Salary Increases for Markham Officials Tied to Amazon Work

Markham Mayor Roger Agpawa’s pay is scheduled to gradually rise over the next four years, along with the salaries of several other city employees, largely because of their involvement in a tax increment financing district linked to the town’s Amazon facility.

Agpawa’s salary for 2025 is projected to hit $191,227 by the start of Markham’s 2028 fiscal year, which begins in May 2027.

The salaries for Markham’s city treasurer and city clerk will go from $45,000 in the 2025 fiscal year up to $49,173 by 2028. These salaries began at $32,000 back in 2021 and have been steadily increasing over four years due to a 2020 ordinance.

According to a November 2024 city ordinance, Agpawa is set to earn $175,000 in 2025, $180,250 in 2026, $185,658 in 2027, and reach $191,227 in 2028.

The mayor earned $97,375 in 2021, followed by $99,809 in 2022, then $102,305 in 2023 and finally $104,863 in 2024 as per a November 2020 city ordinance.

The cumulative pay increases from 2021 through 2028 total about $90,000 and reflect additional mayoral responsibilities as well as adjustments for cost of living according to ordinances from both years.

Finance Director Christina Fischer explained that these additional duties include Agpawa performing tasks typical of a city manager alongside his mayoral responsibilities. She noted that previous salaries for department heads were lower than those offered by nearby municipalities which affected union contracts.

Officials also mentioned that many of these raises are connected to extra efforts managing the Markham Interstate Crossings TIF. This TIF was set up to reimburse developers who initiated work on an Amazon distribution center starting back in 2020. While they clarified that TIF funds aren’t directly used for salaries, transfers from the TIF fund into the city’s general fund – which covers expenses including wages – align with these pay increases.

The same year when money started being transferred from the Interstate Crossing TIF into the general fund saw salary figures appear with two percentages within their budget lines.

Apgawa’s compensation was split into two parts on his salary line item showing percentages of 65% and 35%, though no explanation was given.

Derrick Champion who serves as Markham’s city administrator and economic development director stated via email that those percentages don’t indicate portions of his salary coming from TIF funds. However he acknowledged some salary expenses may be attributed as indirect administrative costs related to the TIF.

Champion stated that these salary figures represent how much time staff members dedicate across different duties.

“It’s simply a way of allocating time/cost amongst various job responsibilities,” Champion said in the email. “There are employees that have some of their time devoted to those efforts and so an allocation was done between those areas.”

This payment related to TIF work is essential because “the TIF districts would not exist or run without the support of the General Fund/City operations,” he wrote.

Champion added there isn’t any separate accounting or documentation specifically regarding work on the TIF but listed examples such as issuing vendor payments and paying bills; confirming financing notes; holding meetings aimed at promoting economic growth; responding during emergencies; maintaining grounds; and ensuring water infrastructure remains intact.

Fischer emphasized that since this taxing district encompasses such a large area with multimillion-dollar facilities involved it places extra demands on city staff requiring them to allocate part of their time towards managing efforts related specifically to this district.

The Amazon fulfillment center in Markham located south of159th Street between Dixie Highwayand Interstate294.(Addison Wright/Daily Southtown)

Twelve other administrators are seeing pay increases starting this year (in  ‘24)and next (in ‘25), coinciding with when transfers began occurring betweenthe Interstate Crossings T IFandgeneral fund while percentage allocations appeared ontheir ownsalary lines.

A35 % notation appearednextto th esalaryof th epolice chief whose fullcompensation this fiscalyear standsat$149 ,713. The firechief also hada35 %notationonhissalarylineitem. Hisfullpayis$146 ,358.

The proposed budgetforfiscalyear20 ’26 shows Championas th ecity administratorwitha50% designationappliedtwiceto h issalarylineitem-presumably indicating each halfcomesfromdifferentfundsoraccountsforworkperformedinvariousareas. Halfhissalaryamountsto$77 ,438 outof$154 ,876 totalpay.

A similar50% division appearsforthe samebudgetyearrelatingto Fischerwhichwouldmake$75 ,889halfofhersalarytotaling$151 ,778.

Inwritten statements sentoutvia public relationsfirm Championmaintainedthatsalariesaren’tdrawnfrom T IFfundsbut comefromthegeneral fundinstead. This account receives fundingthroughindirectcosttransfersaccordingto him.

Budget records indicate multiple installmentsfromthe T IFhavebeen routedintothe generalfund. In20’25thecity reportedtransferringover$12 millionfromt he Interstate Crossings T IFtowards itsgeneral fund whilethefollowing yearcalledforthetransferofjustover6million dollars.

Bothth epublicworksmanagerand public works/waterdirectorarelistedunderseparate rolesinthe20’26budgetwith50/50 designationsappliedontheirrespectivepayitems. T heirtotalcompensationequals125 ,000each.

Data scientist Eric Langowskibasedatthe Universityof Chicago whoanalyzes T IFdistrictsexplainedthatexpenditureshelpingcoveradministrativecostsassociatedwith Interstate Crossings T IFsignificantlyexceedtypicalstaffexpensesseenamong Chicago’s T I F districts wheregenerallyonly1%to10%goesdirectlytowardstaffing.

Langowskipointed outthattaxing districts divert funds awayfromothersoportionsof revenuesendupimprovingonlythoseareasincluding Amazon’slocationrather than benefitting schooldistric ts, p ark districts, librariesandother taxingentities.

The Interst ate Crossings T IFincludesapproximatelyfour millionsquarefeetcomprisingfive storiesof Amazonfulfillmentcenter situatedsouthof159th Streetbetween Dixie Highwayand I nterstate294. Thebuildingopeneditsdoorsin2O21alongside anotherdistributioncenterin Matteson formingpartofthelargerexpansionstrategybythismultination al techgiantinto Chicago region.

At thestartof constructionofthe Amazonfacilitybackin20’20Agpawacalledthisprojecta“necessarytool”aimedattaking alargeporti onsoughtafterrealestate, reassigningitbackontotaxrolls.

Recentlywhenapproachedregardingcommentsonthisparticular T I Fsubject Agpawadidnotrespondnoragreeforinterviewrequests madeby Daily Southtown.

Accordingto redevelopmentagreementsthe T I Fis meant toreimbursedevelopersupto132. millionprojectcosts. Under state law, T I F dollarscanbeallocatedtopayadministrativeexpenses, but experts remain doubtful about whethercitystaffspend solongworkingonthese projects.

Ted Slowik/Daily SouthtownMarkham Mayor Roger Agpawavisits siteofthe Amazonfulfillmentcenterwhen itwas stillunder construction July30 ’20.(Ted Slowik/Daily Southtown )

Hello! ” Champion said viamail suggesting partnerships formedbetween Amazon&Scannell Properties-a privately heldrealestate firm-have yieldedgreatcommunity benefitsfor Mark hamincluding renovations across threefire stations, somepark improvements upgradeswater towers, dollars donated schoolsand ongoing holiday donations throughoutyears.”

This has truly impacted residents’ lives positively within our community,” championhighlightedinemail. Together we’re workingtoward enhancinglifefor allourcitizens here.”Christina Fischer Markham’s financial director left, and Mayor Roger A. Agpaw around atthe City Councilmeeting heldon Sept3’25(James C. Svehla/forthedaily souhtown)

Thecityrecentlycelebratedbalancingstructural deficit persisting since2017 peakingat10 million deficits recorded during2019 along with missed audits necessary reports requiredby state agenciesduringthoseyears mentioned by Fischerpublic meeting. Themunicipalityachievedpositive netfund balance amounting168490reportedbackin2O24”.

Please take notewhile presenting overall finacial audit conductedby Crowe LLPatcouncilmeetngheld September3Dan Curransuggestedpriority shouldbe given regarding balancing risingcapital project costs concerningpersonnelamong otherbudgets items stating“Acrossboardwesee costs escalating capitalprojects personnel everything tends toward higherpricesgoingforwardits key findingbalance betweencostsandbuildingupon accumulatedbalance.”

awright@chicagotribune. com

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