[remote or in person] Committee on Environmental Protection and Energy

Chicago City Council

Environment

Politics

Monday, May 5, 2025
10:00 a.m. — 2:00 p.m. CDT

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121 N LaSalle St Chicago 60602 (Directions)

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This meeting is a hearing about Illinois Commerce Commission ruling related to Peoples Gas pipeline replacement program

Check the source website for additional information

Reporting

Edited and summarized by the Chicago - IL Documenters Team

Note-taking by Zakari Kaletka

Advocates and officials raised sharp concerns about Peoples Gas affordability, emissions, and transparency, calling for better stakeholder engagement and risk modeling.

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Live reporting by Natalie Frank

Advocates and officials raised sharp concerns about Peoples Gas affordability, emissions, and transparency, calling for better stakeholder engagement and risk modeling.

Natalie Frank, Ph.D

Hi all - Today I'll be covering the Chicago Committee on Environmental Protection and Energy for The meeting is due to begin in just a few minutes. documenters.com

documenters.com

10:00 AM May 5, 2025 CDT

Natalie Frank, Ph.D @FrankNatalie 2/37

This meeting is a hearing to consider issues related to Illinois Commerce Commission ruling related to Peoples Gas pipeline replacement program.

Natalie Frank, Ph.D @FrankNatalie 3/37

The meeting was called to order at 10:15am. The meeting began with public comment. George Blakemore discussed changing the ventilation in buildings when trying to make empty buildings livable which is a toxic process.

Natalie Frank, Ph.D @FrankNatalie 4/37

Subject Hearing : Maria Bocanegra President of People's Gas. Chicago natural gas system oldest in country some dating back to 1800's. Some leak methane gas. Replaced over 1400 miles of pipelines. ICC has said much of pipe in Chicago has less than 10 years of functionality left.

Natalie Frank, Ph.D @FrankNatalie 5/37

Recommended an expediated timeline for safety. Under ICC new plan will replace 1100 miles of pipe by end of 2035. Re-examined approach to replacing pipe. Speed is focus. Focusing on short term and long term goals.

Natalie Frank, Ph.D @FrankNatalie 6/37

Pres. People's Gas: this year restarting paused projects. Investing in innovation. Hydrogen blending which emits no carbon when burned. Renewable natural gas plant from southside facility. Goals. Safety, Reliability, partnership sustainability

Natalie Frank, Ph.D @FrankNatalie 7/37

Shawn Gorge- Business manager, union for People's Gas. Natural gas great energy source when controlled. But when system compromised, gas is dangerous for workers, customers. Member have to work on more leaking pipe because ICC pausing replacement for over a year.

Natalie Frank, Ph.D @FrankNatalie 8/37

Effects on workers - Less jobs, Pull back on internal promotions for long term workers. Additional pay for overtime eliminated when ICC paused work. Drop in Moral for workers. Hours and pay checks reduced.

Natalie Frank, Ph.D @FrankNatalie 9/37

Arguments made for decreasing investment in system doesn't make sense. Replacing pipes can't wait. Shifting to electricity would result in huge increase in costs which many in city couldn't afford.

Natalie Frank, Ph.D @FrankNatalie 10/37

Mark Poulos - Jobs - reinstatement of programs increases opportunity for engineers and others. Will double replacement rate. Result in good union jobs for many skilled trades. Significant long term work.

Natalie Frank, Ph.D @FrankNatalie 11/37

Increased economic activity will result from expediated replacement program for pipes that have long outlived their functionality. Will focus on highest risk first rather than modernization efforts. Costs - ICC balanced decision for affordability by focus on hi risk pipes.

Natalie Frank, Ph.D @FrankNatalie 12/37

Less ongoing maintenance reducing costs that would be passed on the consumers. Serves best interests of Chicago.

Natalie Frank, Ph.D @FrankNatalie 13/37

Moskowitz: Discussed affordability. Few weeks ago $242M People's Gas Profit. But customers have to still pay high gas prices with likely hike in near future. Nearly 1 in 5 of customers behind at least 30 days.

Natalie Frank, Ph.D @FrankNatalie 14/37

Cost of staying warm in winter in large parts of city primarily in Black/Brown communities where more than half are in deep debt.

Natalie Frank, Ph.D @FrankNatalie 15/37

Customers now have to pay more to acquire and deliver fuel to home. Last month the highest of any April in past decade. Before 2023 gas replacement pipes was indiscriminate and without much planning.

Natalie Frank, Ph.D @FrankNatalie 16/37

City and state have ambitious clean energy goals which will decrease gas customers making it more expensive for those who still need it.

Natalie Frank, Ph.D @FrankNatalie 17/37

Future of Gas Report will be published next year. buildingdecarb.org/wp-content/upl…

buildingdecarb.org/wp-content/upl…

Natalie Frank, Ph.D @FrankNatalie 18/37

Alder Martin: Asked for map that specifies where 1100 miles of pipe to be replaced are.

Natalie Frank, Ph.D @FrankNatalie 19/37

Martin: ans Timing -Oversight, accountability committee will need to provide when hit peak replacement rate? Ans. 2 phases now to 2027 ramping up by replacing things what's been approved. Then evaluate what can be and should be replaced. ICC and safety monitor will dictate.

Natalie Frank, Ph.D @FrankNatalie 20/37

Ald Conway: Potential future rate hike requests and under what circumstance would you request? Ans. look into additional labor costs and is there enough revenue to execute replacement of all that pipe. Will discuss with ICC. Reply: Not a lot of specificity in answer.

Natalie Frank, Ph.D @FrankNatalie 21/37

Ald La Spata: Safety and reliability but also need to prioritize speed above all else. How do you balance those interests since contradict each other? Safety highest priority and need to balance with goals of progress. Can we focus on hi risk within time frame we have designated

Natalie Frank, Ph.D @FrankNatalie 22/37

However speed seems to be priority above all else. First focus on shelf ready projects which can be done quicker. But speed is a consideration and need to balance safety and reliability. Use JANA Model.

Natalie Frank, Ph.D @FrankNatalie 23/37

Information on JANA Model - Reliability predicts risk. janacorporation.com

janacorporation.com

Natalie Frank, Ph.D @FrankNatalie 24/37

La Spata: blending model and become future model for low leak system, with the pipe are currently installing is it compatible with blended gas. Answer: Yes, have tested it in training facility.

Natalie Frank, Ph.D @FrankNatalie 25/37

Ald. Moore:: How many African Americans does Union 007 have? 80% is diverse. Are doing outreach to H.S. and trace classes to make sure work force still reaching young people? Ans. Union not a hiring home. People's gas has great program for that.

Natalie Frank, Ph.D @FrankNatalie 26/37

Ald Moore: Safety -From report Safety risk - to workers or pipe that you lay and what is financial and labor work force standpoint. Ans. Both ensuring safety or workers and residents and business near pipe replacement.

Natalie Frank, Ph.D @FrankNatalie 27/37

Ald Moore: What came out of report about safety? Ans. use a safety monitor ICC will select to oversee program by July 1 this yr. Don't know why ICC thought safety monitor necessary.

Natalie Frank, Ph.D @FrankNatalie 28/37

Ald Moore: from labor side are they having issues. Concerned about current system Ans. believe shouldn't have been a pause and that caused the pipe to worsen and puts workers at increased risk.

Natalie Frank, Ph.D @FrankNatalie 29/37

Ald Sicho-Lopez: We need to learn from histroy. Flashbacks to leadline replacement program which came to halt over something negotiable -whether or not to go around tree. Lots of finger pointing in report. Came same conclusion, get back to work, But now have to do 100% faster.

Natalie Frank, Ph.D @FrankNatalie 30/37

Sicho-Lopez: From 49 miles to 110m miles a day but probably morel like 135 miles a day. ICC talks about rate increases, no problem adding huge increase to businesses in 2024 without any study done. Impact of this project and what's doing to our struggling businesses.

Natalie Frank, Ph.D @FrankNatalie 31/37

Sicho-Lopez: Always comes back to insufficient data. Cost estimates not consistent, rely on cost estimates don't turn out to be accurate. Estimates inefficient, undefinable. Can be swift while being safe. Need to invest in our neighborhoods even without Springfield's support

Natalie Frank, Ph.D @FrankNatalie 32/37

Sicho-Lopez: Need simplified permitting process for this project. Have a single permit for a year so don't have to waste time getting individual permits time after time. Will decrease costs and increase speed.

Natalie Frank, Ph.D @FrankNatalie 33/37

Asked company how much time is spent on permits? Anywhere from 45 days to 6-8 months, then have to get permits. Has happened that time has expired before able to complete permit project and start over again.

Natalie Frank, Ph.D @FrankNatalie 34/37

CORRECTION: Previous posts were Ald. Lopez not Ald. Sicho-Lopez

Natalie Frank, Ph.D @FrankNatalie 35/37

Ald. Riley: Local consumers looking at monthly gas bills see gas rates soaring. Likely another rate hike is coming. Of grave concern. Disproportionate impact on consumers of color and low income.

Natalie Frank, Ph.D @FrankNatalie 36/37

Most questions in this session revolved around potential gas price hikes, effects of almost two year pause in work, safety of work replacing pipeline in light of needing to accomplish it 100% quicker due to pause. More discussion and meetings will occur.

Natalie Frank, Ph.D @FrankNatalie 37/37

Meeting adjourned at 12:31 pm. This concludes coverage of the Chicago Committee on Environmental Protection and Energy. The next meeting is scheduled for June 2, 2025 at 10:00. For more meeting coverage, check out . documenters.org

documenters.org

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By Rachel Birkhahn-Rommelfanger ⋅ May 5th, 2025

Notice

May 5th, 2025

Agenda

May 5th, 2025

Summary

May 5th, 2025

Agency Information

Chicago City Council

chicityclerkelms.chicago.gov

(312) 744-3166

@ChiCouncil

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The Chicago City Council is the legislative branch of the government of the City of Chicago and consists of the Mayor and Aldermen elected from each of the City’s fifty wards. Source

If you attend a meeting in person, be prepared to go through a security checkpoint and show photo ID.

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