IEC convened our affiliate member organizations to advocate for a strong FY2025 budget that protected the city’s environmental budgetary priorities.
Mayor Brandon Johnson’s FY2024 budget included several environmental wins: It re-established the Department of Environment, provided $53 million for lead service line replacement in predominantly Black and Latinx neighborhoods, and allocated $25 million for climate initiatives, including $4 million for the City’s Climate infrastructure grant program and $6 million to improve the city’s composting system and $15 million to decarbonize 1-4 unit homes of low-income Chicagoans.
However, as the Mayor and financial experts foreshadowed, the city faced a nearly $1 billion budget gap this year, and the Johnson administration has faced several political battles including an unpopular budget plan. To close the budget gap, the City Council ultimately agreed to a variety of fee and tax changes including:
- Increase plastic bag fee from 7 cents to 10 cents, generating $5.2 million, but still does not dedicate revenue to environmental programs such as recycling
- Double the two-year licensing fee for wholesale food businesses–many of which are urban agriculture operations and small BIPOC-owned food distributors–from $660 to $1320
The FY2025 $17.3 billion budget narrowly passed 27-23. It spares significant cuts to critical programs and staffing that impact the environment. Below is a summary of environmental-related department appropriations outlined in the 2025 Budget Recommendations book. Several amendments were made to the budget and department totals roughly reflecting those changes. Any significant appropriation changes are highlighted under “Focus for 2025” sections below.
Department of Environment (DOE)
What it does: The DOE advances equitable climate and environmental policy across all city sectors and departments, guided by the Climate Action Plan, which outlines actions to reduce Greenhouse Gas emissions 60% by 2040. Additionally, the Department is responsible for securing federal and state funding for climate infrastructure projects. Despite calls for and the Mayor’s promise to restore enforcement powers such as environmental permitting and inspections, the DOE remains without this power; instead, the Mayor announced an official transition plan to bring those powers back to the DOE by August 2025. Some may recall that in 2023, the City conducted an Environmental Governance Study that explored how other cities organized environmental functions. The new transition plan will specifically identify what enforcement functions will come back to the DOE.
Proposed budget: $2,399,239 (Up from $1,801,802 million in the FY2024 budget)
Notable Accomplishments in 2024:
- Supported Department of Fleet and Facility Management in installing lighting retrofits and rooftop solar at two libraries through the library solar and efficiency program
- Supported the Department of Housing in the rollout of Green Homes Chicago, the retrofit program for 1-4 unit homes
- Secured $2.2 million in federal dollars associated with the Energy Efficiency and Conservation Block Grant formula funds
- Continued to support the Climate Infrastructure Fund Projects, which issued $6 million dollars to 22 nonprofit and small businesses
- Released Cumulative Impacts Report in partnership with the Chicago Department of Public Health and community leaders, providing data on how environmental burdens and stressors vary across the City
Focus for 2025:
- Develop plan to transition environmental functions to the department Requires DOE, Budget Director and various Departments to present transition plan by August 1, 2025
- DOE will now oversee implementation of utility franchise agreements. Since 2020, the city has been working with ComEd to solidify a new, long-term electric franchise agreement. A new agreement would impact the transition to clean energy, grid modernization, and consumer protection from shutoffs.
- DOE will now manage the Energy Use Benchmarking program which requires annual energy use reporting by large properties.
- Develop and publish Chicago’s updated City-wide Green Stormwater Infrastructure Strategy in partnership with the Department of Water Management
- Introduce and pass a cumulative impact ordinance to advance environmental justice policy
- Guide climate and environmental injustice initiatives across departments and agencies, including the City’s Environmental Justice Action Plan
- Guide City participation and community awareness in federal Inflation Reduction Act programs and existing programs, such as the Greenhouse Gas Reduction Fund and the Climate Pollution Reduction Grants
Department of Public Health
What it does: Provides guidance, services, and strategies to protect Chicagoans’ health, including disease control, mental health, substance abuse, violence prevention, food protection and environmental permitting, and inspections.
Proposed budget: $699,839,541(A significant drop from $902,026,766 in the FY2024 budget. This is primarily due to a substantial decline in grant funding, including funding from the 2021 American Rescue Plan Act)
Focus for 2025:
- FY2025 budget includes nine new positions under the Environmental Permitting and Inspections, including 3 Senior Environmental Inspectors, a Project Manager, and a Director of Environmental Health & Safety Compliance
- Respond to 90 percent of 311 complaints regarding Food and Environmental issues within deadline.
- Address primary drivers of racial life expectancy gaps in Englewood, Garfield Park, and North Lawndale through implementing an action plan.
Department of Water Management
What it does: Operate and maintain the City’s sewer and drinking water infrastructure. The Department collects, processes, and distributes the City’s drinking water to residents and 120 suburbs. Most notably, they oversee lead service line replacement and will develop the Chicago Green Stormwater Infrastructure Strategy that sets an equitable vision and measurable goals for citywide green stormwater infrastructure.
Proposed budget: $417,185,283 (Up from $397,830,838 million in FY2024. This increase largely comes from increased personnel, materials, and contractual services under the Bureau of Operations and Distribution & Bureau of Engineering Services)
Notable accomplishments in 2024:
- Distributed 6,739 free lead testing kits and 257 free filter sets rated to remove lead from July 1, 2023, to July 1, 2024.
- Continued to implement Equity and Daycare Lead Service Line Replacement (LSLR) programs while also expanding the Leaks and Breaks and Block-Level LSLR Programs, resulting in 7,013 LSLRs to date with 2,175 completed in 2024 as of August 1.
- Completed the preliminary design of the Far Southside Overflow Tunnel Project (previously termed the “Area 4 Project”), which is expected to benefit 38,000 homes and businesses that frequently experience flooding issues when completed.
Focus for 2025:
- FY2025 Budget removes the Senior Equity Officer that was appropriated for in FY2024 budget (pg 498)
- $26,448,002 dedicated to Lead Service Line Replacement. Chicago secured a $336 million Water Infrastructure Finance and Innovation Act loan to replace 30,000 lead pipes last October.
- No significant changes to Sewer Design and Construction personnel
- Continue to advocate for additional federal funding and identify new revenue streams to fund LSLR programs
- Replace 12 miles of water main and six miles of sewer main and associated lead services attached to those mains.
- Implement a flooding pilot for the areas hit hardest in the July 2023 rain event that will incorporate green stormwater infrastructure.
- Introduce new contract formats to provide access for small and minority businesses to ongoing LSLR work in partnership with the Department of Procurement Services.
Department of Transportation
What it does: Maintain and improve Chicago’s transportation infrastructure, including streets, alleys, sidewalks, ADA ramps, and bikeways. The Department also coordinates freight infrastructure planning, policy, and implementation.
Proposed budget: $2,037,827,721 (Up from $1,484,552,843 in FY2024. This is due to a roughly $556 million increase in federal and state grant funding)
Notable Accomplishments in 2024:
- Completed construction of the Damen Green Line CTA Station, filling an important transit gap in the Near West Side Community
- Continued expansion of Divvy services to every Chicago neighborhood by installing the 1000th station
- Produced the Chicago Cycling Strategy and vision for the next 150 miles of bikeways, focused on filling gaps in the citywide network
Focus for 2025:
- Continue implementing 20 miles of streetscape improvements across 12 South and West side commercial corridors that create more walkable streets
- Break ground on the State/Lake CTA station, replacing the over 100-year-old existing structure with a modern, fully accessible station
- $500,000 dedicated to the Plow the Sidewalks pilot program, which uses city dollars to clear snowy sidewalks that make it difficult for the elderly and those with disabilities to navigate.
Department of Streets and Sanitation
What it does: This department does a lot. Besides street cleaning, snow removal, and rodent control, it oversees residential waste, recycling for single-family and 2-4 unit multi-family homes, composting, and is responsible for the planting, removal, and maintenance of the City’s tree canopy.
Proposed budget: $352,858,177 (a slight increase from $350,228,010 in the FY2024 budget)
Notable Accomplishments in 2024:
- Continued tree planting, with over 14,000 trees projected to be planted by the end of 2024. Under former Mayor Lori Lightfoot, the city set a goal of 75,000 trees by 2022
- Expanded composting sites, distribution of backyard composting bins, expanded locations for annual pumpkin smash.
- Hired 70 General Laborer Trainees from Chicago Public Schools who worked on neighborhood cleanup initiatives.
- Updated department fleet of vehicles to include 41 EVs.
Focus for 2025:
- FY2025 budget spells a fall in Recycling staff– from 64 to 58 positions and doesn’t include two Community Outreach Coordinators that were budgeted for last year.
- Bureau of Forestry’s budget decreased from $29,002,663 in FY2024 budget to $25,452,418 allocated in this year’s budget and a net loss of one position.
- Continue equitable tree planting, prioritizing air quality, shade, and healthier neighborhoods.
- Increase composting locations and community participation.
- Begin conducting a citywide tree inventory that accounts for the exact location, species, and condition of the City’s trees.
- Pilot the CO2 method for eradicating rodents in green spaces.
Department of Planning and Development
What it does: Manages economic development initiatives, administers city’s zoning laws, and implements sustainable growth initiatives and policies that foster climate resiliency. They oversee roughly 10,500 city-owned vacant lots, which can be used for open green space, urban agriculture, or green stormwater infrastructure.
Proposed budget: $132,736,014 million (Significant drop from $202,163,654 in FY2024. While there appears to be a large budget decrease, when the Office of Budget and Management updated the numbers in the 2025 data, they included some adjustments that reduced the 2024 budget by millions. These adjustments make it look like there’s almost no difference between 2024 and 2025 budgets).
Notable accomplishments in 2024:
- Updated the City’s Sustainable Development policy from 2017
- Added two industrial corridor land use planners to comply with the City’s voluntary U.S. Department of Housing and Urban Development agreement
- Formalized eight historic landmark recommendations and 11 Adopt-a-Landmark awards
Focus for 2025:
- $25 million dedicated to the Missing Middle Housing Initiative, which incentivizes building density in currently low-density areas and clusters of vacant lots.
Department of Buildings
What it does: Enforce Chicago’s Construction and Energy Transformation Codes, oversee construction, demolition, and repairs permits, and conduct annual technical inspections of buildings and businesses. This Department is critical for building electrification.
Proposed budget: $39,704,856 million ( $40,142,876 million in the FY2024 budget)
Notable accomplishments in 2024:
- Rebranded the “easy permit” and “shot forms” permit process as “Express Permits” to encompass 15 types of work, including small-scale solar.
Focus for 2025:
- Continue modernizing the permitting system, including a new stormwater management plan approval process and 30-day plumbing maintenance permits.
Department of Law
What it does: Manage Litigation, transactional, and legislative projects on behalf of the City. Additional DOL drafts, reviews, and advises the City on federal, state, and local legislation.
Proposed budget: $45,920,152 million ($46,229,759 in FY 2024 budget)
Notable accomplishments in 2024:
- Brought a lawsuit against six oil and gas corporations and the largest trade association representing the fossil fuel industry for deception about the dangers for the climate corresponding to their products
Focus for 2025:
- Provide legal assistance to departments and agencies developing clean energy projects and pursuing clean energy tax credits under the Inflation Reduction Act
Department of Fleet and Facility Management
What it does: Manage and maintain city vehicles, equipment, and properties, duties previously under the AIS Department. The Department plays a significant role in the city’s electric vehicle procurement and charging infrastructure.
Proposed budget: $558,347,657 (Increase from $530,639,879 million in FY2024. This increase mostly goes toward the Bureau of Asset Management and Bureau of Fleet Operations)
Notable accomplishments in 2024:
- Completed installation of electric vehicle charging stations, resulting in 211 charging ports focused in the south and west corridors
- Completed an environmental assessment of 41 parcels of land along the African American Heritage Trail in Altgeld Gardens to plan environmental remediation that will allow for urban agriculture
Focus for 2025:
- City is on track to convert its municipal-owned facilities to 100% renewable energy by the 2025 deadline the city committed to in 2017
- Remediate four vacant parcels at 58th and Throop for urban agriculture in Englewood
- Complete solar panel installation projects at two Chicago Public Library locations
- In December, Chicago secured a $7,317,000 federal grant for the Clean Heavy Duty Vehicles program, which will be used to purchase 60 EVS, including heavy-duty vehicles like street sweepers and refuse vehicles.
- Install 30 chargers at fuel sites, including three fast chargers, as part of the wireless charging pilot
Department of Procurement Services
What it does: Responsible for procuring the city’s goods and services. IEC affiliate members and Chicago-based organization, Neighbors for Environmental Justice, released a report earlier this year highlighting DPS’s significant role in awarding contracts to vendors, including those that may violate the contracts’ environmental requirements for reporting and compliance. It should be noted that, currently, no city department enforces or monitors these requirements, and there are no consequences for vendors failing to meet them.
Proposed budget: $13,978,092 ($14,605,398 in FY2024)
Focus for 2025:
- Advance community engagement goals of underrepresented minority groups in the procurement sector through the creation of an Outreach Program unit
Chicago Recovery Plan Progress
In 2021, Chicago dedicated $188 million to the Chicago Recovery Plan (funded by the American Rescue Plan Act and city-issued bonds) to climate infrastructure projects. Since then, the City has released an annual Road to Recover Performance Report. You can read the full report here, but you can also find the highlights below:
Progress in 2024:
- CDPH provided guidance to Chicago Departments to draft their Environmental Justice Action Plan. Departments must outline how they will coordinate policies and practices to address environmental impacts.
- The EJ Seeds Grant Program provides funding for community-based organizations in environmental justice to serve on the Chicago Air Monitoring Network Community Governance Board. 2024 Program milestones include:
- Developed a kickoff meeting for the program with delegate agencies in collaboration with Healthy Chicago Equity Zones (HCEZ)
- Formed partnerships with community-based organization delegate agencies
- Established a community governance board for the air monitoring network
- Additional personnel were hired in the Office of Environmental Permitting and Inspection under the Environmental Hazard Reduction Program
- Under the Equitable Transit-Oriented Development Program (ETOD), by the end of 2024:
- 5 ETOD projects funded
- 4 ETOD commercial/retail projects
- 94 ETOD affordable housing units supported
- Under the Enhanced Data Collection and Analysis program, by the end of 2024:
- Chicago EJ Index technical documentation published
- Chicago EJ Index data dashboard released
- Integration of 311 Salesforce system with the environmental inspector’s system to speed up the resolution of environmental complaints
- Introduce and pass Environmental Justice and Cumulative Impacts Ordinance for Chicago City Council
Plans for 2025:
- Under the Enhanced Data Collection and Analysis Program
- Rulemaking related to the EJ and Cumulative Impact ordinance
- Development of a framework for gathering quantitative data and the ongoing collection of qualitative data sourced through community engagement
Please reach out to iyana@ilenviro.org if you have any questions.