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A prominent developer’s attempt to win committee approval for a $1.1 billion project that’s been stalled for nearly a year was again thwarted because it hasn't reached a labor peace agreement with an influential union.
Summary and audio linked here.
Chicago’s political leadership is floating a pension buyout program as evidence it is seriously addressing the city’s thirty-six-billion-dollar unfunded pension liability, but Mark Glennon, founder of the Illinois policy research organization Wirepoints, said that the proposal moves debt from one column to another rather than reducing it, and that the broader fiscal picture facing the city continues to deteriorate across every measurable dimension. Audio here.
Expect no retraction or apology. This what they do.
The state’s existing buyout program for its own pensions is the precedent for Chicago, which should be a warning: Look out for similar exaggerated claims and shoddy analysis.
Full interview and summary linked here.
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Unions have destroyed Illinois for everyone but themselves.
Does project involve city financing? If not, then why should city be able to dictate labor agreements? Setting a scary precedent.
Then, if no city funds are involved, could onni sue city claiming they’re being singled out as having to accept labor agreements in exchange for permit/zoning approval?
These poor Onni foreigner folks don’t have a clue what they are in for. They probably think they are doing a deal in a city where logic and law and common sense prevail. They are not used to dealing with totally racist and inept government, union tough guys who don’t give a hoot about costs or economic development economics, and a public which is so brain dead. Just look at some of the other big deals completely stalled out– Related, Sterling Bay, stadium deals. My prediction is this deal either gets dramatically downsized or scratched altogether.
Exactly. The downside of Chicago being such a global force in the 20th century is that we are now burdened by the darkside of that century such as rabid unions that destroy businesses, chase away economic activity, run up public sector debt. We have a tribal warfare like race / class based political system eerily reminiscent of 1930 Europe with the majority of citizens opting to just check out or move away. Very few of the 20th century benefits remain, wholesaling, retailing and manufacturing are essentially gone. Logistics and transportation have also decentralized, we’ve even messed up the rail business… Read more »
Lol. I’m sure builders of a casino have never dealt with these types of labor issues before.
Expect any deals thru cities new $1.25 billion “green affordable housing” bond to be loaded with mandatory labor agreements by all the political players$$…..with the production of “affordable” housing being a complete joke…all on the taxpayers dime, as usual.
Some of these “Bring Chicago Home” construction rackets are coming in at $800,000 per unit. I can say from experience we can deliver market rate units at $250,000 – $300,000 per unit with no government “help”. That’s how bad they can mess anything up.