Key Takeaways
- Chicago Mayor Brandon Johnson will move forward with the alternate budget passed by Chicago City Council, despite not signing it.
- The budget includes the legalization of video gaming terminals, which Johnson opposes.
- Johnson has signed two executive orders, one prohibiting the sale of city-administered medical debt to private entities and the other reigning in police overtime spending.
- The mayor’s decision will not cause a city shutdown, and he has emphasized the importance of managing fiscal obligations in a manner that protects the dignity of residents and advances equity.
Introduction to the Budget
The Chicago City Council passed an alternate budget on Saturday, which includes several provisions that have sparked debate. Mayor Brandon Johnson has announced that he will move forward with the budget, despite not signing it. The budget will take effect five business days after the vote, as stated by the mayor’s spokesperson. This decision means that the city will avoid a shutdown, which was a concern for many residents and businesses. Johnson’s decision to not sign the budget is largely symbolic, as it will still become law without his signature.
The Executive Orders
On Tuesday, Johnson signed two executive orders that aim to address specific issues in the city. The first order prohibits the sale of city-administered medical debt owed by individuals to private entities. This move is intended to protect residents from predatory and immoral tactics used by debt collectors. The order sets clear standards for transparent and stable debt collection practices, which will be applied to both the city and private third parties. Johnson emphasized that the city’s management of fiscal obligations reflects its values and commitment to protecting the dignity of its residents. The second executive order focuses on reigning in police overtime spending, establishing a framework that sets clear guidelines and procedures for authorizing overtime spending that exceeds the cap set in annual appropriations ordinances.
The Debate Over Video Gaming
One of the most contentious issues in the budget is the legalization of video gaming terminals. Johnson has expressed his opposition to this provision, citing concerns about the impact on the city’s casino industry. Currently, video gaming terminals are not allowed in Chicago, but they are widely used in other parts of Illinois. The budget approved by the City Council would allow these terminals to be installed in bars, restaurants, and other businesses across the city. However, Johnson’s budget proposal would limit terminals to Chicago Midway International Airport. Bally’s, a casino operator, also opposes the legalization of video gaming terminals, arguing that they have already cut into casino profits elsewhere in the state.
The Impact on Businesses and Residents
The legalization of video gaming terminals could have significant implications for businesses and residents in Chicago. Some aldermen, such as Nicholas Sposato, argue that the terminals would be a boon for local businesses, which are currently at a disadvantage compared to their suburban counterparts. However, others, like Bally’s, warn that the terminals could lead to job losses and reduced revenue for the city. According to state law, the city gets around 22% of all revenue generated from casinos, but only around 5% of the money earned by video gaming terminals. This disparity has sparked concerns about the potential impact on the city’s finances and the casino industry as a whole.
Conclusion and Next Steps
The debate over the budget and the legalization of video gaming terminals is ongoing, and it remains to be seen how these provisions will play out in practice. Johnson’s decision to move forward with the budget despite his reservations is a significant development, and it will be important to monitor the implementation of the executive orders and the impact of the budget on the city’s finances and residents. As the situation continues to evolve, it is likely that there will be further discussions and negotiations between the mayor, the City Council, and other stakeholders. For now, the city will have to wait and see how these changes will shape the future of Chicago’s economy and community.
