Manifolds, Manolos, and Manure A Chicago Charter: The Missing Piece in the Budget Debate
Unlike most major U.S. cities, Chicago does not have a formal charter; instead the authority of its leadership rests in the Illinois Compiled Statutes and its own municipal code. The 1870 Illinois Constitution placed municipalities under the Cities and Villages Act and thereby pausing municipal charters.
A charter could reduce ambiguity and more thoroughly define the powers of the mayor and city council. Arguably, it could also create a system of checks and balances, better ensuring that the City Council has a more robust role in the budget process. A charter could also reduce executive overreach, improve governance, and address issues like term limits, council size, a city manager, and lasting structures would become possible.
A charter could also strengthen the City Council. Prior to the current administration, the City Council has historically functioned as a rubber stamp for the mayor’s proposals. However, recently the council has clawed their way towards a more assertive budget role. In 2024, council members voted down the mayor’s proposed property tax. This year, the Finance Committee tanked the mayor’s proposed budget and corporate head tax.
Speaking of the budget proposal. A poll conducted by Change Research in November found that 55 percent of registered voters trust their alderman and the City Council to handle Chicago’s budget compared to just 14 percent who trust the mayor. To restate: nearly four-to-one registered voters trust the City Council over the mayor to handle the budget. However, without a charter the City Council has very little formal authority to do more than hold hearings on the mayor’s budget proposal. However, the limited authority did not stop aldermen from rolling out an alternate budget proposal, perhaps marking the opening salvo in a historic power shift at City Hall.
That same poll conducted by Change Research asked registered voters if they trust the mayor on budget stewardship. Sixty-nine percent of those responding answered that do not trust the mayor to handle Chicago’s budget. To repeat 69 percent do not trust the mayor as it relates to budget stewardship.
A couple of takeaways from the Change Research poll: a lot of residents, to the tune of 78 percent, are aware of the budget debate, and those same residents are more comfortable with the city council spearheading the budget and budget process compared to the mayor.
On the note of the budget: 68% of those responding to the poll indicated that they are opposed to the budget proposal as it stands. In November, the Chicago Finance Committee overwhelmingly rejected the mayor’s budget proposal. Aldermen expressed concerns over the mayor’s proposed head tax.
Chicago’s most recent head tax, the Employer’s Expense Tax, was eliminated in 2014 by then-Mayor Rahm Emanuel. The Employer’s Expense Tax was a $4 per employee tax leveraged on Chicago employers with over 50 workers. Alderman Scott Waguespack has indicated that he’s concerned that the current mayor’s proposal would have a chilling effect on small and mid-size businesses, especially as the city continues to struggle post-pandemic.
Although Chicago taxpayers will bear the brunt of the mayor’s budget proposal, this conversation and the conversation on municipal charters extend well beyond the city limits.