The battle over the budget continued at City Hall on Monday, as alders and the mayor were poised to duke it out over a chunk of money related to the city's parking meters.
A few weeks ago, alders approved a deal allowing Chicago's private parking meters to be sold to a new company. Alders voted 46-3 in late September to deal the remaining 57 years of the lease on the city's meters to New York City-based Stonepeak Partners LLC for $2.63 billion. The dried ink came with a perk for taxpayers — a one-time $75 million transfer fee the city will receive.
The deal was negotiated by Finance Committee Chair and Ald. Pat Dowell (3rd), Ald. Nicole Lee (11th), Ald. Walter Redmond Burnett (27th), Ald. Scott Waguespack (32nd), and Ald. Gilbert Villegas (36th).
They called for the special hearing Monday to nail down how the money can be used.
A group of alders wants to use it to chip away at the city's $36 billion pension debt, which needs to be paid for retirement plans for police officers, firefighters, and other city employees.
Mayor Johnson agrees that the debt needs to be dealt with, but he is going about it a different way. Johnson built the $75 million transfer fee right into his entire 2027 budget proposal, which includes pension payments.
This is upsetting to alders who want the onetime payment to be on top of what the city would normally cough up, so as to get a handle on pension debt faster.
People who support the mayor's plan rallied outside City Hall before the hearing Monday morning. The group held signs saying they had already paid for an extra pension payment, and called for using the $75 million to fund city services.
"It's important that city government do right by its retirees," said retiree Rosie Inwang.
Mayor Johnson's budget proposal already includes nearly $3 billion for fire, police and other city employee pensions, including more than $360 million in advance payments.
"If we spend an extra $75 million on the extra, extra pension payment, that would mean a $75 million hole in our budget. In a budget that would mean massive cuts to youth jobs, to libraries, to mental health—and we can't afford that," said Alex Goldenberg of United Working Families.
The group opposing the use of the $75 million for pension payments planned to make their voices heard during the City Council hearing Monday morning.
The debate moved inside City Hall at 10 a.m.
