The Chicago Sun Times is reporting in this morning's editions that former Mayor Richard M. Daley's "privatizing" of Chicago's parking garages will cost the taxpayers of Chicago $57 million dollars. The group that runs the parking garages, Chicago Loop Parking LLC, won a ruling on Feb. 25 decision by a panel of independent arbitrators. The city of Chicago has 90 days to appeal.
Chicago Loop Parking LLC’s claimed that Chicago City Hall violated the terms of its 99-year, $563 million dollar garage-privatization deal, by subsequently approving plans for a garage in the 82-story Aqua building, about a block from the company’s nearest garage. The contract had language that prohibited opening of a city-owned parking garage near Chicago Loop Parking LLC.
According to the Chicago Sun Times piece by veteran city beat writers Chris Fusco and Dan Mihalopoulos, the arbitrators’ ruling “shall be final and binding.” The Emanuel Administration has done its best to minimize the damage caused by the Daley privatizing plan, but the feeling at City Hall is that $57 million will be difficult to get around in view of the contract.
At the time of the deal, former Chicago Mayor Richard M. Daley called the 99-year lease an "outstanding deal for the taxpayers of Chicago," which "allows for a massive shift of capital resources from downtown parking garages to neighborhood parks."
Apparently, that is not the case as once again the taxpayers foot the bill for another costly financial mistake by the Richard M. Daley Administration.
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John is the author of an award-winning book, the 2010 Winner of the USA National Best Book award for African American studies, published by The Elevator Group, Mr. and Mrs. Grassroots. Also available an eBook on Amazon. John is also a member of the Society of Midland Authors and is a book reviewer of political books for the New York Journal of Books . John has volunteered for many political campaigns.