City treasurer proposes abolishing $57M Catalyst Fund to avert midyear layoffs
<p>City Treasurer Melissa Conyears-Ervin wants to disband a fund created a decade ago to jump-start development in South and West Side neighborhoods, and use the remaining $57 million to prevent the city’s midyear budget shortfall from triggering police and fire department layoffs.</p><p>Even before confronting the $1 billion hole in next year’s budget, Chicago faces a $90 million midyear shortfall after alternative revenue approved over Mayor Brandon Johnson’s objections fell short.</p><p>Before resigning their jobs in rapid-fire succession, Budget Director <a class="Link" href="https://chicago.suntimes.com/city-hall/2026/08/03/annette-guzman-brandon-johnson-budget-director" >Annette Guzman</a> and Chief Financial Officer <a class="Link" href="https://chicago.suntimes.com/city-hall/2026/07/28/mayor-brandon-johnson-acting-cfo-steve-mahr-resigns" >Steven Mahr</a> warned of employee layoffs and pulled back on their commitment to make the second half of a $260 million advance pension payment at the center of the budget battle.</p><p>Now, Conyears-Ervin has a plan to eliminate more than half of this the midyear shortfall without laying off police officers and firefighters: Abolish the $57 million “Catalyst Fund” created by onetime Mayor Rahm Emanuel.</p><p>“The city is at a moment where we’re facing an over $90 million deficit. Responsible leadership … means being able to shift.
Reported by 1 outlet — Chicago Sun-Times. See all sources ↓
<p>City Treasurer Melissa Conyears-Ervin wants to disband a fund created a decade ago to jump-start development in South and West Side neighborhoods, and use the remaining $57 million to prevent the city’s midyear budget shortfall from triggering police and fire department layoffs.</p><p>Even before confronting the $1 billion hole in next year’s budget, Chicago faces a $90 million midyear shortfall after alternative revenue approved over Mayor Brandon Johnson’s objections fell short.</p><p>Before resigning their jobs in rapid-fire succession, Budget Director <a class="Link" href="https://chicago.suntimes.com/city-hall/2026/08/03/annette-guzman-brandon-johnson-budget-director" >Annette Guzman</a> and Chief Financial Officer <a class="Link" href="https://chicago.suntimes.com/city-hall/2026/07/28/mayor-brandon-johnson-acting-cfo-steve-mahr-resigns" >Steven Mahr</a> warned of employee layoffs and pulled back on their commitment to make the second half of a $260 million advance pension payment at the center of the budget battle.</p><p>Now, Conyears-Ervin has a plan to eliminate more than half of this the midyear shortfall without laying off police officers and firefighters: Abolish the $57 million “Catalyst Fund” created by onetime Mayor Rahm Emanuel.</p><p>“The city is at a moment where we’re facing an over $90 million deficit. Responsible leadership … means being able to shift. It means recognizing when we need to address what is happening right now,” Conyears-Ervin told the Chicago Sun-Times. “And in this moment, we need to save city services of our police officers, of our firefighters.
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- <p>City Treasurer Melissa Conyears-Ervin wants to disband a fund created a decade ago to jump-start development in South and West Side neighborhoods, and use the remaining $57 million to prevent the city’s midyear budget shortfall from triggering police and fire department layoffs.</p><p>Even before confronting the $1 billion hole in next year’s budget, Chicago faces a $90 million midyear shortfall after alternative revenue approved over Mayor Brandon Johnson’s objections fell short.</p><p>Before resigning their jobs in rapid-fire succession, Budget Director <a class="Link" href="https://chicago.suntimes.com/city-hall/2026/08/03/annette-guzman-brandon-johnson-budget-director" >Annette Guzman</a> and Chief Financial Officer <a class="Link" href="https://chicago.suntimes.com/city-hall/2026/07/28/mayor-brandon-johnson-acting-cfo-steve-mahr-resigns" >Steven Mahr</a> warned of employee layoffs and pulled back on their commitment to make the second half of a $260 million advance pension payment at the center of the budget battle.</p><p>Now, Conyears-Ervin has a plan to eliminate more than half of this the midyear shortfall without laying off police officers and firefighters: Abolish the $57 million “Catalyst Fund” created by onetime Mayor Rahm Emanuel.</p><p>“The city is at a moment where we’re facing an over $90 million deficit. Responsible leadership … means being able to shift.
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- 1 outlet, average source rating 6.0/10.
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City treasurer proposes abolishing $57M Catalyst Fund to avert midyear layoffs
Sources1TypeCoverageChicago Sun-Times