Chicago Public Schools Faces Urgent Budget Deadline

Chicago Public Schools (CPS) leadership has conveyed the pressing need for the district’s $9.88 billion budget approval this month. The budget ensures payroll for 45,000 employees. Without approval, payroll and student services face disruption in September, according to CPS CEO Macquline King.

The Board of Education is expected to make a decision on the 2026-27 budget by July 30, ahead of the state deadline. Recently, the district announced over 700 teacher layoffs and a proposed spending freeze starting in January. CPS plans furloughs for staff by converting professional development days if additional funding doesn’t come through from local or state sources.

The Chicago Teachers Union (CTU) has urged the board to reject the budget proposal. Despite this, CPS leaders emphasize the need for a spending plan to facilitate short-term borrowing through tax anticipation notes (TANs) to manage cash flow impacted by Cook County property tax delays.

During recent protests, CTU members and allies gathered outside CPS headquarters. Concerns were raised about the adequacy of state funding, currently at 73% of the district’s adequacy target. CTU-aligned board members are urging state lawmakers for more funding through a special session.

Board member Jitu Brown expressed pressure over the upcoming decision. There is a discrepancy between the budget’s promise of minimal classroom impact and feedback from schools. Teachers and staff, many in red CTU shirts, demanded a reversal of the proposed cuts during public comment.

Some board members question the alignment of the budget with student needs, especially in special education. Meanwhile, district leaders argue the cuts are necessary to address a $732 million deficit. Furloughs, a last-resort measure, would occur on non-instructional days to save $17 million per day, affecting teacher pay.

King stated the district is seeking other revenue sources, such as tax increment financing and Cook County’s interest-free loan program. The program offers potential savings by reducing reliance on costly short-term loans. Last year, CPS incurred $43 million in interest to cover property tax delays.

Financial pressure on the district has intensified with rising costs, aging infrastructure, and over $9 billion in long-term debt. Before the board meeting, CTU staged a rally, emphasizing that the financial crisis’s burden is unjustly placed on students and educators. CTU’s message was clear: oppose cuts and furloughs.