The Civic Federation opposes the FY2010 City of Chicago budget of $6.14 billion because it is unsustainable and relies too heavily on one-time reserve funds to close a $520.0 million budget deficit. The proposed drastic draw down of long-term reserves allows for increased spending in FY2010 but does not properly plan for the future. The City must consider FY2011 and FY2012 when crafting its…
The Civic Federation has enormous concerns about the fiscal risks associated with Governor Quinn’s “deal” to avoid CTA fare increases. Under the proposal, the Regional Transportation Authority will issue General Obligation bonds worth $83 million in both 2010 and 2011 and transfer the funds to the CTA for capital projects. The CTA will then shift a similar amount of its existing capital funds to…
Under the old state statute that limited the property tax rates of the Chicago Public Schools, Tax Increment Financing directly restricted property tax revenues available to CPS because it froze part of the equalized assessed value (EAV)—the tax base—available for taxation.1 This rate limit statute still exists, but it no longer impacts the school district’s tax levy due to the introduction of…
Chicago Public Schools has received almost $400 million in Tax Increment Financing revenue from the creation of the first City of Chicago TIF in 1984 through July 2009 and is scheduled to receive over $491.3 million more according to intergovernmental agreements with the City of Chicago. CPS has used TIF funding to renovate or build elementary and high schools and is planning to use $14 million…
The financial condition of U.S. municipalities continues to deteriorate, according to the recently-released 24th annual City Fiscal Condition Survey published by the National League of Cities (NLC). By the close of 2009, city revenues are projected to decline by 0.4% while expenditures rise by 2.5% compared to the previous year. Three top city revenue sources are expected to be flat or decline:…
While the Civic Federation traditionally analyzes features common to all local government budgets, our analyses of the Chicago Transit Authority’s (CTA) budgets include additional productivity measurement data. The Civic Federation uses expenditure, personnel and ridership data provided by CTA to gain insight into changes in productivity. The Civic Federation uses three measures to assess CTA’s…
This article discusses the Civic Federation’s analysis of DuPage County’s proposed FY2010 budget plan. It mentions the Federation’s support for the budget and quotes County Board Chairman Robert Schillerstrom, who says that the County may investigate implementing a capital improvement plan per the Federation’s recommendation.
This article about Cook County’s FY2010 proposed budget and the efforts to rollback the County’s one cent sales tax increase from 2008 quotes the Civic Federation. The Federation says the high Cook County sales tax rate hinders business development and noted that the budget makes no moves toward reducing the tax, despite opposition to it from State lawmakers and County residents.
The Civic Federation supports the Chicago Transit Authority’s (CTA) proposed FY2010 budget of $1.29 billion. Facing significant public funding short falls, CTA plans to close its $300.9 million deficit with fare increases ranging from 25 to 75 cents per ride, the elimination of 1,021 full-time equivalent positions, reductions in bus and rail service and the transfer of capital funds into general…
The Civic Federation supports the Chicago Transit Authority’s proposed $1.29 billion FY2010 budget as an evenhanded response to significant declines in available revenues. The CTA will employ administrative cuts, fare increases, and service reductions to balance its budget and reduce spending by 3.0% or $39.4 million below proposed FY2009 appropriations. While painful to both riders and CTA…
