4\
O R D I IN A IN C Ji
WHEREAS, the City of Chicago (''City") is a home-rule municipality as described in Article VII, Section 6(a) of the 1970 Constitution of the State of Illinois, and as such may exercise any power and perform any function pertaining to-its government and affairs; and
WHEREAS, the management of its finances is a matter pertaining to the government and affairs of the City; and
WHEREAS, the economic fallout from the COVID-19 pandemic was both severe and immediate, resulting in lost City revenue in 2020 of over $1.4 billion; and
WHEREAS, to avoid drastic cuts to essential City services or significant tax increases in 2020, and in the absence of certainty around federal stimulus funding for revenue replacement, the City utilized S450 million in short-term borrowing; and
WHEREAS, to ensure the continued provision of essential City services in 2021, the City budgeted for restructuring debt obligations, as a last resort, with the hope that Federal support in the form of revenue replacement would become available before restructuring became necessary; and
WHEREAS, on March 11, 2021 President Biden signed the American Rescue Plan CARP"), which provides direct relief to states and local governments for replacement of lost revenue; and
WHEREAS, the City has identified eligible expenses in the Corporate Fund within the 2021 Annual Appropriation Ordinance toward which ARP revenue replacement funds can be applied; and
WHEREAS, the City will be covering $782.2 million in eligible 2021 expenses with ARP revenue replacement; and
WHEREAS, the City intends to cancel a portion of planned debt restructuring and provide for the repayment of the line of credit used for 2020; and
WHEREAS, the City has also identified Corporate Fund revenues above what were anticipated with the 2021 Annual Appropriation Ordinance; and
WHEREAS, on September 14, 2021, the City Council approved a new contract with the Fraternal Order of Police, increasing 2021 expenses by $274.3 million for current and past salaries; and
WHEREAS, the City intends to issue $1.2 billion in refinancing to generate $232 million in savings for Fiscal Year 202 1 to cover a share of these additional contractual expenses; and
WHEREAS, the details of these amendments are set forth in detail on Exhibit A hereto;
and
AMENDMENT TO 2021 BUDGET ORDINANCE
Exhibit A
20 Estimated Revenue for 2021
Total appropriable for charges and expenditures (exclusive of liabilities at January 1. 2022)
Sales Tax Securitization Corporation Residual
21 Proceeds and Transfers In - American Rescue Plan ,
21 Total (Proceeds and Transfers In)
21 Intergovernmental Revenue - State Income Tax
Intergovernmental Revenue - Personal Property Replacement Tax
Total Revenue - Corporate Fund
$ 3.926,639,000
$ 4,037,639,000
$ 570,179,000 $
$ 612,179,000
$ 262,279,000
$ 147,000,000
$ 3,926,639,000
S 4,877,385,000
S 4,988,385,000
S 628,776,000
S 782,200,000
$ 1,452,976,000
$ 319,228,000
$ 200,000,000
$ 4,877,385,000
AMENDMENT TO 2021 BUDGET ORDINANCE
Exhibit A
0510 - Bond Redemption and Interest Series Fund
STRIKE ADD
PAGE CODE DEPARTMENT AND ITEM NUMBER AMOUNT NUMBER AMOUNT
25 Other Revenue . $ 437,258,000 , $ 222,012,000
25 Corporate Fund Subsidy $ - $ 215,246,000
i
Corporate Fund-0100
Code Department and Item 99-Finance General
AMENDMENT TO 2021 ANNUAL APPROPRIATION ORDINANCE
Fxhibil A
Number
Amount
STRIKE
Number
ADD Amount
.0003 Scheduled Wage Adjustments
.0912 For Payment of Bonds
.9377 For Transfers to Debt Service
103,333,350 1,700,000
377,633,350 462,900,000 215,246,000
FA HI BIT B
AMENDMENT TO THE 2021 APPROPRIATION ORDINANCE
ESTIMATE OF GRANT REVENUE FOR 2021
Awards from Agencies of the Federal Government for COVID-19
ESTIMATE OF GRANT EXPENSES FOR 2021
STRIKE AMOUNT ADD AMOUNT
Grant
2021 Anticipated 2021 Anticipated
Grant
STRIKE
AMOUNT (2021 ADD AMOUNT
TOTAL) (2021 TOTAL)
5 Office of Budget and Management
Coronaviius Local Fiscal Recovery
23 Department of Cultural Affairs and Special Events
Coronaviius Local Fiscal Recovery
38 Department of Assets, Information and Services
Coronaviius Local Fiscal Recovery
iL Department of Public Health
Coronaviius Local Fiscal Recovery
50 Department of Family and Support Services
Coronaviius Local Fiscal Recovery $ 213,000,000 S 213,000,000
HOME Investment Partnership S 71,171,000 S 71,171,000
54 Department of Planning and Development
Coronaviius Local Fiscal Recovery
Department of Business Affairs and 70 Consumer Protection
Coronaviius Local Fiscal Recovery
85 Department of Aviation
Airport Assistance Program (MOW) Airport Assistance Program (ORD)
7L439.000 2SS.5N 1,000
S 71,439,000 S 288,581.000
WHEREAS, as part of the above-described federal relief, the City, through several of its offices and departments, has been awarded federal grant funds in the amount of $1,886,592,000 by the United States Department of the Treasury for the Coronavirus Local Fiscal Recovery program, as set forth in detail on Exhibit B hereto; and
WHEREAS, the City has also been awarded $71,171,000 by the United States Department of Housing and Urban Development for the HOME Investment Partnership Program, as set forth in detail on Exhibit B hereto; and
WHEREAS, the City has also been awarded $360,022,000 by the United States Department of Transportation for the Airport Assistance - ARP Program, as set forth in detail on Exhibit B hereto; and
WHEREAS, it is necessary and advisable to amend the 2021 Annual Appropriation Ordinance to effectuate the above-described fiscal improvements and grant awards, now, therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CHICAGO:
SECTION 1. The foregoing recitals are adopted and incorporated into and made a part of this Ordinance.
SECTION 2. The 2021 Annual Appropriation Ordinance is hereby amended by striking the words and figures indicated and by inserting the words and figures indicated on Exhibits A and B attached hereto.
SECTION 3. The Budget Director and heads of the applicable City departments shall administer and use grant funds received pursuant to ARP only as authorized pursuant to the pertinent grant terms, including execution of agreements for eligible projects. The Budget Director shall administer such grant funds directly or through City department designees, including necessary allocation of such funds to, and adjustment as necessary between, said designees.
SECTION 4. To the extent that any ordinance, resolution, rule, order or provision of the Municipal Code of Chicago, or part thereof, is in conflict with the provisions of this ordinance, the provisions of this ordinance shall control. If any section, paragraph, clause or provision of this ordinance shall be held invalid, the invalidity of such section, paragraph, clause or provision shall not affect any of the other provisions of this ordinance.
SECTION 5. This ordinance shall be in full force and effect upon its passage and approval.
OFFICE OF THE MAYOR
CITY OF CHICAGO
LORI E. LIGHTFOOT
MAYOR
September 20, 2021
TO THE HONORABLE, THE CITY COUNCIL OF THE CITY OF CHICAGO
Ladies and Gentlemen:
I transmit herewith amendments to the Fiscal year 2021 Annual Appropriation ordinance. Your favorable consideration of this ordinance will be appreciated.
Very truly your^
CITY OF CHICAGO
COMMITTEE ON THE BUDGET AND GOVERNMENT OPERATIONS
CITY COUNCIL CITY HALL - ROOM 200 121 NORTH LASALLE STREET CHICAGO, ILLINOIS 60602
ALDERMAN PAT DOWELL CHAIRMAN
PHONE: 312-744-3166 FACSIMILE: 312-744-9009
October 25, 2021 CHICAGO, ILLINOIS
TO THE PRESIDENT AND MEMBERS OF THE CITY COUNCIL:
Your Committee on the Budget and Government Operations which was referred an ordinance
amending the Annual Appropriation Ordinance for Year 2021.
(02021-4240)
Having the same under advisement, begs leave to report and recommend that Your Honorable Body Pass the proposed ordinance transmitted herewith.
This recommendation was concurred in by a unanimous vote of the members of the committee present with no dissenting votes on October 22, 2021.
Pat Dowell, Chairman
Committee on the Budget and Government
Operations