UPDATE: Mayor Brandon Johnson is doubling down on his controversial corporate head tax proposal, despite a recent City Council committee vote against it. In a heated press conference earlier today, Johnson emphasized the need for corporations to contribute more to public safety, stating, “The vast majority of the people in this city are struggling every single day just to make ends meet.”
This urgent development comes just two weeks after the City Council’s finance committee voted 25-10 against Johnson’s budget revenue ordinance, which included a $21 per employee monthly tax on companies with over 100 employees. The proposed head tax is estimated to generate $100 million annually for a dedicated community safety fund, but it has faced significant backlash from business groups and political leaders, including Governor JB Pritzker, who argue it could drive companies out of Chicago.
Today, 26 alderpeople unveiled an alternative budget plan that seeks to scrap the head tax entirely. Instead, they propose nearly doubling the city’s garbage collection fee from $9.50 to $18 while restoring parts of a rideshare surcharge. Their plan aims to implement efficiency measures and other revenue ideas to address budget shortfalls without imposing the controversial tax.
The alternative proposal highlights the head tax as a misguided approach, stating it “sends the wrong message at a critical time” for Chicago businesses. The alderpeople argue that the Community Safety Fund is merely a marketing effort lacking justification for a harmful new tax on jobs.
Johnson’s emotional appeal during the press conference underscores the human impact of these budget negotiations. He criticized the alderpeople for prioritizing corporate interests over the needs of struggling families. “We have alders that are more interested in defending these big corporations than families like mine who went without food and electricity,” he asserted.
As the budget negotiations continue, Johnson has vowed to veto any plan that includes a garbage fee increase, signaling a potential stalemate. The City Council will need 34 votes to pass the alternative proposal, a tall order given the current divisions. Johnson challenged the alderpeople to justify balancing the budget on the backs of working people, questioning their commitment to residents in need.
A final budget plan must be approved by the end of the year, making the urgency of these discussions clear. With both sides standing firm, the stakes could not be higher for Chicago’s economic future and public safety funding.
Stay tuned for further updates as this story develops.
