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County board president releases 2021 budget recommendation

Cook County Board President Toni Preckwinkle on Thursday presented a proposed $6.9 billion budget recommendation for fiscal year 2021 that addresses the fallout of the COVID-19 pandemic without increasing taxes or cutting critical services.

“This 2021 budget is balanced with no tax increases or the need for immediate federal help. This has been in part possible because we have avoided quick fixes and one-time solutions,” Preckwinkle said. “We’ve done the hard work and heavy lifting. We’ve instilled sound fiscal discipline since taking office. We were not immune to the financial pressures of the pandemic but we did the hard work to avoid the need to raise taxes.”

Despite the enormous budget pressures caused by the pandemic, the $6.9 billion recommendation continues to be driven by several policy goals to enhance Cook County’s services to ensure vital health care access for vulnerable residents, foster a fair justice system aimed at violence prevention and reducing recidivism, provide economic development to under-resourced communities, and invest in infrastructure while promoting long-term fiscal stability.

Preckwinkle noted that a $222.2 million gap in the general fund had to be closed by a  combination of expenditure holdbacks, federal relief, higher than previously forecasted revenue vacancy reductions and the use of rainy day savings.

With the closing of a $187 million budget gap at the hospital system, Cook County closed a $400 million deficit without the need for new taxes.

To close the General Fund gap, personnel expenses were reduced by approximately $61.3 million by eliminating 659 vacant full-time equivalent positions. The county’s position count is now under 22,000 employees for the first time since President Preckwinkle took office.​ This means departments are being asked to do more with less during these difficult times. Additionally, the county is relying on a one-time transfer of $77 million from its General Fund reserves that under normal circumstances would not be touched.

Higher than previously forecasted revenue figures primarily found in newer tax sources like cannabis, gaming and online sales, and $50 million in reimbursements through the federal CARES Act funding are the remaining elements that have helped balance this budget without the need for taxes.

Cook County Health also had their hands full closing a $187 million gap. Through expenditure reductions, a $30 million dollar additional tax allocation from the county, revenue from increased CountyCare membership, renegotiated reimbursement rates and modified direct payments from the State of Illinois, Cook County Health was able to close this gap while continuing to provide world-class services during the pandemic.

Preckwinkle also called attention to the fact that Cook County has provided supplemental pension payments of almost $1.6 billion dollars above the required contribution since 2016, significantly reducing the unfunded pension liability with another supplemental pension payment of over $300 million this year included in the budget.

Preckwinkle highlighted a number of important items and investments in the budget that will be moving forward in the coming year:

  • The Bureau of Economic Development will be investing an additional $20 million in aid to our business communities and residents in greatest need.
  • Cook County will invest an additional $20 million for programs related to justice reform through the Justice Advisory Council.
  • $5.8 million in capital investments for the continued development of an integrated property tax system that will make doing business with the County a lot easier for taxpayers.
  • With approvals from the Cook County and Metra Boards, we are targeting January for the fair transit pilot program launch to assist residents in the southern portion of our County with more frequent, affordable and accessible transportation options and ensure that residents on the South Side of Chicago and in the south suburbs have better access to transit.

All FY2021 budget information and a public hearing schedule has been posted to the Cook County website, allowing the public to review documents and engage with the President’s Office directly. A new interactive budget website has been launched and provides interactive historic data and detailed budget information. This immersive budget portal will enhance residents’ access and understanding of budget information and County finances. Starting today, residents can also now submit budget questions here.

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