Chicago CFO Ashlee Gabrysch resigns, says continuing would "compromise integrity"; mayor's office asks for review

Chicago's chief financial officer resigned abruptly Friday, writing in a statement that continuing to do the job would "compromise my integrity and professional obligations."

Mayor Brandon Johnson's office said they have their own questions about her conduct and "welcome a full review."

Johnson appointed Ashlee Gabrysch as the city's CFO at the beginning of August.

In her resignation statement, obtained by CBS News Chicago, Gabrysch writes that "The Chief Financial Officer's Statements about city finances are not idle chatter: they are relied upon by investors, ratings agencies, City Council, and taxpayers. The CFO must act scrupulously to ensure they are always accurate and complete."

Gabrsych writes she has always remained committed to "upholding the highest standards of financial integrity and transparency," and has done so in her "short time" as the city's CFO.

"It has become apparent, however, that to continue in this role would be to compromise my integrity and professional obligations," she writes in her resignation. "I therefore have concluded that I must step down from my role, and hereby tender my resignation."

In a statement, a spokesperson for the mayor said he has accepted the resignation, effective immediately, and said they welcome a full review of her conduct in the wake of her stepping down.

"The City of Chicago is facing a serious budget crisis following decades of mismanagement. It is concerning that, during her short tenure, Ashlee was largely absent during critical periods of the City's budget preparation process. Additionally, her decision to direct the City Treasurer to issue a $75 million payment without proper legal authority or following the required processes raises serious concerns," the statement read in part. "Our administration made multiple attempts to meet with her to discuss this action and seek an explanation, including shortly before her public resignation. Those attempts went unresolved."

The statement said the city is referring the matter to the Office of the Inspector General. 

In an addition to their statement sent as a follow-up, the mayor's office clarified that when Gabrysch directed the city treasurer to make the $75 million payment, it was before legislation was in effect on Nov. 2. 

"She was required to wait for the mayor to sign or veto the legislation or, alternatively, for it to take effect automatically at the next City Council meeting," the follow-up statement said. 

The mayor touted Gabrysch as having an "extraordinary depth of knowledge of Chicago's finances and the fiscal challenges facing cities across Illinois and the country" in a statement when he announced her appointment. She served just three months on the job.

A number of Johnson's top aides have departed in the past year, including chief legal counsel Mary Richardson-Lowry, budget director Annette Guzman, public health commissioner Olusimbo Ige, police superintendent Larry Snelling and both the city's preview CFO Jill Jaworski and her interim replacement, acting CFO Steven Mahr. 

Alderman Bill Conway, who represents the city's 34th Ward and serves as Finance Committee Vice Chair in the city council, released a statement calling for an immediate investigation into the resignation.

"In her resignation letter, Ms. Gabrysch wrote that the CFO's statements must be 'complete and accurate' and that she is 'not able to fulfill those obligations under the conditions in which I have been asked to serve,'" Conway's statement says in part. "This is an obvious indication that she was asked by the Mayor's Office to present false information."

Ashlee Gabrysch full resignation statement

"As the City of Chicago's Chief Financial Officer, there is nothing more important than my fiduciary duty to the City and its taxpayers. The Chief Financial Officer's statements about city finances are not idle chatter: they are relied upon by investors, ratings agencies, City Council, and taxpayers. The CFO must act scrupulously to ensure they are always accurate and complete.

"Throughout my career, I have remained committed to upholding the highest standards of financial integrity and transparency, and in my short time as Chief Financial Officer, I have faithfully discharged this duty. It has become apparent that I must step down from my role, and hereby tender my resignation."

Full statement from Mayor Brandon Johnson's Office

"We have accepted Ashlee Gabrysh's resignation, effective immediately.

"The City of Chicago is facing a serious budget crisis following decades of mismanagement. It is concerning that, during her short tenure, Ashlee was largely absent during critical periods of the City's budget preparation process. Additionally, her decision to direct the City Treasurer to issue a $75 million payment without proper legal authority or following the required processes raises serious concerns.

"Our administration made multiple attempts to meet with her to discuss this action and seek an explanation, including shortly before her public resignation. Those attempts went unresolved.

"Given the seriousness of these concerns, we will refer the matter to the City's Office of Inspector General for independent review. We welcome a full review of the conduct at issue.

"Our administration takes its responsibility to protect taxpayer dollars, uphold the law, and ensure the responsible management of City finances seriously. We expect every City official to meet that standard."

Addition:

Gabrysch acted without legal authority and in violation of established legislative procedures by directing the City Treasurer to issue the $75 million payment before the Nov. 2 legislation had taken effect. She was required to wait for the mayor to sign or veto the legislation or, alternatively, for it to take effect automatically at the next City Council meeting.