Friday, November 4, 2005

* Are You Taxing Yourself ? Suckers!


My 400th Blog. The Reader ( Nov, 4, 05-Section 1- page 8 ) has a Special Secret Service Area story. For all those uninformed, for those who voted for the SSA #19 and #24 tax, read this story. You got screwed thanks to Alderman Moore and DevCorp North. Oh, and yourself.

11 comments:

lafew said...

What does SSA #19 and #24 actually cover? Perhaps, this needs to be posted? If the money is not being spent well, then it would seem like concerns can be expressed by those who live there. However, if the money is being used for the purpose intended, then what is the harm? Yes, rents go up, but the city has challenges and this is one way to cut all of the red tape and bring services to needed areas.

It would seem that the "SSA" could be your silver bullet to getting some of your concerns, addressed. However, I admit that it can also be a pandora's box for creating another staffer to repetitively greasing a wheel that previously lay in a Streets and San garage, while another staff member is out on a perpetual coffee break, mentally or physically. I understand that that is supposedly changing, but how much depends upon your vantage point.

BTW, I understood that those flower boxes in the loop, among other locations, are being paid by one or a few wealthy suburbanites in Lake Forest and Lake Bluff.

If we prospected some of the current and former neighbors of our communities, then we might be able to get some additional services, as well. Perhaps, the same patron might be willing to throw a few more in strategic locations in our neighborhood or fund a few cop cams.

SSAs are by no means exclusive to Chicago. I believe that other smaller but significant cities came up with the concept, first.

If we could learn to pick up the trash, plan volunteer projects, pony in to fund them, and had the time to do things on our own, SSAs might not be needed. Of course, someone, perhaps, the Alderman would have to arrange to have more than one volunteer project date a year to get this done.

If that one volunteer day falls on an AYSO soccer day or some birthday party, then your kids are not going and neither are you. Of course, if you have a hangover from too much grog time at Rush and Division, then the same rule may apply unless you forgo one night for the sake of the neighborhood.

Are we not spoiled or selfish, at times. Yes, but if Moore's staff made enough of an effort and used e-mail, wisely, then he might see more improvements and so would the bloggers, FWIW. Of course, blogging does have a tendency, at times, to look to the negative in an effort to try to expose or gripe.

Again, focusing on foie gras free zones does not do much for Rogers Park.

Hugh said...

Neighbors vs. Roscoe Village Chamber of Commerce

The story didn't end when Kimberly Bares was boo-ed out of Roscoe Village.

Inside Publications, which puts out a neighborhood newspaper and maintains an excellent web archive, has been following the story of an chamber of commerce and a Special Service Area (SSA) in Roscoe Village for over a year now. Their coverage is an excellent example of the kind of stories in our neighborhood that are vitally important. This series of stories is required reading for anyone trying to understand Chicago's SSA program and its relationship to our neighborhoods. Highly recommended!

SSA proposed for Roscoe Village
By Ed Lowe
September 22-28, 2004

Ald. Ted Matlak (32nd) proposes an SSA for an area:

Western Ave. from Addison St. to Belmont Ave.;
along Belmont Ave. from Western Ave. to Ravenswood Ave.;
along Damen Ave. from Roscoe St. to Belmont Ave.;
and along Roscoe St. from Western Ave. to Ravenswood Ave.

Most of it was in Matlak's ward, but some of it was in Alderman Gene Schulter's (42nd). The SSA included many residential properties. The homeowners figured out early that they were about to be taxed for a program that benefited business. First the 42nd ward residents called Schulter who soon announced that all residential properties in his ward would be drawn out of the SSA map. Then 32nd ward residents started to catch on and call Matlak. Residents on both sides were angry at the lack of notice.

Roscoe Village rumble
By Mary Corrado
November 3-9, 2004

The property tax increase proposal, driven by a Chamber of Commerce that no neighbors could recall as previously doing much of anything, brings new attention to the Chamber. The neighbors figure out that Matlak can at any time pass the SSA and tax them $3M to fund the Chamber, and they figure out the Chamber will pick the SSA Commissioners who will decide how to spend it. The Chamber's legally required annual report filings are years behind. Neighbors notice the Chamber has not had an election of their corporate officers in years and was in violation of their own by-laws in many other ways. Although the legitimacy of the Board is in question, the Board starts revising its by-laws.

A local businessman tries to join the Roscoe Village Chamber of Commerce and reform it from the inside. He is denied membership.

Matlak to defer Roscoe Village SSA, investigate accusations
By Mary Corrado
Nov. 24-30, 2004

Our very own Kimberly Bares appears at a neighborhood meeting to speak on the wonders of SSAs. She appears not as the all too familiar Executive Director of DevCorp North, but as a consultant with Community Solutions Group. Community Solutions Group is owned by our very own Rene Camargo, who by day is a member of Kimberly's staff! As covered above, the meeting does not go well. The neighbors had done their homework on SSAs and knew what questions to ask.

Matlak is forced to hold the SSA proposal from consideration by the full City Council, where it has been ever since. But the story didn't end there. The neighbors continued to try to straighten out their Chamber of Commerce mess.

Rogue Board of Roscoe Village Chamber acts to indemnify itself for criminal behavior
SEARCH FOR RVCC FINANCIAL RECORDS LEADS TO ATTORNEY GENERAL'S OFFICE
By Mary Corrado
November 2-8, 2005

As their Alderman Matlak sits on the sidelines, the neighbors reach out to the Illinois Attorney General and to their State Representative for help figuring out how to straighten out their dysfunctional Chamber of Commerce. The Chamber claims meeting minutes and financial records are lost. Although the legitimacy of the Board continues to be in question, the Board continues to revise its by-laws, adopting some innovative clauses, including new claueses restricting members' right to vote and other clauses designed to protect past and future officers from law suits, and to pay for their legal fees in advance. The Chamber and the neighbors retain lawyers. Neighbors file Freedom of Information Act requests in hopes that the Chamber's reports to the City will shed any sunshine on the Chamber.

Stay tuned for this one!

Hugh said...

Here's an excellent letter in opposition to the SSA on Lincoln Ave profiled by the Reader article;

Stop Lincoln Ave. SSA

If you want some democracy injected into this process—if you want it known that you were not fairly informed of either the positive or negative sides of this question—this may be your last opportunity to let them know. ...

This SSA benefits commerce and is effectively controlled by the chamber ...

... as much as 70 percent of the tax will come from residents.

What we really need is a chamber of commerce that will work with residents in good faith instead of trying to do things behind their backs.

Hugh said...

Here is link to the Reader article:

Are You Taxing Yourself?
Thanks to a little thiing called an SSA you may be - even if you don't know it
By Ben Joravsky, Chicago Reader, NOVEMBER 4, 2005

Excerpt:

Zelchenko disagrees. “How does any of this benefit the average property owner on Lincoln Avenue?” he says. “OK, it’s nice to have someone shovel your walk. But why would you have to set up this whole program just to hire someone to shovel the walk? It’s nice to have people clean the gutters—but aren’t we already paying the city to do that? And what’s with the $48,000 for 60 hanging plants? That’s, what, $800 a year for each basket? And $22,500 for holiday decorations—didn’t people used to put that stuff up themselves? And $18,000 to hire someone to run the program?”

Hugh said...

Here's an excellent web page authored by Peter Zelchenko, the Lincoln Park area homeowner and merchant cited in the Reader article. This web page is an excellent example of a concern resident doing his homework and sharing what he has learned with his neighbors via the web.

Dear Neighbors and Business Owners

Excerpt:

A failure to elicit robust debate in the community should not be an indication that it's all right to move forward: It should be an indication of a problem with the procedure. In fact, it might be said that the presence of robust debate among many neighbors would be a sign of a healthy process. Instead, the chamber plowed through with no debate, taking the deal to the next level, because they knew that the law permits it.

The downsides have not been shown because in presenting its project, the Chamber of Commerce is not legally obligated to acknowledge any downsides. They are obligated by their paid member merchants only to highlight the positives, and these they wildly exaggerate.

Hugh said...

Brad Leibov, the Executive Director of the Lincoln Square Chamber of Commerce, resigned in February, 2005, to start a consulting company. His new company New Chicago Fund, Inc. "specializes in neighborhood commercial revitalization strategies." Then the Chamber hired him back as a consultant to drive their quest for a property tax increase to fund the Chamber.

Flynn promoted to executive director of Lincoln Square Chamber
By Mary Corrado, Editor, Inside

This is very similar to what Kimberly Bares and Rene Camargo tried to do with their new consulting company, Community Solutions Group, Inc., except they didn't resign!

Hugh said...

Mr. Zelchenko kept hearing his Chamber's SSA consultant, former Lincoln Square Chamber E.D. Leibov say over and over that 84% of the property tax increase would come from businesses, but Leibov refused to support the claim.

Zelchenko checked it out. He got a list of the properties to be included in the SSA. He started a spreadsheet. He checked the assessments using the Cook County Assessor's web site. He went door-to-door checking counting mailboxes and doorbells and names on residences. He spent hundreds of hours. He shared his work with his neighbors using the web. He posted his spreadsheet.

The only way he could get to the 84% figure was by including residential property owners.

His work stands as a model for how to oppose an SSA.

Hugh said...

Lincoln Square established their SSA on November 15, 2000.

Hugh said...

Leibov is Lincoln Avenue's Johnny Appleseed of property tax increases.

Hugh said...

The Lincoln Park Chamber of Commerce is trying to outdo DevCorp North at their own game. Until now, DevCorp North's claim to fame was being the ONLY "sole service provider" to be sucking property taxes out of their neighborhood with TWO Special Serviec Areas. Now LPCC is going for not one but TWO SSAs, in their first year on the public teat.


Some businesses oppose Chamber's SSA proposal for Clybourn Corridor
By Ed Lowe, Senior Writer, Inside Publications
November 16-23, 2005

Substantial community opposition has developed to a proposed Special Service Area (SSA), this one along Clybourn Ave. between North and Ashland avenues. A City Council hearing on the proposal is scheduled for Thanksgiving eve, Wednesday, Nov. 23. ...

"They are holding the meeting the day before Thanksgiving. There are all sorts of people who will be out of town on that weekend. And they proposed the SSA and they are to be the sole service provider. It's terribly self-serving,"

Hugh said...

Correction

A previous post unfairly characterized the ability of the Lincoln Park Chamber of Commerce to suck up property taxes. LPCC has been on the SSA teat since 2000 on Clark Street. This hiloday season they are proposing TWO additonal SSAs, on Lincoln Ave and on Clybourn. LPCC will LEAP FROG ahead of our own DevCorp North with 3 SSAs!

1. Clark
2. Lincoln
3. Clybourn

Special Service Area for Clark St.
By Adam Harrington, Special to Inside, July 24-30, 2002

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