The city took in big tax revenues from federal COVID-19 bailouts, but Chicago's pension shortfall still grew by $10 billion over the last five years. The warnings about a pension crisis will get worse as the COVID money runs dry.
The budget proposal includes $345 million in bond items, expands eligibility for free school meals, begins to raise Medicaid reimbursement rates, and raises taxes on cigarettes.
At a press conference, a new alliance said failure to address Chicago’s pension problems will threaten public services, fail retirees and push taxes higher so more people are encouraged to leave Illinois.