Committee on Environmental Protection and Energy

The primary topic up for discussion today is the Water for All ordinance. This is a piece of legislation intended to stop water shutoffs for overdue bills, and to reduce utility fees for low income residents.

This is a good overview: https://blockclubchicago.org/2021/08/30/water-for-all-ordinance-would-provide-accessible-affordable-water-delivery-alderman-says/

The official agenda for today’s meeting is available at this link: https://s3.documentcloud.org/documents/21911856/committee-on-environmental-protection-and-energy-2022-05-10-agenda.pdf

Take the next hour to make your tea, contemplate the great lakes and equitable resource distribution, and get ready for a committee meeting!

And we are live, with Ald La Spata letting us know they’re waiting a few minutes to start because the Zoom link went out late. Watch along here: https://livestream.com/accounts/28669066/events/8800236

Called to order at 2:05 and Chair Cardenas is calling roll.

14 members present, one non-member, and we’re beginning with public comment.

Iyana Simba, City programs director for Illinois Environmental Council speaking speaking in support of the ordinance. Calls out end to shutoffs, debt relief and bill assistance, emphasis on equity.

Next Carla Padget from South Siders Organized for Unity and Liberation relating her experience with past due water bills during pandemic, they went for a judgement against her property while she was in a payment plan. Feels these tactics are meant to displace people.

Chair Cardenas moving to discussion of ordinance. Outlines process so far including a hearing with subject matter expert, and that Ald La Spata has submitted a substitute ordinance. Asking for motion to accept the substitute. Ald Martin moves it.

Substitute accepted. Ald La Spata has floor.

La Spata: Substitute is more or less the same with substantial change based on feedback from the administration. Reason we’re here is this is an urgent and pressing issue. Praises mayor for her actions in her first year on issue.

Outlines what bill does:
- Prevent privatization of infrastructure
- Prevent privatization of ops
- Ends water shutoff & liens based on inability to pay
- Transparency for quarterly reporting
- Transparency for renters charged for water
- Expand affordability via billing relief

Addressing concerns:
- There are some IT concerns
- No effects for other municipalities using our water
- No impact on our bonds
- IT infrastructure is extremely out of date and needs investment regardless
- Federal program is a $1500 one-time benefit, not lasting

Ald La Spata asks for other speakers to be allowed to testify. Chair Cardenas says yes, has speaker list. We open with Andrea Cheng, Commissioner Department of Water Management

Cheng: We agree with intent but there are things in this bill they simply can’t do. Their waiting list are too long for them to install meters in 90 days is too long to get permits and do project.

Advisory committee that all capital projects would have to go through. “That’s water quality for 5.3 million people in the hands of an advisory committee.”

Thinks programs already in place, particularly Water Save will get us to our mutual goal.

City budget director Susie Park speaking to budget impact. Initial estimate showed a cost of over $150 million. She knows there’s an offset based on commercial meters but would need to check with legal if that’s ok.

She also knows there’s IT costs and Admin costs. https://t.co/DoL6Qz60NI

CFO Jennie Bennett speaking now mentions that recalculation of water rates can affect sewer rates because they’re 100% the same. Going into depth on the debt service requirements for the sewer bonds. Says the credit would cost approximately $60 million in debt service. https://t.co/NSrdvzHNNP

Also says this would cause breach of bond covenants which would lead to a downgrade in city credit rating.

Deputy Director Elaine Herman agrees that “Banner” the IT system is very antiquated and could probably benefit from replacement but it can’t be done in the timeline described in this ordinance. https://t.co/6Az3MN0rNL

Dept Director of Policy for Mayor, Skyler Larrimore thanking colleagues for bringing up shared concerns. Says the piece around anti-privatization is very much aligned with priorities. Speaking to benefits of Safe Save program and push to get meters installed. https://t.co/8dqXHZFJW1

Can’t do a number of changes that are recommended in the ordinance until that happens. Also support the codification of a permanent moratorium on shutoffs.

Has concerns that the requirements for landlords to provide justification for how they calculated the water bill will help. Provides a number of concerns including that more landlords would then charge for water, and also that landlords would stop charging for water & raise rent

Concerned that the credit system the ordinance creates would incentivize landlords to charge for water for low income individuals who qualify for the credit.

Would rather expand the existing billing utility program rooted in debt relief and leaning into metering.

Ald La Spata responds that there were several meetings with Intergovernmental Affairs that would have clarified some of these matters but they were canceled. https://t.co/D3klWOYFpV

Ald La Spata moves to strike a section of the ordinance to simplify it, Chair Cardenas tries to avoid it but La Spata pushes back. Motion gets a second.

Point of order from Ald Waguespack clarifying that there are more speakers. Chair Cardenas says yes but he has to obey parliamentary procedure. Ald Smith motions to table the motion. Vote happening.

Pause to clarify procedure and what’s going on.

Rey Phillips Santos interrupts to raise the procedural issue that the amendment proposed by Ald La Spata can’t be considered because nobody has copies of the amendment. https://t.co/qo7HRIOyDN

Ald Cardenas says yes everything is out of order but nobody challenged it so he’s going to proceed with Ald Smith’s motion to table.

8 yes and 4 nos, so the ayes have it and the motion to table has been approved. https://t.co/ZdinE5yEsM

Ab Weeks from South Siders Organized for Unit and Labor speaking.

Speaking to share frustration over how this ordinance has been stalled. Today was a chance to take a bold stance. Endorsed by over 40 community and labor organizations after 4 years of development. https://t.co/BcbP4DGaqm

Matthew Cason from DSS speaking to say the only substantial change to the ordinance from several months ago was a change to the timeline based on conversations with the admin. Gave a full twelve months for change instead of requiring Jan 1 following passage. https://t.co/PwHx66wlYV

Says concerns about meters aren’t valid as language about meters is already in city code. Only change is that instead of saying that people who request meters “may” be installed in 90 days that it “will” be done. The rest is already in place.

Also says claims for cost of administration cited as reason to avoid are unreasonable given actual budgets. Points out that programs similar to this implemented in other cities actually increased revenues since people will pay all of an affordable bill but not unaffordable bills

Emma Clouse from Chicago Lawyer’s Committee for Civil Rights

Says the $3000 credit that caused contention was included based on feedback from the mayor’s group. Expansion of UBR is not an individualized assessment for every single customer, also done based on feedback from admin https://t.co/gfajlD4gBM

Says the idea that proposing a requirement for landlords around reporting water bills will cause landlords to charge for water, landlords are already doing this. Landlords are taking that into account when establishing rent anyway.

Now speaking, Mary Grant, Water for All Program Director at Food and Water Lodge

Early data from Philadelphia is promising. Rate of people paying bill went from 44% to over 80%. Improved timeliness of payments also went up. Costs for whole program there only $2million. https://t.co/s1ctfljy65

Ald La Spata making closing comments now. Says we’re improving IT infrastructure one way or another. Says he’s been willing to work on the ordinance and is willing to do that down the road, but wants to point out this isn’t about metering.

Me manages to say “Median Metered cost burden,” without stumbling and there should be a medal for that.

He’s running down increases in water rates, emphasizing the 300% increase in water rates since 2006.

Chair Cardenas recognizes Ald La Spata’s passionate advocacy but says there are concerns about how it would get done. Agrees that there needs to be relief but disagrees that something this onerous is good.

Moving to roll call vote.

8 nos and 5 yes, ordinance does not pass.

Chair asks for motion to adjourn. Ald Nugent makes it, meeting adjourned at 3:16 pm.

So concludes today’s meeting of the Committee on Environmental Protection & Energy, but the saga of water in Chicago will continue. For coverage of that & more, check out http://documenters.org