Better Government Association Policy Reveals Chicago’s Oversight Agencies Underspend on Required Budgets

CHICAGO (WLS) — According to a BGA Policy analysis, departmental budgets for three of Chicago’s oversight agencies fall short of minimums required by law.

This is reflected in how the city handles fringe costs.

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When the city sets its annual budget, pension and benefit costs, also called fringe, are not included in departmental budgets. Instead, those get lumped together in a citywide category called “Finance General.” That means agencies like COPA, OIG, and CCPSA don’t have those costs directly listed in their budgets. Those costs are then used to say oversight agencies are meeting their budget floors, even though those dollars are not clearly broken out in the budget.

The city’s Office of Budget and Management issued a statement, saying, “The City of Chicago’s Office of Budget and Management (OBM) is in full compliance with all municipal code requirements regarding mandated budget floors for oversight agencies, including the Office of Inspector General (OIG), the Civilian Office of Police Accountability (COPA), and the Community Commission for Public Safety and Accountability (CCPSA).

We understand that the Better Government Association (BGA) has expressed views about how these budget floors should be structured. This reflects a difference in policy perspective, not a disagreement over how the City interprets or applies the existing ordinance.

OBM’s role is to implement City ordinances as written. While we respect external organizations’ right to offer their policy viewpoints, OBM will continue to comply with City ordinances, while managing resources responsibly and sustainably.”

You can read the Better Government Association’s full report here.