CHICAGO (CBS) — Chicago aldermen, students, teachers, and activists were demanding Mayor Rahm Emanuel and Navy Pier return $55 million in tax increment financing diverted from a project to build a hotel near McCormick Place.

An investigation by the Better Government Association and Crain’s Chicago Business found $55 million in TIF money that was earmarked for land acquisition for a new hotel near McCormick Place was shifted to pay for renovations at Navy Pier. TIF dollars are supposed to be used for projects to combat urban blight.

Ald. Pat Dowell (3rd), whose ward includes McCormick Place, has called for City Council hearings, and other aldermen also voiced their outrage on Monday.

Tax increment financing allows the city to divert a portion of property tax revenue in designated areas on projects to promote development in struggling communities. After learning $55 million in TIF money had been used for renovations at the city’s most popular tourist attraction, aldermen were downright offended.

“I am outraged by Mayor Rahm Emanuel’s decision, lack of transparency,” Ald. Susan Sadlowski Garza (10th) said.

Ald. John Arena (45th) said the Emanuel administration lied to aldermen about how the $55 million in TIF money would be used.

“We were lied to. Alderman Dowell in the 3rd Ward was lied to in public and in private. They perjured themselves to us about this money, and then openly in city emails they discussed the laundering of the money from that project to this tourist trap. This is unconscionable,” Arena (45th) said.

Several students, teachers, and activists joined aldermen on Monday, noting the $55 million transfer took place in 2013, at the same time the Emanuel administration was closing dozens of public schools it deemed underutilized.

Critics said the money in question shouldn’t have been used for a hotel near McCormick Place in the first place, and instead should have gone to struggling public schools.

Alize Vijil, with the Logan Square Neighborhood Association, said Navy Pier should return the TIF money it received.

“Our money should go into education, not into golden hot dogs,” Vijil said.

Grassroots Collaborative executive director Amisha Patel said the city’s TIF system needs to be overhauled.

“There’s no faith in the system. There never has been, and this is certainly yet another huge reason why people are fed up in the city of Chicago that our tax dollars aren’t being used where they need to be going,” she said.

At least four aldermen have called for City Council hearings to investigate the $55 million transfer.

Below is a letter sent to Crain’s over the weekend. The Chicago Department of Planning and Development and the Metropolitan Pier and Exposition Authority said “the assertions made in the article are wrong.”