Politics

No Property Tax Hike Needed to Close Cook County’s $211.4M Budget Gap, But ‘Turmoil’ Looms: Preckwinkle

Cook County will not need to hike property taxes or impose new fees to close a projected budget gap of $211.4 million in 2026, but “turmoil” looms in the years ahead, Cook County Board President Toni Preckwinkle said Wednesday.

Preckwinkle is scheduled to unveil a $10.1 billion spending plan for 2026 at Thursday’s meeting of the Board of Commissioners that closes a $102.6 million gap in its general fund and a $108.8 million gap in its health fund without asking residents to pay more to fund Cook County government.

But storm clouds are on the horizon, Preckwinkle warned during a Wednesday news conference in advance of her budget address.

“We’re headed into pretty tough waters here, turmoil,” Preckwinkle said. “And I would anticipate … next year, and particularly the years after next, we’re going to be in a very difficult place as the federal government reduces its support.”

The financial future of Cook County Health, which is largely funded by the federal government as part of Medicaid, is particularly bleak after the Trump administration slashed health care for low- and moderate-income Americans, Preckwinkle said.

The bulk of those cuts will not hit the county’s bottom line until 2027, officials said.

“We’re in a good place at the moment, but there’s a lot of turbulence in front of us,” Preckwinkle said.

Preckwinkle, 78, is running for a fifth term in office, and is set to face Ald. Brendan Reilly (42nd Ward) in March’s Democratic Primary.

The spending plan calls for officials to sock away $65 million to replace essential services now covered by federal funds, officials said.

Preckwinkle said she was also concerned that the Trump administration would slash funding for infrastructure projects. Even as federal judges have blocked the president from yanking federal funds from Cook County because of its laws protecting undocumented immigrants, Trump has canceled funding for transit projects that followed federal rules requiring some of the work be performed by qualified Black-, Latino- and Asian-owned firms.

Preckwinkle’s spending plan uses $383.9 million from what officials called the county’s “unassigned fund balance,” to bridge the gap in its general fund.

At the end of 2024, the county had $958.4 million in uncommitted funds in its main bank account after all of its other bills had been paid, officials said. The remaining $575.2 million means the county has an ample financial cushion, officials said.

While Preckwinkle’s proposal does not require any employee layoffs, it proposes no new significant programs or hiring. It does not add funding to the county’s Equity Fund, established in 2020 to “address historic disparities and disinvestments in marginalized communities.”

Cook County officials closed the projected budget gap after new estimates boosted expected revenues and planned contracts were eliminated, officials said. 

Contact Heather Cherone: @HeatherCherone | (773) 569-1863 | [email protected]

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