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Some Aldermen Criticize Plan to Tap Reserves
Produced by Sam Hudzik on Wednesday, October 21, 2009

Daley announced his budget plan in the council chambers Wednesday. (WBEZ/Sam Hudzik)

Some Chicago alderman are objecting to Mayor Richard Daley's plan to raid the city's parking meter fund.

To help close a $520-million budget deficit, Daley wants to spend a chunk of the reserve fund created by the parking meter lease. In his budget address Wednesday, Daley said the move is needed to prevent tax hikes and severe service cuts.

DALEY: I'd hoped to avoid this. I understand that some may have problems with it.

Several alderman say they're worried about using long-term reserves to balance next year's budget. Alderman Tom Allen suggests instead skimming money off the top of all the city's TIF funds, which are earmarked for neighborhood development.

ALLEN: Why can't we take resources that are in the TIF districts, income, and use it to plug this hole. Why do we give this money to private developers? Let's give it to the citizens.

That can't be done, according to a city spokeswoman. She says state law does not permit Chicago to spend TIF money on general expenses.

Danny Fenster, northside // Friday, October 30, 2009 @ 7:17 PM

That's it? A spokesman for the mayor's office says TIF money can't be used? End of story? Come on, WBEZ, get Ira Glass on this one. Check out Progress Illinois, they've got some ideas on how TIFs can be legally used. We need a This American Life on the TIF system and it's results.