Monday, December 8, 2008
News / Clout City Another worthy taxpayer subsidy
Posted by Ben Joravsky on 12.08.08 at 01:16 PM
I guess I shouldn't be surprised, but it turns out that Republic Windows and Doors--the north-side company whose abrupt shut-down has spurred a labor takeover--received about $9.6 million in public funds from our always-generous mayor and City Council.
The money came in the form of--what else?--a tax increment financing subsidy approved back in 1996. It was intended to help the company develop its Goose Island facility. That would be the same facility where dozens of Republic's employees have gathered for the last several days to protest being laid off with only a three-day notice--and without the vacation or severance pay required by law.
The company said it had to suddenly halt operations because the Bank of American had cut off its line of credit. Bank of America received some $15 billion in federal assistance--with $10 billion more on the way--as part of the federal government's Troubled Asset Relief Program, aka the banking bailout bill.
So the company gets a TIF handout from the city. And the bank gets a handout from the feds. And the workers get kicked in the teeth.
Merry Christmas, everybody.
Comments (20)
Showing 1-20 of 20
The American Dream! Work hard ,get Fucked! But... Hey, the City looks Beautiful!
like
dislike
Many of those people skipped over the fence to get into America. The Country is broke, time to go home. Obama will do the same crap as Bush. What a waste of a vote. I hope Obama uses some of that money to further gay and transgender rights.
You wash my hand, I'll wash yours. Bank Of America has donated 327 contributions, totaling $600,924.82. Including this one: Bank of America PAC 231 South LaSalle 8th Floor Chicago, IL 60606 $10,000.00 7/18/2003 Transfer In Friends of Blagojevich Don't believe me? Check here. http://www.elections.state.il.us/CampaignDisclosure/ContribListSearches.aspx
Another thought for TIF reform - any company receiving TIF money should have to commit to stay in the district for the life of the TIF or repay the subsidy. What's most outrageous about the plant shut-down is that the owners are not going out of business. They are moving their business to Iowa, but under a new name. They may also be illegally moving plant equipment and other assets to the new plant. Attorney General Lisa Madigan is investigating and hopefully her office will be able to prevent these scum-bag owners from converting company assets for their own use rather than to pay off their obligations to employees and creditors.
Sometime you do not know what you get until it is to late. Support gay transgender issues. Gays work hard.
drunk jack is tryin for a inside job. he's puttin up bad billy's X partner to run vs the dumb mayor. poor bradley does not know his friend too well. I'm votin for Joey.
Most of those beaners took jobs from real Americans, so fuck 'em. Plus, Republic makes really shitty windows. Good for Mexico, but not for American homes. With the housing market in shambles, it goes to figure that businesses that are tied to housing would be in trouble. No houses built or sold means no windows in houses. Duh..... Besides, anything that involves Jesse Jackson is looked at with suspicion.
Joe, Don't get offended by a cock suckin kiss ass like oreo(orion-Daryl Mitchell). He is just a product of the daley secret society. They think everyone should sit back and watch them steal taxpayers money , because THEY know whats good for us.
Orion was once an assistant to Jesse senior. He was fired and discredited after he was caught in a closet with another man.
I live in DesPlaines Il with Daryl Mitchell and we get drunk in Rosemont with my wife! Russ Stewart faked a separation with me and my wife so we can get millions from the taxpayers of Chicago!
I aint racist cuz if I was why would I have a crush on Esai Morales in La Bimba?
The only correct choice is not make one in the first place. Creating the TIF was a poor choice. The choices available after the fact will only further restrict the flow of capital. If Republic Windows & Doors wishes to hang themselves, why would Chicago property owners pay for the rope? Is our government trying to inflate the Communist's hot air balloon? These bailouts and subsidies have little effect on the sustainability of any of these commercial organizations. No amount of tax revenue subsidy can keep these jobs here. But a reduction in taxes, the amending of regulation, and relaxing of environmental standards will keep them here.
Having negotiated a number of tax increment funded projects for cities, I would hope that the City of Chicago promissory note, and secured a loan for $9 million with the property owner. In any case the City should find a way to take over the company and turn it over to the workers. They know how to make the products and can run it for less than the thieving owner and lender.
