Chicago establishes diversity and resident hiring goals for planned developments

By executive order, the City now requires developers to state their diversity and resident hiring goals as a condition for the approval of planned developments. In addition to affordable housing and other public benefits, developers must attempt to achieve “total construction budget” participation in the following rates: minority business enterprises, 26%, women’s business enterprises, 6%, and city resident hiring 50% of total construction work hours. Minority, women’s and residents’ participation can include the design, engineering and construction of projects.

            The hiring goals apply to any phase of a planned development project. Thus, a developer must report these goals for the construction of each subarea or separate construction project.

            The City will enforce the goals by requiring the developer to report its “intended and actual employment” at three milestones: 1.  Prior to being placed on the Plan Commission agenda; 2. Upon filing a Part II application and 3. upon application for a Certificate of Occupancy. The Plan Commission application shall include the applicant’s outreach plan to reach the goals. The Part II application shall include an update of the outreach plan. The final report included with the application for Occupancy Permit shall report the actual level of participation achieved.

            The executive order is effective in the date of issue—August 15, 2017. The order does not address how, or whether, it applies to planned developments now underway that have not obtained a Certificate of Occupancy.

            The text of Executive Order No. 2017-2 is here:

Executive Order 2017-2


  • Richard F. Friedman