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Illinois News - August 2004

Chicago Revamps Minority, Women Set-Aside Ordinance

The Chicago City Council has voted to adopt a new Minority Business Enterprise/Women Business Enterprise construction ordinance.

The city hopes the measure meets constitutional scrutiny while ensuring minority- and women-owned firms continue to participate in city construction projects.

The revised ordinance was developed largely by a task force appointed in response to a ruling issued by Federal Judge James Moran in Builders Association of Greater Chicago vs. City of Chicago.

The judge found that "the city has a compelling interest in not having its construction projects slip back to near monopoly domination by white male firms."

The issues addressed in Moran's ruling include personal net worth, size standards, sunset date and the determination of presumptive groups to be included in the program.

Based on statistical evidence, African Americans, Hispanics and women are considered members of presumptively socially disadvantaged groups. Members of other groups that have faced discriminatory construction contracting practices will be able to participate in the program by submitting an affidavit detailing the discrimination and presenting it to members of the city's Affirmative Action Advisory Board, which will make a determination.

In the meantime, the city has ordered further studies to determine if additional groups can qualify as presumptively presumed groups in accordance with guidelines imposed upon the City by Federal Constitutional standards.

Other key points of the new ordinance include:

  • The annual aspirational goals are 24 percent MBE and 4 percent WBE participation. Goals will be set on a contract-by-contract basis, based upon availability of certified M/WBE firms.

  • The applicant's owner must be economically disadvantaged, defined by a personal net worth less than $750,000, indexed by the Consumer Price Index from 1999, excluding the owner's equity in his/her personal residence and the business seeking to become certified.

  • The city will now use the U.S. Small Business Administration's size standards, allowing businesses to graduate when its gross revenues exceed the size limit in its industry for five fiscal years.

  • Prime contractors who request waivers must document their good faith efforts to meet goals, including a process to challenge the city's decision whether good faith efforts were made.

  • A race-neutral small local business market program will replace the current Target Market Program in construction.

  • The ordinance is to be sunset after a period of five years, unless there is strong evidence that the city retains a compelling interest in remedying identified discrimination. The program will be revised as necessary based upon new data, including regular disparity and availability studies.



    Wal-Mart to Open First Chicago Store

    The Chicago City Council has voted to allow Wal-Mart to open its first store in the city.

    The 150,000-sq.-ft. outlet will be on the city's West Side.

    However, the Bentonville, Ark.-based retail giant lost by one vote a bid to open another store on the South Side.

    Wal-Mart's drive to open its first stores in the city drew both support and opposition.
    Backers argued that the stores were needed in economically disadvantaged neighborhoods, while opponents knocked the retailer for its alleged opposition to unions and low wages.


    $82M Battle Simulator Planned for Great Lakes

    A group of Navy recruits descends into the depths of a guided missile destroyer to discover a fire raging. Casualties loom above. They stagger with huge swells from high seas.

    All this will take place 30 mi. north of Chicago in a building at the Great Lakes Naval Station. It will meld the latest in virtual reality, entertainment technology and modern construction techniques.

    Chicago-based James McHugh Construction Co. has been awarded the $82 million contract to create a warship simulator that reproduces a variety of trials at sea that will help U.S. Navy recruits prepare for the worst.

    McHugh will create a 500-ft.-long, reduced scale replica of a portion of a ship, floating in water in a 171,000-sq.-ft. building and add multiple layers of the latest technology to create a realistic battle experience.

    Recruits will conduct a 12-hour mission on the Battle Stations, capping their recruit training. Traditionally, the Battle Stations experience marks the final rite of passage for recruits; after successfully completing it, recruits earn the title of Sailor.

    Great Lakes has been holding the exercises in five different buildings using low-tech simulations.

    McHugh will serve as team leader in the design/build project, working with leading entertainment industry firms that have engineered theme park simulations and movie special effects, to create the Battle Stations experience. The lead architect is Detroit-based SmithGroup, also serving as structural and MEP engineers for the training facility.

    Demolition for the project will begin in July, with completion scheduled for February 2007.


    Sustainable Design Honored with Award

    The Center for Neighborhood Technology building has been awarded Mayor Daley's GreenWorks Award for excellence in Sustainable Building Design.

    The renovation of the 80-year-old building at 2125 W. North Ave., a former textile factory, was named 2004 Outstanding Non-Residential Project.

    The award comes for using a resource-conserving design to create an energy-efficient, high-occupancy building with minimal impact on the surrounding environment.

    The building's features include native landscaping and natural storm water management, low-emitting VOC materials and thermal ice storage system for air conditioning.

    Over 50 percent of the building's electricity comes from renewable energy sources.
    During the renovation process, 87 percent of construction and demolition debris was recycled.

    Applications were evaluated on how well buildings integrate systems, use energy efficiently, provide a healthy environment, reflect sensitive to natural surroundings and minimize the environmental impact of materials, construction and operation.


    Sun-Times Leases Space

    In a sign that the Donald Trump's proposed tower will be built, the Chicago Sun-Times has leased a 128,000-sq.-ft. space at 350 N. Orleans St. and plans a Sept. 30 move to its new offices.

    The paper will depart its home of 46 years at 401 N. Wabash Ave., the proposed site for Trump's 90-story Trump International Hotel & Tower.


    Restoration Starts on Wright's Unity Temple

    An approximately $12 million to $15 million restoration has started for Frank Lloyd Wright's Unity Temple, which was originally constructed in Oak Park in 1909.

    Already, the building's cantilevered roof overhangs have been restored, announced the Landmarks Preservation Council of Illinois.


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