Standing at the crossroads of our nation, Chicago serves as a major transportation hub, with its iconic skyline a testament to the thousands of businesses that power its economy. Whether you’re exploring the masterpieces at the Art Institute of Chicago, catching a show at the Steppenwolf Theatre, enjoying the sounds of the Chicago Symphony Orchestra, the city is a cultural treasure trove. Combine that with the lush lakefront parks and rabid loyalty fans feel for the city’s sports teams, and Chicago’s appeal is undeniable.
So why is it that despite being a revenue-generating mecca for all of this and more, that Mayor Brandon Johnson continually looks to the General Assembly for more money?
This is not a Republican or Democrat issue. I have yet to meet an Illinoisan living outside of Chicago who wants to pay more taxes so the state can continually bail out the City of Chicago.
Over the last six months there has been no shortage of billion-dollar funding requests from Mayor Johnson, and each time the Mayor declares “The General Assembly must do more!” he is essentially asking for a blank check with no accountability. While I respect that Mayor Johnson has every right to come to the General Assembly (GA) and ask for money, he must also accept that we as lawmakers have every right to say “No.”
The Chicago Transit Authority (CTA) currently carries about $5 billion in debt. Its sister agencies, Metra and Pace, are both nearly debt-free. As the regional public transportation system faces a looming fiscal cliff, a proposal supported by Johnson and his allies would eliminate the Regional Transportation Authority (RTA), CTA, Metra, and Pace and institute a mega-agency with one governing board that gives Chicago and Cook County simple majority voting power. Through this proposed consolidation, CTA’s debt load would be spread over the entire transit system, which equates to a bailout for Chicago’s CTA on the backs of suburban Metra and Pace riders.
Mayor Johnson has also asked the General Assembly to back a plan and help fund a new stadium for the Chicago Bears. In this case, Johnson’s request was for just under $3 billion. So far, the request has received a lukewarm reception.
At about the same time Johnson said the GA needed to cough up close to $3 billion for a Bears stadium, the Mayor announced that the state “owed” Chicago Public Schools (CPS) $1 billion. Despite pushback from leaders in the Senate and House, Johnson continues to insist he needs more money than is currently provided through the Evidence Based Funding (EBF) Formula, the system through which all Illinois public schools are funded based on need.
The passage of EBF was heavily negotiated and included input from CPS. In fact, the formula already gives Chicago a leg up with financial benefits and carveouts that are not available to other school districts. For example, when EBF passed CPS received a $203 million allocation (formerly the Chicago Block Grant) built into its base funding minimum. No other school district received this sweetener in their base funding minimum.
CPS has also benefitted from legislation that allows the district to circumvent property tax limitation laws and receives a guaranteed minimum 37% of the state’s annual Early Childhood Block Grants regardless of CPS’s declining enrollment. CPS is also able to claim a legacy pension credit worth hundreds of millions of dollars annually that is not included in CPS’s EBF calculation. This makes the school district look less wealthy than it actually is.
There are students throughout the state attending schools with even greater need than CPS for more state resources. Chicago schools cannot jump the line to take a larger share because the needs of students in Chicago are not more important than the needs of other students across the state.
Lastly, news outlets have reported that Chicago is facing a nearly $1 billion budget shortfall, and as those discussions intensify Johnson continues to pound his “The General Assembly needs to do more!” drum. In fact, just last week the Mayor said his administration “will continue to advocate in Springfield for more.”
For those keeping score, Johnson and his allies are asking the General Assembly for about $10 billion in funds for Chicago. If the Mayor would like to raise taxes on his own constituents to fund his list of demands, that is his right. He just needs to understand that suburban and downstate taxpayers are not his piggy bank.
Lawmakers are returning to Springfield for Veto Session in a few weeks, and I have no doubt that Mayor Johnson will come to the Capitol with his hand out. However, I would caution the Mayor and his allies to count the votes before committing to any spending plan that requires a bailout from Springfield.