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City Strengthens Development License Requirements
07/31/2008

Via the Mayor's Office

Expediter License Created

The Chicago City Council approved three ordinances that strengthen the requirements of licensing of general contractors and real estate developers and creates a license for individuals who seek to obtain for another person licenses, permits and certificates. 

These individuals are commonly referred to as "expediters" and often work on the behalf of architects, developers, engineers, contractors and homeowners in obtaining permits from the Department of Buildings. Expediters also assist clients in obtaining liquor licenses and public way use permits from the Department of Business Affairs and Licensing. 

"Licensing these companies and individuals is an important step in regulating the people that do business on behalf of others with the City of Chicago," said Mayor Richard M. Daley.  "We want to make certain that they are held to same high standards of integrity to which other licensed individuals are held." 

The proposed amendments to the Residential Real Estate Developer License and the General Contractor License prohibit the issuance or renewal of a license for any person who is engaged in criminal acts involving bribery in connection with real estate development or general contracting. 

Other amendments would allow any one violation of either license to result in suspension or revocation of the license, which would be changed from three or more violations. Specific acts that are related to both a Real Estate Developer and a General Contractor will now include activities requiring a building permit or a certificate of zoning or any inspection of a building. 

The expediter ordinance creates a process for licensing expediters and it defines certain conduct that could subject licensees to suspension or revocation.  It also provides for affirmative requirements of licensees, such as a duty to cooperate with city departments. 

"Design professionals, developers and general contractors often hire expediters for convenience.  We believe that because of the role they play in development, licensing expediters will help Department of Buildings enforce the building code," said Richard Monocchio, Acting Commissioner for the Department of Buildings.  

The ordinance creates two classes of expediters; one for legal entities to operate a business of expediting and the other for individuals engaged in the business of expediting. Individuals that perform expediting for a licensed company would also require the license.   

The application requires the disclosure of any felony or other criminal offenses involving theft or dishonesty within the last four years.  Expediters who engage in acts of dishonesty, falsification of documents, or attempting to bribe others may have their license suspended or revoked. 

The expediter license must be posted in a place of business and a badge must be worn while conducting business with the City of Chicago. The license would cost $600 every two years for companies and $300 every two years for individuals.  

The ordinance exempts state licensed attorneys, certified public accountants, architects or engineers and their employees. Other exemptions include the applicant or employee, family member or immediate relative of the applicant.   For a building permit, other exemptions include the building owner or tenant, any salaried employee, immediate relative, tenant, general contractor, or licensed trade contractor of the building owner.  

In addition, amendments to the Real Estate Developer License and the General Contractor License include additional language that is consistent with the Expediter ordinance, which prohibits the issuance or renewal of a license for any person who is engaged in criminal acts involving bribery in connection with real estate development or general contracting.