Chicago Mayor Brandon Johnson’s administration recently proposed a reduced $150 million property tax increase after the City Council unanimously rejected an earlier $300 million hike.
While the administration seeks new revenue through taxes on cloud computing and streaming services, southwest side aldermen are calling for spending cuts instead.
Supportive of the aldermen’s position, a statement from the Chicagoland Chamber of Commerce criticized the proposed city budget, saying it is not a long-term solution for taxpayers and businesses facing high property taxes, inflation, and costly regulations. The chamber called on the administration to focus on spending cuts, pointing to challenges like the end of federal COVID-19 funding, a looming transit shortfall, CPS budget deficits, and unresolved pension obligations.
“Still, the chamber will work with the mayor and City Council to find a way to expand Chicago’s economy and stimulate job creation,” Jack Lavin, president and CEO of the Chicagoland Chamber of Commerce, said.
On Nov. 20, the Chicago Sun-Times reported that Wall Street rating agency Standard & Poor’s is prepared to lower Chicago’s bond rating due to reliance on expiring federal COVID-19 funds and budget disagreements between Mayor Johnson and the City Council.
“The aldermen of the southwest side are continuing to drive the conversation on the 2025 budget. We were able to defeat the mayor’s $300 million dollar property tax increase for next year,” Ald. Raymond Lopez (15th) said.
He and other aldermen believe spending cuts are critical and continue to resist colleagues who request additional funding from city taxpayers, he said.
Lopez also expressed concern about the lack of funding for the city’s Animal Care and Control (CACC) facility. Between Jan. 1 and Sept. 30, 2024, the CACC processed 25,102 animals and wildlife, including intakes, owner surrenders, adoptions, and euthanasia, according to CACC statistics. Enhanced funding could reduce reliance on private citizens and police officers who often assist when CACC resources fall short, Lopez said.
Lopez criticized delays in collecting city revenue from taxes on special events and concerts held in summer 2024. He highlighted issues with the Office of Budget and Management failing to recover costs for city services, such as police presence, street closures, and emergency management.
“Clearly, leaving money we are eligible to collect back from folks on the table is yet another example of where the City of Chicago’s Johnson administration needs to do a better job of collecting what is owed before asking taxpayers for more [money],” Lopez said.
Ald. Silvana Tabares (23rd) voted no on the $300 million property tax hike.
“Any property tax is unnecessary; the math does not support it,” Tabares said.
Tabares added that the city doesn’t need more taxes, criticizing the administration’s proposal to increase taxes on professional cloud lease transactions and streaming services for additional revenue. To ensure residents’ safety, she supports increasing funding and resources for the Chicago Police Department budget, as well as establishing a new police district at the former National Guard Armory at 5400 W. 63rd St., she said.
Local residents supported the creation of a new police district in a non-binding referendum during the March 18 primary election, according to Block Club Chicago.
Tabares also disagreed with Johnson’s October cancellation of two months of Chicago Police overtime because it “means less police on city streets” and wants funding in the city budget for gunshot detection technology ShotSpotter.
“I care more about doing what is right for the City of Chicago instead of what the mayor wants,” Tabares said.
Ald. Marty Quinn (13th) also voted no on the proposed $300 million property tax hike and believes doing so demonstrated the City Council’s ability to act independently from the mayor.
“I don’t think we should be looking at new revenue sources,” Quinn said. “I don’t think we should be looking at property tax increases. I think that’s the lazy way out of budget making.”
Quinn cited feedback from 13th Ward constituents in his opposition and said he will continue fighting against property tax hikes on their behalf. He also expressed concern about the city’s reliance on the remaining $374 million in federal COVID-19 relief funds (ARPA) to balance the budget, calling it “unsustainable” and a short-term fix.
He emphasized identifying government redundancies, pursuing reforms, and cutting spending but stated that public safety remains a critical component of the budget process. “I represent scores of Chicago Police officers,” Quinn said. “I’m not, in any way, shape, or form advocating for any cuts to the police budget. We should continue to grow the police budget. This particular budget calls for two new helicopters and the corresponding pilots. We have to think about how we could use drones for policing.”
Quinn’s office will host a job fair on Dec. 6 to recruit new police officers.
“If we don’t get our arms around the budget structure, we’re going to be right back here this time next year, fighting over another property tax increase,” he said.