r/BeAmazed 17d ago

History This is Wild..!!

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5.9k Upvotes

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2.0k

u/GenTycho 17d ago

I'm gonna bet those that let it happen are getting kickbacks off it.

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u/MarquisDeBoston 17d ago

Judging by the length of this contract, they earned those kickbacks. My goodness the boldness of this. Any basic ROI analysis would show this is a terrible idea.

They essentially took a 1.16B loan in 2008, where the city had to pay that back to the tune of 150M every year, for 75 years. Thats 13% annually. Thats a 975% return on the loan.

That’s like taking out a 1.16B mortgage at 11% for 75 years. <insert Shane Gillis doing Trump> it’s a terrible deal, the worst deal I’ve ever seen this guy. I said to him it’s a terrible deal they’re all going to laugh at you. I did, I told him that.

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u/jekyl42 17d ago

Former mayor, Richard M Daley: "[the] agreement is very good news for the taxpayers of Chicago because it will provide more than $1 billion in net proceeds that can be used during this very difficult economy."

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u/vercetian 17d ago

Check this - they blew it all in a year.

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u/Jacobonce 16d ago

And we didn't even get the Olympics

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u/flopnoodle 16d ago

Yup, it’s how Daley funded his bid for the Olympics

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u/Waffennacht 17d ago

And yet everyone is going crazy about DOGE

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u/Aggleclack 17d ago

Considering this was a municipality, that isn’t relevant and potentially federal intervention could’ve prevented this.

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u/Waffennacht 17d ago

-_-; because gross incompetence, corruption, and misuse is clearly ONLY a issue with municipalities and not every single organization with access to money

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u/Aggleclack 17d ago

Yeah that wasn’t my point lol. More like “not their jurisdiction”

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u/Soogo 17d ago

Well, what big fraud/abuse did DOGE find? Nothing? Hmn maybe thats why...

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u/SweeterThanYoohoo 17d ago edited 16d ago

I dont support musk or doge but the crazy thing to me is, they haven't found any because they genuinely aren't looking for it. Superfluous military contracts, industry kickbacks, lobbying, govt contracts, all sources of extreme grift and misuse in our govt but doge only looks at shit that benefits the proletariat

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u/CasanovaMoby 16d ago

Well, the fact Musk himself has mentioned "fraud" many times, yet doesn't show anything to back it up, makes your point a little moot.

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u/BluetheNerd 17d ago

Hey now, their word search for “black” was very effective

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u/Gogglesed 16d ago

The idea that DOGE is anything but gross incompetence, corruption, and misuse is no longer even a viable opinion. OBVIOUSLY, nobody wants the government to waste money. DOGE is illegally cutting things they don't agree with, which will hurt far more people with lower income than it will help anyone. It is all even worse than that though because Trump's tax cuts for the rich will cost taxpayers way, way more than anything DOGE could possibly cut. It is MATH.

Check out Dean Withers or Parkergetajob on TikTok or YouTube. They will debate with Trump supporters and inform them where MAGA propaganda hooked them.

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u/datboitotoyo 16d ago

fascist apologist

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u/Goodforklift 17d ago

Fascist

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u/GermanOgre 17d ago

The name fits

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u/jacky75283 16d ago

You're conflating waste, fraud, and abuse with incompetent leadership and bad short-sighted decisions. If DOGE is designed to get rid of that then DOGE would get rid of Donald Trump.

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u/De_Omnibus 14d ago

"every single organization with access to money" is corrupt, so letting the riches man in the world have control will do what? Make things less corrupt?

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u/ApricatingInAccismus 17d ago

Wait, you mean the thing that is literally creating inefficiency and fraud rather than solving it. Yeah people dot like government waste and that’s why they don’t like doge.

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u/PatrickKn12 16d ago edited 16d ago

The same kind of corruption and shortsightedness that led to Chicago pimping out it's parking revenue to foreign interests, is the same kind of corruption and cronyism Donald Trump and Elon Musk are committing on the United States, at a much larger scale.

DOGE is deliberately creating a regulatory environment that promotes corporate sponsored sell offs of publicly owned assets and utilities, has purposefully targeted regulatory bodies that have intervened on actions of Elon Musk and his companies, and have intentionally gutted many of the very types of government functions that Elon Musk and a dozen other stakeholders have an existing corporate infrastructure to take the place of.

Actions they've taken clearly violate constitutional precedent in regards to power of the purse and congressional oversight. Some actions of which step over legal concepts established in the Magna Carta, powers that many Monarchs even lacked.

The conflicts of interest are numerous and obvious. They are doing it in the open to normalize it. There's nothing normal about the wealthiest person on the planet, and 10 other billionaires on the cabinet, having such a direct stake in the executive branch.

Pointing at corrupt practices in Chicago and saying, "See, there's corruption out there, so DOGE should exist!" is laughable, because DOGE's actions are no different.

They may verbally key in on issues that are real and valid - yes, the government is bloated. Yes, the budget is running away from us. Yes, corporate interests have too much say in politics. Yeah, the groceries are expensive, and yeah social politics are off the rails. Good talking points to gain support. But if you go along with what they are saying, without analyzing what they are doing and how their actions are an obvious Trojan horse for the very things they are riling people up over, you open yourself up to being perpetually manipulated into supporting the very policies that you'll be riled up against next political cycle.

In the process we end up pimping out our country, and our children's country, to the very foreign and corporate interests that we were supposed to mad at, who will inevitably dump any extractable value left over for the right price so long as they control it.

Fighting against corporate welfare, uneven trade balances, unfair contributions in NATO, the price of groceries and medicine, of unelected foreign and corporate interests having a say in the government - these are all rational points of interest that the common person is aware of as a problem. If Trump and company were actually tackling this stuff, they'd have my support. Instead they use these issues as hot button topics to speak about, but literally do the opposite right in front of everyone's face. Then they point at the left and say, "Can you believe they don't support these issues, they're so looney!"

It's a bit like if your neighbor warned you about burglars in the neighborhood, earning your trust by pointing out real break-ins down the street, only to convince you to install his own security system - one that he secretly controls and uses to quietly rob you blind. By the time you realize who's really stealing from you, you're already out the door thanking him for his services.

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u/Waffennacht 16d ago

I like your post. It all boils down to this: it's a two party system; one fires government employees, the other hires them. Im always going to go with the group that fires them

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u/thicc-thor 16d ago

Man you are denser than enriched plutonium

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u/Amori_A_Splooge 17d ago

Big brain thinking.

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u/Snoo_37569 17d ago

He actually works for the company too

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u/greenrangerguy 17d ago

That's like on Fifa quick selling Messi for 600 coins because you didn't have any coins left for contracts.

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u/yazzooClay 17d ago

1 billion in raises for wfh city employees!

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u/Shift642 17d ago

You too can make 975% return on your investments, $150m a year for doing nothing, as long as you have $1.1b to start with - plus a little extra pocket change to bribe the right people.

The ultra-rich live in a completely different universe. The best way to make money is to already have money.

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u/Reese_Withersp0rk 17d ago

I have heard that helps.

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u/galaxyapp 16d ago

You do have to install maintain and operate a city wide parking meter network for 75 years...

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u/CanisMajoris85 17d ago

That's ignoring price hikes as well. In a decade they could have increased prices by 50% easily so it could be $225M/year for over half the time.

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u/moronmcmoron1 17d ago

Imagine how much it will cost to park your car in downtown Chicago 30, 40, 50 years from now

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u/Fast-Ad-6620 17d ago

50 bucks for 2 hours

1

u/chienneux 16d ago

jokes on them... noncar with 15 minutes city allowed = 0 revenue

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u/JasmineTeaInk 17d ago

Plus the city's population growing means it will naturally increase no matter what.

This might be an even better deal than the Louisiana purchase

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u/Awsimical 17d ago

Sounds like taxpayers have a civil obligation to smash parking meters

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u/unclesamtattoo 17d ago

Cut 'em off like Cool Hand Luke

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u/Machiavelli1480 17d ago

Seems like voting different would be more helpful in the long run.

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u/Awsimical 16d ago

People voted for the folks who did it in the first place, so idk about that

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u/Theorex 16d ago

The payments include meters that are broken or blocked due to street festivals, construction, etc. Those nonoperable meters are paid for each day they are put of service. This was an amazing deal , for one side.

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u/Bemteb 16d ago

To be fair, there is maintenance and upkeep involved, so they the 150M are most likely only income, not earnings.

However, still a very bad deal in the long run.

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u/MarquisDeBoston 16d ago

How much you want to bet the city still needs to cover all the maintenance too.

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u/CocunutHunter 17d ago

It's immediately clear that the RoI is the only relevant detail here, but I couldn't be bothered working it out. Thank you for doing so!

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u/DrEdRichtofen 17d ago

it doesn’t sound so bad when you put it that way

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u/fightmilk5905 17d ago

I can just picture him pouting whilst saying it.

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u/Naus1987 17d ago

I’m guessing in theory if all the drivers stopped getting tickets then it’s a win for Chicago right?

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u/Reedabook64 17d ago

It's not tickets. It's just change in parking meters. Which I'm sure they'll eventually raise to match or exceed inflation.

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u/MarquisDeBoston 16d ago

No the city still must police this. They now just have no income.

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u/Zealousideal_Brush59 17d ago

Nice try but I'm sure that it's guaranteed by the city general fund or whatever

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u/MeanEYE 15d ago

Well, that's if you care about anyone else other than yourself. However if you are left less than 20 years or so to live, you don't give a fuck. You get 1.1B right away.

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u/galaxyapp 16d ago

13% isn't that absurd...

plus your ignoring the upfront cost to install plus maintain and operate...

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u/MarquisDeBoston 16d ago

These are already installed - sunk cost, so not part of the equation.

Only complete morons would not be able to make the limited extremely high demand resource that is street parking in Chicago, and unprofitable business.

And that interest rate over that many years is absolutely absurd.

0

u/galaxyapp 16d ago

I dont think you know what sunk cost means

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u/MarquisDeBoston 16d ago

You add nothing of value. You clearly know nothing about this. This is pointless.

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u/xlvi_et_ii 17d ago

In Chicago?? Never! /s

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u/Rabbit0fCaerbannog 17d ago edited 17d ago

Impossible. Illinois is known for their upstanding politicians

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u/Illinois_Yooper 17d ago

Can confirm

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u/jjflash78 17d ago

Worse yet, city employees were still doing the collections and maintence for the first several years at city expense (not sure if thats still going on or when it stopped) 

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u/bayesically 16d ago

Even worse, the city has to pay them for lost parking income any time they want to close down a street for something like a parade! So they are paying for the use of their own streets 

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u/highvoltage74 17d ago

It was parting fuck you from Mayor Daley. Dude was essentially competing with his father to see who could be a more corrupt Mayor of Chicago. He is definitely getting some of that money.

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u/fuzzybad 17d ago

Mayor Daley resigned from office immediately after this went down, if I remember right. They passed it in a midnight city hall meeting.

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u/adoodle83 17d ago

Wait till you hear about what Ontario did with their toll highway 407.

Puts this to shame

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u/I-tie-my-own-shoes 17d ago

Since I’m lazy, can you just tell me?

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u/SonofAMamaJama 17d ago edited 17d ago

In 1999, Ontario's Conservative government (run by Mike Harris) sold it for 3.1 billion dollars to a private consortium of Canadian and Spanish businesses - Canada Pension Plan Investment Board (50.01%), Cintra Global S.E. (43.23%), and AtkinsRéalis Canada Inc. (6.76%).

According to a 2023 report, the annual revenue was $1,495.5 million ($1.5 billion) and net income was $567.3 million, up 13% and 30% respectively.

Edit: (From Wikipedia)
The concession has been called a "cash cow" for AtkinsRéalis (then known as SNC-Lavalin), while local media has commented on the "huge jump" or "soar" in profits.

In March 2025, AtkinsRéalis sold their remaining share of the highway bringing the ownership totals to as follows:

Indirectly owned subsidiaries of Canada Pension Plan Investment Board: 51.71%

Cintra Global S.E., a subsidiary of Spanish firm Ferrovial S.A.: 48.29%

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u/JasmineTeaInk 17d ago

Does the fact that the Canadian pension plan investment board has control of it mean that it's still kind of benefits Canadians at least a little bit? Or does that not matter, I guess?

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u/adoodle83 17d ago

Well the tax payers still pay for all the maintenance of the 407, but with none of the profits

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u/JasmineTeaInk 13d ago

Oh God... It's even worse

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u/Dufflebaggage 17d ago

Built it then sold it off.

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u/Final-Marsupial4117 16d ago

Chicago still wins, they sold the toll rights on the Chicago Skyway to a Canadian company.

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u/cdbangsite 17d ago

First thing that came to my mind too. Happens way to often.

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u/badcoupe 16d ago

Dems at work

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u/PerspectiveNew3375 17d ago

Yes, but don't worry, they will just slip a few million to nullify the contract and sell it again.

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u/CalculatedHat 16d ago

And guess what? If the city wants to remove parking meters, they have to put them back in another location and pay the company for lost revenue.

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u/Accurate-Barracuda20 16d ago

Mayor Fucking Daley sold out the future of Chicago to get a short term influx of cash and kick the can of financial responsibility down the road, yet dumb old heads in the city will still talk about how we need someone like a Daley to come in and fix chicagos problems

He probably got plenty of kickbacks in addition to it.

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u/MeanEYE 15d ago

Well yeah. They get 1.1B right away and people who will get born in 20 or so years can worry about the screw when they grow up.