The group is called Blocks of Good Government.
Its members say they will create what they call report cards for the 19 African American aldermen, grading them on the job they're doing.
They say they're limiting it to African American aldermen because their wards have the biggest problems.
They will also organize a petition drive on the term limits question.
"We're going to ask the people to sign a non-binding referendum for term limits so no alderman or the mayor can serve more than two consecutive terms in office," said Syron Smith, Block of Good Government.
The group says the purpose of its initiatives is to bring better government to the city of Chicago.