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 milli...
Click here for full text