Chicago City Wire

Today, Mayor Brandon Johnson presented Chicago's Fiscal Year 2025 budget. The plan focuses on strategic investments in affordable housing, mental health services, public safety, and youth employment while maintaining fiscal responsibility.

Despite a projected $986 million deficit, the administration proposed a balanced budget without resorting to mass layoffs or severe austerity measures. "Our budget reflects the commitment to invest in our people and neighborhoods," said Mayor Johnson.

Key allocations include $52 million for youth jobs and a $40 million One System Initiative (OSI) to expand the city's shelter network. A $30 million rapid rehousing program aims to provide stable housing for unsheltered households.

The budget also allocates over $100 million for community violence prevention programs and an additional $2 million for strengthening the mental health network. Measures to address pension and debt costs include making an advanced pension payment. "By addressing our obligations head-on...we are safeguarding Chicago's financial future," stated Chief Financial Officer Jill Jaworski.

Strategic cuts and efficiencies across departments resulted in nearly $300 million in savings. Additional revenue comes from revised estimates, tax adjustments, fund reserves, and improved debt collection. "This budget is the result of meticulous planning," said Budget Director Annette Guzman.

The city plans to surplus a record $570 million in Tax Increment Financing (TIF) funds to support city initiatives and other taxing bodies like Chicago Public Schools (CPS). This includes a property tax increase totaling $300 million based on 2023 assessments.

The budget expands debt relief programs such as the Clear Path Relief Program and Administrative Debt Relief Program. "We have taken significant steps to make our revenue streams more equitable," City Comptroller Chasse Rehwinkel noted.

Mayor Johnson called for continued collaboration among stakeholders: "This budget isn't just balanced; it's focused on delivering for the people of Chicago."