In a recent analysis of the Chicago Public Schools FY2021 budget, the Civic Federation supported the District’s proposed $8.4 billion budget. However, the Federation expressed serious concerns about the budget’s reliance on $343 million in uncertain federal funding not yet approved by Congress and that several of the District’s revenue sources that have been impacted by the coronavirus pandemic…
Click here to read the full report. Click here to read the press release for this analysis. SUMMARY Prior to the COVID-19 pandemic, Chicago Public Schools had reached more stable financial footing than in previous years due to an influx in State-approved funding. Public Act 100-0456, passed in August 2017, instituted the new Evidence-Based Funding formula for statewide P-12 education funding,…
On August 12, 2020 the Chicago Transit Authority (CTA) approved Ordinance 020-070 amending its FY2020 budget to incorporate $690.1 million of the CARES Act funding it received from the federal government in response to the COVID-19 pandemic. The CARES Act funding will help offset the decline in system generated revenue and public funding.[1] This is the first time in nearly a decade that the CTA…
As state and local governments continue to press Congress for more pandemic recovery funds, disputes are springing up across the country about the disbursement of federal aid that is currently available. A controversy in Illinois has centered on the use of federal relief funds that the State is distributing to counties and municipalities. Local governments in Illinois are eligible to receive a…
The COVID-19 pandemic has had a devastating impact on state budgets, with tax revenue shortfalls estimated to total about $200 billion for fiscal years 2020 and 2021 compared with initial projections.[1] What actions are states taking to deal with these financial losses? Illinois’ FY2021 budget relies on borrowing to close a $6.6 billion deficit. However, Governor J.B. Pritzker hopes to avoid…
In March Congress passed the $2.2 trillion CARES Act, the third federal coronavirus relief act, which among many other things provided $13.2 billion in funding to K-12 schools across the country.[1] The funding can be spent on programs and coronavirus response including: Technological support for remote learning; Cleaning schools; Providing meals; and Services and outreach for low income…
On June 26, 2020, Cook County Board President Toni Preckwinkle issued a preliminary budget forecast for fiscal year 2021, which begins December 1, 2020 and ends November 30, 2021. The report provides end-of-year estimates for the current 2020 fiscal year and a forecast for the 2021 fiscal year in the County’s operating funds: the General Fund, which accounts for administrative and public safety…
City Colleges of Chicago released its tentative FY2021 operating and capital budgets on June 23, 2020. The total budget is proposed to be $441.0 million. This a 1.5%, or $6.6 million decrease from the FY2020 budget of $447.6 million. This blog presents highlights of the City Colleges FY2021 $29.0 million capital budget program and its long-term liabilities. City Colleges prepares a capital…
Since the federal government provided $139 billion of coronavirus relief funds to states and large cities and counties in April, smaller localities have been waiting to receive some of the money. Now large governments, including Cook County, are taking steps to share the funds. On July 8, Illinois’ biggest county announced plans to distribute about $51 million to local governments beginning as…
In the wake of protests over the deaths of George Floyd and other Black Americans at the hands of police officers, police accountability and reform has risen to the forefront in government discussions, and residents in many cities have called for defunding the police. The defund-the-police movement has called into question the best use of budget resources and whether some issues often handled by…
