CHICAGO — Chicago would use the $126 million in earnest money, which it received from a private consortium after it failed to raise the financing needed to complete the $2.52 billion lease of Midway Airport, to help balance the budget and repay debt for neighborhood infrastructure, under a plan proposed by Mayor Richard Daley this week.

“Even though our privatization efforts on Midway will not move forward at this time, the city still comes out ahead,” Daley said. “Because we negotiated a solid agreement, the city has received the full $126 million in earnest money.”

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