CRMA 121 Report – July Part II

Chicago City Council Ordinance and Resolution Introductions

INTRODUCTIONS

 

ORDINANCE – CHANGING TIP CREDIT FROM A FLAT RATE TO A PERCENTAGE OF THE CHICAGO MINIMUM WAGE

Sponsors: Alderman Edward M. Burke (14th Ward) and Ald. Margaret Laurino (39th Ward)

Committee: Workforce Development and Audit

 

When Chicago’s starting wage was implemented in 2015, the choice was made to maintain the IL standard of establishing a different system of pay for tipped employees than what is mandated for non-tipped employees. Tipped employees are paid a flat rate per hour that is lower than non-tipped employees because they make up the difference through collecting tips from customers for their service. To the extent that the employee does not earn enough in tips to clear $12/hour (the current minimum wage in Chicago), the employer is required to pay the employee the difference.

This proposal seeks to change the way that tipped employees are paid from the current flat rate to a percentage of Chicago’s Minimum Wage. Framing this as an empowerment issue for women, the proposal emphasizes that 70% of restaurant servers are women and suggests that if these employees were less reliant on tips, they might experience less harassment and abuse from customers, co-workers and management. The change would essentially make the employer responsible for paying a higher base wage, therein making the tipped employee less reliant on tips. If this proposal were to pass, the employer would pay 70% of the Minimum Hourly Wage which works out to $8.40/hour (up from the current $6.25) and would increase annually in proportion to the increased minimum wage for non-tipped employees.

 

ORDINANCE – BAN ON COMMERCIAL USE OF FACIAL GEO-MAPPING FOR NON-SECURITY PURPOSES 

SPONSOR: Ald. Edward M. Burke (14th Ward) 

COMMITTEE: Finance

This proposal would permit commercial businesses to use facial recognition technology only upon agreement with the Chicago Police Department and only if signage is posted alerting customers that such technology is being used. The information can be used for security purposes only and cannot be shared or sold to other commercial entities. Since 2008, the state of IL has had the Biometric Identification Privacy Act (BIPA) which allows biometric data to be collected only after a person has signed an agreement and several disclosures have been provided by the business. It has been the subject of many lawsuits and a virtual boon to the trial bar.

While BIPA makes it extremely difficult to use facial recognition technology in IL for commercial purposes, this proposal would ban all activity unless it is related to security pursuant to an agreement between the business and CPD and subject to approval by the city’s Corporation Counsel. But it is our understanding that signing an agreement with CPD could give them some authority over the technology and its use, or at the very least the opportunity to access the technology.

 

ORDINANCE – LIMITATIONS ON THE USE OF CONSTRUCTION EQUIPMENT IN THE CBD

SPONSOR: Ald. Brendan Reilly (42nd Ward)

COMMITTEE: Health and Environmental Protection

This proposal would prohibit the operation of certain gas or electric-powered construction machinery in the Central Business District between the hours of 8pm-8am as well as prohibit such activity within 1100 ft. of any residential building or hospital during the same hours. Fines have been increased.

 

ORDINANCE – BAN ON THE USE OF PLASTIC STRAWS AND STIRRERS AT CITY-OPERATED LOCATIONS

Sponsors: Ald. Edward M. Burke (14th Ward) and Ald. Raymond Lopez (15th Ward)

Joint Committees: Finance and Aviation

Pointing to the growing awareness of waste products in our oceans and waterways, this proposal was introduced to prohibit establishments on city owned and/or operated properties from selling or giving away plastic straws and stirrers. Such items if sold or used would need to be biodegradable. Members will note that Chairman Burke introduced a proposal to have a question on the November ballot asking the public if the city should ban plastic straws altogether.

 

ORDINANCE – LICENSING POP-UP RESTAURANTS AND RETAIL LOCATIONS

SPONSOR: Mayor Rahm Emanuel 

COMMITTEE: License and Consumer Protection 

This proposal is needed to encourage retail and restaurant entrepreneurs to try out their new concepts by “popping up” in a vacant storefront and operating for a limited amount of time. While Chicago has had its share of pop up locations for years, the regulations have not always been clear. This proposal will clarify what both the entrepreneurs and land owners must do in order to have a pop-up shop lawfully operating in the city. Licenses can last as short as 5 days and as long as 180 days depending on the use. If the space will have food, it will need to be prepared in a shared kitchen or licensed and regulated kitchen which can be on premises or at a separate location. In certain instances the host property will need a license as will the user. We encourage you to talk with your landlord if you are interested in operating a pop-up shop to ensure that each party has procured the necessary permits. The city is excited about being able to allow these innovative concepts with minimal interference from City Hall.

 

PASSED LEGISLATION

ORDINANCE – DELIVERIES BY COMMERCIAL VEHICLES IN LOADING ZONES

SPONSOR: Ald. Brendan Reilly (42nd Ward)

As deliveries increase, especially in already congested areas of the city, it has become a priority to ensure that commercial loading zones are used purely for servicing local businesses and that commercial vehicles don’t remain parked in a loading zone indefinitely while attempting to service an entire neighborhood. Therefore, to keep traffic moving and to continue to provide space for all of the necessary deliveries, this ordinance will limit standing time to 30 minutes for pick-ups and deliveries in curb loading zones unless the signage has a different time allotted. Hazard lights must be flashing while parked in the loading zone.

EFFECTIVE DATE: September 19, 2018

 

The Chicago City Council does not meet in the month of August.
The next meeting of the full Council will be on Thursday, September 20, 2018.

CONTACT

Tanya TricheTanya Triche Dawood
Vice President, General Counsel
Illinois Retail Merchants Association
312-726-4600
ttrichedawood@irma.org