Debate over Chicago’s next budget continues as the most recent proposal narrowly passed the City Council’s budget committee, NBC Chicago’s Mary Ann Ahern reports.
Chicago alderpeople are set to vote Friday on the mayor's 2025 budget proposal, which includes increased property taxes, as well as increased costs to park in a Chicago garage, buy a grocery checkout bag and use streaming services.
Though Mayor Brandon Johnson campaigned on not raising property taxes, his budget plan initially included a $300 million property tax increase, which was unanimously rejected by council members on Nov. 14. He then proposed a property tax increase of $150 million, then finally a third draft of the budget included a $68 million property tax increase instead. The owner of a $450,000 home would pay $136 more each year.
In total, the proposed taxes in the budget plan add up to $234 million in additional revenues. That also includes $128 million through upping the rate on personal property leases, an $11 million parking garage tax increase, expanding the congestion surcharge on weekends, plus increasing the tax on streaming services like Netflix and cable TV.
The city's grocery bag tax will increase from 7 cents to 10 cents under the mayor's plan.
"People can't avoid a property tax increase. Whether you're a renter or your homeowner, that's going to hit you either way, but a bag tax – that can be avoided if you bring the tote with you to your shopping place," said Ald. Carlos Ramirez-Rosa.
The council is divided over whether to pass the plan. The city faces a Dec. 31 deadline to approve a new budget or face a reduction in the city's bond rating.
"We're sticking it to the residents every which way but loose. When you look at all these fines and fees that are being increased in this budget without any real cuts and efficiencies. The people are asking for cuts and efficiencies," said Ald. Anthony Beale.
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Two city council committees, finance and budget, narrowly passed the plan this week. The mayor's allies said they know Friday's vote will be close.
"How we come together in the next 48 hours will be watched, but I'm confident we will," 6th Ward Ald. William Hall said on Wednesday. "There's a very, very close vote count because there are those who see Chicago being one way and (those) seeing it the other way."
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Might it even be so close that Johnson has to cast the tie-breaking vote as he did earlier this year on a Gaza ceasefire resolution and last year on an attempt to censure Ramirez-Rosa?
"I think it is that close, and if he is a tiebreaker, I guess he'd be three for three," said Ald. Scott Waguespack.
If the budget passes, programs will be canceled to make up for the budget shortfall and COVID-19 relief funding running out. Those programs include $31 million in the basic income plan and $29 million cut for small business grants. Johnson has repeatedly pledged no layoffs of city workers.
The budget also increases several fines and fees controlled by the city, including vehicle stickers, residential permit parking passes, public vehicle fines, public chauffeurs and pedicab licenses, license fine violations and more. Johnson is also proposing adding additional speed cameras in Chicago to pay for police officer jobs as part of ongoing efforts to comply with the federal consent decree.
Ald. Debra Silverstein from the 50th Ward sent a letter to the mayor's office and council members requesting that the budget vote be concluded by 3 p.m. on Friday because she will leave City Hall at that time to observe the Jewish Sabbath, Shabbat.
If the budget does not pass on Friday, expect council members to return to City Hall over the weekend.
