As Mayor, I will implement several cost saving initiatives and measures designed to increase cost effectiveness and energy efficiency without negatively impacting safety or service.
I will cut the Procurement Department red tape, unbundle government contracts, allow bidders to lease equipment (subject to transparency requirements), provide wrap up bonding and insurance, and establish a City Start-up Capital loan for equipment and payroll, to enable more contractors, vendors and suppliers to respond to Requests For Proposals and offer competitive bids. This is likely to reduce procurement costs by as much as ten percent (10%).
I will cut City of Chicago’s government utility costs by using modern efficiencies and technology to heat, cool, light and regulate lobbies, offices, and conference rooms throughout all City of Chicago facilities. This may reduce costs by as much as four million dollars ($4,000,000).
I will cut the flow of administrative paperwork by fifty percent (50%). This will reduce purchasing, handling and storage costs by twenty percent (20%).
Finally, I will reduce the City of Chicago debt service by transitioning Chicago from the current “Debt to Fund Services” revenue and expenditure system into a “Pay As You Go” revenue and expenditure system.This debt to fund Services system, which is like using your credit card to pay rent, is too reliant upon Municipal Bonds that result in an obligation to pay interest. When this six-year (6 year) transition is complete, the city of Chicago will save more than nine hundred million dollars ($900,000,000) in interest, annually. Additionally, this will result in the city of Chicago having a constant reserve fund and ultimately encourage the bond rating agencies to increase the City’s weakening Bond Rating.
Additionally, as Mayor, I will offer city employees the option of a ten hour a day, four day a week, forty hour work week. This would reduce daily start-up costs as well as reduce personal and public energy consumption. This would allow the city to avoid city employee furlough days.
As Mayor, I will work to increase the presence and competitiveness of Chicago based businesses in the Global and National economies. Through Public-Private initiatives we will empower these local businesses and enable them to place their products, goods and services into the National and International stream of commerce and, consequently, create jobs and opportunity. This will result in new revenue for Chicago. Obviously, this expansion of our revenue base will result in businesses sharing more in the costs of city services. Thus, the burden on homeowners and general taxpayers will decrease, significantly.
Currently, the city of Chicago relies upon seven primary sources of revenue. Those revenue sources include Real Estate tax, Income tax, Sales tax, Federal aid, State aid, Motor Fuel tax, Public Utility tax and Fines, fees and assessments. Over the past eight years I have advocated the use of “Naming Rights” as a harmless form of revenue that would not further burden any taxpayer. As Mayor, I will provide maximum opportunity for companies and individuals to rename public buildings (excluding City Hall), facilities, and other city assets according to their wishes. Unlike Privatization, the city would retain complete control over these assets.
I do not foresee a need to seek further concessions from the unions which have already been asked to give more than their fair share.