Chicago mayor: IL legislature has ‘more work to do’ on tax increases

By Jim Talamonti | The Center Square
The Center Square

(The Center Square) – Chicago Mayor Brandon Johnson wants to see more tax increases from the Illinois General Assembly, but a Republican state representative says the city has failed to implement a fairer option.

The mayor’s press briefing Thursday was his first at City Hall since the legislature’s fall veto session ended last week.

Johnson said local municipalities are looking for support from the state.

“Look, they had 33 proposals last year for progressive revenue. They got three across the finish line. Now, as a public school teacher, I will give credit to anyone who makes an attempt at completing their assignment. There’s a little bit more work to do there, right?” Johnson said.

Johnson said he has heard repeatedly that the state of Illinois is committed to tax increases he characterized as “progressive revenue” to fund transportation, education and community safety.

“It’s the best time ever to be a billionaire, the best time ever. Asking them to put more skin in the game, I believe that’s a good democratic value to adhere to,” the mayor said.

The mayor said most of the tax increase proposals came from lawmakers representing Chicago. He added that Chicago generates “economic vibrancy” for the entire state.

During Illinois House debate on public transit legislation last week, state Rep. C.D. Davidsmeyer, R-Murrayville, said Chicago should implement video gaming terminals to generate revenue.

“I know that each one of my towns has done incredibly well with those dollars, and I know for a fact that Chicago would do incredibly well. That would be a great way to fund this. We shouldn’t be having new taxes and sweeping funds that we promised we wouldn’t sweep,” Davidsmeyer said.

The General Assembly passed Senate Bill 2111 in the early-morning hours Oct. 31. The bill, which Gov. J.B. Pritzker said he looks forward to signing, authorizes Regional Transportation Authority to raise sales taxes by a quarter of a percent in Cook County, which includes Chicago, and the collar counties outside Chicago. SB 2111 also increases tolls on Illinois tollways and takes gas tax money from the state’s road fund.

Bryan Drew, Republican candidate for Illinois comptroller, said “progressive revenue” is not the way to fix Chicago’s financial issues.

“The problem is that the only solution to any problem that comes out of Chicago or Springfield right now is more taxes and more money from the taxpayers,” Drew told The Center Square. “Honestly, the taxpayers are losing ways they can give. They’ve got them to the point where they’re almost at the breaking point where everyday working families can’t afford to live in Illinois.”

Drew said politicians in Chicago and Springfield are treating taxpayers like an ATM.

Thursday morning, S&P Global Ratings announced the revision of its general obligation debt outlook for Chicago from stable to negative. The credit rating company cited the city’s “persistent” structural budget deficit, significantly weaker reserves and reluctance to fully fund pension contributions in Johnson’s budget proposal for 2026.

“Internal political conflicts around taxing, spending, and other issues have produced gridlock resulting in suboptimal fiscal outcomes, most recently precipitating a downgrade in the city’s rating in January 2025,” S&P Global Ratings noted in a statement.

Chicago is facing a budget deficit of $1.15 billion. The mayor’s $16.6 billion spending plan for 2026 includes a corporate head tax on hiring, social media and “Big Tech” taxes and new taxes on sports wagering and hemp.

The Chicago City Council Committee on Budget and Government Operations is expected to continue discussions of the mayor’s budget proposal next week. The full council is scheduled to meet on Friday, Nov. 14.