Budget & finance

The declaration from seven school board members means the city does not have enough support from the Board of Education to get the $175 million it is seeking from Chicago Public Schools.

The mayor and the school board president characterized the meeting as productive. Chicago Teachers Union leadership and CEO Pedro Martinez emerged frustrated.

Ald. Jason Ervin and Chicago’s Chief Financial Officer urged school board members to approve a $175 million pension reimbursement and consider refinancing debt in order to foot the bill.

The Chicago Board of Education held the first of two public hearings on a budget amendment to cover costs of two employee contracts and a controversial city pension payment.

The proposed amendment would increase the district’s budget by $139 million it received in Tax Increment Financing, or TIF, dollars from the city. But the money isn’t enough to pay for the cost of labor negotiations or a pension payment the city wants.

State Superintendent Tony Sanders’ budget proposal for fiscal year 2026 includes $350 million for K-12 schools and $75 million for early childhood education. His overall ask would increase the state’s education budget by $497 million to $11.4 billion.

The CTU says dipping in the district’s reserves and other steps could help cover contract costs, but CPS says its options are limited.

Chicago Board of Education members took the extraordinary step of attending negotiations

The Chicago Teachers Union says Trump’s mass deportation plans make it especially urgent for the district to agree to a new contract before 2025.

The unions have raised concerns that some CTU proposals would shave away power from their members.

School board members called on the district to settle with its teachers union on the same day the union asked them to intervene.

The charter operator said it needs to close seven schools on the Southwest Side because of a budget deficit. Chicago Board of Education members said they will work to find alternatives to campus closures.

The mayor wants to send CPS roughly $300 million, but that’s less than what the district CEO has requested.

Chicago Public Schools raised pay and added staff with the help of federal COVID aid. The loss of that money is fueling leadership turmoil.

Chicago alderpeople questioned Martinez over the school system’s budget as Mayor Brandon Johnson continues to spar with CPS over financial troubles at both city hall and the school district.

CPS CEO Pedro Martinez said he has been asking for the city to contribute more Tax Increment Financing funds to CPS in order to stabilize its budget.

The resignations will come after weeks of pressure from Mayor Brandon Johnson’s administration to oust CPS CEO Pedro Martinez and take out a high-interest loan to cover costs — which the mayor’s appointed board has so far declined to do.

In recent contract negotiations with the Chicago Teachers Union, the district proposed consolidating the Chicago Teachers Pension Fund with the state’s Teacher Retirement System.

Chicago schools chief denies teachers union claim that he is looking to consolidate schools

The union said its proposals present opportunities for students of color, and asked the district to explore ways to raise more money.