Chicago alders sound off on property tax hike
Add Axios as your preferred source to
see more of our stories on Google.
Budget committee chairman Ald. Jason Earvin defends the mayor's budget to reporters Wednesday. Photo: Monica Eng/Axios
Chicago City Council members offered mixed opinions Wednesday about Mayor Brandon Johnson's budget proposal, which calls for raising property taxes by $300 million.
Why it matters: The mayor will need a majority of council to approve the budget in coming weeks, and even some of his close allies say their constituents simply can't afford the tax hike, estimated to be an additional $222 per $250,000 of assessed property value.
What they're saying: "I cannot support a property tax increase," says mayoral ally Ald. Byron Sigcho Lopez, whose ward includes Pilsen.
- Instead, he supports withholding $272 million that would have gone to supplemental pension payments to help plug the hole this year.
Many alders opposing the plan say they want to see the city explore other revenue sources or cuts before imposing a property tax increase.
- Ald. Brian Hopkins says he wants to hear from the revenue subcommittee that was formed to find new funding sources.
- Ald. Bennett Lawson thinks the mayor's staff could be trimmed, while Ald. Brendan Reilly wants broader city staffing cuts explored.
- "We're a billion dollars in the hole, and this guy is acting as if all we have to do is just go and squeeze taxpayers more," Reilly said.
The other side: "This is an investment in both infrastructure and human beings," said Ald. William Hall, whom Johnson tasked with finding new revenue streams. "[I'm for] pitching in and making an extra sacrifice so that people can keep their jobs, so holidays won't be canceled and services won't be dark."
- "Everybody wants to get to heaven; nobody wants to die," said Ald. Jason Ervin, who supports the budget. "We have to be fiscally responsible, and making that advanced pension payment is a fiscally responsible thing to do."
Several alders say they need more information before making a decision, but they anticipate pushback from constituents.
- Ald. Maria Hadden said she was happy to see no layoffs and more funding for shelter beds, but says $300 million is "a scary number" and notes that many homeowners in her ward are seniors on fixed incomes.
- Ald. David Moore says he needs something specific that constituents are getting in return for the tax hike, otherwise, he won't support it.
- Ald. Daniel LaSpata said he wants more data on how constituents will fare. "I have residents who bought two- and three-bedroom flats, '70s and '80s, when you could buy them for $80,000. Now they're being assessed rightfully at $1.7 million, but that doesn't mean they can afford those property taxes."
When Axios asked Johnson if he'd entertain any of the alders' suggestions, he responded, "If people are asking me to lay people off, I'm not doing that."
The bottom line: Despite the sticker shock around the hike, Ald. Scott Waguespack says he thinks Johnson has the votes to pass the budget with the tax increase included.
- "I think there'll be some acrimony about how he's gone about this, but I fully expect that he'll get the progressive votes and votes from allies he needs."
Editor's note: This story has been corrected to say the tax hike is estimated to cost a property owner an extra $222 per $250,000 of assessed property value, not $481 per $250,000 of assessed property value.