Record #: R2015-575   
Type: Resolution Status: Failed to Pass
Intro date: 7/29/2015 Current Controlling Legislative Body: Committee on Finance
Final action:
Title: Call for hearing(s) on People's Gas Pipe Replacement Program
Sponsors: Reilly, Brendan, Mitchell, Gregory I., Smith, Michele, Silverstein, Debra L., Mitts, Emma, Napolitano, Anthony V., Tunney, Thomas, Ramirez-Rosa, Carlos, Villegas, Gilbert, Burnett, Jr., Walter, Ervin, Jason C., Taliaferro, Chris, Reboyras, Ariel, Hopkins, Brian , Cappleman, James, Waguespack, Scott, Pawar, Ameya, Arena, John, O'Connor, Patrick, Sawyer, Roderick T., Sposato, Nicholas, Dowell, Pat, Santiago, Milagros, Solis, Daniel, Scott, Jr. Michael, Zalewski, Michael R., Brookins, Jr., Howard, Curtis, Derrick G., O'Shea, Matthew J., Lopez, Raymond A., Foulkes, Toni, Quinn, Marty, Moore, Joseph, Osterman, Harry, Hairston, Leslie A., Mell, Deborah, Moore, David H., Sadlowski Garza, Susan, Thompson, Patrick D., Munoz, Ricardo
Topic: COMMITTEE/PUBLIC HEARINGS - Committee on Finance
Attachments: 1. R2015-575.pdf
Related files: R2019-362

Committee(s) Assignment:
Call for hearing(s) on People's Gas plans to fix problems with Pipe Replacement Program Committee on Finance

WHEREAS, Crain's Chicago Business recently reported the Peoples Gas Pipe Replacement Program is now estimated to cost over $8 billion, nearly four times the original cost - an exorbitant and unaffordable amount that could quadruple base gas rates in Chicago; and

WHEREAS, $190 million in costly rate hikes have been imposed on Peoples Gas customers in less than five years to bankroll the wasteful Pipe Replacement Program; and

WHEREAS, a state audit found that, far from fixing Chicago's aging gas main system, Peoples Gas has reported a higher number of leaking pipes than when it initially embarked on the Pipe Replacement Program; and

WHEREAS, the Illinois Attorney General's Office has described the Peoples Gas Pipe Replacement Program as "a complete disaster"; and

WHEREAS, anonymous whistleblowers from within Peoples Gas have alleged that the Pipe Replacement Program has been plagued by cronyism, with Peoples Gas accused of padding the wallets of certain contractors overseeing the project; and

WHEREAS, since 2011, the City of Chicago has cited Peoples Gas for city ordinance violations 67 percent more times than the next three worst violators combined; and

WHEREAS, a state audit determined Peoples Gas has the highest rate of contractor-caused damage to gas infrastructure in the United States; and

WHEREAS, the City of Chicago has a direct interest in the proper and safe maintenance of utility infrastructure and an important role in protecting People's Gas customers in Chicago from astronomically higher gas rates on their monthly utility bills, and

WHEREAS, WEC Energy Group, the Wisconsin-based company that recently acquired Peoples Gas, has yet to put forth any transition plan whatsoever that documents how the many aforementioned problems will be addressed and rectified:


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