City Council - 2025-12-20
Meeting Intelligence Preview
Meeting Summary
Chicago City Council passed the 2026 budget package on December 20, 2025, with the alternative budget prevailing over Mayor Johnson's proposed 'Protecting Chicago' budget. Key votes included the 2026 Annual Appropriation Ordinance (30-18), the Substitute Management Ordinance (29-20), and the 2026 Tax Levy with library funding amendments (38-10). The alternative budget relies on debt collection sales rather than a corporate head tax, drawing concerns about mid-year shortfalls and predatory collection practices.
Key Decisions (9)
2026 Budget Recommendations and Text Amendments
Council adopted amendments to the 2026 budget recommendations proposed by Office of Budget Management and Aldermen Lee and Lopez. These amendments were incorporated into the Annual Appropriation Ordinance.
2026 Annual Appropriation Ordinance
The amended 2026 Annual Appropriation Ordinance passed, representing the full city budget covering both revenue appropriation and expenses. This is the alternative budget package rather than Mayor Johnson's proposed Protecting Chicago budget.
2026 Substitute Management Ordinance
Council adopted the substitute 2026 Management Ordinance which governs city operations and management practices for the fiscal year.
2026 Motor Fuel Tax Funds Allocation Ordinance
Ordinance allocating motor fuel tax funds for 2026 was adopted.
2026 Motor Fuel Tax Intergovernmental Agreement with CTA and Cook County
Intergovernmental agreement with Chicago Transit Authority and Cook County for motor fuel tax fund allocation was adopted.
2026 Salary Resolution
Resolution setting city employee salaries for 2026 was adopted.
2026 Tax Levy with Library Funding Amendment
The fiscal year 2026 tax levy was adopted with a substitute ordinance amendment regarding Chicago Public Library property tax levy, ensuring library funding protection.
2026 Municipal Code Corrections Ordinance
Substitute ordinance for 2026 code corrections was adopted to address various municipal code revisions.
Next Meeting Dates Ordinance
Substitute ordinance setting next council meeting for December 29, 2025 at 10AM and January 21, 2026 at 10AM, repealing previously scheduled dates.
Development Activity (1)
Hotel Development near Obama Presidential Center
Plan development approved for hotel despite developer owing $6.4 million in outstanding debt to city including $6 million in real estate debt, $40,000 in water bill debt, and $360,000 in fines related to senior housing development
Market Signals (5)
Commercial Demand
Downtown Chicago office buildings remain largely empty, causing property tax burden to shift to residential neighborhoods as commercial properties receive tax reductions.
Housing Demand
Rising property taxes are creating affordability concerns particularly on South and West sides, with residents struggling to maintain homeownership.
Sentiment
Business groups including BOMA Chicago expressed concerns about Chicago's competitive position, citing highest commercial property tax, highest personal property lease tax, and high pension liabilities compared to other major cities.
Infrastructure
City has accumulated $8.2 billion in outstanding debt, with $1 billion accumulated in recent years, creating structural budget challenges.
Commercial Demand
City officials noted six cranes currently standing with 18 confirmed, and 3.5 million visitors during summer representing largest tourism numbers in city history.