Democrat-Run Chicago Broke As Mayor Mulls Tax Hikes & Layoffs To Plug $1.2BN Budget Gap
In a sign of where the entire country could soon find itself, the Democrat-run city of Chicago isn't just facing soaring violent crime, but is staring down a whopping $1.2 billion budget deficit, the Chicago Tribune reports.
Naturally the response to what some are already excusing as the city’s "coronavirus-fueled budget deficit" is for Mayor Lori Lightfoot to immediately talk massive tax hikes to plug the hole.
"Chicago Mayor Lori Lightfoot is considering a $94 million property tax increase, layoffs for more than 300 city workers and a gas tax hike as part of her plan to close a $1.2 billion budget deficit, sources told the Tribune," the report says.
She's expected to present her plan on Wednesday, which is according to a summary in Fox and Chicago Tribune to additionally include:
a five-day furlough for all nonunion city employees
shifting some costs onto the books of the Chicago Public Schools
…including asking Chicago Public Schools to reimburse city for $40 million more in school pension contributions
raising the cloud-computing tax
up to 350 layoffs of civic employees
possible $77 million in cuts to unfilled positions, or more than 1,000 vacancies
The problems have been building for years, given already the city was strapped with $46.5 billion in unpaid bills and only a reported $10 billion cash on hand, based on a damning review of the city's finances released this summer by Truth in Accounting.
Figures as of July 2020:
https://www.zerohedge.com/political/democrat-run-chicago-mulls-major-tax-hikes-layoffs-close-12bn-budget-gap