Chicago City Wire

The Chicago City Council has approved a $17 billion budget, which includes $181.6 million in new taxes and fees. Initially, Mayor Brandon Johnson proposed generating $300 million from property taxpayers but had to reconsider due to opposition. Instead, the revenue will come from increased taxes on shopping bags, streaming services, parking permits, food licenses, cloud computing, parking garages, rideshare services, and the introduction of new speed cameras.

According to an analysis by the Illinois Policy Institute, Chicago's budget has grown by $6.6 billion since 2019. To address a $982 million budget deficit, city officials utilized federal aid, fund sweeps, reserves from tax increment financing districts, tax hikes, and minor cuts.

Austin Berg of the Illinois Policy Institute commented on the situation: "Thousands of Chicago taxpayers voiced their concerns to aldermen and escaped a $300 million property tax hike this year. However, it’s disappointing to see Mayor Brandon Johnson balloon the city’s spending problem instead of committing to sustainable changes."

Berg also noted that "residents should be encouraged by the unprecedented independence of the City Council in pushing for commonsense reforms throughout the budget process." He highlighted Alderman Gil Villegas' call for a city charter as a step towards ensuring greater transparency in future budgets.

Despite these efforts for reform, Berg expressed concern over continued reliance on temporary financial solutions: "Unfortunately, as the last of the pandemic relief runs out, City Hall has yet to meaningfully address the city’s over-spending problem."

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