As Chicago grapples with a near $1 billion deficit, Mayor Brandon Johnson’s administration is under mounting pressure to deliberate urgent budget measures, including a contentious proposal to cut the city’s guaranteed income program, which was earmarked to support thousands of low-income residents and returning citizens. In a recent gathering at City Hall, advocates implored officials to maintain the Chicago Empowerment Fund, stressing the long-term costs of such cuts, the Chicago Sun-Times reported.
Richard Wallace, executive director of Equity and Transformation, criticized the potential funding cuts by saying, "We got commitment from the city that this pilot was going to be in the budget in 2025, and for us to find out that this program is slowly but surely getting pushed out, it was something that we could not sleep with," the narrative evolving as former recipients have cited benefits such as improved health and less recidivism. Mayor Johnson had initially floated a $300 million property tax hike but after pushback from Council members, a revised proposal now entails a $68.5 million increase along with a slew of other tax increases such as on cable, streaming services, and a heightened city garage tax; the last-ditch effort to halt a looming city shutdown is underway.
Meanwhile, the clock ticks down to a year-end deadline to finalize a budget deal or risk a governmental stall, CBS News Chicago noted, and both sides of the city leadership seem to be standing firm in their positions, some alderpeople argue more cuts are needed, as the aldermen remain divided over the mayor’s renewed proposals. Ald. Gilbert Villegas (36th) voiced a call for innovation in revenue generation, apart from the traditional "tired levers" of property taxes, fines, and fees, while Ald. Maria Hadden (49th) expressed hope that an agreement might still be achieved without reaching a shutdown.
In light of the fiscal debate, Mayor Johnson is also tackling concerns over a senior advisor's residency issue, Jason Lee is under investigation for potentially voting in Texas while filed as a Chicago city employee; Johnson stated that the matter is in Texas's hands and is a personnel issue, the situation drawing scrutiny from Ald. Ray Lopez (15th), who is pressing for further city-level investigation.
