Committees pass mayor's budget with $68.5M property tax increase; full city council to vote Friday

Tuesday, December 10, 2024 10:31PM CT
CHICAGO (WLS) -- A $68.5 million property tax hike has cleared an important hurdle, passing through the Finance and Budget committees on Friday, along with a host of other fee hikes.

But the margin was close, and it is still not clear if there will be enough support when the full council votes on Friday.



It is now looking more and more likely that homeowners are going to have to dig deeper next year to pay their property taxes.

Mayor Brandon Johnson's proposal to raise them by $68.5 million to fill a nearly $1 billion deficit narrowly passed out of committees on Friday.



This latest version of the mayor's budget does not include layoffs.

"Like most budgets, you never get everything you want in a budget, but I'm happy that we've brought down the amount of taxes we're going to have to do," said 8th Ward Ald. Michelle Harris.

And while the dissent was minimal, it was very pointed.

"We must have a $300 million property tax, or the city is going to go down in flames? Up, just kidding, five days later, no, we really need $150 million property tax. Oh, wait a second, just kidding. We only need a $68.5 million property tax," said 42nd Ward Ald. Brendan Reilly. "We have a spending problem in the city of Chicago. We don't have a revenue problem. We're spending far too much money. This government is bloated. It's been exposed during these hearings."

"I voted 'no,' because we can't balance this budget just by asking working families and taxpayers to pay more while we, in the city, are not doing anything to make city government more efficient," said 34th Ward Ald. Bill Conway.



In the Finance Committee, the budget passed 14-12 on Friday morning.

"We need to do this," said 3rd Ward Ald. Pat Dowell. "We need sustainable revenue. One-time fixes are not working, will not work. So, we're looking at revenue that could be sustainable and looking at cuts in efficiencies."

And on Friday afternoon, it was even closer, passing out of the Budget Committee 17-16 with Ald. LaMont Robinson walking in at the last minute to cast the deciding "yes" vote.

SEE ALSO | Over half of aldermen calling on mayor to find more ways to cut costs as budget deadline looms

"You know budget. Everybody's like, like sauces, right? Everyone. Nobody likes the process, but everybody loves the end result. So, since going back and forth again between the administration and the council, this is how government works. I mean, we're two co-equal branches of government, and we've, you know, find a way to get things done," said Budget Committee Chairman Ald. Jason Ervin. "When you have to.. go to property taxes, there's always going to be some contention around those issues. However, the options become fairly limited, and based on our ability to raise revenue, we only can control so much."



But it did not pass without some last minute backroom deal-making by the mayor's team. Two alderpersons who had previously signaled they were "no" votes were promised tens of thousands of extra dollars for their committees.

That money was later removed after other council members raised objections.

The budget will raise parking rates, increase the cost of checkout bags to $0.10 and add a congestion tax on weekends for rideshare.

"What we are seeing is a nickel-and-diming of our residents on top of the fact that we're asking for $104 million more in property taxes than we were last year," said 15th Ward Ald. Ray Lopez said. "The only way out of this is to grow our economy not suppress it."

Opponents were frustrated.



"What we saw were hundreds of millions in fines and fee increases as well as the property tax hike. And our constituents were saying, 'Please do not increase the property tax without doing the things that are necessary to pare down government first,'" said 32nd Ward Ald. Scott Waguespack.

Some city council members remain concerned about any property tax increase and have issues with the budget itself.

READ MORE: Mayor Johnson budget team now pushing $60M property tax hike in effort to pass agreement

The city council already rejected the mayor's initial budget, which included a $300 million property tax hike and a second $150-million proposed hike.

"The residents of the 13th ward have no appetite for a property tax increase so, I'm going to be a 'no,'" 13th Ward Ald. Marty Quinn said. "I was a 'no' on the $300 million. I was a 'no' on the $150 million. I'm going to be a 'no' on this $68 million tax increase. We have need to do a better job of right sizing city government."

The budget process has created a lot of friction in the council.

"So, are we at a point where, you know, people hate each other, or we can't sit down and have a cup of coffee or go out for for dinner? I don't think we're at that point, but people do have difference of opinion," Ervin said.

Despite the opposition, Johnson says his proposed budget looks to serve the people of the city of Chicago. This latest proposed budget also calls for some programs like the guaranteed basic income program that gives qualifying households $500 a month for a year to be eliminated.

"That's what is right about this budget," Johnson said. "It invests in people. We don't cut services and lay people off and my team is working regularly to work with the governor's team to find progressive revenue."

The mayor's team has been doing a lot of last minute backroom maneuvering and negotiating.

"I think we're getting close. I think I wouldn't say they have it. Nothing is guaranteed," said 27th Ward Ald. Walter Burnett.

The vote on Friday could be so close the mayor may have to cast a tie breaking vote. Over the next few days, his team will be working to win over and shore up support in the council to ensure the budget passes.

The city must pass an approved budget by the end of the year.
Copyright © 2024 WLS-TV. All Rights Reserved.