Sign Amnesty

http://www.chicityclerk.com/legislation/sublegmatters/2009/dec16/Mayors/PO2009-8375.pdf

1. Create a 6-month amnesty on fees for sign permits, zoning review and public way use permits
2. Waive any open citations going through administrative hearings
3. Aamnesty begins 4/15/10 and ends 10/12/10

License Renewal and Fees

http://www.chicityclerk.com/legislation/sublegmatters/2009/dec16/Mayors/PO2009-8374.pdf

1. Extend the life of certain licenses to either two or four years depending on the type of license
2. If your total license fees are in excess of $1,000, then you cna pay the cost over a two-year time period
3. Effective 120 days after passage and publication, so will begin mid-June 2010

Public Way Use Permits

http://www.chicityclerk.com/legislation/sublegmatters/2009/dec16/Mayors/PO2009-8373.pdf

1. Bundles any three of the following permits and sets the fee for the bundle at $175 (signs less than 25 sq. feet, canopies, awnings and light fixtures)
2. Eliminates the fee for some permits, although if your fee has been eliminated, they will charge a $50 "application fee"
3. Eliminates the permit fees for things hanging over the public way on landmarked buildings as long as the structure is part of the landmark designation
4. Effective mid-February

Head Tax

http://www.chicityclerk.com/legislation/sublegmatters/2009/dec16/Mayors/PO2009-8382.pdf

1. Temporarily eliminates the head tax for new hires over the next two years
2. No increase in the head tax from your 2009 level for the next two years.

Updated: January 5, 2010

Explanations of the ordinances introduced at the December 2009 City Council meeting and a link to each ordinance relevant to the retail industry is found below.  These Ordinances will be voted on at the January 13, 2010 meeting of the City Council.

City of Chicago On-Premise Sign Amnesty Ordinance of 2009

http://www.chicityclerk.com/legislation/sublegmatters/2009/dec16/Mayors/PO2009-8375.pdf
 
Beginning April 15, 2010 and ending on October 15, 2010, the city will waive fees for building permit signs, zoning reviews and the first year of the public way use permit.  Any citations issued prior to the amnesty period will have both the amount due and prosecution waived.  Amnesty will not apply in circumstances where a person is a party to any criminal investigation or criminal or civil litigation going through any court in Illinois.  Amnesty will also not be granted to any person required to attend a hearing in the department of administrative hearings concerning fraudulent conduct concerning any debt or non-payment of debt owed to the city other than debt that would be waived by the amnesty provision.
 
If this ordinance passes, it will take effect on April 15, 2010.  The ordinance was heard in a joint committee of License and Transportation on Monday, January 4, 2010.

License Renewal and Fees Ordinance

http://www.chicityclerk.com/legislation/sublegmatters/2009/dec16/Mayors/PO2009-8374.pdf
 
This ordinance would allow a holders of certain licenses to elect to have the term of their license expire at the end of either two or four years if a term is not already provided for in the Code.  It also changes the renewal terms for the majority of current licenses.  Exception:  if a person holds a license under any of the following categories, those licenses will expire every two years: 
•    Liquor Dealers
•    Day Care Centers
•    Massage Establishments
•    Weapons
•    Hotels
•    Single-Room Occupancy
•    Rooftops in Wrigley Field Adjacent Area

If a person has a license that expires at the end of two years and their fee for that license or their combined licenses exceeds $1,000, then they can choose to make the payment in two equal installments.
 
If you currently hold any license pursuant to Chapter 4 of the Code, please read this ordinance carefully as the payment terms for that license will likely change with the passage of this ordinance.
 
The ordinance will be in effect 120 days after passage and publication.

Review of Landscape Ordinance - RESOLUTION

http://www.chicityclerk.com/legislation/sublegmatters/2009/dec16/SCANNED%20DECEMBER%2016,%202009/30_PR2009-108.pdf
 
This resolution asks the License committee to hold a hearing to discuss current policies and practices of the city to hold licenses for businesses that have not complied with newest revisions to the Landscape Ordinance.

Changes to Public Way Use Permits

http://www.chicityclerk.com/legislation/sublegmatters/2009/dec16/Mayors/PO2009-8373.pdf
 
This proposed ordinance would clarify the circumstances in which a person would need to apply for a public way use permit.  It also clarifies definitions for items which require public way use permits.  It also details the circumstances in which an application for a permit will be denied.  Permits will last for 5 years and holders must furnish a certificate of insurance to the department with coverage in an amount not less than $1 million.  Fees are delineated in the ordinance as well as exemptions.  Also creates a "subsidewalk space use" permit.  Deletes the requirement for a permit for maintenance of wires, cables, etc.

Ordinance to Issue a Joint City and County Cigarette Stamp

http://www.chicityclerk.com/legislation/sublegmatters/2009/dec16/Mayors/PO2009-8385.pdf
 
A proposal to contract with Cook County to issue jointly a tax stamp for cigarettes.  The ordinance will be heard in the Finance committee on Monday, January 11, 2010 and would be effective upon passage and publication.

Ordinance granting temporary tax relief from the Employers Expense Tax

http://www.chicityclerk.com/legislation/sublegmatters/2009/dec16/Mayors/PO2009-8382.pdf
 
If an employer's business has been located in the city for at least 12 months prior to July 1 of the current tax year, the employer will not have to pay the Head Tax if that employer was not required to pay the tax in the tax year prior to that ending on June 30, 2010 or June 30, 2011.
If the employer was required to pay the tax, under the same set of facts, the employer will not have to pay any of the head tax owed over and above what the employer paid in the previous tax year.
 
If an employer merges/consolidates the business with another entity, and the tax owed in the current tax year exceeds what that employer would have paid if the merger/consolidation had occurred a year earlier, then the employer will only be required to pay what they would have owed the year prior.
 
The ordinance will be heard in the joint committees of Finance and Economic Development although a meeting has not yet been scheduled.  It would be effective upon passage and approval and repealed on August 16, 2011.

Updated: December 9, 2009

According to the Chicago Tribune and Chicago Public Radio, on Tuesday, December 8, 2009 Mayor Richard M. Daley announced plans to offer small business loans to promote business growth and a series of enforcement and policy changes to ease the burden on city staffing needs. 

Daley said he will work with aldermen and the Department of Business Affairs and Consumer Protection to make the application process for new businesses shorter as well as offering two-year and four-year licenses and a potential payment plan for licenses.  The mayor also announced that fewer fines and code violations will have to be paid in person.

Money for the program, $3.2 million from the City's Skyway lease and $350,000 from the much-debated parking meter lease, will result in loans ranging from $10,000 to $150,000 through community lenders.

Stay tuned to the LPCC's website for more information on this exciting opportunity for Chicago's business community. 

In what is already being dupped this years "doomsday", the Chicago Transit Authority released their proposed budget for 2010 on Saturday, October 10, 2009.  Presently, the CTA is operating at $300 million budget gap.  Mayor Richard M. Daley has already called the proposed budget for 2010 "very ugly" and the changes ahead are certain to affect everyone.

The CTA has noted three key areas that have contributed to their shortfall:

• A decline in funding from tax revenue
• Union contracts
• Pension obligations

To combat this problem, organization president Rich Rodriquez introduced a series of fare increases and service cuts to help balance the budget.  Below is a list of proposed changes to help balance the budget.

• Increasing the cost of single-ride rail and many express bus tickets to $3.00
• Increasing fares on standard bus routes to $2.50
• Increasing the cost of a monthly pass to $110
• Bus service is to be reduced by 18%
• Rail service is to be reduced by 9%
• 287 outdated buses will be retired
• The Archer Garage will be closed
• Staff will be subjected to mandatory furlough days
• Capital Funds will be transferred to the operating budget

Guide to Proposed 2010 Fares:

Updated Service Cuts and Details:

2010 Proposed Service Details
2010 Proposed Reductions
Complete Budget Details

These changes are scheduled to go into effect on February 7, 2010.  Continue to check the LPCC's website for more information.

CHICAGO (August 31, 2009) – The Lincoln Park Chamber of Commerce (LPCC) is happy to announce that it has partnered with the U.S. Chamber of Commerce to provide its members with valuable new programs and services. Through the U.S. Chamber’s Federation Partnership program, small business members in good standing with the LPCC will now receive the benefits of U.S. Chamber membership. This new member benefit is provided at no additional cost to members of the LPCC.

“We are thrilled to partner with the U.S. Chamber of Commerce to help support the interests of small businesses across Lincoln Park and throughout the United States of America,” said LPCC President and CEO Kim Schilf.  “During any difficult economic stretch it is important for business to work together to ensure their collective goals and needs are met.”

By joining the Federation Partnership, the LPCC is helping the U.S. Chamber’s effort to build the nation’s largest grassroots advocacy network.  The LPCC will continue to focus on local issues and programs.  The U.S. Chamber will alert and mobilize LPCC members on national issues ranging from taxes to technology to transportation. This ever-growing coalition of small businesses allows the U.S. Chamber to present a strong, unified voice for business in Washington, D.C.

The LPCC works closely with both Lincoln Park Aldermen Scott Waguespack (32nd) and Vi Daley (43rd) as well as local community organizations and more to ensure the needs of businesses are considered when implementing new public policy.  The LPCC’s Government Affairs Committee works each year to draft a Legislative Agenda which is presented to our alderman, highlighting the issues that will contribute to the success of neighborhood businesses.

In addition to the LPCC’s benefits members already enjoy, U.S. Chamber membership provides access to members-only sections of www.uschamber.com, including thousands of small business tips and tools; discounts on products and services; uschamber.com Weekly e-newsletter; the U.S. Chamber’s monthly flagship publication, uschamber.com; and timely communications alerting small businesses to pressing legislation or policy initiatives.

“With access to the resources of both the LPCC and the U.S. Chamber, our members will be able to have their voices heard with all of their elected officials,” continued Schilf.

The U.S. Chamber of Commerce is the world's largest business federation representing more than 3 million businesses and organizations of every size, sector, and region. Learn more at www.uschamber.com.

Grooming/Hygiene Products

Notwithstanding any other provisions of this Act, beginning September 1, 2009, "nonprescription medicines and drugs" does not include grooming and hygiene products. For purposes of this Section, "grooming and hygiene products" includes, but is not limited to, soaps and cleaning solutions, shampoo, toothpaste, mouthwash, antiperspirants, and sun tan lotions and screens, unless those products are available by prescription only, regardless of whether the products meet the definition of "over-the-counter-drugs". For the purposes of this paragraph, "over-the-counter-drug" means a drug for human use that contains a label that identifies the product as a drug as required by 21 C.F.R. § 201.66. The "over-the-counter-drug" label includes: (A) A "Drug Facts" panel; or (B) A statement of the "active ingredient(s)" with a list of those with a list of those ingredients contained in the compound, substance or preparation.

Illinois Department of Revenue Information Bulletin Language FY 2010-01

Personal Grooming and Hygiene Products

Grooming and personal hygiene products for humans are taxed as general merchandise (high rate) whether or not they make a medicinal claim, unless sold as a result of a prescription. Products affected by this change include, but are not limited to,

- Body soap and cleansers,
- Shampoo,
- Toothpaste,
- Mouthwash,
- Antiperspirant, and
- Suntan lotion and screens.

Soft Drinks

Notwithstanding any other provisions of this Act, beginning September 1, 2009, 'soft drinks' mean non-alcoholic beverages that contain natural or artificial sweeteners. "Soft drinks" do not include beverages that contain milk or milk products, soy, rice or similar milk substitutes, or greater than 50% of vegetable or fruit juice by volume.

Illinois Department of Revenue Information Bulletin Language FY 2010-01

The definition of "soft drink" has changed. "Soft drink" is any non-alcoholic beverage containing natural or artificial sweeteners. This includes, but is not limited to,

- Soda,
- Sport or energy drinks,
- Sweetened tea,
- Waters containing natural or artificial sweeteners,
- Beverages containing natural or artificial sweeteners,
- Beverages containing 50 percent or less fruit or vegetable juice, and
- All other preparations commonly known as soft drinks.

Exception: "Soft drink" does not include any beverage containing milk or milk products, soy, rice or similar milk substitutes, unsweetened teas, drinks with greater than 50 percent of vegetable or fruit juice by volume, and carbonated or uncarbonated water that contains no natural or artificial sweeteners. These remain reported on Form ST-1, Step3, Line 5a, and taxed as food (low rate).

Note: All beverages sold at a restaurant remain taxed as general merchandise (high rate).

How do I make the determination?

You must check the ingredients label or package. If an item contains milk or milk products or does not contain natural or artificial sweeteners, it is taxed as food (low rate).

Do these changes affect the Chicago Soft Drink Tax?

Yes. The broader definition of "soft drink" also applies to the Chicago Soft Drink Tax. The "soft drinks" previously identified as moving from low rate to high rate taxation will not be subject to the Chicago Soft Drink Tax. The rate for that tax remains at three percent (.03) and reported on Form ST-14, Chicago Soft Drink Tax Return.

See Publication 116. Chicago Soft Drink Tax, for more information regarding this local tax.

What if I have questions?

The department will answer taxpayer questions from the Tax Talk section on our Web site at tax.illinois.gov.

Candy

Notwithstanding any other provisions of this Act, beginning September 1, 2009, "food for human consumption that is to be consumed off the premises where it is sold" does not include candy. For purposes of this Section, "candy" means a preparation of sugar, honey, or other natural or artificial sweeteners in combination with chocolate, fruits, nuts or other ingredients or flavorings in the form of bars, drops, or pieces. "Candy" does not include any preparation that contains flour or requires refrigeration.

Illinois Department of Revenue Information Bulletin Language FY 2010-01

Candy has a broad definition. For Illinois taxing purposes, candy is a preparation of sugar, honey, or other natural or artificial sweeteners, in combination with chocolate, fruits, nuts or other ingredients, or flavorings in the form of bars, drops, or pieces. Examples include, but are not limited to,

- Chocolate bars,
- Yogurt or chocolate covered fruit or nuts,
- Honey coated nuts,
- Caramel popcorn,
- Lollipops,
- Snack mixes containing yogurt or chocolate,
- Breath mints, and
- Gum

Exemption: Items that contain flour or require refrigeration are not considered candy. Examples include, but are not limited to,

- Chocolate covered cookies,
- Yogurt covered pretzels,
- "candy" that contains flour,
- Plain dried fruits, and
- Nuts with no added sweeteners.

How do I make the determination?

You must check the ingredients label or package. If an item contains flour or requires refrigeration, it remains taxed as food (low rate). If an item contains sugar, it is taxed as general merchandise (high rate).

Borrowers pay no interest on the ARC loans and repayment does not begin for one year.  

“Small business is the engine that keeps the 5th District’s local economy running, and they need and deserve our help during this downturn,” said Congressman Quigley.  “As any business owner knows, access to capital is a lifeline, which is why this new loan program is so critical.  The ARC program gives small business owners extra breathing room so they can pay their bills and continue to create jobs during our economic recovery.”

To qualify for the ARC loans, small firms must demonstrate they are experiencing immediate financial hardship due to the economic downturn, but are otherwise deemed by the Small Business Administration (SBA) to be viable.  The loans will be made by commercial lenders and can be used for payments of principal and interest for existing, qualifying small business debts like credit card obligations, mortgages, lines of credit, and balances due to suppliers, vendors, and utilities. 

“Every day, a new ‘Commercial Space For Lease’ signs goes up in my district, marking where a business and jobs used to be,” recalled Cong. Quigley.  “This new program is designed to help ease the pressure and keep ‘Open’ and ‘Welcome’ signs displayed in the window.”

To apply for ARC loans, businesses should visit their local SBA-approved small business lenders.  The loans will be available through Sept. 30, 2010, or until appropriated funding runs out.  Additional information about the ARC loan program is available at http://www.sba.gov/recovery/arcloanprogram/index.html.