Chicago Public Schools proposes $9.8B budget with cuts, furloughs and staffing changes

CHICAGO - Chicago Public Schools leaders say they have crafted a balanced budget despite mounting financial challenges, but acknowledge getting there required difficult decisions.

What we know:

"The budget we present today is balanced, but getting there was not easy and some difficult decisions were made," CPS CEO Dr. Macquline King said Tuesday.

The proposed $9.8 billion budget includes $732 million in spending reductions, including the elimination of 162 central office positions, five furlough days for CPS employees during non-instructional days and a district-wide midyear spending freeze.

District leaders said the proposal is designed to protect classroom instruction by continuing investments in students with the greatest needs. The budget adds more than 900 special education teachers, along with additional therapists and bilingual teachers.

"Ultimately, the budget we have presented is one that does its absolute best to address the very diverse needs of our students," King said. "We center this budget around the students and the needs that they have in this given moment."

CPS also projects workforce changes at the school level. CPS Chief Talent Officer Ben Felton said officials anticipate 760 teacher impacts and 801 educational support professional impacts as schools adjust staffing based on enrollment and program needs. Those figures have become a point of contention.

The Chicago Teachers Union argues the proposal represents up to 1,000 layoffs, along with leaving existing vacancies unfilled. In a statement, the union called the budget proposal "dead on arrival."

Chicago Teachers Union President Stacy Davis Gates added, "Students have had to learn in overcrowded classes, practice under unpaid coaches, and be counseled by caseworkers with loads beyond compare all year, and now CPS thinks they can plan a week of furloughs and tell the staff who serve them they don’t have a job? Please. Does anyone in this state other than CPS educators have power to help school children instead of hurt them? It’s time for them to use it."

Gates said on June 5th, CTU sent demand letters to CPS to bargain over the planned layoffs, calling it reckless to balance the budget by cutting staff, instead of "taking affirmative steps to secure outstanding funds it is owed."

CPS officials dispute that characterization, saying many of the staffing impacts are part of the district's annual budgeting process rather than across-the-board layoffs.

"The reason that there are so many impacts is because of the annual process that takes place with school budgets," acting chief budget officer Emila Zoko said. "Some of the local shifts that take place can be programmatic shifts or because principals use discretionary dollars a little bit differently."

The proposed budget also relies on $200 million in tax increment financing (TIF) surplus funds to help balance the books. District leaders said they're continuing to pursue additional revenue from the city, state and federal governments to avoid additional cuts later in the school year. King said CPS and the teachers union share a common goal when it comes to securing more funding.

"We want to join them because we know there's a huge need at the second half of the year," King said. "We want to make sure that the staff that are remaining and that are in place are not impacted if we do not meet those assumptions that are built in."

What we don't know:

It remains unclear whether CPS will secure additional funding from Springfield, City Hall or Washington to reduce the need for future cuts. CPS also has not said how many employees who are affected by staffing changes may ultimately be reassigned to other positions instead of losing their jobs.

What's next:

The proposed budget now heads to the Chicago Board of Education for public hearings and review before board members vote on a final spending plan scheduled for July 30th. 

The outcome of those discussions, along with potential additional funding from local or state leaders, could determine whether CPS avoids further reductions during the school year.