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MUSIC DIES, AND SO DOES REVENUE — 'PEAK IS YET TO COME' — McCONNELL SLAMS BRAKES ON NEW AID - Politico

Happy Wednesday, Illinois! I found a dollar bill on my desk and it’s the first time I’ve touched real money in a month. Has coronavirus killed cash?

TOP TALKER

Chicago canceled some of its biggest summer events Tuesday and in doing so, eliminated sales tax revenue and all the other economic benefits that come with holding Gospel Fest, Blues Fest and the House Music Conference.

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Playbook asked Mayor Lori Lightfoot if it’s time for drastic changes such as taxing services or enacting a city tax to prepare for the potential deficits and ever-looming pension obligations that will follow this year of the pandemic.

Not yet, she says.

“It’s undeniable that the city will bear the burden of the economic impacts created by Covid-19,” the mayor’s office said in a statement to Playbook. “But we reject any notion that the burden is ours alone.”

Lightfoot’s team will “continue to lobby for additional aid” from the federal government and will continue “to advocate for legislation that will, among other things, account for revenue loss that cities like ours are already beginning to experience, and which our budgets and communities rely upon,” spokeswoman Lauren Huffman said in a statement.

There's a 10.25 percent sales tax in Chicago — high compared to most cities. The city benefits most from that tax when tourists and residents come out to celebrate the summer.

Along with canceled events, restaurants are shuttered and retail shops are closed, which means residents are buying some products online — often avoiding sales taxes. Chicago’s tax revenue is further hobbled by the downturn in hotel occupancy and ground transportation.

So why not consider a tax on services — an idea that’s been proposed before by the Civic Federation — or maybe a city tax?

It’s just too early to go there, Huffman said.

“We are vigorously monitoring what the bottom line is for our budget — including tracking expenses and lost revenues associated with the partial economic shutdown,” she said. At a time when Covid-19 “has rocked the economic life of our city,” the mayor’s office will focus on growing unemployment, wage loss and other “untenable economic circumstances” that Chicagoans are confronting amid this pandemic.

THE BUZZ

Whether coincidence or by design, Gov. J.B. Pritzker and Chicago Mayor Lori Lightfoot both signaled Tuesday that we should brace for a stay-at-home order that extends through May.

“It’s true it is working,” Pritzker said of the order that's kept most people home since March 21 and is set to expire April 30. “The peak is still yet to come… To remove it entirely is to simply open everything back up to infection.”

Earlier in the day, Lightfoot said April 30 “is no longer… a viable date." She expects the stay-at-home order “to go through sometime in May. It certainly could go into June."

The two Democrats were priming us for a summer indoors. Pritzker says he and his team are “working hard to try to make changes to the stay at home order” but aren’t quite ready yet to announce what will be in store.

We already have a good idea. As we mentioned above, Chicago canceled the 35th annual Chicago Gospel Music Festival (May 27-30), the 37th annual Chicago Blues Festival (June 5-7) and the 5th annual Chicago House Music Conference & Festival (May 21-24). Also canceled: the Chicago Memorial Day Parade and Wreath Laying Ceremony (May 23); and Chicago in Tune (May 21-June 7), a new event.

Next thing to brace for: a possible cancellation of July 4th celebrations.

QUOTABLE

TRUMP ‘FOMENTING’ VIOLENCE: Gov. J.B. Pritzker accused President Donald Trump of “fomenting protest and, I hate to say, that is fomenting some violence.” The governor spoke Tuesday on Washington Post Live (interview starts at the 15-minute mark). Much of the discussion focused on acquiring personal protective equipment, but Pritzker was also asked about Trump’s “rhetoric.” The governor said Trump’s recent tweets calling for states to “liberate” themselves from the stay-at-home orders are “a political maneuver in the middle of a national emergency, and he should stop it… You could end up with violence.” Transcript here

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WHERE'S LORI

Presiding over a virtual meeting of the City Council at 10 a.m. Watch here

WHERE'S J.B.

At the Thompson Center for his daily 2:30 p.m. briefing on the coronavirus pandemic. Watch here

Where's Toni

At the Cook County building at 11 a.m. to announce respite housing being made available for health care professionals, first responders and correctional officers. Watch here

TALES FROM THE HOMEFRONT

QUIET MOMENTS: Ryan McLaughlin’s Mac Strategies Group marked its 12-year anniversary this week. But McLaughlin said there would be no celebrations or office Zoom parties for the public affairs and government relations firm with offices in Chicago and Springfield. “We’re all too busy,” he said. Chalk it up to the work-at-home life, where laptops are now a fixture of the kitchen — staring at us all day, luring us back to work long after we’ve logged eight hours. The computer is moved to the side for meals, but it’s always there along with the work. It’s the downside of working at home. But there are bright spots, too, he said. McLaughlin gets up early to start his day and is greeted each morning by his 7-year-old stepdaughter Fiona, who brings her giant stuffed giraffe to sit next to him and keep him company “because I’m alone all morning at the computer,” he says. It’s a quiet moment that he wouldn’t otherwise get to experience if he weren’t working at home. “She can barely carry it and it’s unbelievably adorable.”

THE LATEST NUMBERS

The Illinois Department of Public Health reported 119 new deaths from the coronavirus in Illinois on Tuesday and 1,551 new cases. IDPH reported a total of 1,468 deaths and 33,059 cases in 96 counties in Illinois.

CORONAVIRUS UPDATES

McConnell slams brakes on next round of coronavirus aid: “The Senate majority leader expressed concern about rising deficits in an interview and said he wanted the full Senate to return before acting again… after passage of a $484 billion coronavirus relief bill, the Senate majority leader made clear that the full Senate must be in session before Congress begins its fifth installment of responding to the pandemic. And he signaled he is growing weary of quickly shoveling billions of dollars out the door even as the economy continues to crater,” by POLITICO’s Burgess Everett.

— FIRST IN PLAYBOOK: The Illinois Covid-19 Response Fund has distributed an additional $4.85 million to 18 nonprofit organizations across the state. It’s the second round of grants since it launched March 26. The response fund has raised $30 million in total from more than 2,400 donors — including financier Bill Brodsky and Joan Brodsky and developer John Bucksbaum and Jacolyn Bucksbaum. The funds raised are being disbursed to nonprofit organizations across the state serving individuals, families and communities hit hardest by the Covid-19 pandemic. “At a time of such significant need for families across our state, this is an all-hands on deck moment,” said Penny Pritzker, chairman of PSP Partners and the head of the response fund. To date, more than $10.5 million in grants have been dispersed to 48 nonprofits to help with emergency food and basic supplies, interim housing and shelter, primary health care services, utility and financial assistance, and support for children and other vulnerable populations.

— Another Covid-19 wave: The Centers for Disease Control and Prevention warned Tuesday a second wave of the coronavirus could be more dire several months from now because it might coincide with the flu season. “I think we should be concerned,” said Illinois Department of Health Director Dr. Ngozi Ezike. “There could be a significant second wave or a second surge. So that’s why without treatment or without a vaccine for Covid, those two overlaid could be very, very problematic,” she said at Tuesday’s coronavirus briefing.

Cook County is considering disclosing Covid-19 patients’ addresses to first responders: “Some Cook County commissioners want the county’s public health department to temporarily disclose the addresses of suburban residents who have tested positive for COVID-19, saying the move would make first responders safer. That’s despite the Illinois Department of Public Health recommending against such disclosures over privacy concerns,” by WBEZ’s Kristen Schorsch.

Illinois still short of testing 10,000 people a day for Covid-19 — and even that might be less than what’s needed: “Gov. J.B. Pritzker set a testing goal late last month that has so far proven to be elusive. Whether the state can ramp up testing will determine how quickly life can return to normal,” by Sun-Times’ Tom Schuba.

Northwestern scientists sprint to develop new kind of rapid coronavirus test: “Their work involves creating a synthetic molecule designed to quickly identify SARS-CoV-2 from a nasal swab or saliva sample, as well as detecting the virus in water or on surfaces. Results would come in less than an hour, at the location where the test was taken, according to the team,” by Tribune’s Hal Dardick.

At some Chicago homeless shelters, half of staff and residents test positive: “Now that we’re able to do more widespread testing, we are hopeful that we will see much lower rates out there,” Health Department official tells Tribune’s Cecilia Reyes.

Would you volunteer to be infected with COVID-19 to help develop a vaccine? “Reps. Bill Foster, D-Ill., and Donna Shalala, D-Fla., are urging the FDA to take more risks — including infecting young and healthy volunteers— to quickly develop a COVID-19 vaccine,” reports Sun-Times’ Lynn Sweet.

Chicago-area CEO—and Trump megadonor — pushes for shutdown to end: Liz Uihlein, CEO of Uline shipping supply firm, is pushing back at the Covid-19 business stay-at-home orders, via Bloomberg.

Des Plaines has highest number of COVID-19 cases among Cook County suburbs, by Pioneer Press’ Jennifer Johnson.

Teen’s death raises questions about Covid-19 testing, by Tribune’s Katherine Rosenberg-Douglas and Karen Ann Cullotta.

IN MEMORIAM

CPD honors sergeant whose death is blamed on Covid-19, by Tribune’s Jeremy Gorner.

Remembering lives lost to the coronavirus in Illinois, by Tribune staff.

CHICAGO

Who’s getting millions from City Hall for massive temporary health, shelter system: “Faced with coronavirus emergency, city has budgeted $65 million for emergency deals for a McCormick Place field hospital, homeless shelters, masks, gowns, COVID-19 tests,” by Sun-Times’ Frank Main and Lauren FitzPatrick.

City Council committee OKs emergency spending powers for Lightfoot: “A power struggle between Chicago aldermen and Mayor Lori Lightfoot played out over Zoom on Tuesday, as the city’s budget committee discussed expanding emergency spending authority for the mayor and her administration. The proposed ordinance would give Lightfoot and top city officials the ability to edit the city budget and award contracts up to $1 million in order to fight the coronavirus pandemic — without the usual City Council approval. It would be in effect until June 30, a deadline aldermen pushed for after seeing a first draft that didn’t have a sunset provision,” by WBEZ’s Becky Vevea.

Hilco authorized to clean debris left behind by April 11 smoke stack demolition: “Lightfoot said she gave the go-ahead to Hilco and Heneghan Wrecking, the developer’s new demolition contractor, because, ‘I’m very worried about people who have been breaking into the site continuing to scale the fence in search of copper and other scrap. That’s just a recipe for disaster,’” by Sun-Times’ Fran Spielman.

COOK COUNTY AND COLLARS

— INVESTIGATION: Covid-19 delivering latest twist in fight over controversial shipping hub: “A project recently approved by Joliet is raising issues not only of economics but also of open democracy for governments making decisions as they adhere to social distancing and stay-at-home orders amid the pandemic,” by Better Government Association’s John Lippert.

Evanston’s popular farmers market leads the way in new rules for open-air shopping: “One of the area’s biggest farmers markets opens May 2. Among the new rules? Masks, gloves, single-direction aisles and no-touch payments,” by WBEZ’s Monica Eng.

THE JUICE

House Speaker Michael Madigan pulled in $101,000 in fundraising this week: $100,000 from the IBEW PAC Voluntary Fund and $1,000 from the Illinois Landscape Contractors Association PAC, according to the State Board of Elections.

CAMPAIGN MODE

Rep. Chuy Garcia has endorsed Mara Candelaria Reardon for nearby Indiana’s 1st Congressional District. “Mara has been a bold leader in many of the same fights that I have throughout my career, from standing up for our workers to ensuring families have access to affordable healthcare and a quality education. For 12 years in the state assembly, Mara has always stood up for progressive values, and I know she’ll do the same in Washington,” Garcia said in a statement. Candelaria Reardon is a state rep from Munster running in a crowded primary race — there are 15 candidates for the June 2 primary.

DAY IN COURT

For the 2nd time, R. Kelly ordered to remain in jail during Covid-19 pandemic: “U.S. District Judge Ann M. Donnelly, of the Eastern District of New York, on Tuesday denied a motion from Kelly’s attorneys that sought a bail hearing and an order for his temporary release,” by Sun-Times’ Sam Charles.

Cook County Jail detainees charged with attempted murder for alleged attack on corrections officers, by Sun-Times’ Andy Grimm.

THE STATEWIDES

Why is Illinois debt teetering on the edge of junk? Moody's explains: “The big bond rating agency's report isn't all bad, much is depressingly familiar,” reports Crain’s Greg Hinz.

Payment relief expansion coming for student loan borrowers, Pritzker says: “Governor Pritzker and Secretary Hagan of the Illinois Department of Financial and Professional Regulation (IDFPR) announced that Illinois has secured relief options with twenty private student loan servicers to expand on the protections the federal government granted to federal student loan borrowers. These new options stand to benefit over 138,000 Illinoisans with privately held student loans,” via WIFR.

Businesses teeter as they wait for federal aid: “Like many small businesses, Shiny Strands, a three-store suburban Chicago lice removal salon, has struggled during the coronavirus pandemic. Social distancing, it seems, is a cure for lice infestations. So Shiny Strands applied for a $45,000 payroll protection loan …. [but], the business did not receive approval before the $349 billion federal Paycheck Protection Program ran out of money last week, leaving Shiny Strands facing a 70% reduction in cash flow,” by Tribune’s Robert Channick.

— Opinion: On Earth Day, we’re reminded Covid-19 ‘isn’t the first crisis we’ve faced’: “We must apply the lessons learned during the Covid-19 pandemic to the fight against climate change: to trust science and experts, to rely on data and its indisputable facts and to take the measures necessary–even though some will call them too drastic–to make a real difference and stem the tide of the crisis,” Mariyana Spyropoulos, commissioner of the Metropolitan Water Reclamation District, writes in Hellenic News of America.

FROM THE DELEGATION

Bustos calls for boost to biofuels: “For our farmers, biofuels are an integral part of what makes their market work, and no relief package can be complete without supporting biofuels,” Rep. Cheri Bustos said. One Illinois Ted Cox report.

NATION

‘The map is bigger now’: Coronavirus rewires 2020 election, by POLITICO’s David Siders

Coronavirus fuels K Street lobbying gush, new disclosures show, by POLITICO’s Theodoric Meyer

The government is all in on coronavirus: How it’s still not enough, by POLITICO’s Ben White

EVENTS

Tonight: Chicago Mayor Lori Lightfoot and Ariel Investments’ Mellody Hobson are among those featured in BET News and Facebook’s special program: Covid-19 — Black America’s Fight. CBS News’ Gayle King moderates. Details here

HAPPY BIRTHDAY

Raise Marketplace founder George Bousis, Ald. Greg Mitchell, former Ald. Ameya Pawar, and Wall Street Journal Midwest Bureau Chief Shayndi Raice.

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MUSIC DIES, AND SO DOES REVENUE — 'PEAK IS YET TO COME' — McCONNELL SLAMS BRAKES ON NEW AID - Politico
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