Chicago Public Schools release budget plans while facing $733 million shortfall

More cuts may be ahead for Chicago Public Schools, as early budget plans show the district is facing a budget gap of $732 million next school year.

Many people, including members of the Chicago Board of Education, have concerns on how the budget shortfall will impact students and teachers.

CPS is prepared to begin slashing certain programs and positions, including assistant principals.

Education leaders in the city said the district's budget deficit is going to be a major blow to resources students need the most.

The district's $10 billion budget plan for the 2026-27 school year is currently projected to have a $732 million shortfall.

CPS is planning cuts at its central offices, and reduction of funding for assistant principals. The district is also prepared to slash counselors, bilingual coordinators, sports, and music programs.

"These are not abstract figures. They represent direct losses to programs throughout the district – counselors, bilingual coordinators, interventionists, and academic coaches," said school board member Michilla Blaise.

The school board called the district's financial situation a crisis.

"This is not just a numbers problem, it is a moral issue. This budget cap will disproportionately harm our Black and Latino students and working families," said school board vice president Angel Velez.

School board members criticized Illinois state lawmakers for trying to negotiate property tax breaks for the Chicago Bears to move to a new stadium in Arlington Heights, arguing schools are just as much of an economic engine as Bears.

"The students sitting in our classrooms today are the small business owners, public workers, and taxpayers who will keep that engine running tomorrow. Investing in their education is the longest return investment Illinois will ever make," said school board member Karen Zaccor.

On Tuesday, the district issued 600 preliminary school budgets to principals, ahead of a school board vote on the budget plan late this summer.

In a statement condemning the CPS budget process as "deeply flawed," the Chicago Principals and Administrators Association said the district's initial budget plans are arriving too late for principals to responsibly plan individual school spending.

"Principals are expected to build staffing plans, manage school operations, communicate with families, and prepare for a new school year, all while navigating moving targets, delayed information, and budget assumptions that do not reflect school-level reality," the association said.

CPAA president Kia Banks said she was told assistant principals at schools with fewer than 250 enrolled students would see their jobs eliminated.

"From our initial estimates, that looks like approximately 120-plus assistant principals," she said. "We were just being able to address the deficits that we had prior to COVID. With the money we received through COVID, we are now realizing our students have more severe needs."

Joe Ferguson, president of the Civic Federation, a nonpartisan government watchdog group, noted that federal pandemic-era funding that was used to significantly increase staffing at CPS has since dried up.

"So, now it's actually time to do the work that folks have been saying for a few years needs to be done, and I don't think folks should hit the panic button at this point in time, because the work hasn't been done yet," he said.

Ferguson said, while the CPS budget deficit is a large number, it's not unusual.

"It's a big number, but it's not a surprising number, first. Second, it's a preliminary figure early in the process. Third, there are a lot of levers within CPS itself to be thrown that actually should bring that number down substantially," he said.

Mayor Brandon Johnson, who appointed the majority of the partially-elected school board, including its president, claimed he's more invested more in Chicago Public Schools than any previous mayor.

"I've done my part to invest in our public schools. I've done my part to invest in young people," he said.

Johnson said it's time for state lawmakers to take it the finish line by providing more funding for CPS in the next state budget.

"The General Assembly and the governor have to act for the sake of working people. Our public schools deserve to be fully funded," he said.

CPS principals have until June 9 to finalize their individual budgets for next year. The school board has until the end of August to approve a balanced budget for the entire district.