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1
HOUSE JOINT RESOLUTION

 
2     WHEREAS, The Metropolitan Pier and Exposition Authority is
3 a municipal corporation created by the General Assembly; and
 
4     WHEREAS, The Metropolitan Pier and Exposition Authority
5 owns and manages McCormick Place and historic Navy Pier for the
6 purposes of tourism, conventions, fairs, and expositions;
7 McCormick Place and Navy Pier function as prominent economic
8 engines for both the City of Chicago and the State; and
 
9     WHEREAS, The Metropolitan Pier and Exposition Authority is
10 directed by a Board of Trustees appointed by the Governor of
11 the State of Illinois and the Mayor of the City of Chicago; and
 
12     WHEREAS, The Metropolitan Pier and Exposition Authority
13 has statutory authority to levy taxes for debt service through
14 a Metropolitan Pier and Exposition Authority Retailers'
15 Occupation Tax (1% food and beverage tax in a defined downtown
16 district within the City of Chicago and O'Hare International
17 Airport and Midway Airport), a 2.5% hotel tax imposed within
18 the City of Chicago, a 6% auto rental tax imposed within Cook
19 County, and a $1 departure tax on public transportation at
20 O'Hare International Airport and Midway Airport; and
 
21     WHEREAS, Since the 1980s, the State has provided dedicated

 

 

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1 backing through State use and occupation tax revenues for
2 Metropolitan Pier and Exposition Authority debt service on its
3 bonds in the amount of $31.7 million annually; and
 
4     WHEREAS, Since September 11, 2001, the Metropolitan Pier
5 and Exposition Authority tax collections have fallen short of
6 annual debt service by an average of $4.1 million dollars; and
 
7     WHEREAS, Reserves in the Metropolitan Pier and Exposition
8 Authority Fund, which initially covered this annual tax revenue
9 shortfall, have been depleted; and
 
10     WHEREAS, Additional distributions of State use and
11 occupation tax revenues to the Authority to make up the
12 Authority's shortfalls in its tax revenue collections have been
13 necessary since Fiscal Year 2009; and
 
14     WHEREAS, The Metropolitan Pier and Exposition Authority,
15 by its own projections, estimates that cumulative draws on the
16 State use and occupation taxes through Fiscal Year 2027 may
17 total $804 million before the Authority's projected tax
18 collections are sufficient for existing debt service; and
 
19     WHEREAS, Metropolitan Pier and Exposition Authority tax
20 collection shortfalls have also ended the flow of surplus funds
21 from which the repair and maintenance of existing Metropolitan

 

 

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1 Pier and Exposition facilities could be paid; and
 
2     WHEREAS, The economic downturn and competitive pressures
3 within the convention industry continue to erode the
4 Metropolitan Pier and Exposition Authority's operational
5 profitability; and
 
6     WHEREAS, Trade shows formerly held at the Metropolitan Pier
7 and Exposition Authority's convention center on a long-term
8 basis continue their exodus to alternative venues in Nevada and
9 Florida; and
 
10     WHEREAS, The operational stability and profitability of
11 the Metropolitan Pier and Exposition Authority is of genuine
12 interest to the General Assembly and the people of the State;
13 therefore, be it
 
14     RESOLVED, BY THE HOUSE OF REPRESENTATIVES OF THE
15 NINETY-SIXTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, THE
16 SENATE CONCURRING HEREIN, that there is created the Joint
17 Committee on the Metropolitan Pier and Exposition Authority;
18 and be it further
 
19     RESOLVED, That the Joint Committee shall consist of 16
20 members as follows: the President of the Senate and the Speaker
21 of the House, who shall serve as co-chairs of the Committee;

 

 

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1 the Minority Leader of the Senate and Minority Leader of the
2 House, who, if they so choose, may serve as co-vice chairs; 4
3 members of the General Assembly appointed by the President of
4 the Senate; 4 members of the General Assembly appointed by the
5 Speaker of the House of Representatives; 2 members of the
6 General Assembly appointed by the Minority Leader of the
7 Senate; and 2 members of the General Assembly appointed by the
8 Minority Leader of the House of Representatives; and be it
9 further
 
10     RESOLVED, That the Joint Committee shall meet at the call
11 of the Speaker and President; and be it further
 
12     RESOLVED, That the Joint Committee shall examine and
13 recommend ways to improve the Metropolitan Pier and Exposition
14 Authority's operational stability and profitability; and be it
15 further
 
16     RESOLVED, That the Joint Committee shall report its
17 findings and recommendations to the General Assembly no later
18 than April 30, 2010; and be it further
 
19     RESOLVED, That a suitable copy of this resolution be
20 presented to the Board of Trustees of the Metropolitan Pier and
21 Exposition Authority.