### Mayor Brandon Johnson Proposes Largest Chicago Property Tax Hike in a Decade

In a significant policy shift, Mayor Brandon Johnson has proposed Chicago's largest property tax increase in nearly ten years, amounting to $300 million. This move diverges from Johnson's earlier campaign promise to avoid using property tax hikes, a method that is often unpopular and politically sensitive. The proposed tax increase aims to address a projected shortfall of $982.4 million by 2025. To balance the city's budget, Johnson’s plan also includes sweeping tax increment financing funds and the removal of hundreds of vacant city government positions, including those in the Police Department.

During his budget address to a packed room of city officials and citizens, Mayor Johnson justified the tax hike as essential for fulfilling pension commitments and securing Chicago's future. He argued that the city’s previous administrations merely gave an illusion of fiscal responsibility. "This budget currently includes a property tax increase of $300 million to fund not just our pension contributions, but to fund the future of our city," Johnson remarked, highlighting the difficulty and deliberation behind the decision.

The mayor warned that alternative measures, like layoffs, would have had detrimental effects on the city’s workforce. His defense of the tax increase is likely to appeal to his labor base, though it could face criticism from property owners who see it as an unfair burden. Johnson also criticized corporate interests, suggesting that a more progressive revenue system would have lessened the need for this move: "I would certainly much rather tax the rich."

Emphasizing racial equity, Johnson spoke about the long-standing neglect faced by Black Chicagoans and detailed his $1.25 billion bond plan aimed at investments in affordable housing. He linked financial prudence to his and his Budget Director Annette Guzman’s identities, both being Black. "There’s this belief, unfortunately, in the ether that Black women, that Black men can't count, that we don't know how to do the fiscal stuff," Johnson asserted.

The estimated effect of the tax hike on homeowners would be an increase of $222 for a home valued at $250,000 and $481 for a home valued at $500,000 by 2025. The impact on commercial properties, which are assessed at a higher rate, was not specified.

Johnson reiterated his commitment to progressive policies, indicating continued support for mental health services and anti-violence initiatives. However, he proposed cutting a $150 million allocation for migrant services, intending to shift to a unified shelter system for all homeless Chicagoans.

To tackle the budget deficit, Johnson’s team plans to declare a record $570 million surplus from tax increment financing districts and increase the tax on alcohol sales. Additionally, the mayor will maintain advance pension payments initiated by his predecessor, Lori Lightfoot.

Rather than laying off city employees, Johnson's budget eliminates 743 vacant positions, 456 of which are from the Police Department. Clarifying further, Budget Director Guzman noted that around 400 of these positions are civilian roles.

The proposed $17.3 billion budget represents a 3.2% increase from Johnson’s previous budget. However, upcoming negotiations with the City Council, particularly over the property tax hike, are expected to be contentious.

In summing up his stance, Johnson recalled his campaign assertions against balancing the budget through property tax increases. Nevertheless, his current plan pushes the city's property tax levy to $2.12 billion by 2025, marking the largest increase since a significant hike in 2016 under former Mayor Rahm Emanuel.

Mayor Johnson has until the end of the year to secure support from at least 26 of the 50 aldermen to pass his budget. The delay of the budget vote and the proposed tax hike suggest that Johnson faces considerable political challenges ahead.