Seven Chicago school board members have opposed reimbursing the city $175 million for a disputed pension payment. This decision poses a significant obstacle to the city’s efforts to resolve its budget deficit. The board members, Jessica Biggs, Therese Boyle, Jennifer Custer, Angel Gutierrez, Carlos Rivas Jr., Ellen Rosenfeld, and Che “Rhymefest” Smith, sent a letter to board President Sean Harden stating their position.
“We cannot in good conscience make payments towards things for which we have no sustainable means of raising revenue,” the letter said. These members are part of a group that has often criticized policies supported by Mayor Brandon Johnson, who appointed 11 of the 21 board members. A budget amendment requiring two-thirds approval from the board is needed to move forward with the reimbursement.
The number of opposing board members ensures that the city does not have the necessary votes for the amendment.
School board members oppose pension payment
The pension reimbursement issue has been a point of contention between city officials and Chicago Public Schools (CPS) for months.
Proposed solutions, such as budget cuts, borrowing, or debt restructuring, have faced resistance from several board members and CPS CEO Pedro Martinez. The board members’ letter also expressed a willingness to work with the city to lobby the state for permission to levy taxes to cover future pension payments. “We see an opportunity to work together to create more responsible budgeting on these issues in the future, and look forward to those conversations,” the letter stated.
CPS is currently negotiating a new contract with the Chicago Teachers Union, and Martinez has stressed the need to ensure sufficient funding for additional labor costs. The city has provided $139 million in surplus Tax Increment Financing (TIF) dollars to CPS, but the district still faces financial challenges requiring further budget amendments. The letter concludes by stating that the listed board members will support a budget amendment that allocates the $139 million towards new union contracts for teachers and principals instead of the disputed pension reimbursement.
Image Credits: Photo by Sawyer Bengtson on Unsplash