Chicago Mayor Brandon Johnson won’t veto budget passed by City Council
Chicago Mayor Brandon Johnson won’t veto budget passed by City Council
Mayor Brandon Johnson on Tuesday said he would not veto, nor sign the so-called alternative budget passed by a majority of the City Council over the weekend, essentially ending the standoff over how to close a $1.1 billion deficit for 2026.
CHICAGO - Mayor Brandon Johnson on Tuesday said he would not veto, nor sign the so-called alternative budget passed by a majority of the City Council over the weekend, essentially ending the standoff over how to close a $1.1 billion deficit for 2026.
What we know:
With the mayor essentially taking no action on the budget, it will go into effect in the new year and prevent an unprecedented government shutdown.
The budget passed over the weekend with 30 votes, four shy of the number necessary to override a veto from the mayor.
"Today I want to announce I will not veto the budget approved by the Chicago City Council," Johnson said. "I will not add my signature affirming the budget as presented. In this moment I will not add the risk and speculation of a government shutdown to the profound worries Chicagoans face."
The mayor and group of alders who ultimately prevailed in the budget battle essentially differed over how to raise revenue to close that gap. They largely renounced his proposal to reinstitute a corporate head tax on large businesses, which the alders argued would be a job killer. Johnson and his allies objected to some of the smaller tax and fee increases the alders proposed, which they argued would hit working-class Chicagoans.
The approved budget did include a constellation of other taxes like a cloud computing tax, a higher plastic bag fee, debt collection reforms and video gambling in bars and restaurants.
The other side:
Oppositional City Council members said Johnson's lack of action means his leadership is slipping.
"We saw his lack of leadership today in full form," said Ald. Bill Conway (34th Ward). "He had two choices. He could sign the budget. He could veto the budget. Those were the choices. And somehow, he somehow found a third option that showed a total abdication of responsibility, and frankly kind of proved himself irrelevant in city government by simply deciding to do nothing."
The alders who came up with the alternative budget said they had to forge their plan because the mayor's proposal of a corporate head tax was a no-go.
"We had to become a more strong council to make sure that we got that message through and then pass the budget that did just that," said Ald. Scott Waguespack (32nd Ward).
Still, the mayor declared a partial victory as other revenue options in the alternative budget which he opposed got negotiated out, specifically a higher garbage collection fee.
Mayor Johnson faces veto decision after City Council passes 2026 budget | ChicagoLIVE
The Chicago City Council approved a budget without Mayor Brandon Johnson's proposed corporate head tax, setting up a possible veto showdown.
Executive orders
Also on Tuesday, Johnson signed two executive orders related to some of the fights during the budget negotiations.
One measure prohibits the sale of medical debt and establishes standards for how the city-owned debt could be recovered. Johnson and other city leaders expressed concern over how the collection of debt owed to the city could disproportionately affect low-income residents of color.
The other executive order aims to limit the amount of spending on police overtime, which has been a significant reason for the Chicago Police Department's ballooning costs. The measure would require authorization from the mayor’s office and the City Council for CPD spending on overtime that exceeds set caps.
Rising costs related to policing, and officer overtime specifically, have been major contributors to a larger and larger city budget. An analysis by the Civic Federation showed that the city spent more than double what it budgeted ($100 million) for on police overtime in both 2023 ($282 million) and 2024 ($238 million).
While the city budgeted significantly more money for overtime in 2026, about $200 million, the analysis pointed to hiring and retaining officers being a problem that leads to exorbitant overtime spending.