City Council is on summer break until the September Council meeting.
Sexual Harassment Ordinance:
The
Sexual Harassment Ordinance took effect on 7/1/18. The new law was a compromise agreement with UNITE HERE and the sponsor, Alderman Michelle Harris (8th Ward), that clarified that panic buttons are for those attendants who clean hotel rooms and restrooms. Alderman Harris was under pressure from UNITE HERE to make other changes, but she stuck to her pledge to IHLA and pushed the ordinance to passage. The union had pushed to add bartenders and waitresses to the ordinance, but Alderman Harris refused and said she was not making any more changes other than what had been agreed upon. (The buttons trigger a message to the cellphone of the employee's supervisor, manager, and human resources department and provide the employee's name and location). She ultimately gave in on the effective date of 7/1/18, due to the elections coming up and strong union backing. She conferred with the Mayor on the extension, and it was decided to leave the effective date at 7/1/18. We spoke with the Commissioner of Business Affairs & Consumer Protection, and she worked with us on not sending anyone out until after the second week in July, but she must show that they're serious about enforcement. The department will send two people to check on compliance. If a hotel is not in compliance, the department will give the property another 30 days to be compliant, but if a hotel has done nothing or shows no sign of complying, it could be fined.
Chicago Fair Workweek Ordinance:
The Chicago Fair Workweek Ordinance is still pending in committee and is not expected to be heard until September or October at the earliest. We know that the unions want to pass it before August, but the Mayor's Office and Alderman Pat O'Connor (40th Ward), who chairs the Workforce committee where it will be heard, want to hold the ordinance for more deliberation. The plan is to slow play this. Both the Mayor and O'Connor would like to see it go away, but it's an election year and they must be careful with labor. The Windy City Works Coalition has met with the Mayor's Government Affairs Director twice now, and the plan is to stall the ordinance until at least September or October or later. IHLA also plans to meet with Chairman O'Connor in the next few weeks. Alderman Scott Waguespack (32nd Ward) told IHLA Governmental Affairs Representative, Jeff Dixon, that he would like to see this ordinance held until after the April 2019 election, and he is a progressive. He stated that he asked Chairman O'Connor about holding the bill because he feels the union has not had enough discussion with all parties to move the bill forward. Jeff had a few conversations with the union representative Zack Koutsky about compromise language that would exempt businesses with less than 50 employees and told him that IHLA is opposed. Jeff also spoke with other aldermen about the compromise language, and they have heard from small businesses that it is acceptable to them. After explaining our position from hospitality, they are willing to take another look and work with us. The Windy City Coalition hired lobbyist Michael Alvarez to lead the lobby effort at City Hall working with IHLA, Chicagoland Chamber of Commerce, Illinois Restaurant Association, and IRMA.
We have talked to several aldermen about the ordinance and have gained support, but the progressive aldermen tend to be supportive of the union ordinance. We will continue to have conversations with the Mayor's Office on strategy and to determine the timing of moving an ordinance.
The coalition is considering hiring a PR firm to work on media placement. An Op-Ed was published in Crain's to counter the union press conference that announced the ordinance. We have met with several other aldermen including Alderman Thompson (11th), Hopkins (2nd), Scott (24), Harris (8), Arena (45th), Reilly (42nd), O'Connor (40th), Lopez (15th), Laurino (39th), Sawyer (6th), Tunney (44th), Munoz (22), O'Shea (19), and Moore (49). The aldermen have told IHLA that they are receptive to revisions to the ordinance and will not support moving the measure until all of the issues are reviewed in full. However, the union wants to move this soon and will be working this hard. We will continue to lobby the aldermen and recommend that hotel GMs and other supporters send letters at the appropriate time to aldermen urging a NO vote. The main four members of our coalition are meeting regularly and working with the National Restaurant Association on next steps.
Airbnb:
Airbnb is looking at another 2% tax to help pay for domestic violence victims. Mayor Emanuel and Alderman Matt O'Shea are pushing for the tax to help pay for shelters and support services for domestic violence victims. The bill passed the License Committee and is expected to pass City Council. It would increase the City tax on the gross rental or leasing charge of any shared housing unit or vacation rental to 6%. The City disclosed under questioning at the Licensing Committee that it collected $320,000 in registration fees from Airbnb last year and $385,000 so far this year. That includes a $10,000 licensing fee for Airbnb and a $60 per unit fee on top of that.
New Alderman:
Mayor Emanuel selected State Representative Silvana Tabares of Garfield Ridge to become the new 23rd Ward alderman. Tabares is an ally of Speaker Madigan and replaces Alderman Mike Zalewski, the City Council's Aviation Committee Chairman, whose retirement from the City Council took effect on 5/31/18. Tabares spent the past five years as a state representative. She was not only Madigan's choice but also recommended by Alderman Zalewski. Alderman Matt O'Shea of the 19th Ward in Beverly was selected as the new chairman of the Aviation Committee Chairman to replace Zalewski.
Elections:
The mayoral and aldermanic elections will take place in February. Mayor Emanuel is running for a third term and has raised more than $10 million; his 10 challengers have raised $1.8 million combined. Lori Lightfoot, lawyer and former Police Board President, has $515,000, Paul Vallas has $445,000, and Garry McCarthy has $425,000. Commissioner Bridget Gainer is flirting with a run for Mayor and has $845,000 in her campaign fund.
Alderman Ed Burke (14th Ward) has announced he's running again and has a large war chest to help him. The 14th Ward is changing dramatically and is almost 70% Hispanic. His brother Dan Burke was defeated by a Latino, and some thought that Ed Burke might retire. He will be 75 in December.
