my kid already had elevated levels of life and she was
really drinking water. So is a lot of what I was giving
him, right cuz I was breastfeeding and the water I was
drinking and that was the first time it became really real
to me. And so yes, this is a long process, you know, there
is tearing up the streets and doing this work is it's not
easy but it's also unfortunate that the city knowing that
the case of neighborhoods like mine of stages of buildings
of the conditions, you know, we still have to apply for the
water filters that got delivered are we still have to apply
for the water testing kits even though they you know, we
all know.
It comes up in the doctor's office. It comes up in all these
tests that we do all their blood tests so we know and yeah,
there's this long way and I also urge us to consider other
ways creative ways. There are water filters that you can
put under the sink. They do cost 150 $200, but maybe there
is an arrangement that can be made with certain companies.
And so with the meanwhile while this work is happening that
I need that has been already agreed upon to replace the let
service lines. We don't have to wait the 10 years to start
having these clean drinking water. Maybe there's a way to
provide these filters to the daycare centers. So that them
in the meanwhile cuz you understand this is a long process
and and maybe offer discounts for the neighborhood's we can
address it more directly. It will make everything is not a
perfect but it's a mean while so that mean while the work
gets done. We're not being constantly affected and yeah,
it's kind of scary now that I know my kids at the positive
and every time I
Look at the tap water and I think okay now I need to start
filtering. Now. I need to do this and wondering does this
even work and so on behalf of the generations to come my my
son already my friends on the Southeast side. We think that
this work is being taken seriously, and she also arrange
for more Creative Solutions in the in the meanwhile. Thank
you. Thank you Miss Vance. Our final speaker is Vanessa
Bly.
Thank you all do movie ideas for having us here today. My
name is Vanessa of life. I am a Community member of the
10th ward in Chicago South East Side. One of Chicago's
oldest blue-collar neighborhood. Our community is plagued
by environmental hazard many that we cannot see my family
like many have been here for generations and can't help but
Wonder was running I can't help but wonder what's running
through my 4th generation Southeast side DNA.
They're 400,000 lead service lines in the city and as more
than any other city or state we are the lead pipe capital
and there's nothing to be proud of.
They drinking water is in a luxury. It's a basic human,
right yet countless families including my own struggle with
knowing that led contaminated water. A poison is Flowing
freely from our faucets with most scary to know is that
even low levels of lead can hurt us and many people aren't
even aware of its existence, but the city knows about it.
This silent exposure puts us at risk of serious health
issues, like immune system dysfunction neurological
impacts, like many of my children my friends children
cardiac dysfunction by my mother and infertility like my
friend there is an urgent need to replace these old ones
cheap and easy LED water pipes in Chicago as soon as
possible. The work being done is near stagnant and it needs
to be addressed urgently. I'm looking at 10 years Max and
responds to city and action has issues. Like these my
Collective. We're just went to a Justice of the southeast
is taking charge This Is Us Ultimate. She gonna do we do
Are small volunteer-based group has worked tirelessly to
spread awareness around the presence of LED and water let
him water and the effects of could have on her next
Generation scouring for money to host informational event
buy water filters for a neighbor's sign neighbors up for
City provider filters and test test which we have yet to
see results from we're breaking down the resilient walls of
our elders who are complacent and say they turned out fine,
but are curious about their friends with Alzheimer's
wondering if there's a connection community members are
sharing horror stories about elevated lead in their in
their children their inability to conceive and keep
pregnancies the unknowingness of their child ADD ADHD and
autism wondering if it had anything to do with the water
that he drank and passed on to their children.
When home in South Chicago tested at 1100 parts per billion
of lead in their water right now that 73 times the Action
level of lead according to the new EPA proposal that would
be a hundred and ten times the Action level of lead
according to according to the American Academy of
Pediatrics. That's 220 X the Action level of lead. There's
no safe level of lead. We need Urgent Response to this
crisis in at most 10 years. Our community's health and
future are at immediate risk. We cannot continue to harm or
generations of Chicago is thank you like just for the
record in your folders. There's an article from Miss Bligh.
So when you get a chance, you can take a look at it.
I'm at this time. The public comment period has expired
public comment period has concluded thank you all to our
speakers today, please and show me the item on today's
agenda is resolution. 2023 Dash 0 0 2 8 0 4 would cost for
a subject matter hearing on the city's lead service line
replacement programs may have a motion to recommend
approval this item almond Martin still moves all those in
favor of these respond by saying I all those opposed say
nay.
I read that too fast all those in favor. Say aye all the
post.
Independence chair the eyes have it. I'll report this vote
as a recommendation to pass the next city council meeting
on December 13th 2023.
Letting our water service lines is Dyer. I'll be up silent
Public Health matter that must be addressed sooner rather
than later because in our opening of our mental health
panel detail the public health implications implications
rather of a failure to act expeditiously swifter action to
address this issue will also provide greater Economic
Opportunity for our city because they're a second panel
will proclaim the economic benefits that a more aggressive
lets her sign removal program will create a third pan of
Water Commission or Chang will speak regarding Chicago's
current lsll SLR program. In addition. We would hear from
from officials of other municipalities that have succeeded
in addressing the removal of their last service lines and
our final count of we will address the funding challenges
and removing are excessively large number of service lines
by the federal bipartisan infrastructure law allocated 15
billion over five years to fund a service line Replacements
nationally.
15 billion nationally the proposed Illinois EPA funny cat
purr Municipal project likely means Chicago only receive
approximately 4 million dollars out of the total 230
million to be distributed in 2024 for million of the 230
million to be distributed in 2024 will come to Chicago.
Although we have the majority of the LED service lines in
the state of Illinois. Can we hear from my speakers today?
You'll be evident and obvious that much more needs to be
done to address this crisis. I will not turn it over to
chairwoman Adam.
Thank you charm in Vegas. Thank you to you and your team
for for bringing this to us and for working too hard to put
together this great hearing today when I think my team as
well and for all of our joint committee members. So Chicago
as we heard leads the nation in the number of lead service
lines with over 400,000 properties having a lead service
line this issue as a disproportionate impact on our
low-income communities are black and brown communities as
well with places such as little village having a nearly 95%
of their homes using a LED service line.
Elevated levels of lead can have dire Health consequences
as we heard from personal testimonies from a public comment
or today including damage to the brain and nervous system
slowed growth and development learning and behavioral
problems Hearing & Speech problems and children are
especially vulnerable to lead poisoning underscoring the
urgency of the need for us to replace LED service lines.
Today. We're going to hear from a diverse group of expert
panelists about their research that they've conducted on
wet service line replacement how it impacts our communities
the barriers that the city and our communities face and the
success is seen in other parts of the country with their
replacement programs. We're also going to hear an update
from the Department of Water Management about its plans to
ramp up replacement throughout the city.
And we have a divided today's hearings into four segments.
So we're going to start with environmental and health
impacts economic impact the current state of the city's
lead service line replacement program and funding
challenges surrounding the lead service line replacement
program. I'm so those are our kind of or groupings for
today for our members and folks watching online. So
following each set of panelist. We will have a period of
Q&A for older people. So just for you guys as noted in case
you have to come and go
so with that we're going to hear from our first set of
panelist. We're going to discuss the environmental and
health implications of lead service lines joining us today
in the Box. We've got a Janet Karen's medical director with
Chicago Department of Public Health Shekinah Perry with the
natural resources defense Council Brenda, San Antonio with
a little village environmental justice organization and
Annalisa Gonzales castle with Elevate and I now want to
turn it over to director Janet Karen to cdph to again.
Thank you.
and microphones
And here now, I think you to the chairperson for inviting us
to today's hearing. My name is Janet Karen's and I'm a
medical director for the Chicago Department of Public
Health. I'll be discussing the health impacts of let
exposure in Chicago today.
Evh is leading efforts to permanently eliminate let
exposure in children through surveillance or data
monitoring encouraging testing and Performing case
management and environmental inspections and some other
actions. Thanks to these efforts the number of children in
Chicago with blood lead levels greater than 5 mg / DL has
decreased from about 70% of children tested in the late
1990s to under 2% today.
as we've heard so far today no safe blood level has been
identified and exposure to lead can cause lifelong Health
impacts particularly for populations most at risk because
of their size developmental stage and behaviors children
under the age of 6 are especially vulnerable pregnant
people to should know the risk of light exposure lead cross
the placental barrier and can be transferred from a from a
pregnant person to their baby breastfeeding can also be a
source of lead exposure to babies if the nursing person has
been exposed to
Add and formula prepared using water contaminated with lead
from lead pipes or plumbing parts can also result in a baby
being supposed to lead. There are other at-risk populations
as well including refugees International adoptees and
workers and specific industries that are exposed to lead.
Four sources of light exposure our data finds that lead
base paint is the most common exposure common source of
light exposure for children in Chicago homes built before
1978 are at the greatest risk of having blood peen because
this is one lead paint was widely used before the national
band in 1978 homes in low-income areas are less likely to
have been renovated or maintained and therefore are more
likely to have older paint which can chipper flake and when
they lead paint chips off, it turns into an invisible dust
that then can be ingested by children as they play and put
objects or their hands into their mouth.
But contamination can can be found in soil and as we know
certain water pipes can contain lead.
some imported products that including imported or antique
toys are jewelry may contain lettuce as well as can
imported candies or traditional home remedies and then
finally some adults working Industries are having hobbies
that expose them to lead these adults May inadvertently
bring LED home to their families without realizing
For example of parent who works in battery manufacturing or
who renovates older homes could bring home lead dust on
their clothes or their shoes the desk and then be tracked
onto a carpet that's floors and other surfaces that a child
May touch and so these individuals should take steps to
keep them and their families safe from that.
A child with lead poisoning may not have visible signs or
symptoms and most of them have no symptoms at all there for
every child in Chicago should be tested by their health
care provider at least three times for let exposure at one
two, and three years old to do this. Testing Healthcare
Providers will typically take blood through either a finger
or heel prick, which is a capillary sample or by performing
a blood draw from the vein just like an adult with when
they have blood taken finger kill Prix produce fast
results, but they're less accurate. So if a reading as high
as a healthcare provider will follow this result with a
venous blood draw the blood is then sent to a laboratory
that test for lead concentrations and the results are
reported to the State Health Department who then reports
When a child has a test that shows that they have elevated
blood levels cbk to cdph begins a mandated follow-up
process with that child and with their family the process
includes nurse case management environmental inspection
abatement and Mitigation Of God has Les hazards and
possible enforcement activities.
His management includes a consultation with a cdph nurse
who coordinates the care for the child performs physical
developmental a nutritional assessment and then prefers the
family to services such as Wick Social Services child find
an early intervention and DPS DCFS as needed and also
refers them for an environmental Home Inspection. The
environmental home inspection is when a cdph certified
blood risk assessor visits the child's home and assesses
for lead hazards. They also expect any other space for the
child may spend significant amount of time such as a
daycare or a relative's home. We inspect for Led sources
such as led G9 doors or Windows toys dishware and more as a
routine part of our inspectorate that inspections. We also
refer the family's address to the Department of Water
Management for letting water testing.
Once environmental assessment is completed. The cdph
inspector is discussed the findings, but the homeowners
tenants and our property owners and discuss Grant options
were removing or mitigating the LED hazard.
We support home owners and Property Owners with grant
funding to mediate in a bait let in the home the funding
comes from several sources the US Department of Housing and
Urban Development or high cdph his own budget Cook County
Department of Public Health and bond funding. The HUD Grant
has about 8.7 million dollars in resources. The Cook County
Department of Public Health spending is about $750,000 and
the bond funding is worth about 45 million dollars for both
let abatement and also more general home repair support
through our healthy homes program.
Each of these grant funding resource sources. Do you have
different restrictions on what home repairs that can cover
and they also have household income restrictions for the
tenants or the homeowners. We're currently working with
Partners to implement the bond funding channels.
We've seen tremendous progress and lead poisoning
prevention over the past 30 years as I said before in the
1990s 7 and 10 Chicago children under the age of 6 had
blood levels over 5 mg / DL compared to under two and 100
Taco children today. This is one of the large.
Productions Among Us cities that being said we know that
there is no safe level of lead and much work remains to be
done and the goal of our lead program continues to be to
prevent any childhood that exposure.
Despite the progress that I just mentioned our data
continues to show that while the city's overall rate of
childhood lead poisoning is less than 2% some neighborhood
see rates of childhood lead poisoning as high as 8% the
data on this side, which is publicly available on the
Chicago Health Atlas website shows the proportion of
children and children ages 1 to 5 years old with lead
poisoning by community area last year.
As you can see the rates of lead poisoning vary by
neighborhood, but the community areas highlighted in red
having the highest rates of lead poisoning in children and
those in like green having the lowest rates there about 20
Community areas with the highest rates of lead poisoning
and almost all of them have a predominantly black or
African American population. This pattern tracks closely
with systemic disinvestment in black and brown communities
and other measures of environmental justice.
In closing. I just wanted to thank you again for inviting
us to this important discussion. We encourage all Chicago
residents to reach out to the health department to learn
more about the health impacts of lead, and we encourage All
Families to have their child's health care provider
provider test them for lead exposure at 1 2 and 3 years
old. Thank you.
Thank you so much. We've got to Tina Perry from the natural
resources defense Council.
All right, good morning. Everyone Shekinah Perry and RTC
and I have a couple words to sheriff you all today about
the public health benefits of replacing lead pipes and some
communities is normal to see cases of water stacked and
kitchens and pantries in for some it's an unspoken truth
about how residents feel about the quality of their tap.
And how about a water feels like a safer alternative for
daily drinking and cooking needs imagine being poor and
having to budget for bottled water because you don't trust
your TAP I grew up in a low income household in Chicago and
the visual is etched in my memory is my family story and
it's still their reality. It's expensive to be poor and
safe drinking water a basic human right shouldn't come at a
cost Chicago has approximately 409000 less service line.
Carrying water into our homes across the city the
Environmental Protection Agency unveiled as lead in Copper
will improve his proposal requiring states to get their lab
pipes out within 10 years, but it makes an exception for
Chicago requiring us to replace eight to ten thousand types
of a year which could take 40 to 50 years or more to
replace them all now, I grew up around Elders that say a
woman share the age but it's important and relevant for you
to know that I am 30 years old at the epa's proposed
timeline Chicago can replace his lab pipes by 2067 or
later. Meaning I will be around 74 years old or older
before Chicagoans have access to Safe Drinking Water 74
years old. That is unacceptable.
There is no safe level of LED yet evidence suggests that
leg contaminated water is disproportionately found in
communities of color not only is lead exposure and
environmental justice issue, but a public health concern
The Sciences and health experts agree. We should address.
My colleague Eric Olson Panda paper arguing that removing
lab pipes with you hundreds of billions of dollars in
health benefits. Even the lowest level of exposure can
cause developmental delays and behavioral problems in our
children. But what if I told you that the American Heart
Association emphasize that let exposure is also linked to
cardiovascular disease in adults, including stroke and
heart attacks sometimes fatal.
Directions to the risk of cardiovascular disease is
especially high in low-income communities and communities
of color in it. According to his study. There is also
strong evidence that people of color particular black
children are at substantially higher risk of having
elevated blood lead levels than non-hispanic white
children.
And it doesn't stop at cardiovascular disease let exposure
before and during pregnancy can cause fertility problems
premature birth miscarriage along with a host of other
increase risk, including various cancers. So with all the
research and studies highlighting the risk involved would
let exposure. How can we consciously tell Chicagoans
generations and generations of children who did not create
this problem for themselves that they have to wait 40 plus
years for Safe Water the EPA and American Water Works
Association says, it costs between 5000 and 60 $100 to
replace the lip service line. Chicago's cost range between
twenty and thirty $30,000 per line. My hope today is that
other speakers can speak to the cost of scrap and see and
the need for Chicago to lower the lower its course or some
par with other cities, but for the sake of my talk, let's
just focus on health benefits.
The EPA estimates there is approximately 9.2 million lead
service lines across the country and if we were removed at
LED pipes at the price point that the EPA and the awwa
outline, it will cost the country between 46 to 56 billion
dollars to remove them all.
Eric study also includes if you consider the public health
benefits of removing removing lead pipes. We see a
cost-benefit of around $4,000 per year or $85,500 total
over the course of 35 years for removing just one let
service line.
Multiply that 85500 and cost savings by the 9.2 million
less service lines that we have in this country and the
United States could see 786 billion dollars in cost savings
on health benefits alone. So we put up the price of 46 to
56 billion dollars to remove them to get 786 billion
dollars back and health benefits. That sounds like a fair
trade-off to me the study also includes a state-by-state
breakdown of the health cost savings associated with LED
pipe replacement. The EPA estimates that Illinois has
around 1043294 lead pipes and if we multiply that by the
same 85500 number that I mentioned previously that results
in more than eighty nine billion dollars for call savings
for Illinois alone 89
Billion smell us narrow even further since we're here in
Chicago was approximately $409,000 service line. We're
looking at around 35 billion dollars in cost savings.
This analysis makes it clear that the benefits of removing
lead pipes quickly would far outweigh the cost. We know the
risk. We know that low-income communities and communities
of color continue to shoulder the burden of the problem. We
also know that other cities have provided a blueprint on
how to get it done quickly and equitably Chicago was an
incredible City with some of the brightest and talented
Minds. We've been through hard times and we've had our
share of challenges. Listen our city burn down in the
1800's and rebuilt rebuilt it Brick by Brick. We didn't
throw up our hands and say let's take the easy route
pushing up pushing off for tomorrow what we can do today
instead. We got to work because we had a vision of what our
city could be even in the face of Ash and Rubble. We saw
something worth fighting for something that Generations
could utilize and enjoy. Why can't we do the same thing for
Safe Drinking Water? We can't wait 40 plus years and we
need our leaders to step up and say the same thing.
A bright side is that the EPA included cardiovascular
diseases and maternal health benefits to name a few and its
recent lead in Copper rule improvements proposal benefits
that weren't included in the previous LCR revisions are
federal agency acknowledged the very things that my
colleague Eric Olson eloquently discussed in his study now
it's time for us to act and shorten the timeline allocated
for Chicago.
The wrap-up are we want to hear from Korea Madam director
of Newark Water and Sewer utility later today who will
speak from experience about replacing live service lines
and just a couple of years, but we can stop a doctor Newark
saw Lauren is today. If we wanted you to help expedite
these efforts required a water systems to pay for the cost
of replacement of shift the burden from household allowing
residents to give permission to contractors to replace
their landline. So the processes and held up by absentee
landlords and landlords and owners creating the equity
issue replace the pipes on a block-by-block basis to
improve efficiency and cut costs provide water filters to
Residents and teach them how to properly install and
replace the filters. We heard from a public speaker today
about this very thing. Let's listen to our residents
because they are the ones on the front lines. They're the
ones that are experiencing this on a day-to-day basis our
neighbors and Michigan require all the water utilities in
the state to pay for the full cost of replacement. We have
the bloop.
The health benefits outweigh the costs and wheelie with the
health and safety of Chicagoans in mind we can get this job
done. Thank you all so much.
Thank you Shekinah next up. We have Brenda centolla from
the little village environmental justice organization and
fellow Advocates. My name is Dennis Antonio. I'm a senior
policy analyst for the water Justice program at the little
village environmental justice organization. I just want to
thank you all for the opportunity to be here and to share
my testimony. I want to start off by saying that we know
that water's a is fundamental to life and it's important to
recognize that for decades past administrations have
knowingly deprived Chicagoans of that very fundamental
right to clean water By ignoring the decaying water
infrastructure that brings water to our Tap Chicago faces a
major challenge replace replacing the largest number of
lead lines in this country currently a 40-year timeline for
the completion of this work. That is at least two more
generations of children that will continue to be exposed to
the risk of drinking lead to contaminated water and bearing
the health.
Behavioral consequences of it many families without even
recognizing that the water in their home is what is
deteriorating their health?
We are in a pivotal moment in time where we have witnessed
major updates to the longstanding federal letting copper
rule this past week and historic infrastructure investment
from the Biden Administration in recent years. We not only
have an opportunity but a duty to work collectively to
ensure that we are protecting the health well-being and
uplifting economically opportunities for all Chicago and as
we work to steadily increase the pace to remove this toxic
infrastructure out of the ground,
Over the past four years through our community events and
Outreach work in Little Village. Our organization has had
conversations with residents where we are the ones to teach
them how to navigate Chicago's public online inventory and
tell them for the very first time that they have a lead
service line in their home as we have these often difficult
conversations with residents about what this means they
begin to connect the dots and they begin to share stories
about how their pediatricians had detected elevated levels
of lead in their children's blood. They have children's
children with developmental delays or behavioral
challenges. They have children that have dropped out of
school because of these learning and behavioral challenges
one major missed opportunity for the city has been the lack
of public Outreach and education on the LED service line
issue over the past 37 years.
The existence of the city's website is not enough for a
community members to fully understand and grapple with the
complex issue of lead in their drinking water.
The majority of residents we have connected with in fact
have shared that they are unaware of the existing LED
service line replacement programs resources available and
how to even access them many residents have also shared
frustration that the city has long known about this problem
a problem that the city actually created by requiring lead
service lines until 1986 when it was banned by the federal
government despite this responsibility and even with full
knowledge of the risk to human health in communities, the
city has been slow to take action and lacking substance and
substance of support for residents who have little
knowledge or motive to seek City programs as a solution.
There are Outreach we have also learned that messaging
matters and what might incentivise one person to
participate in the program might not incentive is others
given that meaningful targeted Outreach is necessary to
ensure that we are reaching all communities with the
messages that one we need to get the LED out to this is not
your fault and three the city must support you to fix this
problem. Our communities deserve meaningful engagement and
candid conversations from our utility leaders and public
officials to be able to fully understand the health impacts
the Eagan.
Benefits and resources available to them this is especially
important given the longevity of the now 40-year
replacement timeline for Chicago our city cannot continue
to push the narrative that our drinking water is safe when
the existence of 400,000 lead lines remain in the ground
across Chicago contaminating the water before it gets to
the Top This disincentivizes residents from pursuing
solutions to replace their lead lines and use water filters
in their homes when they would greatly benefit from it. We
know that although the acceptable level of lead in drinking
water according to the EPA is now 10 parts per billion that
surpasses the acceptable level of let exposure by 10 times
according to the standards set by the Center for Disease
Control.
No level of lead in water is safe all levels of exposure
pose health risks to all people pregnant people and
children, especially filtering flushing and replacement
opportunities are something that should proactively and
continuously be communicated to all residents living in
homes with a known LED service sign on their property until
their lead line is slowly replaced regardless of what lead
level their water is testing at the goal is not to fear
Monger Chicagoans, but to acquit them with the necessary
tools and information to protect their own health and that
of their families for residents with language and
Technology barriers. It is essential that we move towards
dive.
Certifying Outreach message that includes face-to-face
public conversations with utility experts and trusted
community community leaders strong Partnerships with
existing community and Faith organization Health Center
schools libraries who can be trusted Messengers are
necessary to help in building and maintaining trust with
many residents who may not outright seek to engage with
engine years or contractors from the Department of Water
Management.
For many residents including those in our community of
little village the cost of replacing light service line
remains a barrier where Austin low-income homeowners that
do not meet the income qualifications for the existing
programs cannot afford the price tag of the estimated
$20,000 cost of replacement and landlords have absolutely
no incentive to replace them for the nearly 55% of French
Jews throughout the city of Chicago. This creates a serious
environmental Injustice. We have seen that inequity unfold
and cities that have implemented voluntary programs without
fiscal support and financial protections for residents at a
time. Where a great deal of household struggle to even pay
for their water bills water that the city currently can't
guarantee is free of lead when it reaches they're tapped.
In conclusion addressing the pervasive issue of lead
contaminated water in Chicago requires a collective effort
the lack of effective public Outreach and education the
presence of administrative language and Technical barriers
has left many residents unaware of the available resources
fostering intentional Partnerships investing time and
resources an ongoing customer engagement and support and
working towards a transparent and proactive communication
strategy are essential steps towards building trust and
achieving the shared goal of eliminating the lad from
Chicago's drinking water. We must look to this challenge as
an opportunity. We save us because we can do better and the
City of Chicago is for the people will do better.
Thank you.
Thank you, Brenda.
Next up we have only seconds Alex Castle from Elevate.
Thank you.
Avalon woman hadn't decided on Eliza Gonzalez castle with
elevates i l water policy work in which we prioritize safe
clean affordable water for all that, of course includes
removing toxic blood types from drinking water systems in
addition to enhancing quality Solutions. Our team of
project managers construction Crews and problem-solvers
work directly with the city of Chicago close the county and
state to prioritize equity in LED service line replacement.
So during my testimony, I'll share a little bit about what
We do what our work in the city looks like there's some
lessons learned that I hope will inform the city's approach
to crafting administrative and legislative action to
address this critical issue and leave you with some
questions for further investigation as the city shapes its
its strategies moving forward on what we work on in the
city of Chicago as you heard in public comment child care
providers are required to me very strict water quality
requirements, including proving that include testing their
water, but also proving that lead levels aren't remain
under two parts per billion, which is well below the
current federal Action level of 15 parts per billion. And
even the new proposed 10 parts per billion under the b in
the ministrations of letting copper rule improvements. So
Elevate works with childcare providers because as we know
there's their this can be
Significant burden I'm especially on small businesses child
care providers are in the city of Chicago are
overwhelmingly women and women of color who were burying
this burden of ensuring safe lead-free water and they serve
a very vulnerable population because let is a neurotoxin
that is especially detrimental to young children and
maternal health. So we administer a three-part program
across the state of, Illinois.
Help Child Care Facilities access testing for their water to
detect sources of lead and take remediation actions in Cook
County we go a step further. We actually do. Let's service
line replacement for child care providers and that includes
restoration work. So repairing damaged two floors drywall
Lawns as needed and in the city of Chicago where the city
takes care of through their Child Care Program takes care
of the lead line between the water main in the facility we
pick up where they leave off by providing an assessment and
interior retrofits to make sure that child care's are able
to go through the full distance and again working on some
of the restoration work that is not covered under some of
the restrictive funding sources.
So some lessons learned, I won't repeat what my colleague
Brenda from alcohol has said but we know and it's pouring
out to our work that it is absolutely critical to meet
people where they're at cannot overstate the importance of
investing in strong communication robust Outreach and
education efforts and tailoring let service line
replacement efforts to the customer's specific examples of
how the shows up includes reducing enrollment barriers to
take part in. Let's herbicide replacement programs making
an effort to really understand resident concerns around
Letting water the let service line replacement process
identifying what kind of communication practices are needed
to reach residents. That means home owners and landlords
alike then taking action to meet those needs.
Also the city as as you explore ways to accelerate and
improve our existing LED service line replacement program
must prioritize funding for a robust. Let service line
replacement program with enough flexibility built-in to
meet some of the on-the-ground needs an address both
somewhat common and unpredictable challenges that funding
got to cover full replacement. It means the entire length
of the pipe as well as restoring interior and exterior and
packs to the home like it as I as I mentioned in our County
Work drywall flooring Landscaping etcetera. These things
can be a major deterrent to homeowners and participating
and taking action from their end.
And as Brenda highlighted adequate funding has to go toward
education and marketing as well as customer support to make
sure we're walking residence through the entire process
some some restrictive funding sources will not cover this
and I have I will say getting people to buy into this
program understand the issue and take action is as
important as the construction and Engineering work and must
be prioritized and adequately compensated.
Another example from our work at the County Register of
illustrates how flexible and responsive a program really
needs to be comes from a recent story of a completed. Let
service line replacement in Suburban cook or everything
went well. The resident was happy water was running within
a couple of hours, but then the neighbor complained that
their water went out what we've learned and what the
community has plans and let the service light material
inventory did not show was that those two properties shared
a let service line and was called a y line. So we had to
respond immediately to supply water to that neighbor and
mobilize a team to come back out and replace that that
neighbors line the next day we have heard from call. He's
at the state that the scenarios actually quite common. So
as Chicago really gets to work there will be unpredictable
things that happened under the street. It's just an example
of the kinds of flex.
That need to be built in to let service line replacement
plans and budgets.
Third Waterford ability is absolutely a critical concern in
Chicago and is directly tied to low blood service line
replacement. I believe the proposed ordinance language that
the city is considering which would include having the city
cover the full cost of LED service line replacement as
we've seen in places like Newark. This can be really
successful strategy, but
under the scenario
Let service line replacement is tied to affordability and
at least two ways first when let service lines are replaced
in the city of Chicago. It is now policy to install a water
meter that offers important cost savings to Residence. We
have worked with the city on an affordability analysis and
our research showed that households with water meters today
on average $500 less every year compared to an M two counts
second. This will be a long-term and costly infrastructure
undertaking that may further impact water rates even at
Chicago is able to access grants and loans with the best
possible terms like the recent with the loan from EPA to
the city for LEDs service line replacement many people are
you that water is undervalued but we know that for far too
many Chicagoans water bills are still too expensive. So I
would urge this body to consider water.
Portability strategies alongside this important undertaking
as well as a permanent water bill assistance programming.
And then another take away and my last from our work the
city really must prioritize equity and efficiency and let
service line replacement. There are Incredible cost savings
and efficiencies in how these programs can be deployed like
the Block Level our neighborhood level scale projects. And
as we have heard about the impacts of lead exposure on
Beast directly correlate with other patterns of systemic
disinvestment with severe racial and socioeconomic
disparities as the city is working to develop and improve
its strategy really prioritizing those things.
And I want to leave this this group with a few questions to
consider some of which and the answers rely on data that we
as ngos don't have access to and from a good governance
perspective. I would encourage city council that only to
pursue the following questions, but think about how do you
how does information can be transparently communicated to
the Publix at Chicagoans can better understand and Trust
how their water system works. And so that ngos like many of
the panelists today can be true Partners in overcoming
barriers and crafting Solutions unthinkingly.
emergency water system
The first Chicago's when raising water rates since 2008 and
they've been tied to the cost of inflation since 2016 So
it's 15 years of increases how much can feasibly be carved
out to fund blood service line replacement without
compromising other critical infrastructure and operations
needs since 2015 sewer rates of match water rates are still
much to be done in the city around flooding combined sewer
overflows basement backups during periods of heavy rain,
which also disproportionately impact low-income residents
of color and we know precipitation is placed increased with
climate change.
So what are the budget needs and interagency coordination
required to address these multiple water infrastructure
priorities most efficiently and equitably anytime you open
the street in his Opera is an opportunity to take care of
multiple underground issues.
Third do we have the people to do the work? How can we put
more Chicagoans to work and good family-sustaining jobs
that help our City tackle water infrastructure needs what
can be done to expedite procurement and or address
Workforce challenges. What are the staffing needs from
plumbing and Engineering to customer support agency
coordination? And how are the city and its Partners meeting
this moment.
And the last question is for all of us including my fellow
panelists. How can we all come together to better educate
Chicago about the need to take advantage of blood service
line replacement resources now Whopper Trinity is knocking.
How can we make be better Partners to one another so we can
collectively better serve Chicagoans as he faced down this
Public Health Challenge and the opportunity before us
And finally, I want to share that as an expectant mother
living in a 100-year old house in an environmental justice
Community. This issue is deeply personal for me safe. Clean
affordable water is an essential human need every chicagoan
deserves to trust the water coming out of their tap is safe
to drink to cook with to bathe their children in and every
Chicago and deserves to trust their local officials will
act with urgency prioritize equity and engage them with
respect and delivering on the promise of safe clean
affordable water. Thank you.
Thank you and Eliza and congratulations with our first
segment of panelists. And I want to remind our colleagues
the four segments were going to hear from today. So this
was around environmental health impact our mental health
impacts were going to next year from economic impacts
thirdly, the current state of the LED service line
replacement program and finally will be around funding
challenges. So with that in mind we are going to open it up
for questions and answers.
It's a little Q&A for current channels and I see Alderman,
I had a question for for chairman be a guest in your in
your opening statement. You mention that the government got
230 million and that the city of Chicago got 4 million did
the state get to 30 or the federal government released 230.
The federal government released to 32 state of Illinois in
Chicago is receiving 4 million of the 234 the for the
panel, it's really I guess a two-part question is how does
this Broly compared to what we face in terms of lead paint
challenges and to what extent could we solve the problem is
that we should
I want to add a add a Brita with a in one of the blue
filters in at the filters outlet with that definitely saw
the problem or to what extent?
Don't let Paige Brita. Thank you start with that. So as I
mentioned before the data that we have four children with
elevated blood level does show that pain is the
overwhelming cause of lead poisoning in children in Chicago
that being said as I mentioned before see if he does kind
of support every effort to eliminate any any source of
light exposure or within the city and then in terms of the
LED filters, I think dwm conceit more to this. However,
there are only certain types of shelters that are certified
to remove lead. So for example most it's just the Brita
filters that you see are not certified. There's a
certifying organization called and assess for A&S. I answer
you and so you have to use
Pacific shelter that has a standard 53 in order to have it
be certified to remove lead Bloomfield. The last I think I
also just want to underscore this this what we heard about
comparing these different sources of lead.
Blood and water has been in many cases under under assess
because the current action levels far exceed health-based
standards and it does exceedances. We've heard about some
anecdotal anecdotally here today, whether it's in childcare
facilities are private homes any exposure to lead at any
lead poisoning, but it's preventable from an unknown source
that we have. The power to eliminate is unacceptable. And
on on the point about the filters, it can be a confusing
thing to explain to you know hundreds of thousands of
people which type of filter do you need? How do you access
those when it's time to replace those filters? Where do you
go for that and some filters also for example reverse
osmosis was was a choice that we made for my family. We
can't I'm working professional. I can't afford to replace
my lip service line. So cost hundreds of dollars and
Because it removes heavy metals. You know what we feel in
many ways safe, but because of the accreditation from some
of these rating agencies, but also the removal of important
minerals from water can affect the body the uptake of
minerals that are important for the body. So filtration is
important. It is an important First Step we've got to do a
better job of getting filters out there and educating folks
around what filtering practices are needed and flushing
practices are needed, but it's not a permanent solution.
Wonderful. Thank you all.
Thank you for that want to just know we got Alderman 64
Lopez 44 on this well, and I alderman she comes up next.
I could share one thing. I found troubling in the remarks
was absentee landlords. Take it obviously exasperate the
problem. Is there any remedies we could put in place
working together to kind of that you've seen kind of make
this right?
Oh, yes. Thank you for that comment. So in Richard
dominated cities like Chicago as well as Newark, New Jersey
where you were here from Korean who can speak for
professional experience about this little bit more later is
that when we we have like in our lip service line
notification replacement act there are different
stipulations in place of light and notifying folks that
we've day will be replaced contractor will be replacing the
last service line. Sometimes it's hard to get in contact
with those landlords because sometimes landlords just
aren't on the property at the time sometime the owners of
the property don't even live in the states. And so it's
hard to actually get in contact with those folks. So how do
you tell a resident who wants to have quality drinking
while safe drinking water in the household that they can't
get their last service my replace until some other person
gives a thumbs-up on it. And so Newark was able to do this
by one of their ordinances that they passed one of those
Provisions was a
Make the entry provision which should allow residents who
occupied dwelling to give permission to the contractors to
actually replace that led service line cream of them will
be able to talk about the efficacy of it in more detail,
but we found that that is one of the ways in which we can
eliminate we can shift the burden of waiting for service
line to replace off of owner or landlord to doesn't even
live there and actually shifted to the residents who are
actually, you know, using the water on a daily basis, but
newark's ordinances one of the ways that they were
addressed.
Thank you. Thanks for the question next up. We've got other
woman then I'll hop in worth.
And get yours. Thank you all for being here and I'll do
those who came today to city council to give public
comment. I represent the 48th Ward Edgewater in town
tonight. I see the map that we are not, you know, one of
the ones that are highlighted yet. We we have those who
have been testing their water and they
They show that they they show that they have lead in their
water and two other men Conway point about the filters as
curious about the city's strategy to do Outreach to all the
residents in Chicago no matter where they live and which
departments are leading on that.
But I also appreciate the work that nonprofits have been
doing two words that end in i, welcome anyone to reach out
to my office or any of the Alderman's office to share your
work. I'm so that we can promote what you're doing, but I'm
curious about the city strategy to promote what we're doing
to educate people about this opportunity that we have right
now.
So I can start off so currently the city of Chicago the
Department of Water Management offers free water filters to
people in Chicago on request and they actually have to
submit their address and see if their address qualifies for
a free filter. So not everyone in the city of Chicago is
eligible for it. It's only if you have had your water
tested and it has been passed the 15 parts per billion or
if there has been reset like water infrastructure
construction like near your home or you have previously had
the installation of a water meter. So the process of
actually accessing like a water filter free from the city
is actually
A little bit difficult and a lot of people don't know about
it. So add organizational like we have been doing direct
Outreach letting people know about these programs. So they
themselves can go into the website and request that water
filter. Right? I think the other part of it is that the
cost of the replacement water filters is also they could be
up to like $30 or something and people don't know when they
need to be replaced. So there's a lot of like like that's a
key part in like the education component that needs to be
related to people throughout the city of Chicago. I think
that we need to think of a strategy to make these resources
a lot easier to access for people to actually use them. I
think like one new one thing that we have been saying his
people should be able to walk to their local other person's
office and pick up a water filter if they have concerns
over their water or they should be able to get a water.
Ask it from like their local library or like also the older
persons office where they can directly talk to someone ask
their questions and engage on this issue to have liked more
direct conversations on this. I think excess ability to
these resources needs to be like Cecil has hated because
right now there's a lot of like steps to be able to get
these resources that the City offers.
Yeah, thank you so much. You know that we have the one of
the smaller Footprints in Chicago. So we have a lot of
buildings in high-rises. And so I'm reaching out to the
landlord about that are really important than to do that
kind of education that I welcome any help towards that and
so thank you also know that it's also important to
communicate which buildings could have like LED service
lines right now. It's 123 122 unit homes that were built
prior to 1986 the like larger Apartment Homes typically
don't have led service lines, but they could have Plumbing
structures that have like LED in them, which could like
they would still benefit from using water filters in their
homes.
Is it possible to get is it online somewhere to see what it
looks like in every Ward and I'll say and I and I know our
friends from cdph might answer your question as well. I
will say that during our annual CIP briefing. So I see. And
dwm do the briefing given the infrastructure of your War
there probably are very few and then similar to my Warden
49, but they do show us a map of known locations right of
pipes that they have questions about. So that's based on
available data that they have on timer.
They also will give us so these will be coming up
especially for all of our new folks. We will be coming up
for you in like January. Usually our infrastructure teams.
Do these briefings with us? So they also give us the data
of how many people requested lead water testing kits and
how many were returned. So there's some opportunities for
our offices as well to kind of get list of that information
and encourage people to return but they do identify on the
map for you like where they might suspect there could be
led service line as as we heard a little earlier from this
panel as well. Sometimes you really don't know until they
get into the ground right? Like they might say we we
suspect here right based on what we know or something that
was evaluated 20 years ago and it was work done here or hey
this home turned in a LED water test kit and it tested
positive. So now we can go to this location, but they do
provide that information for you and I believe it.
Is available through their portal through the Department of
Water Management, and then just wanted to give us our cdph
team wanted to share from your department what you all are
doing a medical director at cph and thank you to him
because some of that I was going to mention as well and I
think dwm will probably address some of this later also,
there is for example, like a public facing map where you
can search up.
An address and see whether that the address may have a LED
service line for example, but I think like I said gwdwi
probably a dress that in terms of Engagement are LED
poisoning prevention program also does engagement we work
with both community-based organizations. And then also I'm
with you quite a bit of work with Healthcare Providers with
the Illinois chapter of the American Academy of Pediatrics,
and we're both trying to educate on the wrists and sources
of light exposure and then really trying to work to ensure
that children are being tested for elevated to see if they
do have elevated blood levels. So a lot of our engagement
is kind of for general knowledge lead Health impacts, and
then trying to get kids tested so that we can know
Whether they do have high blood lead levels and then can
engage them in case management and the rest of the actions
are program takes.
Thank you. And I also again would encourage you to reach
out to all the medical offices to share any.
Bits and pieces I can share especially online. Thank you.
Thank you to our first set of panelist really appreciate
the information. You've brought to us. And of course your
efforts to help us get the Led Out in Chicago. We are going
to take a 2 minute recess. No don't use this as an excuse
to like one or two. If I don't call you pass Chairman's
bizzotto's office. So if you make it to Sherman's without
his office for snack at school don't go past that we are
just switching out our panelists and just to remind you
what's up next were talking about the economic impact of
let service line replacement and we'll be hearing from a
lot of our partners in labor and the folks who do the work.
A 2 minutes. It is now 11:30 11320 reconvene.
Good afternoon, everyone.
Is it going I'm sorry still still. Good morning. I'm sorry.
Right now, this is our second segment as chairwoman had him
mention. We will now hear from our second set of panelists
will discuss the economic impacts of let service line
replacement joining us today. We have Jones Richmond
business agent for local 130 and plumbers and Tech
Engineers Michael wydmire executive director for the
underground contractors of Illinois, Dan Allen executive
director of construction industry Service Corporation, Al
Sacramento secretary-treasurer liuna local 1092 Tiffany J
ward council, Indiana, Illinois, Iowa foundation for fair
Contracting.
Organizer at SEIU will now hear from Jones Richmond with
local 130.
Good afternoon, everybody. My name is John Smith, man. He
said Ben has a different local 130 plumbers Union Larry
placement.
Is going to be multiple trays doing the work of local 130
cover 17 counties in Northeast, Illinois, as we know
plumbers protect the health of the nation the state of
Illinois and city of Chicago have a license law, and the
princes does the work they don't they don't do the work
replacing and services.
We are work in and out and also sorry also licensed bonded
plumbers employed licensed premises and journeyman
plumbers.
They are like you said earlier over 400,000 LED replacement
in the city of Chicago 10,000 surrounding suburbs of
Chicago is doing a part doing the low-income services in
doing the best private contractors daycares. They are doing
the daycare services.
Local 130 right now trying to do their part. We are taking
applications right now through February 16th. All you got
to do is going to jc130. Org.
We are not offering jobs. We often careers with benefits.
We have over 300 contractors employee journeyman's and
premises. So there would be a job for years for city of
Chicago. You come a problem or any other trades. Thank you
for your time.
Nikki Jones we will now hear from Michael wydmire with the
underground contractors, Illinois.
Distinguished German committee members and guests. Thank
you for providing opportunity speak today on the economic
impact of accelerating the lead service replacement program
has announced that Michael wiedmaier the executive director
of the underground contractors Association of Illinois to
the association has over 200 member firms. The contractor
members are union signatory firms that specialize in sewer
water treatment plants and other underground utility
construction. UCA also has a sizeable number of associate
members that include manufacturers Professional Services
subcontractors, wholesalers Suppliers Trucking Aggregates
heavy equipment and more. They are also a big part of a
successful completion of
Any of the Public Works project sewer and water
infrastructure has been largely ignored for over 50 years
nationally with system infrastructure spending decreasing
while the average age of the systems has increased Chicago
is understood this issue and is committed to making
improvements over the last decade your leadership on this
is to be commended. However there still much work to do to
include protecting the public health with a robust lead
service replacement program, according to the 2019 value
water campaign asce study deteriorating water drinking
system can Leach heavy metals in the Water Supplies, which
can lead a serious that serious health problems, especially
for children and other vulnerable populations with without
adequate investment Water Systems people could see higher
incidence of her illnesses hospitalizations and lost work
days us households spent an estimated 262 million and
healthcare costs due to Water Service issues in 2019 if the
trend condition
Is US households could spend 378 million in 2029 to 503
million in 2039 over the next twenty years failing to
invest in the nation's water infrastructure. Delete the
medical costs that exceed 7.7 billion to us households from
the engineering news-record just this November 30th, the US
Environmental Protection Agency released a proposed rule
that requires replacement of all LED service.
Within the next decade the proposed rule also lowers the
lead Action level from 15 micrograms per liter to 10
micrograms per liter and fire improvements and sampling for
lead in tap water.
Systems that detect level levels above above 10 micrograms
would be required to implement additional treatment or
cornrows and control the rule also provides funding
allowing communities to accelerate the pace of lead service
line Replacements 15 billion in 2021. Ihsaa is for lead
service line Replacements in addition 11.7 billion in the
drinking water State revolving fund also known as the srf
program to assist communities comply with higher
requirements according to EPA officials on the November
30th, press call the EPA administrator. Michael Regan
stated. The science is clear. There's absolutely no safe
level of lead exposure especially in children. This is a
public health concern that unfortunately span Generations
an issue. That is the has disproportionately impacted
low-income in minority communities.
2019 Bywater campaign ASE study States investing in water
infrastructure has positive impact on the economic
conditions of people at many income levels adequate
investment in water infrastructure to protect Public Health
directly by maintaining safe water quality and indirectly
by creating economic conditions that enable people that's
right direct impacts tax include the economic implications
for companies directly involved in designing Engineering in
constructing water infrastructure, indirect impacts include
additional economic implications created by the actions of
firm directly involved in water infrastructure,
business-to-business purchase of goods and services like
machinery for construction of a water infrastructure
project. And then of course the induced impacts include
purchases and Retail medical Leisure and other sectors
depending on the income earned by the workers and all
sectors of the economy that are affected by infrastructure
Investments, the implications of water infrastructure
investment Ripple through the
Economy Inn through induced impacts. I reached out to Frank
Manzo 4th of the Illinois Economic Policy Institute last
week and cuz they do research and prevailing wage and the
impacts of that and Frank came back with from the research
for every dollar invested in public infrastructure. The
Council of economic advisers is found that the economy
Grows by $1.50 for every dollar invested.
Moody's Analytics estimated a dollar sixty multiplier in
the Congressional budget office forecast to return of
investment as much as 250 for every dollar spent.
Their recent estimates for water and sewer infrastructure,
Illinois are that every dollar invested generate the return
of a dollar 95 for everyone billion invested creates about
9,000 jobs water infrastructure is fundamental to our
nation's economic health by keeping water infrastructure
and state of good repair. We strengthen our economy
investments in Water Systems during the prior Century help
Drive economic growth and improve public health and protect
the nation's waterways is infrastructure ages and capital
needs Escalade. We must uphold our commitment to water
infrastructure and investment robust construction programs
support thousands of skilled workers increases
apprenticeships in the trades provides opportunities for DV
mbwb firms and removes uncertainty for thousands of other
Association Associated businesses and employees that are
directly or indirectly involved in supporting construction
project. It increases spending in the local economy.
Reduces Reliance on government assistance in just in closing
and one of the models of the water Alliance is imagine a
day without water. No just we take for granted that that
water turns on and when we flush things, you know come in
and go out of the house and there's not much thought to it.
But but imagine a day without water that's a huge impact.
So on behalf of you say members, I thank you for your time
and consideration of an accelerated lead service
replacement program.
Thank you, Michael. We will now hear from Dan Allen
executive director of construction industry Services
Corporation.
Good morning, and thank you chairman. And thank you members
and thank you for this opportunity. I think so much of the
testimony today. You already established everybody here is
Number one priority is to get this done the health
implication Sheeran from the the public if it doesn't stir
your your heart and your concern nothing will and we know
where y'all are wanted pedal in that direction. So I
represent the probably represent all the union contractors
and skilled union workers proximately 8000 contractors and
140,000 skilled trades men and women in every one of the
trades and we collaboratively work together these small
businesses these Union contractors in the skilled labor
work together and they put together the most trained
Workforce of anywhere in the
Country were lucky that we have a solution at hand. We
actually represent the largest private educational system
in the country the skilled Union trade contractors and
workers training together. So the narratives all over the
won't be enough workers won't be enough workers. I'll tell
you we're lucky in our backyard. That's not true because of
this collaboration and Partnerships. Another thing. I'm
also I looked at the aldermen and I know you got concerned
with the health concerns in the also got concerns. Hey Will
people for living in Chicago have these career
opportunities like Jones talk about not a job a career in
the answer is yes, they will and also tell they're all them
insane. What about the diversification of this Workforce in
the contractors? And that answer is yes, just like the we
heard from the testimony of LED being, you know, not
invested from systemic disinvestment in black and brown
communities. I'm here to say that that was the case.
I'll trade you should go and that Kate is not the case. Now
the case now is one of proud and we're on the move this way
and we're not stopping we over working with Partners. We
work with area contractors Association has now at the table
on diversifying we work with every Union. You know what
before we all try to do this diversification of contractors
and Tradesmen and women in silos week each Union tried and
just like after 9/11 we found it silos didn't work, you
know, unless your share.
What day is it in New York Police Department with the
justice department with the FBI? What we now are working
together and every Seidel we work with we've developed Tire
360 which we can be proud of a training center. And it's
almost complete where contractors and unions are all
together with every single Workforce partnership. So we put
aside all out what we're going to women and trades much is
funding this one. We're all working and paddling together
and we're making huge progress. We're also making huge
progress diversifying our contractors the date. There's
over 13 million dollars worth of loans given almost 70
minority contractors low-interest loans backed by the huge
contractors in addition, but free bonding education free
accounting education marketing and IT education helping
these another 20 contractors pending not to mention all the
workforce that we do so Cisco has an Outreach director
Jamal Mohamed. She's a 14-year journeywoman Alexa.
Hitch hitch schools and Community groups along with all of
our trade Partners in contractors. Just this last summer.
We had record number of Outreach in Brownsville. We had
over 6 700 people at 18 different trades. We we we had on
the south side with Elder Ford another 3 400 people they
have put how many plumbers I couldn't even tell you how
many plumbers the people would never have known of these
opportunities unless we go to these communities and assist
and that's what we're doing.
You know yourself all the men in Prosser High School, you
were instrumental as we started the trade program there and
shimmying in Chicago Bills. There's another two new
programs coming on line in City Chicago where the trades
are actually teaching young people these these careers and
again, it's not jobs. So I've never been more excited about
our diversification pipeline. I also know that because of
this industry we can build anything you look around this
city. You see the construction that goes on when the city
flooded flooded no Services went in noting that we didn't
miss a beat when you know when there is Y2K and we were
backed up beyond belief and you know, we were told it was
going to happen. There's not a problem that we can't do any
imperative here is and we can also meet and work together
with the partners on the accelerated me and you hid it here
first. We got to do this smart. We got to think outside the
box and we can help we're meeting next week with water
Commissioners and some other
Engineers they actually work with try. How can we help
celery permits help accelerate this but I'm here to tell
you that we've got two people and we've got a diverse
Workforce and we can do this and we can do it quickly and I
thank you so much for your concern and your help with this
matter.
Thank you, Dan. When I hear testimony from El Sacramento
secretary-treasurer of liuna local 1092, my name is Ella
Sacramento on The Treasure of local 1092. I'm a proud
member for 38 years 30 years in the Department of Water
Management. I'm glad to be here today to discuss the LED
light replacement programme project is needed to rule the
letter of the water system to ensure clear water for
Resident and most importantly for children of our City
local 1080. Two men and women members are already involved
in this process, but for the city to meet his replacement
goals more laborers are needed to to retire transfers
promotions passes of our members, we fill over 100. You
members are needed. The diverse applicants was thousands of
Applied before come from each ward of the city of Chicago.
2022 the new hirees 22 were standing 57 were
African-American 9 where what local 1080 to ensure that
they go through a partnership program at our state of our
training facility located here in the city. This will
ensure a trained Workforce needed to reach the LED light
replacement go. Also there's a discount to the taxpayers
with their salary starting at 60% of full pay then I need
to be fully engaged with the new diverse applicants this
year.
the city's boats
And I just want to say that every Union in this city is
willing able and ready to go to help the city meet its
post. Thank you for your time and have a great day.
Thank you. Al we will now hear testimony from Tiffany J
ward council, Indiana, Illinois Iowa foundation for fair
contract. My name is Tiffany Ward. I am counsel for the
Indiana, Illinois Iowa foundation for fair Contracting also
reference as the f f c c is a joint labor management
organization representing thousands of contractors and
twenty-three thousand members of the international Union of
operating engineers local 150. I'm here today to encourage
a strong robots LED service line replacement program
civilizations have used LED pipes and let service lines
Doterra high durability and supposed corrosion-resistant.
However, the research has proven repeated exposure to water
delivered through lead pipes and let service lines to be
highly toxic especially to children.
Although initially use for their perceived corrosion
resistance natural corroding agents Like Oxygen and
slightly acidic water wear down the inside of let water
pipes causing radical that particles to be carried into our
homes and businesses. In fact, let types for curing
drinking water where well recognized as a cause of lead
poisoning by the late 1800s and by 1986 many cities and
towns were prohibiting or restricting their use yet and
2023. The city of Chicago is home to 400,000 plus drinking
water service line reported to be made by Led.
The proposed resolution 6 to remediate disgraced Public
Health and Justice through the city assisted lead service
line replacement program replacing the LED service line
with the copper service line can be done in two ways first
as an open trench replacement placement or second with
trenchless construction. The type of procedure performed
will depend on several factors Pacific to East replacement.
However, in both instances highly-skilled locally trade
trade unionists like the men and women members of the local
150 would perform this work at local prevailing wage rates
and benefits.
A recent study by the Illinois Economic Policy Institute
has style that prevailing wage reduces construction worker
poverty by 3% and food stamp Reliance by another 3% 83% of
studies on prevailing wage since the year 2000 have shown
that prevailing wage has no effect on construction cost
another report by the Illinois Economic Policy Institute
recently found Union work both a much higher productivity
rate than their counterparts.
Olympia have also conducted a study showing that prevailing
wage rates increased veteran employment and blue-collar
construction occupation and increase annual income of
Veteran blue-collar construction workers by 7 to 10% It
also increases employer-provided health coverage for
veterans and construction by 11 to 14% And reduce veteran
poverty by 23 to 31% for those who are working in
construction.
In addition to the city of Chicago's efforts state law on
Albans partially replacing let service lines instead. Let's
service lines must always be completely replaced due to the
nature of this work and its close proximity to urban areas
proper training is essential to providing safe and
efficient as installation of new water service lines that
specific training occurs at local entities 1,000-acre
training facility in Wilmington, Illinois right now local
150.
Terry contractors make up 100% market share for lead pipe
service work in the city of Chicago in the city of Chicago
the local 150 has 48.4% of women and minority membership.
Over the past several years Leggett emanated water in homes
and schools has been detected in a Boston Durham Camden and
amongst others and Flint Michigan. The city's let water
pipes corrode is so severely that they seat deadly levels
of lead into the city's drinking water causing the city to
enter a state of emergency. Every state is estimated to
have at least a few thousand step pipes for to State
standout Florida leads the nation with an estimated 1.16
million LED pipes in Illinois ranked. Second Chicago has
decided to be proactive in addressing the city's dangerous
that pipe issue and acting a robust. Let service line
replacement program will not only put hard work hard
working men and women of Labor to work, but it will also
improve the health and safety of the citizens of the City
by providing Safe Drinking Water. We look forward to
working with the city of Chicago to improve the safety of
drinking water in the state and to modernize
infrastructure.
Thank you. Tiffany. We went out here testimony from muddy
Carmen Macias child to organizer with SEIU.
Yeah, thank you. Good morning. Thank you for this
opportunity. My name is Mary Carmen Macias and I am a
former licensed child care provider with 14 years of
experience. But recently, you know, I've even hired by the
SEIU union that you know, I also have 14 years of
experience working with them as 20,000 childcare providers
in the state of Illinois. And I am one of the estate
organizers that means that I travel all over the state
organizing providers in 2019 providers had to comply with a
requirement from DCFS in order for them to keep their
licenses in good standing. The problem is that DCFS is not
Offer enough information it was until we had a partnership
with Elevate and they start offering, you know, trainings
and classes. That was the only way providers had
information and how they start in a complaint with these
are requirements from DCFS through the years. We you know
through
SEIU we have keep on offering this training but is a basic
training where the provided understand interpret as a
provider not you know, the effects of lead in the brain of
the children. So right now what we need it is a more
comprehensive training providers. We need to empower to
train to educate providers. You know, what they need to do
the when provided tested their water and they got a higher
level than the 2.0 ppv. They told them that they didn't to
do a mitigation plan. There was no information what it is a
mitigation plan. Why do they need to do you know about them
because the mitigation plan it is not going to be the same
for a provider. God 3.0 to the one that got 9.0. So it has
to be a different it also provided. We're really is
probably scrambling for Resort.
Add tissue of the water filters, you know, that is a big
issue because providers do that jazz by installing a filter
water filter. They where finding a solution for the problem
and like you have her here many times is requires a special
filter to get rid of the land. So a lot of information is
needed a lot of education is needed and
I know this is just for the city of Chicago. But you know,
this is how you represent 20,000 providers in the state of
Illinois. And we have similar problems with the lab all
over the state. So what we have done in SEIU, we have your
different and Sarah request from providers trying to find
out what you know, they can find like a remedy and the only
thing we can offer now is a basic training. So it is
essential, you know that they are still at the change
channel to replace that are water types. But also a
providers need to be you know, part of the program because
providers talk to Providers are essential workers that are
in the front line. They are taking care of children and
providers will play a very crucial role because
I talked to Providers do know they have contact that will
give the listen to a lot of families in the state are the
only thing is that they need we need to be proactive. We
need to speed the process because you know, when we started
all this training provided is taking care of the lad in
their houses are not sending that. The water to the lab. It
is still unbelievable that we had providers that I asking.
Can I buy a kid's on Lowe's or Home Depot to take the
water? So that means you know, that should be a red flag
that we still have a lot of work to do to educate providers
is not just a matter of the buying a kid because I think
that kid that has been doesn't exist. So right now what we
need is your union can play also a big role in trying to
do.
I'll reach for this provided that we already have an
educator so we can find a solution for this because it is
disheartening for childcare providers knowing that any
level of lead is safe. But still they need to assert that
2.0 in order for them to keep on working. So it does I
would like to make this call.
. It is very difficult for a parent when they take the
children to the doctor to tell them that the children or
the child has left knowing that there's no solution and
this child will suffer the consequences for the rest of
their life, so waiting for 10:15 24 years is not acceptable
and something has to be done fast. Thank you. Thank you
medical man that concludes our panelists for the second
segment of today's hearing. We will not open it up to you
and I from from other people before moving on to the next
segment of any questions from members of The Joint
Committee.
harmless Para
Certainly. Thank you sir. And thank you for the testimony
from the room really glad to have you all doing this work
for my son. Just seeing the connection between
environmental justice and economic Justice want to make
sure we're not paying for this work because we know we're
going to pay for the work but making sure that the jobs
that were creating are good working class jobs that are
going to shoot Hardware in Chicago and I was just curious
cuz I'm reading more about the exception that's being made
for Chicago in terms of Federal Aid service line
replacement. And I'm I'm sure in the next segment. It'll be
interesting to note here from our commissioner about why
it's impossible.
Should do what every other city in the country is being
asked to do but I was curious if we did even half say we
were committed to getting the stone of next 20 years for
the next forty years. What kind of work hours does that
create for our union members see it we're trying to do
hypothetically 20,000 LED service lines a year. What does
that mean for your membership?
Well, it'd be hard to quantify all in all them in but I
will tell you this that it's a it's a composite work crew.
So it's going to be a operating engineer 150 digging up the
streets going to be plumbers Union laborers union and it's
also going to be all the all the back people that work for
those companies The Architects and Engineers the estimates
they buy equipment. So it's going to be a lot of hours when
you combine that it's it's going to be a a a portion of
this workload. That would be if it was accelerated. It
would mean opening up some of these apprenticeship programs
at an accelerated level, which would be great. And again,
we have a lot of opportunity for CPS students. We've got
three or four high schools where we were the unions are
teaching these programs with direct entry right into
careers in the union construction industry matter fact,
we're having the largest and John career fair. We we did it
every year for the last 3 years.
Now at McCormick Place with just CPS student and we'll have
all over 18 trades their contractors are Edison Peoples Gas
where they can learn what careers are and we follow up with
those are interested with how to apply with any kind of
residual. We have a barrier reduction from we giving out
over $1000000 to these students if they need work boots
that they can apply for the $50 entry fee, but they need a
new over until they can get a vehicle and it is made this
again working together instead of silos is made the
progress on this incredible in Watford City residencies
careers.
What I appreciate. I suppose if it's possible through the
chair for our colleagues from Leona and from local 150. If
you can get us even what you would think of rust rough
estimate of that is it helps us make make up another case
on top of the existing environmental case for the work.
They were trying to accomplish that appreciate it.
Thank you. Thank you, sir. Thank you for the other
questions from members.
Manhattan worth
Nicki chair. Thank you for coming to testify.
And for for this joint committee, very basic questions
here. It seems to me with all of the health benefits and
the economic impact that we can see it beneficial to the
city with more jobs and supporting our unions allowing our
children to grow up in a safe neighborhood. No matter where
they are in the city. What what has been the the biggest
challenge in creating strategy for and why?
Why is it going to take up to 50 years? And at that time,
you know, I will be long gone as well. What what what do
you see is the biggest roadblock moving forward. I
appreciate that and I think the reason why we're having
these hearings is to bring attention to this matter that
this issue has been going on since 1986. We've known for
the past 40 30 plus years that we have led service lines
that need to be replaced.
In 2018. There was a lot of discussion around trying to
find a way to fund the program's whether it was through
cdbg, whether it was through ordinances that Repose around
trying to find funding revenue streams. The problem is that
this is a multibillion-dollar program that we need to find.
Unfortunately. That's the general assembly state government
is the federal government having provided some additional
funding to help help with this car. So it looks like after
30 years if they're not going to step in where to have to
step in and try to do it ourselves or at least take steps
to do it. And then and if we get additional Revenue than in
good, but I think we need to start doing it and that's why
I'm beginning his hearings as to take a look in your in
your in your folder. There's no ordinance that I introduced
that is very similar to what Newark has provided and we're
going to mend some of the LSR.
Include some more people on there for ex-official members,
but with the intent is to really declare this as a public
health issue and and and put ourselves in a position to
finally get the Led Out going to take years to do this, but
we've got to start somewhere and this ordinance put forward
some pilot programs to figure out how we can get a Cadence
going so that way over the years we can predict how many
let's service lines. We can do an annual basis given the
fact that we have.
2009 service B. So if you did 10,000 which which which is
being projected by Under The Mayors Mayors plan, it's 40
years. So we've got to figure out how to double that ten
thousand so we can get it down to 24 even do more
aggressive but it's not going to be until this is an issue
where everyone's paddling in the same direction where
people know that this select service issue and so we got to
work with the not-for-profit utilize their credibility
within the community to get to get the message out. And
then also allow for people to get in their homes to help
with getting the let out so it it's a funding issue. It's a
lack of communication issue and it's quite frankly the
infrastructure. You don't see if someone stated turn the
faucet water turns on a everything's good, but I think
that's where we know based on our cdph and other
Morning, we heard earlier that land and water is a problem
and we have it. And so that's why we're having these
hearings to really take a look at exploring getting
everyone to sign on to this ordinance having our partners
in labor. Help us in Springfield advocate for additional
funding. There was some legislation that passed a couple
years ago. They gave us fifty years to get the let service
line out with no money. So the general assembly in essence
gave us an unfunded mandate. So you have 50 years to get it
out you figure it out. So
We're out. We're all people here to to Salve forget to get
issue solved. That's what we're doing restarting to
discussion to figure out. What can we do. How can we find
Revenue in order to dresses big issue any take a look at
the economic impacts of it. That's an unfortunate to have
one of the schools that have Building Trades in there are
School provided 8 apprentices right out of high school. So
they took to mr. Jones this point. This is a career
opportunity ever going to have jobs that'll last for a
couple of decades which will in essence put people on a
path to a great paying career. Also if they have an
entrepreneur Panera Spirit allow them to get start a
business within within that trade. So this is a good
incubator for about a positive economic development. But we
need to figure out what we're going to do as a council to
find out a revenue stream while we're waiting for the state
in the federal government who has a track record of not
stepping up on this issue given that 30 plus years been
waiting for this. I think we have to figure this out on our
own and
I think that's what we need to have those tough discussions
when bunch of cups.
And get your other questions or respond to testify
everybody in the Box as I've learned more about the let
service line replacement challenge is a just too too soft a
word. It is a really big ass that we have ahead of us and
it's
Just about the funding right even if we had the fun and do
we have the Personnel so, you know, this is yet. Another
thing I think as a council we've got it attacked from
multiple from multiple angles. This is how are we working
with CPS in private schools to talk to kids about the
trades. There are like you said careers that can be made
Futures that can I talk to you when I talk to people who
are looking for jobs. So they have you considered becoming
a plumber we don't have enough plumbers in Chicago. Let
alone the region to accommodate the demand to replace. He's
LED service line. So I think we need to we need to think of
this comprehensive and I really appreciate chair that you
brought this hearing together so that we can look at this
from a wide-angle view so that we can figure out how we can
do that and I think sitting around waiting for the money
and she show up we've been doing that for a while. I think
we need to start demanding that it's really disheartening
to hear the 4 million or 130 million allocated to the
we have the largest need this pretty ridiculous. I'd love
to understand if someone could explain to us. It's a
rhetorical question in this room. But how do we justify
that at the state level? How do we go after and I think we
need to get people organized.
How many people are we short right now? I'm like to the
goals that we have set even for like this coming year and I
know dwm has talked about, you know, their targets for
things. I'm more concerned with what we can actually pull
off realistically and where we can help. You know, you all
help us at the end of the day.
So the Epson Evan flow of the economic cycle for
construction firms the opportunity just based on you no
casual conversation with members and what kind of work they
have coming up in things like that. There's going to be
some opportunity coming up for firms that may be engaged in
private sector work to be coming over and starting a bit
more public sector work because you know some of the things
like box warehouses and you know commercial industrial
projects are starting to slow down. So those people are
going to be looking for work and you know any time that
happens, you know what I always provides more competitive
bidding and and helps keep the workers employed in the
companies and businesses moving because you know, they can
just move me is one sector of the economy slows down and
they can move to 2
And yeah, it's hard to pull up the crystal ball and and
predict but you know, I know that the plumbers had the
open. I don't know the exact date for the application. And
it was to a certain date or the first two thousand
applicants. So they are looking at a lot of applicants than
in the other trades are as well. You know, they're all I'm
slightly different timeline. But ultimately most of the the
Union's when they take the apprenticeship classes in they
start June usually start on June 1st, and you know, there
may be some exceptions like with the labors in that but
there is definitely opportunity out there and you know, and
then I'm going back to you know, how long is it going to
take and to help utilize the forces better is and this is
from you know members of mine all the way down to
Springfield that we're doing programs down in Springfield.
Is the city, you know or the municipalities working much
closer with that contractor than they normally do too
because in this case they have to get into the doors of the
homes and if they can't access and you know, the reality is
is to be efficient and get it done as they just worked on
one side of the street and in and go back the other as
opposed to their jump in here and there and all over and
trying to get a hold of residence and everything else. You
know, I kind of equated it to see
In conversation and is all of you are aware of, you know,
when Chicago's got a streetscape program coming up or
something going on, you know, you see the signs all over
the the light poles and utility poles in that saying you
are not to park here between this date and that date or you
will get towed, you know, it's to get the cooperation so
that you know, the contractor doesn't show up on the street
to do that curb work or even work or whatever is going on
that they can get the work done and it's something similar
to that that needs to be done in that will help help keep
costs down because bouncing around can greatly increase
costs and and just that cooperation to help, you know,
conserve man-hours and that and be more productive and in
and you know, really Advanced the programs, so I'd love to
get more coordination and actually tell you and I'm sure my
colleagues can relate to this the number of calls we get
about permits. No parking for construction work. That
doesn't happen.
For a week or more and it's taking up her pee and then it
just did breeds a lot of resentment and frustration about
how were operating as a city. I'm sorry. Go ahead and what
he was saying Local 132 plumbers Union. We don't keep a
foot on the pedal. We we don't take applications on a
regular basis from November to February every year and
doing the man how many prison we going to take what is
needed this time?
Find the first time around we might take 298 200 more. So
also we got facilities in Chicago Joliet in Volo. We
continue training. We never going to stop by training. The
only we take applications. We do other type of recruitment
bring people in from all different type of other ways. So
we going to meet the demand we have no problem doing that
local 130 is going to step up to the plate get a printer
says good German ready? Cuz you visit our schools in
Chicago. You will see how we have water main set up already
too pissed that up to do the work ready for city of
Chicago. Thank you are who is active and lots of schools
throughout Chicago taking out the simulators to get kids
who are in high school excited about becoming a cop?
So we are active in on the ground in trying to recruit kids
and also to Peak their interest in joining the local 150
but Representatives going to all the high schools on the
private and the public site, so we're ready to go and I'd
love to talk to someone from remote Operating Engineers
over the 11th ward to up.
399 about doing a Trade Fair. We would you really big job
fair. I'd love to do you want to strictly for the trades
and really invite and very intentionally promote this to
young people to come and take a look about the
opportunities are my just my last question chair. Is this
about barriers from the city's perspective and I fear
sometimes from contractors about hey what's happening, you
know where we're ready to go, but the city is not moving on
anything that you don't got projects that are you. And
where you know, we haven't been greenlit at this point to
be releasing go do the work or the money hasn't been
released you find. I don't know that you all would would
have some insight into that but I think you know what the
two sides to this equation. We have to get you guys show
up. We have to we have to have the other side of this
together so that everything can move efficiently.
It does hurt the contractor. So I I had asked last month
one of the contractors, you know, cuz it's that time of
year, right? Everybody's trying to hurry up and close
things up get that before the asphalt plant close in that
and he said while we're not really busy and I said well,
why is that and he said, you know because they had bid on
some of the programs and they were held up. So because they
were low bid on it and thought they were going to be in
doing the work they didn't bid other work. So then you know
so that do your point on that when the things get held up
that that's you know, it's hard on those firms and also to
your you know what you had said about you.
Understanding, you know, the frustrations of residents and
that, you know, especially when it comes to what's
underground the previous panel, the one of the women had
said about that the service were there was the White House
was cut off. Sometimes you don't know what what's their
what's in your way and that and it doesn't know it doesn't
matter, you know, you called, you know, 811, you know what
to get your your location at and you know, invariably there
could be nothing where the flags are located and all kinds
of other things in the way where there weren't locate. So
it is it is difficult work and they do, you know, try to do
the best I can but I have no. Everybody is doing the best
they can we just do what we got to do better together and I
let you know there was a sewer project right in front of my
word office like earlier in the summer. And what was it
meant to be a two-week project turned into a three-month
project and that was because like you said, it's it's kind
of like four.
In the box of chocolates, you never know what you're going
to get when you open up that crown and they found you know,
a box that wasn't supposed to be there that had no idea
than the pipe was to the Sewer main was too close to the
water main and things had to like everything that could go
wrong did go wrong in that case. I feel like it just it is
a very regular occurrence and I don't know how we fix that
but also to that point for a local 150 is market share we
have found that there are about 40 million dollars worth of
projects in the city of Chicago for a lead pipe replacement
currently occurring
In event of courses. We are doing the digging Excavating
for that. I'm happy to share that that market share, that
would be great. Thank you.
If you can you repeat what was the estate I location. Can
you repeat the number one of the few years in the state of
location for for Chicago on the dollar amount?
The estate is receiving 230 million and the City of
Chicago's receiving approximately 40 million next year 2024
or million. Also 30 up 236 want to make sure that I didn't
hear him correctly. So this comes to in a time, you know,
nothing is being in the news recently had the opportunity
to meet actually were arrested as a right on Park and one
of them things that Brighton Park residents were asking was
with actually LED replacement pipes. That is one of the
things that they were asking so there's a priority station.
Right and I do think that the city of Chicago has serious
environmental issues that we must have become so I welcome
the subject matter hearing them all the people attending.
So how we
Prioritize my my and again, I do listen to all of us should
be doing a lot right seems like the state all the sudden
became a very very caring and environmental issues by the
actions and in funding I do see very huge discrepancies. So
I do want to make sure that we actually prioritize, you
know, those areas in the southwest side areas. Like I've
been dealing with these issues for quite some time and just
want to talk maybe with some of the other kids that were
you welcome the eagerness to to get this to work that the
Outreach and Partnerships. How do we may be prioritized by
The Weeknd guy this conversation's so that we can stay in a
we put our elected officials, you know to put the dollars
and our decisions were a mouse. So maybe just you can how
can we prioritize you know, and also Advocate together for
these funds
do you know that it's exactly what we do at is AAA agency
that is members of all these we could we put our Collective
voice together so we can send letters for State funding for
city funding for projects on behalf of the entire industry
on behalf of the 8,000 contractors in 140 thousand skilled
trades men and women in their families and then all the fan
in this case then we we highlight the bullet points just
won, you know, this one is just as there isn't a person
here that
Going to argue that any preach any amount of LED is okay.
We've already heard that from someone they grew up for 65
years drinking and out of hoses in that I went there and oh
my gosh, not not even being aware of it. And then when you
hear now, I've got, you know grandchildren on the way in
the city and hundred-year-old homes, and I'm like, oh my
gosh, I guess I found my Christmas present, you know, what
water cooler, but you don't know what you don't know but we
do advocate for this and when we when this is made and in
the fact that you had this hearing and I believe you're
going to bring this to even more light. I heard you on the
radio last night. I might drive home. I think the more
people did hear about it. It's not a sexy issue below that
it but you know, when you hear from somebody and childcare
and Pregnant and in all of us worrying about her children
were like, oh my gosh, so I think that they're the more we
put this out into space like you've done today and I
commend everybody here for it. We can we can change it we
can build
and we will Advocate is an entire industry 44 more funding.
So again, I think it was set here a few times. Let's roll
the boat together to get this thing changed at a more
aggressive path.
So when I can speak to you know, like the federal funding.
So for instance the state revolving fund that's
administered by the EPA and they use a formula to
distribute to the states that the funds that they have. And
then what you do from there the Illinois EPA then you'll
manage is the funds of that road, you know of the srf and
you know, and it's based on need so, you know, whatever
governmental body is putting an application for sewer water
letter, whatever. They do their preliminary engineering
send it down to the state EPA. And then from there they
prioritized, you know, what is a good program but, you know
some of that push for the funds on that because for over 25
years a conversation with somebody earlier, you know in the
80s during the Reagan Administration, you know, the
SRS we're getting 4 billion. So if you take inflation
account, what what should they be funded, you know today
for those State revolving funds and you know, we're funded
actually under those numbers instead of an
inflation-adjusted amount of like 10 million or billion or
12 billion a year to support those programs. So it's been
greatly underfunded for four decades and there has been
pushing the last 6-7 years to include the ihsaa to get more
funding on.
But a lot of that talks, you know, you'll start with our
Congressional Delegation in our Senators in DC and securing
you no more funding especially in light of everything.
That's that's been going on about budget cuts and you know,
and also them you don't getting an actual budget together.
So stressed out and shut down, you know, we need to keep
moving forward.
Thank you. And I just let my last time perhaps, in terms of
the revenue you mention chairman and I think definitely in
the federal level. Of course, we can always use more
advocacy, especially when we see so much is functionality
on Chi Chi basic infrastructure. This is basic
infrastructure and glad that you mentioned is the Minx no
amount of that is acceptable is zero and unfortunately,
that's not what we have today and I was singing from
school. So, you know for public infrastructure to some more
homeowners in there more most vulnerable areas sentence
with Tremor in terms of Revenue. I like to propose that
that you know, it's part of the the subcommittee that we
have gone cuz I do think that is important that we ask at
every level of government for a serious commitment on
remediation let pipe replacement and so on but you point it
has to come
Revenue fell to the partners I would like to work on you
know, this be the beginning of a conversation so that how
we cannot locate so that we can get to those goals and our
communities do not have to accept that as the norm. So I
welcome this is part of the conversation with some
committee because you said that we can look up I'm from the
mandates and on top of that, you know, very little option.
So I would love to work on that with the committee as well
as Mitchell.
Making sure I'm going to start off by saying I appreciate
us starting to engage in this weird. Then me and members of
the Blackhawks naming and shaming Dow had already started
some engagement with Department of Water Management. And I
want to say hi to commissioner change and appreciate the
work that we've been doing so far in your response to
everything so good to see I want to add a couple of things
just to put in put in perspective. We know what we're up
against outside of the share dollar amount of the project
and jump in the line in the longevity of the project.
There's a lot of coordination that that that has to take
place and it's it's always us already has us behind the
eight ball.
The Department of Water Management, you know their password
contacting homeowners to try to get their permission, you
know, you got that two piece to it. You have the
coordination between see. You have to coordination with
with the with that goes on 2 o u c and so far through the
experiences I have had that is not been the best right now.
You know, there's been there's been some situations where
I've just done menu project and I've got my street cut into
for a waterproof up for the last service pipe replacement
and guys, you are know that we can't have that. So there's
a whole lot of coordination to have to pay place to the
point where I have an ordinance ready to talk about into
with respect to the coordination housy. Water department
needs to work together. And so I have that ready to be weak
when I we need to or if we need it at all. You know Deke
and I say if we need it all because we have gotten REI
Co-op relation between water and see. So if it has been we
were
it all out, you know the impact I just mention our menu
items, you know, in addition to the menu items that we do
on a yearly basis. We got to deal with infrastructure work
that in the projects in deferred maintenance. All of that
has to be coordinated. Cuz once again we going to do spend
millions and millions of dollars on on projects and then
turn around and come back in to tear up the streets and get
with the virus by be playing and we've mentioned the
opportunity there. There's there's
No way representing a predominantly black community that has
been disinvested in disenfranchised add a project like this
that's going to go on for years and the people that live in
these communities don't have an opportunity to one just to
develop a career in Jones. I had you on deck to talk to you
cuz I had three or four young men in the last few weeks
talk about they want to get an appointment trade and my
response to hold. This is a good time if there's a lot of
opportunity so I do you're on my like my my my desk to give
a call but there's no way we we we can let all these
opportunities with this project go buy it with it with it.
We we we we just can't we can't do it. So I I want I want
to put this on on the table and just to put the context
around how diligent we have to be as a body. I just can we
have to be at the city. I just got to be as the contract in
the union that we have to make.
All of this time together cuz this is a huge opportunity
and I'm just mentioning these things because other people
have touched the wrong there that the public health peace
and then in the funding page, but I wanted to make sure
that the infrastructure and the coordination and and what
I've experienced so far is on the table. So we know that
these are things we have to keep on our agenda items to to
address as we progressed down yourself then his parents and
also feel compelled to do it since I'm the chairman of
transportation to public way.
That's all I have but I look forward to working with
everybody in this room, but I cannot cannot stress. We have
a great opportunity to put to put Chicago our next
Generation Zone with careers are unions. I mean, we have a
great opportunity and I don't want us to squander it. So I
look forward to coming to work with everybody and to your
point around coordination take a look at mega-projects
whether it's O'Hare Lincoln yards or
78 Lovelace larger projects are in the billions hapless
call the PMI project management organization that the kind
of coordinate everything around dealing with
infrastructure. Although we do have some departments or
have a department that supposed to coordinate. I think that
there needs to be either a revamp that department in order
to give them some Authority around scheduling because what
we're seeing is that there's a lot of there's a lot of
infrastructure that's taken place where the communication
is not really happening to the point where it's it's the
coronations coming out and the end product and I can speak
specifically to a project that I just completed and now
we're having to having some repairs on it. So
I'll be more than happy to help you with your with your
ordinance around scheduling or support it because that is
something that we do need to make sure we're not wasting
taxpayer dollars and that once we will make the Improvement
that every Improvement that's related to that street should
be done at the same time and not coming back and then and
then disturbing the restoration. So look forward to working
with you on that. One of them might think somebody
mentioned the communication communication with our
homeowners to communication with our buildings, whether it
be rental buildings or whether B Co-op and Condo building
because there's a huge impact that they're going to have to
deal with when that when it comes into the building and we
are situated but we talkin about if there's a specialist in
some of these buildings. That's what you disturbing you
have to deal with it and that can be a very expensive task
undertaken for a lot of these.
Building which they would have to bake into their annual
budgets and maybe some of your special assessments for
those type of young building. So we have a lot to cover to
make sure we have a great chance that you're being remotely
successful him in any additions or amendments that you
think we need to add to it. Be more than happy to talk with
you kind of work. We worked with water department on this.
The mayor's office to put forward something. But again as
we know any 26 V to get something so I'm looking forward to
my colleagues and put it around what it is that we need. We
do talk about condos and Townhomes. We do talk about having
owners have to opt out instead of opting in right because
again, we want to get a LED service out. We want to make
sure that we're moving aggressively on this and this is
this ordinance is modeled around the successes around
Newark Cincinnati and other folks that you hear from him
later on today in the testimony. Thank you and discussion
cuz this is a big a big issue but is also good opportunity
for Chicago Institute to take advantage of this. Thank you
so that we're going to take a two-minute break so we can
get the people out the box is the next segment in which
deals with the current state of lets her slam replacing
program with the commissioner chain.
Thank you.
All right. We are coming back from my recess. Sorry. It's a
little bit longer chairman of the egg has kindly provided
some sustenance to committee members. I'm so we're not
going to hear from our third set of panelists will discuss
the current state of the LED service line replacement
program joining us today directly next may we have our
commissioner Andrew Chang with the Department of Water
Management. I'm enjoying her or other representatives from
the Department of Water Management has made themselves
available today to answer any questions and if you are
lucky and go quickly just saying you got Kathy Bailey also
executive director of Cincinnati Water Works. You'll be
joining us virtually the exhumed and for me Madam director
of newark's Department of sewer and water utilities will
also be joining us for a to leave you as soon as I want to
now turn it over to commissioner Chang to share her
presentation and introduce 14.
Thank you. I'm going to say good morning. Good afternoon
chairperson had an NBA guess thank you for the opportunity
to provide information on Chicago's let service line
program today like to introduce my staff is you can tell
this is an important issue for us. Do I have most of my
senior staff here today? Because we all deal with this
every day. So we have Matt Quinn managing Deputy
Commissioner for operations and distribution if you guys
want to wait
Joe Vieira first Deputy Commissioner
Marisol Santiago management managing Deputy Commissioner or
Administration contracts and d i
William to be Deputy Commissioner over operations in
distribution on Krueger, but cheap water engineer
Patrick Square director water quality surveillance
Karen bielarz or managing Deputy over Regulatory Affairs
Justin Redington or contract administrator?
South Elgin McDonald's until tomorrow, but
so there are a lot of aspects to let in Chicago to cover
today. If you've heard from all the folks we talked before
me to let me start by talking about we go better. Let me
start by talking about some of our successes and then go
into the challenges. You know, what Chicago having had the
most number of blood service line means we had to do a lot
of thinking and planning we want to make sure that we plan
to put forth with tow active but also is was fitting for
the use of Chicago everybody is different. So we we got
started in 2021 with a preliminary let service by replacing
plan, which is on our website. If you haven't seen it, we
are to the first in the state to come up with a plan and we
also were the first to complete our corrosion control
optimization study. So I go into that a little bit more
later but basically in addition to remove
We need to be working on corrosion control at the same
time. And so we focus on that very early on as well. We
also completed Our Lives over by the inventory online and
and I had a most large water systems in the country
inventory online is searchable by address, but also has his
life it's updated daily. So as we replaced let service
lines each day that is being updated, which is is pretty
awesome. But it goes towards sort of our point, which is
with this many let service lines. We have to be tracking we
have to be prepared for audit. We have to make sure that we
don't leave anything behind so it's a lot of tracking and
it Pocus that had to get going first or we could get
shovels in the ground. We also were one of the first to
focus on Equity having our Equity LED service, I replaced
my program focused on low-income residents.
And we use now and in order to do that. We use non-standard
funding sources. So the Community Development block grant
that we have one of the first ones to use at 4 let service
on replacement and it allows us to keep that program free
and Equitable and really focus on those who are most
impacted and least able to afford to replace a light
service line first. We also had to make sure that we in
addition to doing what service are replacement were
continuing to work on our blood sampling. So we have one of
the largest LED sampling programs in the US but it's free.
We've actually mailed out over 110,000 kids and all the it
and customers are
Expensive part of that to make sure people can know when
their kid is coming see the results be able to talk to our
staff Patrick earlier had a group of sanitary Engineers
that are very good at knowing about the science of blood
and also talking to customers about that. So that's
important. We won't want them to get misinformation. We
want to make sure they understand, you know, all that other
is around but we also make sure that you know, as we build
these policies and programs to sort of scale up and build
up this program that we were thoughtful that regulations
are changing and will last week they did so we knew that we
had to build something that was flexible so we could pet it
and comply with the law no matter how that changed and it
so that's something that I feel like we've been pretty good
at.
You're talking about her challenges.
Got a little agenda here. I will there's a lot to go
through but I'm going to go through that high-level just so
we can kind of go through and then, you know answer
questions afterwards so I can dive into be topics in more
detail as needed.
I think everyone here knows but just L real quick reminder
about the service lines in Chicago combined responsibility.
Not every city is it has both the public and private side
but most cities do the other thing about let's remember is
that we touched down a little bit earlier. They were only
made up a 2in in diameter. So what does that mean? It means
are mostly in single-family to Flat some free.
Large buildings most likely they had a cop or service or
cast-iron service on the usually weren't LED. And so that
means that we're going to be led where we have
single-family into flat home because most of our homes in
Chicago were not who were built before 1986 so that the
poster boards you see behind me. That's all the locations
of the either suspected or known let service line in the
city so you can see that that's pretty much everywhere Ojai
Korean. Could you mute?
Thank you.
I thought you can kind of see though the trend of you don't
see it too much Downton. We have our biggest buildings
downtown you do have some but the wherever you have high
concentration of large building that tells me where you
don't have left are fine. And we did not have a list of us
on a replacement for 2021. So really everything we are
doing has been done in the last two years most of the time
before that has been focusing on corrosion control. And so
why and why did it why have we not really had any lead in
Copper rule violations? Because we haven't part of that is
because we have been focused so much on cruise control. So
in front of me, I have a bit of lead pipe that was dug out
of it. This is actually a pipe from the very first light
service on her placement a little little souvenir.
Everyone's really proud of what you can kind of see if you
come up and look at it after if there's a white coating on
the inside and I have a picture of it up here you can see
on the left is a pipe that didn't have any corrosion
control.
Right is one that did that white coating is something that
we a drain the water treatment process. It's what we call
corrosion control. It's a phosphate he want to get
technical and that helps prevent the water from touching a
led directly right of minimizing the lead singer of Aladdin
of the water and is not perfect but it works pretty well
and that's what helps keep us in in compliance and that's
what we have focused on in the meantime while working a lot
service or I replacement because we recognize we can't get
that done in one year, right. This is what we're also
working out because this impacts every single Chicago in
every Chicago and get the code inside there. And so that
this is our safety nut and Natalie. Have we been focusing
on it over there over the years? We've been optimizing and
we've been doing research. So actually this spring will be
switching to a slightly different type of corrosion control
that is going to actually lower levels throughout Chicago
and that's pretty exciting. We've been working with IPA on
this they've approved
construction is underway underway, but the equipment that
we need to make that change and sewing in late spring and
early summer will be transitioning off of the old one
slowly and onto the new one slowly and it expects to have
lower levels as a result of that. So I just want to take a
moment to talk about that because most people don't talk
about the corrosion control aspect of this but it isn't
important thing that's going on in the background while we
talk about let's set a timer for 8 minutes.
The other thing I want to take just a second to talk about
is our testing programs. They are substantial. We we have
what everyone has right into his old lady Harper will
sampling mandatory stuff all the way have done some some
novel types of sampling with that. But we also have our
massive voluntary program, which is the one you call 311
and get a free kick. That's the one I mentioned earlier
that we also do as Department of Public Health mentioned a
sampling at the the locations of kids with elevated blood
levels. We make sure that they get a kid as well. So we
look to make sure you know, is there a correlation between
kids with elevated blood levels and levels in water know
there is a most of the time you see the kids that have been
exposed to paint and an elevated blood levels those tend to
be a multi-family housing which tend to not have let
service line different areas where we have let service
lines again to be single family to Flat less likely to have
lead paint though, you know, we haven't found a correlation
we continue to
Data, and it's better to just hang up and be on the safe
side. So we continue to do that. But but the reality is
it's just it's just a different exposure route. We have a
lot of LED research studies being done in terms of looking
at blood levels before and after a water main replacement
meter replacement. We have pipe Loop, you know, we we
published of academic level research that Chicago should be
proud of in terms of pushing industry forward on corrosion
control.
And that helps a model that help us understand how we should
better plan or let service line replacement and our lead
program overall. We also as part of the letter with my
replacement. We have testing that occurred afterwards. We
want to make sure that the levels do lower they will most
likely never be 0 though. So we all know there's stuff
inside your home that most likely have little bits of blood
that needs to be flushed out or replaced overtime. And so
what service on replacement is key to significantly lower
levels, but it will be over require additional remediation
inside the home faucet things like that can add a little
bit of blood as well and it filters out filters here today.
We actually have handed out over 61,000 filter sets that we
head out of a picture filter and 6 replacement cartridges,
which if you use it, it's about six months worth of the
way. If you're careful you flush a water before you feel
like I can make any longer and those are for people have it
elevated levels people have had to let service line
replacement.
Struction work on your on your block anyone's had a meter
installed. We did a big campaign back in 2018 and 2019. And
is there a canvas the city to make sure everyone knew and
then ever since I have included included in all of our
outrage rcz-r our emails community events to make sure
people know that that program exists and you know, we will
continue to make sure that people understand that about
availability.
Do a little more background on lslr overall.
So I think you kind of heard today. There's there's a lot
of layers of rules going out of simultaneously here in
Illinois. Illinois is one of only three states that have
their own state law that have band Parcels that they call
it right leaving any part of the lent service line in the
ground. And you know, that's what a lot of cities have done
in the past there. There was unknown that with you when we
removed a the public side of a service line is left the
private side alone thinking you're lowering levels you
really want you really aren't and so would in recent years
that with that knowledge people have been Banning those
partials and so we have the Illinois House Bill and that's
that's us that 50 your timeline line that was referenced
and a 2% replacement. But in the middle, are you have the
letting copper revision? So that's the federal law that's
in that is in the works right now. That one does not have a
ban on partials and really you only
3% of your violation, which we haven't had then you have
the new at the last week proposed Federal Regulation, which
is the l t r i in provement and that one has about a 2.4%
minimum for us that's proposed. It will go to Public public
comment and all sorts of things before it gets finalized
most likely next year and probably would take effect in
2027 based on what the ETA is saying that one for very very
large cities like Chicago and there are it's more than just
Chicago maxes out at ten thousand. And so that's where you
know, you see the 40-year estimate if you have ten thousand
marks a year you and so that just laying out the kind of
layers of regulations that we have going on the same time
the other thing to note that's important here that state
law.
Unlike the federal Law's mandates break and leaks have to be
replaced with copper within 30 days. What does that mean?
It sounds like a great plan right great exposure out. We
want to get rid of it. We want to replace it. However, that
means we're hopscotching across the city because it's 30
days to get that done or as an EPA violation. So when folks
talk about Block Level absolutely great we're going to do
as much as we can. The reality is I have four to five
thousand francs at least a year. I can't stop that. I can't
plan for it in terms of knowing where they're going to be
and so I have to get those done by by state law, I have to
get those done first and prioritize those so hopefully over
time as those go away because we are replacing services
will be able to prioritize more I block level or perhaps,
you know, if that was a logging modified a bit.
I'll just really quick highlight some of the changes that
went along with that ltri in addition to the 10-year from
Sebastian majority of water systems with a maximum of ten
thousand a year. They required inventories. Again, we're
already ahead of the game on that one. It's required
changes. And how water is ample Chicago is already ahead of
the game on that one as well. It did drop the Action level
for about 15 parts per billion ppb 210 and it did require
that if you are out of compliance, you can start handing
out filters and you have to increase your your customer
Outreach.
Starbucks has a sense for what that latest proposal
included.
And like I said, let service on replacement required a lot.
It's not just going to house knocking on a door and you
know starting construction, right everything else around
it. It's the administration of it as its program tracking
its restoration. It's making sure that you're complying
with your vacation. We have to give people a certain amount
of notice. For example, 45 days before we come up and do
try and do a block level let service on replacement. So we
have to make sure we're complying with the most restrictive
of the state and federal laws.
Our current programs are many be 7:30 programs all with
different funding sources and different focuses. And the
reason we have some company sources that you know each
while we're cuddling together, you know what we can get
from the various state and federal sources, but each one of
those comes the different stipulation in terms of how we
use that funding some of them require a contractor to use
some of them and then it cannot be in-house horses some of
the Millau friend house forces. Some of them will pay for
restoration money won't pay for restoration. Do we, you
know, put it together to make it so there are programs are
free overall. And and that is some of the gray hair you see
here right today. Is it figuring that out initiated program
with something we started out with just to offer permit
fees be waived up to $5,000 a thinking.
People we have on their home if they were in the middle of a
plumber already perhaps this might be something a few
people would would be interested in and lo and behold we
actually had quite a few people interested in it. So that's
that's been an unexpected surprise, but that's great. But
the rest of these are all free completely free of public
and private side. Most people hear about that's the 101
from my grant got six hundred a year and that is a
low-income homeowners qualification. So unfortunately, they
do have to live in the home which means it can't be a
renter. That's a downside. However, it's 15 million
dollars. I grant that I'm going to use it. So well when I
will work on renters to other programs, we have our day
care program that's also free full length of its own
replacement for daycares in low-income neighborhoods, and
we got enough funding from Oneida PA to about a hundred and
its first year. Unfortunately for next year. They they've
decrease that funding and it's just a loan. It's not a
grant
So we have gotten some sort of the earmarks to try to make
up for that and are trying to continue to push the the day
care program for just bite. You know, I'm not having
support there. So there's about 2500 license daycares. I'm
not all of them have read though. Most of who were focusing
on what daycares are your mom and pop type, you know,
daycare. They may only have five or six kids in the home.
Pretty much looks like a home from the outside. That's
really who tends to have let service on Replacements and we
actually just
Play our first 100 last week, which is exciting and those
first 100. It may not sound like a lot they serve 2200
children. So 2200 children were impacted by those first 100
acres and one day care impact many children. And so that
that's a very excited and it's hard why those are so
prioritized for us. If you can see it is it's a very large
amount depending on the season and we started with a pilot
area in a low low income areas and with our own it out in
her screws and contract have just gotten to be awarded for
contractors to help us with that work so we can make sure
we're complying with that pretty day state law.
We all that water and sewer main replacement. Now. This is
when people talk about Block Level. This is usually what
they're talking about doing it alongside a water main
replace when we are already breaking up the street or is
Superman replacement. People say, why is there a
replacement well, because often when you are doing a sewer
main replacement stores are cheaper than water you often
have to cut through a lens service line like this to access
hard to see where down below the once you cut it. You are
now breaking state law. You have to replace it. Right? So
that's why we're doing let service line replacement
alongside sewer main as well.
And then we have let service line only Block Level. This is
where maybe this is water in it storming or newer. They
don't need to be replaced. But you can still go at a block
level and do let service on replacement only on that block
that you don't get really focused on efficiency. And here
is where we have a lot of opportunity to focus on, you
know, environmental justice Factory told me choose those
blocks focus on low-income neighborhoods and really hoping
to be able to compete for that iepa funding that iij
funding next year. Did you say compete because that 2.8 now
24 million is not a guarantee. We have to compete for it
with other cities. So we're looking to really focus on the
Alisal our block so far only Block Level program for next
year.
Just a little status updates. You can see the numbers for
all of our programs are about 4255 right now, which is
pretty exciting our goal for this year's 4500. We should be
able to meet it. You can kind of see very exponential
growth in our productivity over overtime. It's you know, I
I know we're always going to be tough for a our numbers.
But when you look at this graph, you have to see the
improvements we made and the efficiency and we've done with
put the planning and to build a solid foundation. So we're
just not going out there trying to do 10,000 the first year
having no idea what we're doing. We really taken the time
to learn from other cities like
I hear from today.
This is our overall plan this kind of just give you that
the sense of scale for the different program, you know,
your legs and Lisa brakes and yellow are very large to
begin with and they taper down over time is eventually
you're replacing was there with my great so you going to
have left Grace and lace over time and during the same time
you build up your block replacement. And that's the one in
blue your other programs your hoodie and your daycare. So
there, you know reaching your your most prioritize folks
first, and then you've got to be really gotten all your
daycare is dying. You're focusing on just regular home. So
that kind of gives you just a sense of scale of how bad
those programs evolved over time.
And that brand so I should know what is is in our leftovers
and replacement plan on our website as well. There's a copy
of these Maps around and if anyone wants copies, but this
is the complete it on the left let service line and in
process in process meeting we are actively scheduling with
the homeowner or they're in the permit process, you know,
etcetera, but they're just not completely yet. So you can
really see this is for all of our program for this includes
bracingly, which is random right bracket bracelet is not
going to be in any one particular spread throughout the
city daycare. We're very focused on south and west side and
you can kind of see that that bears that out here. We
really have a lot of focus on the right areas the areas
that have bullets are worth the most lit service line.
They are the most impacted and the least able to replace on
their own. So we're pretty happy about that. We also have a
break down those handouts by Ward by program.
Just again for a little sense of scale. This is Chicago or
let service on replacement our annual and whether or not we
had a history of violations compared to other cities and
you can see just our number is an order of magnitude.
Unfortunately larger than most of their cities and you know
that does put us in a category and combine that with our
Urban congestion. Just put it in the category of a very
challenging let service on her placement program. But you
know we're looking to do at least ten thousand a year and
when you look at that compared to other cities who really
will be going above and beyond you know, what what the
average city has to do per year and we have not had any
violations and when you get a violation
The reality is you get support for me to get funding. We
are grant that we apply for every year that we do not get
because we do not have a light violation a little ironic,
but that's how it is. So no funding means resources to
accelerate thing.
We've learned from other cities, you know, what best
practices and yeah, I think the number one thing we here is
this first one the entire city and public share in the
program vision and goals not just water management. It's
every city Department. It's it's the the county is the
state. It's it's nonprofits is everybody all working
together with the same shared vision and it can't just be
Water Management out there fighting and let him figure it
out right until I think that that is definitely the key and
I know having a plan and we know some of these other things
planned prioritizing replacement have an Outreach strategy.
I think we're working on that as well. You know other
cities are like we mentioned before have ordinances to
increase participation and keeping of no-cost. There's a
lot of things that are not offering Us for free and they're
finding that people say no to the private side and that's
unfortunate because that's the scenario. We don't want to
end up.
That's why we fight so hard for the resources to keep these
free because we know even when it's free people still
sometimes they know it's a heck of a lot less though, then
if they had to pay something for the private side.
The other thing is trenchless Method key and we had to
fight fight fight fight to get an advocate to get the
ability to do tranchulas methods here in Chicago. We got
that. We were from Illinois Department of Public Health in
April 2022. And that was really exciting. So we've been
able to pipe pulling and horizontal directional drilling we
run into some challenges there as of late, but we're going
to continue to push because we know it's less expensive.
It's less intrusive for homeowners it saves trees. So it's
something they're going to continue to advocate for the
ability to horizontal Directional Drilling and keep our
program moving efficiently forward with that.
And I think you know making sure that we prioritize those
black levels. As soon as we are able to in addition to
having to prioritize our our breaks at least be able to
prioritize the black level is is going to be breed
efficiencies and cost-savings.
And I will touch on this quickly because I know we have our
folks coming in after me. They're going to go into great
detail, but it's just would have laid out some of the
funding that we're currently pursuing or are using weather
can be used for the public and the private side cuz each
one is different and so the status of each one so you can
see how complicated it gets pretty quickly when you see
okay, what can be use to the private side? What can we use
the public side? How do you combine those funding sources
and note to Abby's on here are wont. G. We have to pay that
back. And so we fully appreciate things like our with you
alone. Very very good. But however, we do need to pay that
back. So in terms of a planning, you know, we obviously
prefer things like the principal forgiveness from the
Illinois EPA that is capped at a 2.8 to 4 million a year.
So that's really a nice buns like that. Can you use the
private side and bad as if he were funding Gap will always
be is a private eye.
Because we cannot use our water rates on private property.
And so that's the way you do go into more later.
And if you guys ever heard all the gay guys talked about
this a couple times today. I cannot emphasize it enough and
I think there are a lot of folks out there that are
Advocates on her behalf this on this as well, but we could
use every partner that we can get in trying to change the
fact that that up 230 million a year every city gets 2.8.
Now, it's before regardless of how many lights are besides
they have. It just doesn't make sense that awning LED
service lines and Chicago should fall on the backs of of
residence more so than if they were living outside of
Chicago and another part of Illinois that simply isn't
fair, especially when you consider that we have more than
welcome communities. And so, you know, we have not stopped
talking at the state and federal level. I have myself talk
to Senators about this the state about this and I don't
stop talking about this. You know, I appreciate all the
To see if we can get in that as well. But I just want to
show everyone it's not like we're sitting here twiddling
our thumbs by any means on that topic.
And this is just to say what we prefer to see if you wanted
to be very Equitable about it. We have 39% of lets her with
mines in the state of Illinois 230 million that would be 90
million and said of 2.8 the little different and of which
49% could be principal forgiveness. So we are advocating
for funding like that and again to be clear we have to
compete for these funds each year. So we have to put forth
our project they compared to other projects and they decide
if it's worthy. It is not a guarantee.
I'm part of how they make that decision is something that
we we did have some success in advocating for they
currently the definition of disadvantage Community has a
population cap of 25,000.
Twenty-five thousand people Chicago is 2.7 million. And so
it wouldn't matter how low income our folks are we could
never get that definition. So we've been advocating for a
long time other folks have been advocating for a long time.
And thankfully, I don't know if ye put forth Illinois
Administrative Code 663 that lays out a new prioritization
methodology for disadvantaged communities. It makes a lot
of sense. It goes by census tract and goes by Admiral
Justice.
Actors in Columbo normal population similar to justice 40
factors within each census tracts and you put forth your
project. That's what I meant census tract and they can have
a little more quantitative way and it's something that
doesn't have a population cap. So this makes a lot more
sense. It hasn't been cashed yet. Hopefully will be soon
and if that's the case that would impact funding that we
would get in July 2024. So we are hopeful for that
particular because of this map.
The dark purple are the zones that scored. The highest on
that new is a C63 methodology. Therefore perfect scoring
census tracts in the state. All of them are in Chicago.
seven of the 10 highest scoring tracks in the state are in
Chicago and it goes on so you can see that when you look at
those factors Chicago should be getting the Lion's Share of
the 230 million and do zones are exactly where you'd expect
him to be so,
Black guy gives you a son.
I just very quickly because we could do a whole nother
presentation on Workforce Development and contractor
diversity. But you will be talking to Newark there who are
the kings of that so I'll let them go into it more but you
know, we definitely have a limited number of contractors
building on our work overall tends to be the same folks
over and over again. And in addition the plumber to let
service line ratio in Illinois is very low overall for the
state. Do you know if you've heard today is a lot of it is
the time to become a plumber and any kind of trade related
to let service line replacement, but we didn't create that
contractor pull over all and that would improve competition
bring costs down. In addition. We are a limited number of
minority contractors when we went and we did our bidding
for Racing League. There was only nine and be certified
contractors that were African-American 9th. Could you let
service center placement folks just so you know we're
working on making sure they know how to get certified.
They're not out there. We need to make sure to get them
into the program. We working with you yesterday heavily on
the
and you know continue to divide contacts into smaller
amount. We're working at a lot of additional efforts all at
once but Newark is a great model for Workforce Development.
It is about making sure that we real gold additional people
into the pipeline the metaphorical pipeline to help with
light service find replacement, which is great
opportunities for everybody's is generational wealth
building opportunities.
With this much because I haven't mentioned it so far, but
to remove all of the 409,000 let service line. It's 10 to
12 billion dollars billion and if we were to do it in 10
years that's 1.2 billion dollars a year at current rates.
So it's a lot of work to be done.
And this is just a little traffic on some of the tactics.
We're taking to increase our and bew DVD participation. You
know first has been working on the naics codes here. That's
the code that basically stay what you are specialized in
and making sure that the ones that we put forth for our
contract or expansive. It doesn't just have to be the
plumber that's doing the lent service tonight. So it can be
the person who's doing the tracking I can be the person who
is doing the demolition. It could be the person who's doing
the accounting for that company write it all adds up. And
so, you know, we have expanded with DPS has helped that and
I asked the naics code that I accepted and then working
with them on listening sessions and Outreach the
contractors to understand what the barriers are so we can
understand what things we need to change and helping with
UPS is help making sure they know how to get certified on
their website. But if you're not if you're not your kind of
person who loves going on websites you might need
Bill in person on pinion or paper help getting things are
defined understand the process and that's what is being
worked on right now in order the overall create a bigger
pool of mvwb835d contractors. We're also working on
breaking up a contract into smaller groups things like
that. Led service line Block Level just one block at a time
like me a good a good starter for a small contractor, you
know, you've got one mobilization you have a predictable
block of people, you know where you're going You're not
have got to go to City. So we're looking at her listening
to them to hear the types of projects that are the easiest
for people just getting started. We're also looking at new
Contracting mechanism. So GPS says helping us look at
enhance jocks a job order contract for you, sir have a pool
offenders that you continue to give work to sequentially as
well as small business initiative medium business
initiative and that means finding the resources to allow
for that. Not every funding source allows for that.
As well as some legislative changes that you'll be staying
before Council on from CPS will laugh that it has Jack
we've also actually been able to successfully decrease
insurance requirements. Everyone will be happy to hear as I
know that's going to order one side for a long time and I'm
working on performance bond and do it. Those insurance
requirements are already been incorporated into contractor
working on right now. And again, it will be having an event
on December 14th at Jardine to do chores and get you to
make sure that runny nose.
Upcoming contractor opportunities if you know anyone who
got invites here today will pass out.
And a guy just very high-level Community engagement if he
was to talk about a little bit earlier, but you really need
to know kind of four levels. You have 0 canvassing but you
also have stakeholder engagement when you're really having
a bit more 121 you need to be able to have very clear
written materials are left behind very graphical as well as
good customer service. I have a question. We have
appropriate answers. We're looking at continuing to build
our Outreach group, but we have our stable Workforce grant
that we just put through four letter with an Outreach to
our youth to help do Outreach in their communities or
leftovers on replacement. So we're pretty excited about
that.
There's a little detail about that hair.
The opportunities for you, not just in the trade for
lecithin replacement, but also in the Outreach on that idea
was based on DC activators program aware that engage Youth
and Young Folks in the community as well as on some of the
local hiring at Newark dead. And you know, we like I said,
we have these expert Consultants on for that help us that
is helping to work in other cities and we're able to learn
from some of those best practices.
I will stop talking because I know it's a lot but you know
General are our future goals are to continue to evolve and
improve obviously we have a lot more to go. However, you
know, we we think that we made some good strides. We want
to continue to reduce cost increase present for his patient
and improve MB contact contractor participation while we
advocate for the funds that we know we need for the
Residence Inn Chicago and get creative about funding to
continue to get creative about funding looking at
additional sources, but we really want to maximize the
opportunities for collaboration amongst yourselves here in
Council, but you know making sure that we have everyone
rowing in the same direction all Department agencies and
and that will lead to more efficient work and better
Outreach. So I'm thank you so much for your time.
Thank you so much commissioner was a fantastic presentation
and exciting to see particularly like that the graph
increase from 2022. I know you guys have been like we're
working on it. We're working on it. We're working on it and
it's great to see a lot of that work happening. So thank
you for that. Next up. We're going to hear from Kathy
Bailey executive director of Cincinnati Water Works, Miss
Bailey. Are you able to hear us and unmute?
Yes, I can hear you. Can you hear me? Yes, and thank you so
much for being with us today. Thank you for having me. I
would like to talk about our program and then some
challenges and how we're answering some challenges and so
in Cincinnati. Are we been taken out LED service line since
1971 mainly on the Public's eye. We believe that time we
had about fifty thousand lines. And so we would look out
water made replacement projects. We would replace the
Publix by we would ask the customers if they could afford
their side they say no and so we keep moving and so we knew
at that point but the private side was definitely still
there, but we were doing our best to replace the public.
So fast forward from 1971 to 2015 or so when I was watching
the Flint Water Crisis unfolded in front of us and we
decided to come forward and say we needed to revamp our
program to do way more than it was doing. We also knew that
sickly for me, but I started here in 1992 with the utility.
That was the same year that the Latin copper wool came out
and that was the same year that the superintendent of my
division put forward a program or proposal to remove leg
right then and we couldn't afford it because we had just
put GAC.
Treatment into our plants and so we put that report on a a
shelf and kept it moving and so 2015 we decided that we
wanted to do something different. We wanted to revamp our
program and so we started with a two-tier approach in early
2016 cheer one was all about communication and education.
And so we decided there were number things that we wanted
to educate our customer base on and so we did a number of
things. We had a dedicated website. We had a 51365 one lead
phone number to somebody want to call that wind directly.
We use social media a lot. We looked at our GIS records and
we knew that maybe twenty-two thousand people at the time
we believe they had blood lines on their property. So we
sent each one of those households a letter we parted with
the health department so we can understand what testing is.
We're doing related to paint so that we can also stack with
those location. We offered free testing not just to home
but two schools as well. Are we gave picture kids when we
needed we created a look up map where anyone could put in a
property and they can see the material at that property
that was based on the record that we had in GIF form. And
so that Matt was very hopeful we set out newsletters, but
probably the most
African thing under that tier one approach at least in my
opinion was was our speakers Bureau and that speakers
Bureau was wasn't it an attempt?
To re-establish trust in our 52 neighborhoods in
Cincinnati. And so by that I mean we went out every month
on WE partner who is about 55 employees. We partnered in
what neighborhood council meeting and we were on their
agenda and we first started we just introduced ourselves
the next month we came back and we told her we have this
dedicated website, but we're working on it a phone number.
So the next month we came back and deliver the phone number
and said we're going to look up now next month. We came
back and said here's your look up now, but we're working on
free testing next month. We came back free testing. So we
kept going with the things that we were doing and in doing
so by the time we got to tear to which was to create are
LED service line replacement program, they trusted us and
that was significant to me because we used to do surveys
and we still do the surveys every two years University of
Cincinnati conducts the survey and our service area for us.
Do you get a lot of data but the data often says that the
predominantly white Neighborhood Trust us way more than the
predominantly black neighborhoods and I knew that we needed
to try to get more trust in the predominantly black
neighborhood because that's where we needed to prioritize
and go first because of what we knew about the older
portions of our our our city and so we did that in here
too. So then tear tear one then in tier-2 that was a
replacement program and thigh replacement program at first
was a car-sharing program and was one where we would
replace the public portion of the line, but we would give
the customer up to 40% of the cost to replace the private
side. And if you were low income and could prove that to us
than we would give you an additional 10% So really 50% of
that replacement was going to be paid by the utility.
It was also something that we would front up we would front
the cost upfront but then they would have to pay back down
to us through a property assessment over 5 or 10 years. And
so we got that program approved through our Council. We
were moving along with that. We saw about 30 to 35% of
those that we contacted with coming to the program that
really wasn't enough for us. We knew that we wanted to move
quicker and we wanted more people to come into our program
for replacement.
And so we went back to our council members in late 2021 and
said, you know what we have a few years under our belt and
we believe that we need to make this something that is paid
100% by the utility. And so I made a case for that and they
approve that program. And so we then I've been moving since
2021 what would pay 100% for the public and the private
side? That's where our challenges start to come into play.
You would think that it's since it's going to be paid for
by the utility room to 100% of the people would come into
the program not so much about 50% of the people still don't
want to have the landline removed. They don't want us on
their property. They don't want us to dig up their yard.
They don't want it for various reasons. So becomes very
challenging to try to move the needle and get more people
involved. Even if it's free.
Of course other challenges we have our funding we have had
a few rate increases that have helped us at least
jump-start this proactive program cuz this wasn't something
where we had a violation and we had to started. This was
just a saying it's the right thing to do for our community
and let's get moving and so we've had a few rate increases
that have helped us we've been able to pull down a few
grants at the state level you quite honestly, I think part
of why we got those grandsons. We had a program that we had
already stood up.
Can move their money and so we did get some of the grant
money and we're looking to get more money. We've applied
for some of the money through the state revolving fund and
we're looking to get some of that we've been told that we
will receive some of that.
other challenges that we see
You know, it's hard to reach customers some of the
customers that we have or the homeowners that we have. They
don't live here a lot of them live outside of the city. And
so it's hard to reach them. Sometimes they're just not
reading their mail. We have a significant challenge
reaching childcare facilities. We received a grant from the
state of Ohio and it was hard for us to even move that
money. Cuz the childcare facilities did not want us to
replace those lines another problem that we didn't even see
coming was it many the child care facilities are renting
the buildings are not the owners of the building. And so
that becomes a significant challenge for us because we had
a problem reaching the owners and so probably some reason
challenges and I say recent send covid it's hard for some
of our contractors and plumbers to find enough people to do
the work and so they're struggling and then pictures it's
hard to get pictures to
Point where we're forwarding pictures, you know and
everything. So now we're hoarders and so it's just a
challenge on many levels. And so some of the ways you were
answering some of these challenges, although we've had a
few rate increases. We're getting ready to go out for a
bond sale. And so we do know now that we can use some of
the bond so money to replace some lines on the public and
the private side. We're doing a little more research to
make sure that we're clear on that but we will be
considering that in our next Bond sale. We're still going
to go after some grass. We had some some meetings even
locally would some foundations here in the city that do
some projects in communities. And so it looks like we might
be getting some grants from them.
In 2024, we will do more of our face-to-face conversations
on the ground. So we will return to our speakers Bureau
will return to knocking doors. We will have more Church
meetings meetings in library meetings with anyone who
stands still long enough so I can tell him about the
program and we can get the lines replaced. And so that's a
significant way that we're answering that challenge and
then one that probably will do the most for us the
ordinance that started all of this for the program in
Cincinnati. It actually says that we can go up as far as
turning off their water if they don't comply with lead
service line replacement. However, that the administration
Put that Ordnance in place in 2017 did not have an appetite
for us to enforce it at the time. They wanted us to have a
soft launch and the example that they gave us was they
didn't want us to take Grandma out of water if she didn't
want her line replaced. And so now they're changing. It's a
new Administration is new council members, and so they
really want these lies to be replaced and we fully
expected. They're going to support us as we have that
conversation again when we can actually use that ordinances
in place. And so that's just a very brief overview of our
program some of the challenges how we're trying to answer
those challenges and I'll certainly stay on the line after
burying speaks to answer any questions you might have for
me. Thank you.
Thank you so much. We were sitting here with with our
commissioner for our Department of Water. I'm sitting next
to her. We were just kind of nodding it what's some things
you share that sounded a little familiar than your
challenge is there so thank you so much as I could Factor
Bailey so Korean Nadeem, the director of newark's
Department of sewer and water utilities is up and neck
cream. Can you hear it?
Yes, thank you. Good afternoon. And thank you for joining us
should a woman had an engine chairman a big thank you for
inviting me a would have loved to come and print and
in-person had a little conflict that I was able to move
around and still very important committee meeting.
I want to start off by saying that every let service
replacement project is very complicated.
Your name for small systems things at work tomorrow and
systems is a little different than the large inventory
Andrea and other people in Chicago over the last two
Administration. I'm happy to see all the programs at
Chicago has implemented in the last two-and-a-half years,
but it is your father will do people may not see it. But I
work with a lot of municipalities throughout the country on
what should I do? How can I start my lip service program
one of the biggest challenges do the political whip?
We recognize that if the political will is not there, right
and the political will to launch a let service line program
and get a lesser my program going.
Before you even to talk there's no political will all do
the water utilities want to implement a program where he
ended their Hendrick at times by not having the political
will that Luke will won't allow us to move the bureaucratic
red tape that forces system not to move.
You are my ass off to make a rocket and his administration
coming together because that political will was in North
America will from the May 11th down to the Council of
Twilight county level 12 state level District collaboration
that came out of the blue allow them to have a successful
and efficient service line.
From the mail bringing every director in from every
Department in the city that control from Health Department
to the hour traffic and signals by engineering department
and understood that this is a project for that. We
understood that we also got gas and telephone companies
that Mary been doing fiber optics arbitration gas gas line
electric line underground needs to be collaborating with
them, too.
Need to be restored at the end of the understanding that
just be glad to service line program in that the intention
is to replace a back surgeon not to be hindered by other
department for their initial goal is to collect money from
the utility to fund their Department versus removing. Let's
not be our engineering department are traffic department
inspection required those to come in and had our
Construction office coming to spend every house and we're
paying attention and consulting firm, right that's going to
take on that responsibility. Anyway to the engineering
department with that. It was allowed to say billions of
dollars that we went back into the city's car and use that
money to reply.
Let's get more contract on the ground.
Also, it loud the loudest and coordinating from the
management and coordinating with other departments that
when we were doing painting that will go into those roads
ahead of time by making a program management. We knew that
the payment schedule for the next three to five years
throughout the city would allow us who's going in first
who's going in last week going to be responsible for the
payment because we coordinated that
why did the coordination doesn't mean that everything works
like a fine-tooth comb and Tasha made that recording to all
on the same page eliminate obstacles that may prevent us
moving forward and also for see the chances that come ahead
and remove those eyes.
No coordinated with the county state and local government
be changed more in removing and putting a tortoises that
make the program we coordinated with the county without
without a County elected official that represent new
assistant Essex County Road, Louis County with the state
senators State Assembly people to pass laws to put laws in
place for us to use public money on private property
because the late service mine is really a Public Health by
that I hit this time and time again.
Are utilities more public funds on private property?
Don't they know we can do it in until we found out that in
Pennsylvania, right when it's a public health risk, you're
able to use money public money on private property in
public health. We all know that red service line for a
potential Public Health removing them, you know is very
important. So that allowed us to use public money on
private property before they made it a law in the state
level. We had the ability to pass an ordinance that makes
red service line replacement band.
Why would you make less service line replacement mandatory
right away you make an equity.
Right now I have to pay for.
Then we also passed the ordinance to write a venture to say
that we had to have been given a resident the ability to
sign off on letting us come in and replace the light
service line because Newark is 75% rented three hundred
fifteen thousand residents that live in the city 75% of the
rent and we understood the same thing as soon as Chicago is
going through and I were first power.
The first six months on the Optum program those financial
institutions of those landlords that don't live in the
state or city. They have no interest in replacing the
letter T. We don't live and we learn through those first
six months. We were tracking llc's down to Louisiana and
we'll find this company. They stole it to a company in
Texas and Texas, You don't know what your company in Nevada
Nevada company or sell it to a company in Missouri and
create a nightmare. Right? But the undeserved the
under-privileged replace a replace to be home so we can
move.
Making sure we maximize working with our elected officials
making sure that we maximize.
Federal and state officials the amount of money that comes
from the state revolving Loan Fund important.
We're an hour early contracts will be getting up to 90% for
gymnast or money that we got from the state revolving Loan
Fund in New Jersey recall that the idea to replace my
basketball medical building. We work with the local 472
weigh 25. We work with those Union to create an
apprenticeship program even one of yours.
Right to go through an apprenticeship program with the
human so we can prepare to replace over 23,000. Let's do
you make sure that we provided free screening of those
branches that was going to black and brown people live in
the city men and women that were going to have Kendall's
apprenticeship programs.
Every transport him to and from the training center that
one in the city of Newark to be outside of the city with a
half hours away, but we make sure that the city picked up
the car everyday. I think it's three weeks. To transport
them to and from those famous if you want to make sure that
they were successful in completing the program.
And that were paid. All right, so we had to actually
replace their own that service my cuz they work on the
program and they lived in the community network was that
lived in that that was from the city holds that we weren't
able to get into they were able to get into the workforce
lived in the city. They knew who owned the house, but they
know who makes the about talk to the neighbors. They were
familiar with those residents that live in their Community
because I live in
Go to net worth.
Coordinating with our community groups and very
Multicultural City that speaks about 20 different lengths.
We make sure that we put out literature in every different
language. We make sure that we had staff water department
staff on site at every community be assured that if someone
didn't speak English that our employees baby did to
interpret and speak the language that residents spoke to
make sure they felt comfortable with sharing what we were
trying to do with our program communication communication
communication.
We made sure that no one in our group texts on his earlier.
We make sure that we put programs out to encourage
mom-and-pop vintage become n v e r w b m m p e. I I have a
backroom office support them through the bureaucratic red
tape for getting those licenses in insurances in public.
Birth certificate only they could be minority minority of
subcontractors on a job that they can one day big the job
yourself to be a fun. We had two contracts from the start
of the NBA's that later on we can you find in a high. So I
think that's important by NBA WNBA support.
And we always prioritize North businesses first.
Collaborating with the transportation department in Chicago
is very important. You do disability to use trenchless
technology and come back about an open cut through the city
is tremendous the city that we thought it was a challenge
at first, but we finally embraced its price of technology
to open cut every day and it allowed us to ramp up the
program more efficient and effective. Let's cut and gave us
time. We did temporary restoration doing the selling. We
didn't get a lot of call backs the total restore the
street.
city leaders
I implore you to make sure that you know.
Meet with these departments to understand that this project
is important for the city to city city of Chicago.
Progress in Chicago can happen when we collaborate this
happening now for 2020 live service of 4,500 cuz you always
see the negative story. But today was very encouraging
right because no one knows I can I said he really to buy
bus nationally and internationally, but nobody didn't know
that behind the scenes. We were still doing the work that
needs to be done to get us to where we acted at like and
and I work for sale at the Department of Water and Sewer
utility and you already have a national system you and your
program.
Did the biggest program in the country which was not at the
time?
Write discussion training program at the program around the
country whether it's in Newark or DC, California, Texas.
Minnesota Saint Paul Green back. So we have a nice looking
software and we changed our national consultant to
collaborate and bring those small engineering firm that's
inside of the city right as they can get a capacity and
they can hire a resident to continue pushing money back
into the community.
Black but having a national program today.
In 1952 the city of Newark bad men service on 35 years
before the federal government banned.
In the year two thousand iPad parts replacement, we have
water leaks and it talked about five thousand six year we
band partial Replacements in the year 2000. We had a leak.
We replace that last response. We've also took the
opportunity when I say collaborated we issue a blanket and
permit Street opening with our department of you call a C.
Note department of traffic in the city.
Call the water department to take out a permit to pay
something like a hundred thousand for every year. We did
let service replacement right to make sure that the water
department was going to be responsible and coordinating
with.
I would.
And then our Consulting engineering firms with coordinate
with them on issues that they receive about roach. They
need to be restored. I wasn't contacting that paid off
tremendously.
And those were County Road and State Road was because we
had a blanket if we could have blanketed with that one
uniform construction for go see big construction inspector
has to come out every day and respect each individual that
we had to do a tie in with us because we already had a
consultant with major inspectors out there already. The
Woods apartments.
Why can we just uploaded the data to them with all the
stuff that we inspect them? They had a problem.
I just want to know.
Same I put my last thing the right of Entry.
The right of Entry was so crucial to us fast-tracking this
program and having it more efficient and respectively in
the program Andre that you're doing today is your palate of
how do you get in food? Your deficiencies As you move along
to the stuff that you're learning from the 4,000 or 4500
LED service line to put you in a better position when you
able to wrap up and gets funding to do a block-by-block
approach which would be more accurate to the entire city
and everybody went right because each individual that
service line replacement is a project of his own.
Thank you.
Thank you so much director. I deem really one appreciate
the encouragement here for our RCF Department in the the
solidarity in the struggle and that info on the right to
private entry. So this concludes our panelists for a third
segment for today's hearing and so we're going to open it
up for two and a from committee members before we move
forward and if folks don't mind I wanted to start with a
question, please a little little little chair privilege
here.
This is actually a question for mr. Chang. So I know as you
were talking about the state law around us having to do
replacements for breaks and leaks and looking at that four
to five thousand brakes and leeks four-year. This was more
of a question and it and it could be a through the chair
response cuz it might be more in-depth to think about what
Staffing and Equipment additions like we as a city would
need to maintain that level of lead service line
replacement plus start a block level program.
Yeah, we can work on that to the chair. You know, when we
look at next year for 2024. We're looking at increasing our
Block Level compared to what you know, we did this year.
It's still nowhere near where we want to be want to get
back up to doing 1% of your water and sewer main, that's
the response. I can't stop doing Water and Sewer main
replacement right just to get at the same time, but even
ramping up just a little bit next year will be at 321 in
need like part for a program for all of our programs.
Right? And so with about the 120 130 million of that being
block-level a long time and that's without of course the
cost of the actual water meter super made so we can provide
more details which are but yeah, we could we could try and
ask me what that would be if we did 1% which would be the
ideal alarm.
Thank you for that.
I wanted to give it to the going once going twice before
raising my hand touching. Thank you so much for being with
us today. I mean for the public and if you're wondering why
we're talking about this for four hours today. We need to
be we have to be like when we talked about.
In 96 70% of Chicago children testing positive for high
levels of lead out there right now in their mid-20s early
thirties what let exposure did to them and I I feel that
hardship in my bones and kind of what personally motivates
me is not like I'm here with a 15 month old in a property.
That was we just bought was built in 1891 great building
great thongs also has a lead service line. And so we're
facing a similar to a lot of Logan Square to Flat owners,
which is
The kind of like wrap your head around the cost and bring us
to the governmental scope as well because I was sitting
here looking it up and Detroit's government says that the
cost for them is a 10,000 line replacement Newark puts
their number at 5 to 10,000 Chicago 16 to 30,000 is what we
estimate and I know we talked about up here on the slide
the goal of reducing cost.
If you could just talk through that again, is that related
to scalability new technology training a broader cohort of
plumbers? Cuz like when we look at it from a house
perspective, you redo the whole kitchen or do you replace
your LED service line? That's it. That's a arithmetic to
wrap your head around. Absolutely. I think of that
question. I'm curious to know if you start getting quotes
yet from Independence Hodges just a keto have you been
curious and trying to get in your own quotes? Cuz I I poked
around but we have the homeowner initiated those costs. But
from what I hear they're not very far from what we get and
you don't cuz I've course I think the it would people sort
of implies. It's empowering fishing with the city, but it's
just a regular old home. We're doing it on their own their
prices are very different. There's a couple of the
components in talking to other cities and seeing what's
different.
The same in each City we do when we get our number that is
the private side the public side and restoration and I do
say that because sometimes they're not comparing Apples to
Apples not every city report the restoration because if
they're doing it alongside a water main the justification
is okay with the restoration. Most of it is associated with
the water made. You still have some inside homes, of
course, but we are often been doing it on its own without a
water main job with it. So the restoration is there, you
know, it would be disingenuous for us to report that number
without the restoration part of it part of it. And a reason
we're doing trenching some of that is up to 40%
restoration. Some of our you know, we had to before we got
the waiver form idph and we had to do a Sewer Lateral
removal at the same time as a letter to sign removal you're
digging up a good portion the front lawn in that case. I
think we we at this point try to minimize that out there is
some case if you still have to do
If you have like flag or really really big favourites, but
for the most part from the steel mills back in the forties,
the debris left over in the process is almost like cement
powder and unfortunately and many areas with outside they
use that is Phil and it's like having concrete around your
ear Services. I have watched an expert contractor try to
pull a light service line through flag and it snapped a
cable that can hold 50 thousand PSI so challenge we don't
entirely know where it all is. So, you know, we kind of
threw the through years of experience our cruise kind of
generally know where it is, but that's a little out of the
uniqueness of Chicago. I'm not sure how many other cities
have that issue in particular. But but anyway restoration
is Big portion of it be congestion in the city the fact
that when you are cutting anything you're cutting into
cement or asphalt
you're lucky for cutting in the lawn, right? We're not in
Suburbia where you're cutting into lawn mostly and the
restoration for that is easy digging through it is easy and
do that. That adds up as well and you're really you're
doing everything and very tight spaces you have traffic
control you have to do with just about everything and then
in general, you know, we do pay prevailing wage. We have
pop or hear. There's some other city that will use plastic
for their services. We don't use plastic in Chicago.
What were you supposed to do when there's a lot of data
about that? But in general the idea is that you do have
pollutants in Chicago in the soil just generally speaking
that could potentially go to the void spaces in Plastics
like gasoline. If you have some gasoline spills that can
potentially go through plastic. So if you are in a guy in
an area of Suburbia that has no old gas stations and know
all the underground storage tank. No problem, maybe not so
great for a place that has lots of those things. There's
other things other people to debate whether or not it's
strong enough to go through Chicago Winters and things like
that. I think that's more for debate, but the permeability
is potentially an issue depending on who you talk to but
yes, it is a number of different factors that go into it. I
think you know what we continue to get the price down. I
hope so, I think hope it didn't help anything costs of
everything increase during covid every nut.
Copper went through the roof and everyone's doing this all
at once. So everyone's buying for the same rules or copper.
Everyone finds the same contractor filters, like, you know,
they mentioned it can be difficult to get hold of this will
even out eventually but it is a challenging time to to say
the least in terms of pricing and trying to budget for it
way to bring up the the grants and Loans slide that we were
looking at.
earlier the sources slide
Where I'm going with this as I remember, it was a first we
held it in finance and we voted on it and I think it was
about a $350 revolving Loan Fund the latest with you alone
from the US EPA. Where where does that fall in with the
slide that we were looking at in terms of sources for this
work like that means public side. So it's working. It's
being used for the public side of break and leak and then
the public side of black metal.
Thank you, And so it's obviously we really like it. It's
one large loan, which is definitely an advantage at over.
What are typical loans would be in a many dozens of smaller
Loan in terms of administration and that's a little bit
easier to loan you no sense in general for further with you
alone tend to be lower Arts was okay. But yeah, you can
kind of see it there. We had the three Asterix cuz it's
alone and not a grant and you know, you can really only use
that for the private IP of the source through paying it is
not operational thought so it's not impossible. You'll hear
EPA say you can use with you alone to the private side. But
if you're using water fun, you know, you can't but about
three hundred thirty-six million dollars of of usable
funds. That is Minos.
We were very glad to be able to have been awarded we
competed with other cities for that and you know, it
remains a viable tool for us going forward as we look at
our options for low-interest loans given the population of
the Roomba. I'm just going to ask like this maybe two more
follow-up questions. So it's funny to hear where it says we
can use it for the public side if it's for full of service
line replacement, but we can use it for the private sign
only if we're using non rate Revenue to to pay the loan
which feels like it.
It feels like a really tricky position to be in the
birthday law the way that really that the state has written
and kind of the way that are strobing Loan funworks in the
state of Illinois, you know state law was written such that
you have to and I'm really touched on it too much today you
have to do a full replacement fridge account a public plus
private side. If I only get a Publix I done even if the
homeowners like even if I have a waiver from them, it
doesn't count the one with that was 2% but 2% per year that
I mentioned that's full only which means say if I want to
get 3,000. I might have to do 30 300 to get 33,000. Now
that's that's the law.
But yet they don't provide funding for the private side to
that loss just that you know that that's where the IGA
money, then and we really need to i i j a money that 230
million to be covering the private side. There was some
funding mechanisms set up in the state law originally, but
no funds were put into that program to fund it. So there
was some thought put through the state level to being able
to put some funding besides behind that log, but it's just
not there yet.
So what what is a municipal? What is the revenue that we
plan to use to pay back this loan against Lakeside and then
we'll be using different funds. Mostly depending on the
program. Mostly giovan's rcrp funds for the future.
So that the city needs thinking about this on the council
side, the city's willingness / ability to provide more
revenue for dinner obligation bonds allows us to stretch
these dollars further allows us to potentially do more
service line Replacements. I think what really is going to
allow us to do Mercy more Leftovers on her placement in a
significant way is going to be State funding is going to be
State funding with principal forgiveness, and that's really
when you think about the fact
230 million sitting there for the state that that guy got
to have more of that they did is just not a way that we are
going to we could conscionable. We put all this in the back
of Chicago and frightened without that assistant, but I
don't we do have the CFO here is going to speak in a bit
too. So I'll let her you know going to Northeast on all
orders. Thank you very much for all of you.
Audrey Mitchell clarifying questions. You just mentioned
that revenue from the sale of water from Portsmouth area
will be used to pay for this. Is that what you said is I'm
under the understanding that all our Revenue had to go to
was only dedicated for the pay back. The the Box did we get
permission for permits for lack of a better way to phrase
the permission from law legal to do that?
Yeah, but I will let we have we have all the experts here.
They'll be talking to let them know thank you for the
panelists as well. We just talked with a beauty panel about
the importance of a state funding.
And I do think is it is really an embarrassment to just see
such a small a location given the magnitude of the problem
in terms of the possibilities and now they're being very
specific about some of the problems that we can qualify.
What is your what is your your sense in terms of how we can
partner, you know with State Farm, you know, maybe all the
way of bonding just to make sure that we start following a
a pathway to was remediation a real investment for for lead
pipe replacement about the station will be able to really
like that. I represent the southwest side by side and I'm
not surprised at all by the issues in Brighton Park, but I
am surprised by the responses of elected officials and one
NSN that they are not okay letting people that believe in
these conditions yet. There's very little investment to was
Remediation in practice.
From this data strategy. How do we can be a partner with
you to identify more State for the partners on how do you
see a realistic going on my colleague talked about, you
know a yearly plan a while we can achieve to really make
significant gains. I do believe this is basic
infrastructure and I do want to make sure that we have a
plan as we go to the state to look for Revenue to unlock
the 200-plus million dollars that I think should be of
great help to Chicago and also see what are the federal and
other opportunities you see out there.
Yeah, thank you. I think we could use all that the
additional advocacy that we can get it. I think the more
people that they hear from in Chicago. I'm pretty sure the
state-level write the federal government has allocated
about money to the state and it is up to each day to
allocate to the cities within it as they see fit the
national of the US EPA has highly encourage them to use
factors like they propose for IC 663 that take into account
barbell chest and highly encouraged them to remove
population cap, but they haven't been able to force them to
say hey Chicago should be allocated based on say number of
LOLs. And so, you know, the more people that hear from at
the state level two words that funding, you know the better
and you know, we we are constantly
I'm knocking on doors, but we're also constantly looking at
options, right like we apply to the wind Grant every year
for you. I think I have not got it yet. We look for every
Grant opportunity for the one that I mentioned that we
applied for for Workforce rent in a week. We try to take
advantage of every option no matter how small or you know,
because it all adds up. So, you know, we love to party with
you and your office and you know, all the elders to have a
cancer cohesive effort for a advocacy is, you know today if
possible. Thank you.
Is there something?
I think someone else wants to answer to I'm sorry. I don't
mean to interjecting this way. I don't know the protocol
ask or or responding to a question from okay, if I respond.
Yes, ma'am. I just wanted to share in Cincinnati that that
one we did version two of our program. We put forward an
ordinance that change the rate Revenue to be used to pay
for the private side of the line and it was all based on
the fact that it was from a public health and safety
perspective and that would allow you to do it from that
from that angle and from that perspective. That's the game
changer, right? And so we put forward that ordinance that
allow that rate Revenue to be used in that way and I just
wanted to share that with
You because it might be something that you could
potentially consider as a great just so you know, we've
also asked to see a phone to see if I was legal team around
some of the body language that talks about delivery of
water. What does that mean? Does it mean to the private
side only does it mean all the way to the public? What does
that mean? And I think we'll hear from the CFO as well as
the Law Department around what date were conditioning
around trying to trying to do this question. The automatic
is important I meant
this procedure
just barely touched on a date, you know any and we had that
problem with the same pressure problems than what I mean
about your Craddock red tape in the Attic was not using
public money to do private property Improvement. We did
Lobby hours State legislation to change that long because
of the public health with the potential exposure to lead
the service and we were able to use private public money.
On private property. I think the bigger voice that you can
take down to Springfield your Capital to make them change
the laws around how you can use money to replace full
replacement of last service pot. What is the private side?
Thank you, sir. Thank you. Great suggestions. And you know
for the for the record Being A probably will be good to
make sure those recommendations are part of a of a living
document happy to join those a and I appreciate that the
great recommendations, especially around the public health
the facts and you know, what team did the rhetoric not must
match the actions and funding so, I appreciate the
recommendation, especially around and look forward to look
at this UFO study as well. Thank you. Thank you. Thank you.
Seeing that there's no further questions from the members.
Thank you commissioned her and your team for participating
in hearing. We're not going to take a break we're going to
do is since Cynthia CFO as well as the law departments
there. We will ask Justin Williams to join the Box.
Wow.
While Justin's coming down, but will now hear from our
fourth and final set of panelists will discuss the funding
challenges of LED service. My replacement program joining
us today. We have JoJo varski, who's the Chief Financial
Officer for the city of Chicago's was Justin Williams with
the Metropolitan planning Council. And so with that I will
turn it over to CFO Jaworski Mister McDonald's in the in
the Box as well. Who's we've been working with his wealth.
So well that changes coming out soon as the cfo's ready.
She can start her presentation.
If I when you're ready, you can start thank you. I just I
just provided a USB drive that has a side if you can talk
off of soap. Give 1 minute for that to come out.
Absolutely.
Great.
No.
I thank you for having me here today. Yes, let's move to
this one.
I wanted to take a moment to children were ski CFO City
Chicago. I'm also here with Jim McDonald who's with a lot
of Hartman and works on all the guys working all the water
on Revenue Bond transactions and is very familiar with the
underlying ordinances and and the trust indenture which is
the contract that we have with bondholders. I just want to
start off by saying that you know, we are really Limited in
what we can do as far as finding the private side LSR need
LS all our needs are cost of this program between public
and private is estimated between 16 billion to 17 billion
dollars really be accomplished over decades.
And these are really significant amounts of money. We're
assuming that about 45% of that is for private side, which
is around seven point three billion dollars is what were
internally modeling at this point to put that in
perspective. We have about five and a half billion dollars
of General obligation debt outstanding. So the amount of
private side need is more than the amount of geobarns. We
have outstanding currently. That's the part that worries me
the most
the options that we have Tiffany has the improvements. We
put them on the Slidell public side and private side the
public side or the things that you're relatively smaller
than some of these were discussed by the commissioner. So
water Revenue Bond water revenue bonds have been issued by
the city for many decades Caesar what's funding currently
parts of the let service line replacement program, but also
the rest of the water system CIP, so our normal Cadence of
water transmission lines being replaced the work at our
water treatment plant everything we need to do to keep the
whole system operational in addition. We use IPA loans,
which are the Illinois revolving fund loans are those are
at about half the interest rate of our bonds typically
I'm the the the negative limiting factor in those days. We
can only go 20 years currently and we sell bonds for 30 to
40 years on the water Revenue side. So it's a shorter.
Amortization which drives a Debt Service higher. They also
require level Debt Service. So we can't sort of a wrap
around and push the deserts to the end wrap around existing
debt. So that can make it tricky when we think about
managing our water rates to our customers, you know, right
now water rates go up by CPI every year do we have to fit
in it isn't the operations The Debt Service and so we try
to use as many IPA loans as possible cuz of low interest
rates, but the fact that they pushed The Debt Service do a
shorter period of time and don't let us manipulated means
we cannot always use them despite the low interest rates
and still maintain the kind of cash. We have the amount of
money. We want to spend on a pay-as-you-go basis and paying
for The Debt Service.
Trying to manage all those things within a constrained
Revenue system. The IPA loans are a bond. They are a third
lien so their junior to our bonds, but they are buying
their pay with water Revenue. They can only again pay the
public site the whistle on and just get some of the
questions you ask the with you alone is actually a water
Revenue by it is on parody with our water Revenue by the
only difference when it comes to security for the only
difference was the main difference.
Is instead of are selling bonds to the public market place
with a lot of buyers. We sold a bond in the form of a loan
to the federal government's but it's a bond and so it's
secured by our water revenues. It didn't need any special
provision permission other than the typical author
authorizing ordinance which in this case had to be passed
twice, but it didn't need anything special other than the
city council approval of the ordinance and then EPA had to
approve authorizing Delon, but the best way to think about
that is it's not a funding source.
Any more than our bonds or a funding source. It's a
financing source. It is letting us pay for these costs over
time, but it is not new money and as much as it's good to
utilize these Federal borrowing programs. The city has used
tipia that the transportation bar in program much like with
you if he's with you there are tools Tiffany S cost, but
they are not new money. And so again like the rest of our
bonds that can only find public side and prove it and so
the loan that we went into 336 million is going to find
public side lslr. That's what it's for or not. And we're
both not intending to use it for non l s r uses but also in
the loan agreement, that's what it says. It's weird. That
is the project so we really cannot.
Is it for any other VIP? So when we go to private side we
can't use any of the things on the left hand side of the
screen. They are not available and Jim can get into this in
more detail. But the reason we cannot use the primary
reason why we cannot use water Revenue Bond proceeds for
private side is that in all the prior ordinances
authorizing the water revenue bonds do is have only
authorized public side Improvement. We have used those
ordinances as the basis to enter into a trust indenture,
which is a long-term contract with the bondholders, which
also says we can only use the proceeds for public projects.
So if we were to try to use water underground proceeds for
private side LSR, we would either need to
issue billions of dollars of on taxable bonds not
tax-exempt to take out all of our existing water revenue
bonds. So replace them with a much higher cost of capital
so that we have freedom to start over with a new adventure
or we have to go and get all the bondholders and about all
the bondholders at least the majority majority the
bondholders to agree that we could use the the
Proceeds for other purposes now the challenge with that is
the bondholders have no incentive to agree and addition to
having no incentive really. It's probably not in their
interest to agree because they don't want the city to issue
more and more and more debt with the same constrained
resources to pay it off because they would wash their
security the amount of revenues we have to pay their bonds
would be going down and down and getting Tighter and
Tighter and you know, if your if somebody owes you money
you don't have said hey. Keep going and borrowing until you
can't afford to pay me.
So it's not a realistic. They need to think we could get
the bondholders to agree to that change. They look at their
self-interest and say yeah. Thanks. I like what I got or
not change so that puts us really in a very very difficult
position on the water Revenue Bond and all these other
loans. We don't see a of a realistic pathway. There's
theoretical Pathways. We don't see a realistic Pathway to
being able to use those to pay for the private side.
Do we look on the right hand side the week what we can do
is use other sources so we can use General obligation
bonds. We have 40 million of General obligation Bond
proceeds that are allocated for private side LED service
line replacement costs over the next two years, so we
certainly are
Looking to that for a small portion of the funds we need but
again when I talked about the fact that we have five and a
half billion of go bonds outstanding and total project for
the private side would be about 7.3 it really I think
demonstrates that that it's not tenable for us to use go
bonds to fund all of it or even a very large portion.
Just to give you some example of what it would cost. If you
look at it's kind of hard to see your small but the on the
right hand side the second sub bullet if we were to say
just take the next 10 years and look at what we have
planned to spend on private Side by lasal are it's 120
million a year or so somewhere in that range. Some of yours
are up and summer down. If we were to Phineas we added up
to 1.4 billion over the next ten years. If we were to
Phineas that with giovan's that's a quilt that's going to
be 83 million more in debt service so that it if you know,
you would have to come from the corporate funds which means
it comes from the various revenues of the city or we could
do a property tax levy to pay for it. If we did a property
tax levy it would be about $55 per $250,000 home is what
that would be a resident of Chicago.
if we were
You know if you were to think about like what if we were to
somehow be able to put that in people's water bills. It's
the same kind of amount of money that for ten years, you
know there whatever somebody who
You know going to have a water bill increases may be $55.
It's going to be different from that though because the two
hundred thousand tons of people who have home that are more
than 250,000 people have less hair is a little different.
It's like if you have four people in your house you use
about the same water as somebody else who has four people
in her house. Really? No matter what your income is. So it
it's a little harder on when you put it in the water rates
because it really has no relationship to income or ability
to pay and we already know property taxes not a good
relationship to income or ability to pay it is a
relationship to the well if you have in your property, but
that doesn't correlate to your ability to pay but then when
you get into water usage and water fills its kind even less
so because it's it's hard to use much less water in the
city based on your income.
We're not watering Big Lots in the city right real different
in the suburbs where there's big variation and people still
but in the city, it's not as much because mostly people
using water for the same reasons in normal and every day
household. So all of this is stay is if we go down the path
of path of financing these cost it's expensive project and
it will be put on our residents are taxpayers. If we are
financing them the single most important thing that we can
do is continue to lobby at the federal level and at the
state level for greater funding.
Umbrella Sellar, this is a huge challenge for the country.
But it's you know, we have the largest exposure in the
nation. So it is an enormous challenge for us. And I think
the commissioner did a good job of explaining how the funds
that were granted at the federal level and then distributed
this day and then what their outline for Distributing them
to cities has been without any recognition of the level of
need I would say it is patently unfair what has happened?
The first step of allocating to the states not by need but
just by drinking water formula.
I was extremely unfortunate for for us and then to have the
state also allocate by a formula other than the need is
just doubling down. So the biggest thing that we need to do
is really focused on finding outside sources is Judy said
we do not find them. We are going to ask our residents to
pay for this and it is a huge cost that would be weighing
heavily on our residents here in Chicago.
Thank you. I see a phone.
Our next speaker is Justin from the Metropolitan planning
Council.
Text Jamin I'm coming to grips with the fact that I going
towards the very end of a of a panel with so many experts
on it means that I'm going to be recapitulating or
summarizing a lot of things that already been said but
since the hours late, I'll try to I'll try to be brief
about it. I think we've heard a lot today about the total
cost with financial challenge of meeting this challenge
meeting this major infrastructure projects, and I want to
talk about what I think are three things that are important
for Council to keep it.
Find as we move forward to meet this count and that's
reducing costs for service line replacement at taking
advantage of limiting unlimited existing federal and state
funding as much as we can and finally engaging residents to
develop immuno support Revenue policy pretty clearly need
to get ahold of the diaper service line replacement cost
and I know commissioner Chang provide a lot of great
information about what some of the drivers of those costs
are and it's complicated. I don't want to make believe that
it's going to be, you know, a straightforward thing to
solve right but it's something we have to get our heads
around in state of Illinois. The average replacement cost
outside of the city of Chicago is 4100 to $13,000 per line
for every dollar that we say and let service line
replacement. That's $400,000 less Revenue that we as a city
need to. Jabber generate, right? We got to get ahold of
that cost. We've heard from Kathy Bailey we've heard from
Redeem we've heard from others on this panel about some of
the ways of Dave managed to find efficiencies to bring that
cost down certainly increasing Block Level Replacements is
going to be a major part of that and there's a positive
feedback loop here right by raising revenue starting to
really get ahold of this problem. We're going to drive down
overall costs another way that we have heard at MPC that
utilities managed to find efficiencies and bring these
costs down is by doing robust early really profound median
game.
Right getting residents involved making sure that they're
bought in early so I can be perfect right as we heard from
Kathy Bailey. But the more we can invest in that on the
front end the Martin drive to long-term cost for
replacement down a couple of things that we've already
heard and I just want to put point on S. Even with those
per unit for service line replacement cost going down still
going to need to generate Revenue to take care of this
problem right for the lot about federal and state funding
being part of that solution an absolute Beast Chicago needs
to go after every single dollar and I'm really I'm really
encouraged to hear all of the great work go to Department
of Water Management is already doing the chase down all
those this Federal and State dollars. I also wanted to put
the one particular fun that we talked a lot about here
today and federal bipartisan infrastructure law just in the
sort of State perspective write. So even if Chicago were to
reduce our overall State cost.
$12,000 for line, right? We're still going to be talking
about over four billion dollars to replace all the cities
LED service line. The state of Illinois is getting
approximately a billion dollars over through 2027 is what
we're anticipating through the bipartisan infrastructure
law, that's not going to even be enough to take care of the
city of Chicago's problem on its own right but remember
every other community in the state is going through this
and so Statewide the cost of LED service line replaced.
Is going to be 6 to 10 billion dollars, right? There's just
not enough money there to take care of this right? And so
what that means is third. We're going to have to figure out
in Chicago. I think we all know this right? How are we
going to stop for this problem? Make sure we're
contributing and this is a fantastic presentation and it
acting really lays out the some of the major legal
considerations Financial considerations. And in what we're
up against in doing that right? I think that the solutions
that other municipalities have identified or ones that we
all know about we heard about some of them today, right its
property tax assessments water rate increases and you know,
I think that what we needs to be really focused on as we
approach that problem is how are we number one making sure
that any Revenue being generated is being generated
progressively that is so that every single households can
have their lead service line replaced.
In a way that's affordable to them right and number 2 at
how can we make sure that residents are involved in the
creation that Revenue matkins? I think that when we think
about Revenue generation often times residents stakeholders
are kind of left out of the picture, right and we need to
make sure that we are engaging the business Community the
financial Community labor leaders Community residents
community-based organizations. Nonprofit groups were here
today, right and we're really grateful.
Involved in this kind of hearing today. I think we need
more of that as we think about how we're going to address
the city's major Financial challenge of lead service line
replacement. We want to help please let Richard so
I think that you know, I think I can probably end there. I
think that you know, this is obviously a big Financial
challenge, but this is not a city that shies away from Big
infrastructure challenges. And I think we've all heard
about some of the ways in which were already meeting that
and at some of the ways in which some of our are really
insult inspirational leaders both here in Chicago and
Cincinnati in Newark have done this in the past and you
know, the more we can get those costs under control at the
purse service line level figure out a way to generate
Revenue that involves resident input and just sort of
results that we can do this. I mean we heard from Karina
Dean that that was such a critical component and so again
really grateful for this this hearing has an opportunity to
say we are committed to taking care of this problem.
Thank you. Justin for that presentation. Go to see fo
When before I hear you, I hear you that going to cost a lot
of money.
I hear you that we got to be created.
I think the way we have to look at this is as we're
tackling. This is animal here. This Beast is we got to do
it in sections and what to do. Nothing like has been done
for the past 30 years. It's just not right and so we've got
to have your office and your team trying to figure out some
creative ideas about what we should be doing to help fund
and I think that you know in the ordinance that we proposed
there is a working group that kind of puts a lot of subject
matter experts around us together. So that way it's not
just you and your team doing it's like Community groups
labor subject matter experts around around this issue all
the table to figure out how to how to attack it.
every Chicago in
should receive their water without bed.
This is a great opportunity to finally take a step to to
deal with this program by either a public health
declaration by the administration saying look they want to
set some very ambitious goals. And then at the same time
help generate economic development in communities that have
started this invested in and allowing people that have
traditionally not been part of the trades in opportunity to
get into trades startup companies excetera. So I know this
is a big issue and that's why it probably hasn't been
talked about in quite some time. And this hearing is it and
I appreciate my my colleague chairwoman.
Hadn't offered participating this because we have to figure
this out. And so I know that we do what we talked about
hear some of the things that we can't do on the private
side, but I guess we can work with you and your team to
figure out what can we do. What do we need to do
legislative be in Springfield at the federal level
ordinance wise here moving forward whether it's changing
the bond language to to allow for that.
So that's kind of you know, that's kind of where we're at
here. And I'm and I'm not telling you to give the kid that
response now, but I want you to feel like you have a bunch
of people that want to help address this issue. And I think
it's important. I think it's incumbent that we do address
this issue because it's been going on for for decades.
I I completely agree. And I mean I really look forward to
the opportunity to working with others, you know.
it's a challenging situation without a doubt and
Yeah, we we do need to find good solutions to it. You know,
I just want to let you know as I said, you know, my
greatest concern is that without outside funding this is a
massive infrastructure cost on our residents. And while we
think about ways to further this and soon as this and come
up with creative ideas.
The most important thing we can do is bring in outside
funding and we have to not ever take her eyes off the ball
on that. I think it's easy to think about financing thing
as
A solution is just the way to spread the cost over time.
And we'll do a lot of that. I am quite confident. We will
see he has a lot of these costs just like on the side.
That's really really what we're inspecting or baking that
in.
We B. We really need outside funding and
Yeah, we can't let ourselves think that borrowing programs
Our Only Solution. We have to keep the pressure on
campaigning for additional funding. You know, why we think
about how do we manage this in the meanwhile? How do we
advance the program? How do we borrow enough to keep you
know doing replacement year-in and year-out?
I think it's a solution that we need. We need funding and
we need for dancing.
Thank you. Any questions from members.
All right. I want to thank our final panelist. Thank you
for the information and thank you for still being here and
for being here earlier and then we're coming back right
reshaping separate. I know that you know what I'm in the
spot of mention fed him a little bit earlier about how this
was really lengthy and I appreciate our committee members
who are able to you know, even some TuneIn antenna
virtually as I left.
Delta terminal access point this this is our problem to
solve. So I think we're going to be a council braids kind
of this commitment really started last term as a council
and its chairperson of our committee. You know, I'm I'm
committed to working with Sherman VA guess I'm working with
our our CFO our other partners Our Community Partners our
residence and our colleagues to really take a big bite out
of this issue because we it is our little responsibility
for what we owe it to the residents of Chicago and you
know, especially as we think about, you know, even the
concept of financing right like a how we're going to pay
for this overtime. We also know that this is something
that's so important to the Future Chicago in right? We
can't have we had, you know, testimony earlier. We can't
afford another two generations of people being poisoned by
Lac.
Wait, like we want Chicago to exist. We want a successful
Chicago. And so I've got I've got some optimism in F
cutting into that 40-year time frame because I know it's
more than just city council and city workers that wants
Chicago to succeed. We have a lot of Partners in in that
who want to see Chicago have a bright future. So thank you
all for participating in in in the hearing today and having
no more questions that concludes the items before the
committee.
You know, I am handed over to Chairman Villegas to
officially closed us out and I want to give special thanks
to vice-chair Greg Mitchell for being here to help us.
At all in this together Zachary. Thank you. Sure woman had
him as well. Again. This is a big issue that we're going to
work collaboratively on in the ordinance. My colleagues. We
got to get this ordinance passed so that way there's at
least a mechanism to begin to address this issue and to the
commissioner and water CFO Administration. Like we all want
to work together to address issues. We have to enter
endriss outside Consultants not-for-profits Transportation
organization organization that want to help I think it's
incumbent upon us to take them take them up on that
assistance. So again so that we can finally begin to
address this issue and get the LED out of the water. So
with there being no further business before the committee
may we have a motion to adjourn ottoman Mitchell somos Uno
directions to order the meeting of the joint committee on
economic have on technology development environment
protection energy is now adjourned. Thank you.
Can you?