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Mayor Johnson hopes to get Chicago city budget deal done by Friday with deadline looming

Mayor Johnson’s budget faces test before City Council Finance Committee
Mayor Johnson’s budget faces test before City Council Finance Committee 02:43

CHICAGO (CBS) -- City leaders have just over three weeks to get a new budget passed, or else a city shutdown will take effect.

With the deadline fast approaching, sticking points remain unresolved. Mayor Brandon Johnson has taken his $300 million property tax hike pitch down to $68.5 million—but some aldermen say this is still too high.

Chicago City Council to vote on budget Friday 01:32

Essentially, the mayor wants no job cuts and a property tax hike. Many alderpeople said job cuts are needed, as are cuts to city department budgets, before any tax hikes would get the green light.

Both sides have dug in, with some of the most optimistic thinking the budget could get put to bed by Friday. What does the mayor say about that timeline?

CBS News Chicago asked him.

"That is certainly the effort of my administration," said Mayor Johnson.

In addition to the property tax hike, the Johnson administration is proposing tax hikes on cable and streaming services to generate $13 million in new dollars, $11 million from a heightened city garage tax, a new ride-hailing tax to make the city $8.1 million more, and just over $5 million more from a heightened checkout bag tax.

Before the budget can get to the City Council for a full vote, it needs to clear the Finance Committee on Tuesday morning.

"I don't think it will be this week, but we will see," said Ald. Bill Conway (34th).

Conway is vice chair of the Finance Committee.

"The latest proposal really heavily relies on fee increases, and I do believe it needs to be a shared responsibility that also involves more cost-cutting as well," he said.

Big test coming Tuesday for Mayor Johnson's Chicago city budget proposal 02:34

A group of 15 aldermen want nearly all city budgets to return to their pre-pandemic budgets, with a bump for inflation. They say it would right-size the city budget, and would avoid the unpopular property tax they say voters overwhelmingly don't like.

"We need to be innovative around how we're going to create revenue," said Ald. Gilbert Villegas (36th). "These same old, tired levers that are pulled—property taxes, fines, fees, TIF surpluses—need to change, and take a look at how to use technology in order to bring efficiencies, which in turn creates revenue."

Villegas also cited speed cams as a revenue source on which the city should not be depending.

"I think that this is the wrong approach," he said. "As a matter of fact, we should get away from speed cameras, just as other municipalities have, and trying to find different ways to create revenue."

The mayor needs half of the City Council plus one—26 alders—to go along with the plan. Is he there?

"I hope so," said Ald. Maria Hadden (49th). "I honestly, I very hope so."

Alders seems split on whether the budget will get put to rest this week as the mayor hopes. But there is agreement that this will not get to the point of a city shutdown with the deadline of Dec. 31 not being met.

Mayor Johnson asked about residency of senior advisor

Meanwhile, controversy has embroiled one of the mayor's senior advisors. Jason Lee is being investigated in Texas for voting in the Lone Star State—which requires residency there—despite being a City of Chicago employee, which requires residency in Chicago.

"You know, this will be the responsibility of the State of Texas," said Mayor Johnson. "This is something that is being looked into, and you know, as that process continues to unfold and play out, decisions and conclusions will be made based upon how this particular matter is not only underscored, but what is uncovered as a result."

Johnson said the Lee situation is a personnel matter, and did not have anything else to say about it.

Ald. Ray Lopez (15th) is calling for an investigation by the city's Inspector General's office on the matter.

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