Talk is cheap
Winging it
Learn new eyeliner tricks Focus, page 14
Beyoncé sparks discussion about artists’ role in activism
DePaulia
The
Opinions, page 12
Pinnacle award winner, No. 1 College Weekly Newspaper
Volume #100 | Issue #23 | May 9, 2016 | depauliaonline.com
Analysis: Tax funds used for hotel near arena controversial By DePaulia Investigation
Six days after the partnership between DePaul, the Metropolitan Pier and Exposition Authority (McPier), and the city was announced in 2013, Chicago’s Board of Education announced that 50 public schools would close. To critics, the project was the perfect example of the misuse of public funds, siphoning public money for flashy developments rather than schools. But alongside the arena, the project was also announced with a lavish new Marriott hotel with the goal of revitalizing the area surrounding McCormick Place. Citizens, including DePaul students, protested. When it came time to approve the project, city aldermen voted for public money to be moved from the arena to the hotel project in March 2014. In total, $55 million of government-funded taxes, or the use of Tax Increment Funding (TIF), went towards the hotel project. A little more than a year from completion, community groups are still torn over whether using tax increment funding for a commercial project is ethical in revitalizing the city and tourism. For TIF funds to be used, the requirements mandate the neighborhood in question must be considered “blighted,” with evidence of deterioration, excessive vacancies and stunted property values. It also must pass the “but for” requirement, meaning that the area would not develop on its own but for the TIF funding. “Both of those (conditions) are violated in this instance,” said Tom Tresser, a community activist and civic lawyer. Tresser has been embroiled in the discussion around TIF allocation in Chicago for more than 20 years. “You’re telling me the convention center is blighted, and you are telling me the Marriotts don’t have enough money and wisdom to figure out how to fund their hotel, right next to another hotel that is operating successfully in a booming area,” he said. “That requires $55 million of public cash?” The purpose of TIF, according to the City of Chicago, is to promote public and private investment across the city. Property taxes in TIF districts are essentially frozen for 23 years, and excess taxpayer money is diverted into redevelopment projects. The TIF Act was established nearly 40 years ago to improve blighted neighborhoods and redevelop them to
See TIF, page 8
PAYMENT DAY MEGAN DEPPEN | THE DEPAULIA
University funds for arena due next month By DePaulia Investigation
O
n the corner of Cermak and Prairie, clean concrete pillars sit inside the unmistakable bowl of an arena in the making. The U.S. and DePaul flag — both red, white and blue — whip against the metal of a flag pole high above unfinished walls. After almost a decade, the long-awaited 10,000 seat home of the DePaul Blue Demons shows its first signs of progress. Since announcing their partnership with the Metropolitan Pier and Exposition Authority (known colloquially as “McPier” for its management of Navy Pier and the McCormick Place), DePaul has said that its stadium would more or less pay for itself. And as construction hums and deadlines loom, DePaul is prepared to write a lump sum check for $82.5 million by the beginning of next month. Over the last three years, DePaul and McPier have worked closely behind the scenes with the intention of a fall 2017 opening. While McPier has been funding the project since July 2013 according to documents obtained through the Freedom of Information Act, DePaul’s contribution — half the cost of construction — is due by June 1 of this year. With less than a month until that date, university officials said they are on track to make their payment in one lump sum using DePaul’s financial reserves and other allocated funds. Jeff Bethke, DePaul’s executive vice president, confirmed the university’s
MEGAN DEPPEN | THE DEPAULIA
TOP and RIGHT: photos of the construction site for DePaul’s new arena.
DEPAUL WILL
$82.5
PAY MILLION BY JUNE 1 commitment towards the still unnamed stadium. “The basic structure of the deal is that they acquired the land, they’re paying half the cost to construct the facility, we’re paying the other half. Their money is the first money in, ours is the second money in,” Bethke said. “So, we’re now entering the last half — believe it or not — the last half of the timing for the event center, with an opening by
November 2017, so now it’s time for our funding contribution.” The university has always maintained that DePaul will pay for the arena using four sources of income related to the project: naming rights, corporate sponsorships, fundraising and attendance. Likewise, the school continues to reiterate that tuition
See ARENA, page 26