NEW: The Chicago Board of Education today voted 11-7 to pass a $10B budget that the district’s own superintendent and CFO said is unbalanced, with every yes vote backed by Mayor Brandon Johnson and the Chicago Teachers Union.
The budget assumes $150M in additional revenue from the state that will almost certainly not arrive.
This recklessness threatens credit downgrades in the immediate term and financial chaos in a matter of months.
But as the below clip of Stacy Davis Gates shows, that’s on purpose. Creating a crisis is the point.
CTU leadership is setting the city’s house on fire and hoping insurance pays out.
WATCH: Chicago Teachers Union President Stacy Davis Gates tells attendees at the Netroots Nation conference, “you have to create the crisis by which the boss…the government can no longer ignore you.”
Gates and Chicago Mayor Brandon Johnson are now pressuring Chicago Public Schools board members to approve around $200 million in junk bonds at the Aug. 28 budget vote.
The schools’ chief budget officer says this borrowing would trigger a “downward spiral” of more credit downgrades, higher borrowing costs, and cuts to the classroom.
But the CTU and the mayor see creating this crisis as leverage to demand more money from Springfield.
It’s like setting your house on fire and hoping the insurance pays out.