City Council to vote on mayor's new budget plan
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Mayor Brandon Johnson has faced a contentious budget season this year but a vote may come as early as Friday. Photo: Monica Eng/Axios
After a tumultuous budget season that saw vehement opposition to Mayor Brandon Johnson's initial $300 million property tax hike, the Chicago City Council is expected to vote on a revised $17.3 billion plan on Friday.
Why it matters: Despite the changes, Johnson's latest proposal still contains $234 million in new taxes, and recent close budget committee votes suggest Friday's full council vote could be razor thin.
State of play: Johnson says the new taxes are necessary to close a $1 billion budget hole in 2025, but his critics say he hasn't made enough cuts.
The revenue: Some of the biggest new taxes and fees include:
- $68.5 million property tax increase that would raise taxes on a $450,000 home by about $136 annually.
- $128.1 million hike on cloud computing services taxes.
- $12.9 million increase in streaming and cable TV taxes.
- $11.3 million more from taxes on parking garages and valet services.
- $8.1 million from expanded fees on ride shares that start or finish downtown.
- $5.2 million from raising the cost of a plastic checkout bag from 7 to 10 cents.
- $11.4 million in extra revenue from new speed cameras.
Cuts include: $74 million from programs for guaranteed basic income and small business grants.
- $13.1 million from reduced debt payments.
- $3.1 million from the Department of Fleet and Facilities Management.
What they're saying: Twenty-eight out of 50 alders from across the political spectrum sent a letter to Johnson last week urging him to look for "further reductions in light of our current budget deficit," including:
- Maintaining the mayor's Summer Youth Employment program at its current 28,000 jobs rather than expanding it
- Reducing the mayor's office staff to 2020 levels
- Eliminating redundancies between the mayor's office and other departments
- The letter did not say exactly how much money these cuts would save.
What we're watching: Whether the 28 alders who signed the letter will vote for a budget that doesn't respond to all of these requests.
- If the council doesn't pass the budget today, it could try again later this month. But missing the Dec. 31 budget deadline could trigger credit downgrades and halted services.