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In a notable development, over half of Chicago’s City Council is now backing an alternative to Mayor Brandon Johnson’s proposed budget, which could spell trouble for the mayor’s fiscal plans.
The crux of the disagreement lies in the contentious head tax, a measure the mayor staunchly supports but the new proposal seeks to eliminate.
With time ticking down, 26 council members advocating for this alternative budget have called for a meeting with the mayor’s finance team in hopes of reaching a compromise.
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This marks the second consecutive year that a majority of the council has resisted Mayor Johnson’s budget. Buoyed by past victories, they are once again challenging his financial strategies.
The ongoing budget dispute primarily revolves around the corporate head tax, a sticking point for Mayor Johnson, yet deemed unacceptable by at least 26 council members.
“This is not a rubber stamp city council, and they learned that last year because of the power, they had in that debate so they’re flexing their muscles and trying to take it even further,” ABC7 Political Analyst Laura Washington said.
Last year, the council voted 50-to-nothing against the mayor’s proposed property tax hike. He tried and failed on two compromise versions and then dropped it all together.
This year, council members have proposed an alternative budget that would hike garbage fees and liquor taxes and impose a delivery tax. Political observers say this is an unprecedented pushback that hasn’t happened since the infamous council wars under Mayor Harold Washington.
READ MORE | Mayor’s team rejects alderman’s alternatives to corporate head tax in proposed Chicago budget
Dick Simpson is a former alderman and political science professor.
“Mayor Washington would introduce a proposal, they would vote it down. Alderman Burke would introduce a counter proposal. The mayor would veto it, and it would go down to December 31 before they could actually pass the budget,” Simpson said.
Mayor Johnson has framed this budget as billionaires and big corporations against working class residents. His allies at the Chicago Teachers Union rallying to his defense in the Gold Coast on Wednesday.
“We need to send a loud message to our representatives that they need to tax the ultra wealthy corporations, the folks that have it,” CTU Political Director Hilario Dominguez said.
With bells jingling and lights twinkling, Chicago Teachers Union members dressed in holiday garb blocked Michigan Avenue Wednesday evening and sang carols to the wealthy.
The Mag Mile rally was held outside the offices of a hedge fund and private equity firm, and it ended with a handful of Santa look-a-likes in handcuffs after refusing to leave the street.
SEE ALSO | Chicago Mayor Johnson offers aldermen online portal to submit budget efficiency ideas
This may not be an election year, but Mayor Johnson may be looking ahead to 2027, trying to appease his base with this budget.
“It’s absolutely an election year budget,” Washington said. “By next year, we will already be deep into the mayoral campaign, and so he will already need to have a record to run on and a case to make.”
“So the city council and the mayor are going to have to face off,” Simpson said. “They’re going to discover that neither of them have the votes for what their preferred is, and they’re going to have to make compromises.”
The City Council is scheduled to meet next week, but with the revenue situation still very much in flux, a budget vote is more likely to come much later this month.
By law, a balanced budget has to be passed by the end of the year.