Overview

• Chicago Public Schools is projected to have a $734 million shortfall in its FY26 budget and must pass a balanced plan by the August 28 board vote.
• State lawmakers held a July 31 hearing on CPS finances but declined to pledge new funding or convene a special session to close the gap.
• Union leaders and several board members are pressing for a special legislative session and a so-called millionaires tax to secure full funding.
• Interim CEO Macquline King says CPS has exhausted its limited revenue options and warns that additional midyear cuts and service reductions are likely without new money.
• State Rep. Curtis Tarver has disputed claims that Illinois owes CPS $1 billion and filed legislation to reinstate the Chicago School Finance Authority for district oversight.