Tag Archives: Rahm Emanuel

Leader who does not like “Mayor 1 percent” label joins Wall Street investment firm

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Former Chicago Mayor Rahm Emanuel does not like one of the names applied to him during his mayoral tenure:

Dellimore also pressed Emanuel on the “Mayor 1 percent” tag that has dogged him for years, a nickname critics use to tie him to wealthy supporters and downtown development they say he favors at the expense of struggling outlying neighborhoods.

Emanuel first responded by taking a swipe at wealthy Blackhawks and United Center owner Rocky Wirtz, who has publicly ripped Emanuel for raising entertainment taxes at big venues such as the United Center: “Go ask Rocky Wirtz what he thinks about being part of the 1 percent.”

When Dellimore said the criticism comes from poor and working-class neighborhoods that feel like they’ve been left behind while the Loop and adjoining neighborhoods have boomed under Emanuel, the mayor changed tacks. He defended investments downtown.

“You name me one world-class city in the world with a decaying central business district,” Emanuel said. “Name one. They don’t exist. I’m proud that we have a thriving, successful central business district that gives us the revenue to also fund from 14 to 33,000 kids in summer jobs.”

Few local governments would argue that downtown development is a bad thing. After all, growth is good and stagnation or decline is terrible.

Yet, if a leader wanted to counter an image of working for the wealthy or the better-off neighborhoods in a city, would joining a Wall Street investment firm be a good next move?

Former Chicago Mayor Rahm Emanuel is joining the Wall Street investment firm Centerview Partners LLC, whose leaders include long-time friends and campaign donors…

“Rahm’s leadership and vast experience providing strategic advice, coupled with a track record of successful planning and execution, will bring tremendous value to our firm and our clients,” Effron said. “Establishing a presence in Chicago is a logical next step for Centerview as we continue to grow, and it positions us to better serve existing and new clients throughout the Midwest.”…

Emanuel on Wednesday rejected any notion that his work as mayor affected the hiring…

Emanuel previously spent more than two years as a Chicago investment banker at Wasserstein Perella & Co., from 1999 to 2002, a job he took after serving as a top aide to President Bill Clinton.

So perhaps this is little surprise given Emanuel’s track record as mayor and roles prior to becoming mayor. Or, maybe he thinks providing commentary for The Atlantic and ABC News will help balance out or help people forget about the Wall Street work.

Measuring the success of a leader by the number of buildings and public amenities named after them

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Chicago Tribune columnist Eric Zorn suggests the Chicago Riverwalk should be named after former Mayor Rahm Emanuel and also discusses the number of buildings named after prominent Chicago mayors:

In situations like this I usually invoke my “hall of fame” rule. That rule requires that, when faced with the urge to slap a politician’s name onto public property, we emulate how pro baseball and pro football halls of fame require players to have been inactive for at least five years before they can be considered for induction. (Hockey and basketball make their luminaries wait only three years.) The purpose is to prevent cheap sentiment and spasms of nostalgia from coloring the cool judgment of time.

For instance, the years have not been kind to Emanuel’s predecessor, Richard M. Daley. The further his six terms as mayor recede in memory, the more fiscally irresponsible and ultimately destructive Daley seems.

He dined on our seed corn — most notably by selling 75 years’ worth of parking meter revenue for a paltry $1.15 billion in 2008. He failed to make the painful decisions that would have kept local pension funds healthy. He left flaming piles of debt for the Chicago Public Schools and Chicago Transit Authority. I need not go on.

There’s a reason that a neighborhood branch library is still and perhaps forever the most significant public structure to bear Richard M. Daley’s name (compared with his exhaustively honored father, Richard J. Daley). By 2024, similarly harsh retrospective assessments may discourage us from putting the Emanuel name on the riverfront jewel he relentlessly championed.

Attaching names of prominent officials to buildings and other public structures (such as highways or an interchange) has a long history. Once a leader is out of office, they can fade from public memory. A prominent feature of the urban landscape with their name on it can help keep their name in public view for decades, perhaps even centuries.

Often, the name is attached to something they helped create. This is where putting Emanuel’s name on the Riverwalk makes sense: if he helped make it happen, his name reminds Chicagoans of at least one good important thing he did. His legacy will likely be mixed but who can deny the value of a nice public amenity?

But, the gesture can also seem vain, backfire in the long run, or . Self-application of a name probably would not work. Consider the fate of streets named after Martin Luther King Jr. in major American cities. Or, the numerous honorary streets in Chicago that few notice. Even worse may be names that few remember even as the name is regularly invoked (the fate of the Dan Ryan Expressway in Chicago).

It will be worth tracking (1) how many places in Chicago bear Emanuel’s name in the long run and (2) how these named places affect his legacy.

Rahm Emanuel on what divides people and how art can bring people together

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Toward the end of an interview about the arts during his tenure as Chicago mayor, Rahm Emanuel briefly discussed factors that divide people and bring them together:

I think Lori and Amy know that the arts are the soul of a great city. Martin Luther King used to say the most segregated day in America is Sunday. The arts can make the other six days more integrated. Technology is balkanizing and dis-aggregating people. Only a government working with artists can create equity across shared experience.

According to this short quote, two factors work against community:

  1. Religion. Watch MLK make his 1960 statement about the most segregated hour in Christian America. So if religion in the US has tended to divide people by race (see Divided By Faith) and Chicago is one of the most segregated cities in America, Emanuel may have a point about this in Chicago.
  2. Technology. Emanuel could join a chorus of pundits and scholars who argue technology has detrimental effects on community life.

On the other hand, Emanuel cites two forces that encourage community:

  1. Art/the arts.
  2. Government helping to facilitate the work of artists.

There is little doubt that major cities in recent decades have used the arts and cultural experiences alongside public art to try to drive growth. Whether this truly enhances community in the long run, particularly when other forces at work – with Emanuel’s reference to equity, I can’t help but think of uneven development and capital investment in cities like Chicago – work against community, remains to be seen. In other words, can shared experiences overcome persistent social inequalities?

The legacy of Mayor Rahm Emanuel and Chicago as a global city

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After weighing the highs and lows of Chicago mayor Rahm Emanuel’s eight years in office, a Chicago Tribune editorial ends with this:

Because in the end, Mayor Emanuel kept his word. He pushed Chicago to keep moving, to shuffle forward, to improve its rank as a global city.

Not many big-city mayors can say that.

Two quick thoughts on how this conclusion feeds ongoing narratives about cities and Chicago:

  1. “Keep moving” and “improve” are linked to the idea of continuous city growth. Chicago may be slowly losing residents – or at least losing ground to faster-growing cities close in population like Toronto and Houston – but Emanuel helped stem the tide. Imagine this legacy: Mayor Emanuel could not increase Chicago’s population but think how much worse it would have been without all those new buildings downtown and in wealthy neighborhoods!
  2. Emanuel himself had a goal of keeping Chicago as a major global city. Indeed, it is. But, Chicago also has a lingering fear that it is not considered a global city, particularly compared to places like New York City. The population loss is likely part of this but so may be a location in the Midwest away from the exciting coasts. Again, for Emanuel’s long-term legacy: Chicago stayed in the top 50 of global cities!

Finally, all of this conversation makes it sound as if the mayor was the only one with influence in the city. The mayor of Chicago may always have an outsized influence – I’m reminded of former mayor Richard M. Daley’s visit to campus in 2011. This big man theory of history covers up a lot of other processes, including the work (or rubber-stamping?) of the City Council, the flow of global capital into Chicago, the influence of developers and wealthy business leaders, and numerous changes taking place within disadvantaged neighborhoods.

Chicago mayor Rahm Emanuel now rolling out affordable housing ideas

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The Chicago Tribune summarizes the recent efforts of Chicago mayor Rahm Emanuel to promote affordable housing in the city:

The Tribune’s Jeff Coen and Gregory Pratt recently reported on Mayor Rahm Emanuel’s stumbles as he’s tried to tackle the tricky issue of affordable housing. They discovered that in gentrifying neighborhoods where affordable housing is most needed, fees paid by developers to fund housing at below-market rates get diverted elsewhere. In many cases, that money shows up on the South Side, where housing needs are great, but where affordable housing isn’t as acute of a problem as it is on the North Side.

They also found that the amount of affordable housing being built in the city is falling short of City Hall’s projections. In 2015, when City Hall strengthened the city’s affordable housing ordinance, Emanuel’s team predicted the creation of 1,200 new housing units by 2020. But as of the end of the first quarter in 2018, a Tribune analysis showed that the ordinance revamp had yielded only 194 affordable housing units, or a five-year pace of 431 units.

With a re-election campaign underway, the mayor’s been spitting out housing initiatives with dizzying speed — by our count, six measures within a span of a week that, one way or another, aim to make housing more affordable. Among them:

  • The creation of a housing department that brainstorms long-term remedies to the city’s lack of affordable housing;
  • The establishment of a $30 million fund to funnel low-cost financing to developers buying apartment buildings in gentrifying neighborhoods, with the catch that the developers have to set aside at least 20 percent of the units as affordable housing for at least 15 years;
  • The expansion of the city’s transit-oriented development program to four heavily used CTA bus lines. The city’s TOD program currently encourages high-density housing and retail near train stations. Apartment builders in TOD areas must provide affordable housing. That requisite would apply to TOD projects near bus lines along Western Avenue, Ashland Avenue, Chicago Avenue and 79th Street.

Four quick thoughts:

  1. Chicago does not get as much attention regarding affordable housing as cities like San Francisco, Seattle, and New York City. Yet, the city has major affordable housing needs stretching back decades. Luxury condos may be common in the Loop, River North, and along the city’s lakeshore but numerous other neighborhoods need good and cheap housing. The list of city residents waiting for public housing is very lengthy.
  2. This lack of attention paid to Chicago compared to those other cities also hints at the relative nature of affordable housing. Chicago may be cheap compared to San Francisco but that does not mean that the city is relatively expensive compared to other big cities in the Midwest or the South.
  3. Perhaps just as important as how many affordable housing units are created is where the affordable housing units are located. If most of the units end up in wealthier and whiter neighborhoods, will this have a significant impact on worse-off neighborhoods?
  4. The Tribune mentions the looming reelection Emanuel faces: are these affordable housing ideas simply campaign fodder or is there going to be a sustained effort over time?

China introduces plan to eliminate gated communities

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Gated communities may be popular in the United States and many other countries but China is looking to open them up:

Along with its ambitions to finally put an end to “weird” architecture, China is also hoping to ban gated communities. In the same directive that called for stricter building standards, the State Council of the People’s Republic of China has also recommended that future residential enclaves be opened to the public. Existing gated communities would also gradually have their once-private streets integrated into the public road network. Not only would the move ease traffic congestion, the government argues, but it would also make better use of land.

But that particular part of the plan has drawn criticism from legal experts and fierce opposition from the public. Lawyers say such a mandate infringes on residents’ property rights, which according to China’s property laws, are “inviolable.” According to the South China Morning Post, the cost of roads and other shared spaces inside gated communities are factored into the price of residents’ homes, so they are essentially considered private property. China’s Supreme Court recently told the Hong Kong newspaper that they will be “paying close attention” to the directive.

Is this a microcosm of a larger debate between a more free market economic system versus more government control? The question of whether developers can build and residents, particularly those who feel they have joined the middle or upper class, can move into gated communities seems tied to a number of bigger issues.

I’m reminded that one tool of power available to governments is to dictate use of land and regulate architecture. Americans tend to prioritize property rights but the United States has a variety of land and architecture regulations, particularly zoning at a local level as well as historic preservation districts. Less frequent is the use of eminent domain, though it has been used regularly in the past for urban renewal which was often about taking land and profiting from new development. See the recent case in Chicago where Mayor Rahm Emanuel has discussed seizing the old post office building to make money for the city.

So how far should governments go regarding regulating land and architecture? A completely free market system would lead to some negative outcomes but too much implies tyranny.

Chicago set to expand TOD boundaries

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The City of Chicago wants to expand the area that would be eligible for transit-oriented development guidelines:

According to the Tribune, the mayor is expected to introduce a reform that would allow developers to build new TODs within 1,320 feet of a transit station—which would more than double the surface area that developers could build within. In addition, the new rules would also allow developers to build TODs within 2,640 feet of designated pedestrian streets.

Here is a bit more on the background:

Generally, the city requires that developers include one vehicle parking space per residential unit, however the TOD ordinance allows developers to cut down their parking requirements by at least half if the project is located 600 feet from a transit station…The mayor believes that the big investment in renovating the CTA stations along the Brown, Red and Blue lines will serve as a catalyst to seeing more transit-oriented developments, and wants to expand the constraints that developers currently have to build within. “This ordinance will capitalize these investments by accelerating development near transit stations,” the mayor recently declared.

This may not sound like much – the TOD boundaries increase from 600 to 1,320 feet from the transit station – but it could have quite an impact in certain neighborhoods:

Screen Shot 2015-07-28 at 11.57.02 AM.png
[Pretty much everything would be on-limits in the West Loop, River West and River
North neighborhoods if the changes are made.]

The average citizen may not pay much attention to such things but zoning and land regulations have a lot of influence on urban patterns. This change could provide more incentive for denser developments around transportation nodes.

It would be interesting to hear Emanuel’s justification for this: is this about capitalizing on developers who really want to build in these places? Is it about going green? Is it about cutting down on traffic?

Obama bypasses Congress and talks to mayors about economic policies

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President Obama talked to big city mayors yesterday in efforts to work outside of Congress:

White House aides say the U.S. Conference of Mayors meeting was an ideal opportunity to press the president’s agenda with a more sympathetic audience. White House spokesman Eric Schultz told reporters before the speech that it was a chance to move “forward on priorities helping the middle class despite inaction in Congress.”

The president urged mayors to raise the minimum wage, guarantee paid sick leave, and expand childcare and pre-kindergarten education — all issues with little traction among congressional Republicans…

Since Obama called for an increase to the minimum wage in 2013, 17 states and the District of Columbia have passed raises. Large retailers, including Wal-Mart Stores Inc, IKEA, and Gap Inc. have also pledged to increase the lowest hourly wage for their employees.

This could be viewed as a political ploy to shame Congress or subvert the typical process by which Washington works. In contrast, Obama’s strategy works with one of the standard lines about big-city mayors: they can’t be as partisan as legislators or those in the executive branch because they have to attend to more practical details on a regular basis. In other words, they have to make sure their cities work and can’t afford to get bogged down in ideological standoffs. (Interestingly, I heard this again recently at a conference in Chicago and there was some open laughter.)

That said, economic issues would certainly matter to many mayors as they need jobs for citizens as well as the economic benefits that come with jobs and economic growth (increased population, more tax revenues, increased prestige, etc.). Of course, there is disagreement about how to best do this. Chicago mayor Rahm Emanuel presents some of these contrasts. Is he pro-Walmart? He certainly seems to like attracting big corporations and tech start-ups. Is he truly interested in economic development in poorer neighborhoods? How much influence do wealthy businesspeople have in Chicago? He was behind raising the minimum wage in Chicago. Can he be considered non-partisan?

Whether Congress acts or not, cities and metropolitan regions are large economic engines and their leaders do have some latitude in policies that could encourage or discourage economic growth.

Odd poll: Rahm Emanuel more negatively rated than Eisenhower traffic

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One challenger to Chicago Mayor Rahm Emanuel used some dubious questions to find how the mayor ranks compared to other disliked things:

The poll, with questions tailor-made to grab headlines, was paid for by Ald. Bob Fioretti (2nd) and conducted Sept. 26-29 by Washington D.C.-based Hamilton Campaigns…

Fioretti’s pollster was apparently looking to put a new twist on the issue by testing the mayor’s unfavorable ratings against some high-profile enemies, including the Bears’ archrival Green Bay Packers.

Of the 500 likely Chicago voters surveyed, 23 percent had a “somewhat unfavorable” opinion of Emanuel and 28 percent had a “very unfavorable” view of the mayor.

That’s an overall negative rating of 51 percent, compared to 49 percent overall for morning traffic on the Eisenhower. Conservative-leaning Fox News Channel had a slightly higher unfavorable rating in Democratic-dominated Chicago while the Packers stood at 59 percent.

Odd comparisons of apples to oranges. As the article notes, it sounds like a publicity stunt – which appears to work because the article then goes on to give Fioretti more space. Giving space to bad statistics is not a good thing in the long run with a public (and media) that suffers from innumeracy.

Two thoughts:

1. I could imagine where this might go if Emanuel or others commission similar polls. How about: “Chicago’s Mayor is more favorably rated than Ebola”?

2. How did the Packers only get a negative rating of 59% in Chicago? Are there that many transplanted Wisconsin residents or are Chicago residents not that adamant about their primary football rival?

Financially troubled Chicago has to pay out more to reimburse drivers for pothole damage

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Chicago doesn’t have much money these days but it will have even less after reimbursing drivers for potholes:

Mayor Rahm Emanuel has ordered the Chicago Department of Transportation to assign all 30 of its pothole crews to main streets on Mondays and Fridays to address scores of potholes in blitzkrieg fashion using a grid system.

The Chicago Sun-Times reported last month that the cash-strapped city has been hit with a blizzard of damage to vehicle claims thanks to a relentless barrage of snow, cold and wild temperature swings that has turned city streets into the surface of the moon.

Since the New Year’s Eve storm that buried Chicago in 23 inches of snow before a record-setting cold snap, CDOT crews have filled roughly 240,000 potholes…

At last week’s City Council meeting alone, there were 543 pothole claims introduced, nearly double the 280 claims introduced last month. During the March City Council meeting last year, there were just 61 pothole claims introduced.

Between paying more to patch potholes plus pay out claims, the cold and snowing weather is costing Chicago more money. It’s too bad this story doesn’t have any monetary figures about the pothole claims. Plus, how much is budgeted each year to pay out these claims and what happens if there is an outlier year (like this year)? Mayor Emanuel is quoted in this story saying this is why the city is trying to pave more streets during warmer months – indeed, constructing streets in certain ways in the first place and maintaining them adequately will cut down on pothole problems down the road. In this case, paying more upfront for the infrastructure of good roads in Chicago could save the city money later.

File Chicago pothole claims here.