Chicago Budget Talks Stall Over $1.2 Billion Deficit Ahead of Year-End Deadline

Chicago Mayor Brandon Johnson is floating changes to his corporate head tax proposal as he and the city council are at an impasse over how to close a nearly $1.2 billion deficit.

A meeting Saturday between Johnson’s budget team and aldermen yielded no agreement on issues including borrowing plans and his proposed monthly per-employee tax on companies, also challenged by business leaders. In a Monday letter, the mayor said his team has looked at an iteration of the head tax with a higher per-worker levy that would apply to fewer companies. They are exploring a $33-per-employee tax for companies with at least 500 employees that would raise $82 million, a spokesperson for Johnson said.