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Higher ticket tax to fund terminal expansion plans

 

By Robert C. Herguth and Fran Spielman
Copyright 2000 
Chicago Sun-Times, Inc.
Article date:
October 5, 2000
 

Starting in the spring, the City of Chicago plans to increase the ticket tax for O'Hare Airport travelers by $1.50, money that would help finance a terminal expansion project to which United and American airlines have now committed in writing.

The project, called World Gateway, will be highlighted today at public meetings in Des Plaines, the first formal opportunities for citizens and leaders to ask questions and get briefed on the controversial initiative.

O'Hare critics say the project -- which calls for building two new terminals with at least 20 more gates, rehabilitating other portions of the airport and adding two inspection facilities -- is the first part of a secret plan to add runways.

But during a Wednesday briefing, city officials reiterated runways are not being pursued and won't be needed for at least 12 years, if projections hold.

They said the improvements would help O'Hare handle the expected crush of new international travelers, accommodate newer, larger jets and generally get people to gates more quickly, thereby cutting delays and pollution.

Doug Goldberg, a city consultant, said World Gateway would not add flights.

Kitty Freidheim, Chicago's managing deputy aviation commissioner, said the current estimated price tag of $3.2 billion might be reduced.

The World Gateway plan remains largely the same as when it was announced last year, except a new Terminal 4 would be built around a heating and cooling plant that originally was going to be relocated. That change alone should save hundreds of millions of dollars, Freidheim said, adding that construction of the overall project could begin in spring 2002 and take six to eight years to complete.

United Airlines followed the lead of American Airlines by signing a deal with the city to help fund a "sizable part" of the project. Both carriers would get eight gates as part of the agreement, but city officials wouldn't confirm many details, noting negotiations with smaller carriers remain. Many of them will move from current gate positions to accommodate United and American.

Although United signed the agreement last week, the airline walked away from the table unhappy. It had pressed the city to add a new commuter terminal to the mix. The Daley administration said no because of cost and accessibility.

Although city officials insisted as recently as last week that a decision had not been made on increasing ticket taxes, Freidheim said Wednesday the decision to pursue the $1.50 increase, on top of the current $3-per-ticket tax, was made more than a month ago.

Those revenues also will help fund an extension of the people mover and various road improvements around the airport. Officials said Wednesday they were unsure whether soundproofing efforts would benefit from the tax increase, despite earlier indications they would.

City officials are still considering increasing the tax at Midway Airport.
 

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