How do you propose to replace property tax revenue for CPS and other taxing bodies that is lost to TIF development?

Budget

Rather than finding ways to replace the property tax revenues that would otherwise be
distributed to the taxing bodies, I would support a move by the taxing bodies to create a
moratorium on the creation of any new TIFs.

In 2011, I publicly joined Cook County Clerk David Orr in calling for a moratorium on new TIFs pending a comprehensive audit to evaluate how the TIF system can be reformed.
The City of Chicago is actively reforming its TIF program and implementing more sensible policies. The 2014 and 2015 budgets include a TIF Surplus of $50 million and $60 million respectively. Of this amount, 20 percent was earmarked for the City of Chicago, 50 percent was earmarked for the Chicago Public Schools and the remainder was designated for the City’s sister agencies, such as the CTA and the Chicago Park District. This systematic “surplusing” of the TIF funds allowed CPS to avoid scheduled budget cuts this year. These are dramatic steps in the right direction.
My goal is to continue to use TIF dollars strategically to ensure these funds are solvent and used for smart, carefully selected projects that are supported by constituents and the business community. When that is not happening, I support efforts to direct these funds back to the taxing bodies, such as CPS.

First, by reducing the use of TIF money. I propose restricting TIF from the central business district.
This area of the city does not need help in financing projects. Further, I will work to block the
usage of TIF for the development of the DePaul Stadium. This is a private university with a multi
million dollar endowment. They do not need financial assistance for construction projects. I will
also support agreements with the users of TIF to dedicate grants to public education.

By allocating TIF surplus funds back to CPS to fill funding gaps.

No response provided

I will encourage employers to hire local residents through ward specific seminars, jobtraining
programs, and job fairs for residents. I currently assist local high schools in
their law programs through teaching and coaching courses. I hope to bring more
professionals to 18th ward schools to cultivate a community of future professionals. As
a result I anticipate an higher tax population within the ward.

Not all TIF districts are created equal. There are TIF districts where the tax base is so low that
no significant amount of funds can accrue to allow for real investment. There are others (and
these are the worst) where the area is not blighted by any measure (LaSalle St., upper Michigan
Ave) and yet accumulate a huge amount of tax dollars that City Hall then puts wherever its
current pet project is (see the DePaul arena plan). These need to be closed immediately. The
idea of capturing tax dollars to grow an area has a lot of merit and when used well can create a
larger tax base that can then help the City overall. Serious adjustments in the current program
need to occur: shorter lifetimes for TIFs; money can only be used for the TIF area itself not to
some adjacent or distant areas; TIFs need to be given a time frame for planning and if no
planning occurs within that time then it will sunset before its tenure is up; all TIFs should have a
master plan that includes community input and approval; community input needs to be specified
so that it does not include merely political appointees. Full TIF information should be readily
available.

Chevette A. Valentine IVI-IPO 2015 Chicago City Council

I would find another account that is dealing with a short fall and roll those
allocated or surplus dollars to other accounts in need of funding to avoid taxing or rolling cost
over to the tax payers. I am not a big fan of taxation, I feel there or other options or means to
generate income without having to pass cost in the form of a tax. At the same time I know it is
critical to maintain proper and critical public services, at first glance I would look to cutting
cost in other manners before taxing, however if after all options are exhausted, if the only
feasible means to generate revenues comes in the form of a tax I would ask that it would be
applied and implemented in stages gradually to avoid causing stress and burden on the voters

I think we need to be very careful about creating new TIF districts, and typically should be
retiring TIFs on their termination date. In this time of budgetary crisis, we need to prioritize CPS
over other spending. Above, I discussed potential new or increased revenue streams that can
be used to fund CPS. However, we also need TIF reform to make sure that property taxes aren’t
being misused or abused at the expense of our students.

Not all TIF districts are created equal. There are TIF districts where the tax base is so low that
no significant amount of funds can accrue to allow for real investment. There are others (and
these are the worst) where the area is not blighted by any measure (LaSalle St., upper Michigan
Ave) and yet accumulate a huge amount of tax dollars that City Hall then puts wherever its
current pet project is (see the DePaul arena plan). These need to be closed immediately. The
idea of capturing tax dollars to grow an area has a lot of merit and when used well can create a
larger tax base that can then help the City overall. Serious adjustments in the current program
need to occur: shorter lifetimes for TIFs; money can only be used for the TIF area itself not to
some adjacent or distant areas; TIFs need to be given a time frame for planning and if no
planning occurs within that time then it will sunset before its tenure is up; all TIFs should have a
master plan that includes community input and approval; community input needs to be specified
so that it does not include merely political appointees. Full TIF information should be readily
available.

The idea behind TIF development is that in the long run, the
Chicago Public Schools and other taxing bodies will enjoy more revenue than they would have
enjoyed but for the TIF engendered development. If a TIF does not satisfy the “but for” clause, it
should not be formed in the first place or should be disbanded and the tax revenue distributed if it
already has been formed and is not performing as expected. I support TIF reform that tightens up
considerably on the criteria for forming a TIF.

No response provided

TIF funds that are not committed should go back to CPS, Park Districts and
affordable housing.

Joseph J. Moseley II IVI-IPO 2015 Chicago City Council

N/A

I would propose to create new revenue, reduce spending redirect all surplus TIF back to the CPS and other taxing bodies.

As noted elsewhere, I support a fair, progressive income tax for Illinois. I also believe that
economic development is the key to added revenues; that’s the whole idea of TIFs, and what
Harold Washington had in mind when he introduced them to Chicago. In places where economic
development isn’t moving fast enough, we need to be creative about how we budget in order to
make up for lost revenues without nickel-and-diming those who can least afford it.

By shutting down the program and returning all uncommitted surplus revenue.

No response provided

Michael E. LaFargue IVI-IPO 2015 Chicago City Council

TBD

I will work with legislation to bring forth an ordinance and work with state
legislators to bring into dialogue and propose to work on the TIF issues that are affecting blighted
areas in the city and in our schools

No response provided

Michael E. LaFargue IVI-IPO 2015 Chicago City Council

TBD

This question will require further research and consideration.

I plan to vigorously lobby to change present TIF laws to reduce the cap on surplus TIF funds and
return the excess to additional funding of CPS as well as CPS, Chicago Fire and Police
Department pension funding.

Carlos Ramirez-Rosa IVI-IPO 2015 Chicago City Council

I am strongly in favor of reducing the number of TIF districts and halting the creation of additional TIF districts, particularly in those areas that are not blighted. I will
work to ensure any unused TIF dollars are turned over to our city’s taxing bodies – like CPS.

In theory, the TIF development will generate revenues that then supports other TIF projects. And the process builds on itself. The money is lost, but reinvested in properties that eventually added to the tax rolls. Perhaps the TIF period needs to be shorter to allow the additional tax revenue that is created by the investment to be added to the general revenue stream. But the theory is that the revenue would not be there but for the TIF. Replacing the revenue is the same as generating additional revenue to pay for pensions, above.

No response provided

These revenues should not be lost to the TIF program, and replacing the funds that are lost, must
be done with intelligent investing.
46.

I think the TIF program needs to strongly be reevaluated. It’s been so abused with pay to play
politics in the past I’m going to be treading very carefully on using it. I think it could make a lot of
sense to end TIFs. Or at least have a major reform of the current program

Susan Sadlowski Garza IVI-IPO 2015 Chicago City Council

candidate's responce

Cut the sales tax rate by 1% point and expand the sales tax list to include services.

Over the years the TIF program has been a valuable tool used to spur economic
development in many areas of our city. However many of those old TIF districts are no longer necessary. We must examine all existing TIF districts and eliminate those in areas
where they no longer are needed. As part of a plan to modernize Chicago’s TIF program we
must create a system of oversight and transparency so the people of Chicago know
exactly where their tax dollars are being spent and any surplus of tax dollars in the TIF
system should be refunded to their taxing body. The city cannot afford to continue using
TIFs as a means to fund special projects like the DePaul arena – not while our schools and
other basic city services are hurting and in need of that money.

In the event of continuing funding to the Chicago Public Schools, I would support increasing the 23 year life cycle of a TIF District.

I would like to create a “loan” program where the low interest rate collected by the loan program will go toward CPS and other taxing bodies, while also including property tax increases that do not impact those who are low income and seniors.

Stephen Niketopoulos IVI-IPO 2015 Chicago City Council

I think the key is to plug the holes that the Bonds and Pensions are leaving. Addition by subtraction. We need restructuring before the crisis gets any worse.

No response provided

See Question #42.

TIF is an important economic development tool to encourage development and
investment where it would not otherwise occur. However, I believe that the TIF program
is in need of serious reform. Part of the process for the improvement of the TIFs is to
require more citizen engagement in the early stages of concept development and overall
planning.
I believe that the City can make adjustments to the TIF system that could provide both
immediate and long-term relief for cash-starved taxing bodies in Chicago, including
such measures as allowing older TIF districts to be dissolved, if necessary, before the
end of their 23 year life span, or indexing the frozen tax baseline to inflation, so the
taxing bodies dependent on this revenue can keep pace throughout the life of the TIF as
their costs increase. As to the reduction of TIF districts, I believe that such a decision
should made after careful evaluation as to whether the funds are truly being appropriated
to “blighted” or “conservation” areas, staying true to the original purpose of TIF. Finally
and most importantly, any spending of City dollars, TIF or otherwise, must be a part of a
transparent budget process. TIF budgeting and, in particular, the subsidies given to various entities within TIF districts, has occurred behind closed doors for too long. As our elected representatives, the City Council must be given a larger role in the process
with strong public participation.

"No response provided"

First, I believe that TIF surpluses should be returned to the units of government that lost the
revenue. Second, I would require that TIFs only be established when there is a viable plan to
change a blighted area to a better developed area that could not happen without the TIF funds being diverted. On the whole, I think if we review all the TIFs under this standard and eliminated
TIFs that are not in truly blighted areas, the net result would be more revenue to CPS.

We need to revisit the TIF program; particularly in the way it diverts
much needed money from schools and whether that money should be returned.

Using property taxes to fund education is not the correct method and
should be changed. We need to fix that problem first, so that education funding is not
affected by TIF.