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Archive for the ‘Illinois Policy Institute’ Category

While Aurora sits near the top of the safety rankings, Chicago lands near the bottom undermining claims by Gov. J.B. Pritzker and Mayor Brandon Johnson.

By LyLena Estabine | Illinois Policy Institute

A new safety ranking from WalletHub paints a stark picture for Chicago. Out of 182 U.S. cities, Chicago ranks 161st in overall safety.

For comparison, New York City ranks 117th. Los Angeles ranks 156th. Phoenix ranks 136th.

This poor ranking comes amid growing concerns about violent crime and transit safety. Despite repeated assurances from Gov. J.B. Pritzker and Mayor Brandon Johnson that the city is safe, these numbers tell a different story.

WalletHub evaluated each city on home and community safety, the risk of natural disaster and financial safety.

The only other Illinois municipality included in the ranking was Aurora, which ranked 33rd, much higher in the listing.

Read more here.

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Chicago Mayor Brandon Johnson proposed a $21-per-employee monthly tax on large companies to help fill a nearly $1.2 billion shortfall. Business leaders and even a former mayor say the “head tax” could kill job creation and new investment.

By Patrick Andriesen | Illinois Policy Institute

Chicago Mayor Brandon Johnson is staring down a projected $1.19 billion budget shortfall for 2026. His solution? Reviving a tax that punishes job creation: a corporate “head tax.”

What is a “head tax?”

A “head tax” charges businesses a fixed fee for each of their employees Under Johnson’s proposed budget, this would cost businesses with over 100 Chicago-based employees $21 a month per worker.

While Johnson’s budget proposal estimates this new tax on job creation would generate about $100 million in revenue next year, and potentially more over time as the fee increases with inflation, business leaders and city officials have long warned it’s “a job killer.”

This wouldn’t be the first “head tax” in Chicago or the first time Johnson has pushed it. Chicago previously levied a $4 per employee “head tax” on businesses with 50 or more workers between 1970 and 2014.

Read more here.

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Lawmakers may approve a statewide delivery tax on Doordash and Uber Eats to fund Chicago transit, hitting all Illinoisans who shop online, even those who don’t use CTA, Metra or Pace.

By LyLena Estabine | Illinois Policy Institute

Illinois House Speaker Chris Welch says a controversial charge on DoorDash and Uber Eats deliveries could still be used to help fund Chicago’s mass transit system.

Though he clarified it wouldn’t be as high as the initial proposal of $1.50, he would not eliminate it as a possibility.

That means a delivery tax is still in play as lawmakers try to cover a financial hole at the Regional Transportation Authority, which oversees CTA, Metra and Pace.

RTA is facing a $230 million shortfall in 2025, climbing to $790 million in 2027 and nearly $890 million by 2028 as federal COVID aid dries up and ridership remains below pre-pandemic levels.

The proposed delivery tax, along with other proposals, has drawn criticism from some Republicans.

More here.

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Prices for DoorDash, Uber, Ticketmaster and Illinois tolls might go up now to cover $1.5 billion for Illinois transit agencies. A real estate transfer tax for homes in the Chicago suburbs is also on the table.

By Ravi Mishra | Illinois Policy Institute

New tax and fee hike proposals on DoorDash, Uber, Ticketmaster and toll roads could hit Illinoisans to cover shortfalls in the Regional Transit Authority budget. The RTA, which oversees the Chicago Transit Authority, Metra and Pace, faces a looming budget crisis as federal pandemic funds run dry.

Revenue options include:

  • A $1 delivery charge for delivery orders over $100, excluding pharmaceuticals and groceries to fund public transit. Revenue estimate: $102 million
  • A 25-cent increase in CTA fares. Revenue estimate: $76 million to $78 million if 2025 CTA fare trends hold steady.
  • A 10% tax on all rideshare trips in the RTA region (Cook and collar counties) to fund public transit. Revenue estimate: $132 million to $291 million
  • A ticket price surcharge of $5-10 would be added to tickets at venues that contain more than 10,000 people. Revenue estimate: $150 million to $250 million
  • A 25% surcharge on tolls, charged once per day, which would increase the average cost of tolls by $0.60 to fund public transit. Revenue estimate: $438.5 million
  • A $1 surcharge on all tolls. Revenue estimate: $1 billion
  • A fee of $0.03 per kw/h tax on electric vehicle charging at public chargers to fund public transit. Revenue estimate: $3.2 million to $14.2 million with increased adoption of electric vehicles
  • An extension of the Chicago Real Estate Transfer Tax to the collar counties, which taxes $1.50 for every $500 during the transfer of a property to fund public transit. Collar County dollars would be used for Metra and Pace transit needs, not for the CTA. Revenue estimate: $82 million
  • A one-time transfer of funds from the Illinois Road Fund to fund public transit.

The Regional Transit Authority has already seen dramatic growth in its budget even as ridership remains well below pre-pandemic levels. Spending was boosted by billions in emergency COVID funds, but with that money gone, the system is facing a $230 million fiscal gap next year.

Read more here.

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As veto session begins and power goes back to the Democratic majority state legislature, the consequences of a single-party state are more evident than ever.

By Lilly Rossi | Illinois Policy Institute

Pritzker could have used his veto power when the regular session ended to address the numerous bills that will make it harder for those living, working and paying taxes in Illinois.

Instead, he was a rubber stamp for Illinois’ Democratic majority, signing 433 of 436 bills into law.

Of those 436 bills that passed both chambers, 59 were introduced by Republicans.

Only three bills were vetoed and the state budget implementation bill had a $161 million error in capital spending that Pritzker corrected by vetoing just that line – passing the rest of the bill. That means less than 1% of bills received some type of veto.

Senate Bill 2510, the fiscal year 2026 budget appropriation bill, was chopped, swapped and passed within 24 hours. The need for Pritzker to fix the state budget after the fact shows the recklessness of a dominant political party putting a record $55.2 billion budget together at the last minute and in secret.

Veto session is when the legislature has the opportunity to override any gubernatorial vetoes. But this year, Pritzker has made sure there is a light load with only three vetoes to consider.

Read more here.

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If Chicago’s pension systems become insolvent, the city will have to reduce benefits or make serious cuts to city services. The only way out is constitutional reform.

By LyLena Estabine | Illinois Policy Institute

Pension insolvency isn’t a distant hypothetical for Chicago: the city is setting itself up to be consumed by pension obligations.

Chicago’s four pension funds have more combined debt than 44 states. Seven of the nation’s 10 worst-funded local pensions are in Chicago.

To make matters worse, the state recently passed a police and fire pension sweetener that adds $11 billion in new liabilities. Some estimates say these benefits have dropped the funding ratio for Chicago police and fire pensions to 18%.

In mid-September, Mayor Brandon Johnson had to dip into the city’s cash reserves to cover $28 million in payments for the fire pension so they wouldn’t have to sell off assets.

All of that adds up to a city that must grapple with the realities of pension system insolvency.

A pension system becomes insolvent when it no longer has the money needed to pay out benefits. Right now, Chicago pension funds only have between 22 cents and 52 cents on hand for every dollar they must eventually pay their members.

Those benefits aren’t all due at once, but if funding levels are low enough it can make a system “technically insolvent.” That is how Chicago’s Chief Financial Officer Jill Jaworski described Chicago’s police and fire pensions to a top administrator in Gov. J.B. Pritzker’s office before the pension sweetener was signed into law.

Read more here.

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Illinois taxpayers in 2024 owed an average of $38,800 each, ranking No. 3 in the U.S. Illinois earned an “F” for fiscal management.

By Patrick Andriesen | Illinois Policy Institute

Illinois amassed the third-highest debt for each of its taxpayers at $38,800, earning an “F” grade for fiscal management, according to experts from Truth in Accounting.

But it could be worse by now. The report compared other states’ data for 2024, but was forced to use Illinois’ 2023 data because Illinois has yet to account for its spending a year and three months after fiscal year 2024 ended.

The 2024 State of the States report found Illinois had $51.5 billion to cover $224.3 billion worth of bills. The outcome was a $172.8 billion budget shortfall, which would cost each taxpayer $38,800 to pay down.

The accountants found of the $224.3 billion in bills Illinois needed to pay down, over $148.6 billion of the cost stemmed from unfunded pension benefits for government employees. The next largest line item was bonds.

Illinois ranks among the 16 U.S. states deemed “excessively tardy” for not publishing their annual financial reports within 250 days of the end of fiscal year 2024.

Illinois’ financial report for fiscal year 2023 took 774 days to publish, setting a national record for tardiness. There is currently no estimate on when the 2024 report will be published.

Read more here.

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Monthly Chicago speed camera violations climbed to their highest level in more than three years during July 2025 following Mayor Brandon Johnson’s introduction of 22 new cameras. More cameras in new locations gave Johnson more cash. | AP Photo/Stacy Thacker,File

By Patrick Andriesen and Jon Josko | Illinois Policy Institute

Chicago’s speed cameras issued more violations to drivers during the month of July 2025 than any month during the past three years, sending an average 8,457 tickets to motorists each day.

Analysis shows Chicago’s speed cameras issued 2,210,254 violations to drivers between August 2024 and July 2025, including more than 250,000 tickets during July. That’s more tickets than any month since May 2022.

Overall, tickets took a 1% drop from the previous 12 months through July. The rapid spike in new tickets started in June, when Mayor Brandon Johnson added 22 speed cameras. Some communities received far more tickets than others.

Neighborhoods on the city’s North Side have the most cameras at 50 and see the bulk of tickets, totaling 634,608 in the 12-month period. The Southwest Side saw the largest spike in speed camera tickets per camera, jumping 42%.

Drivers on the Southeast Side continued to get the most tickets from each of the 11 cameras. They averaged 19,521 tickets per camera through July, more than triple the tickets per camera issued in the Central District, which includes the Loop, and has nine cameras.

Read more here.

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Illinois Democrats rejected a mid-cycle redistricting plan cooked up by U.S. Rep. Hakeem Jeffries to maximize Democratic partisan advantage in the state’s congressional district map. The reason? They don’t want to endanger their safe seats.

By Joe Tabor | Illinois Policy Institute

Opposition from Illinois Democrats has stalled a plan to redraw the state’s congressional districts as proposed by U.S. House Minority Leader Hakeem Jeffries to counter midcycle gerrymanders in Republican-controlled states.

Democrats are right to oppose the plan that would make Illinois’ unfair map even worse. But reporting suggests their chief concern is not that the plan would disenfranchise even more voters, but the possibility of facing increased competition for their own seats.

“We have to look out and protect who we have because we fought hard to get them in,” U.S. Rep. Robin Kelly, D-Chicago, said, referring to fears that Democrats would also face more highly contested races if Republican-leaning districts were made more Democratic. “I’m not a mapmaker, but it seems like it will be very difficult.”

Kelly isn’t wrong. Illinois is already considered one of the most gerrymandered congressional maps in the country, according to Princeton’s Gerrymandering Project. Illinois received failing grades in partisan fairness, competitiveness and geographic features, or “compactness.” In simple terms, that’s how oddly the districts are shaped.

It also has one of the most unfair maps based on the Michigan State University and University of Michigan’s partisan advantage tracker. Only one of Illinois 2026 U.S. House races is considered competitive by the Cook Political Report. Even then, that race, the 17th District currently occupied by U.S. Rep. Eric Sorenson, D-Rockford, is a “likely Democrat” victory.

Read more here.

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U.S. House Minority Leader Hakeem Jeffries wants Illinois state lawmakers to redraw congressional district maps to offset Republican gains from mid-decade remapping in Texas. Illinois lawmakers aren’t eager to do it. | AP Photo/J. Scott Applewhite)

By Dylan Sharkey and Jerry Barmore | Illinois Policy Institute

U.S. House Minority Leader Hakeem Jeffries is hoping Illinois redraws congressional maps to offset Republican gains from mid-decade remapping in Texas, but there’s disagreement among Illinois Democrats.

Illinois has one of the most gerrymandered maps in the nation. Based on the 2024 presidential election, 54% of Illinois voters are Democrats. But in Congress, Democrats hold 82% of Illinois’ U.S. House seats.

The new maps would put more GOP voters in districts currently held by Democrats. Some Democrats worry they may face tougher elections if their districts are redrawn.

“We have to look out and protect who we have because we fought hard to get them in,” U.S. Rep. Robin Kelly, D-Chicago, said. “I’m not a mapmaker, but it seems like it will be very difficult.”

Jeffries’ push would take an already partisan map and make it even more distorted, potentially weakening local representation and making four Democratic incumbents more vulnerable in the process. Even Gov. J.B. Pritzker, who went from promising to veto partisan maps to then approving aggressive maps, has stopped short of endorsing a mid-decade redraw, saying only he’ll “do everything I can to make sure Democrats win the Congress.”

More here.

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