Chicago Public Schools budget hinges on uncertain $150 million state aid

The Chicago Board of Education approved an amended $10 billion budget that avoids more than 1,000 layoffs in Chicago Public Schools by counting on an additional $150 million from the Illinois state government for the 2026‑2027 school year. District CEO Macquline King warned that short‑term financing remains uncertain, noting the district still needs a loan to cover roughly $400 million of the $700 million required for September payroll and operations. Experts say a loan is likely but will increase interest costs. The budget dispute occurs amid ongoing claims that the state underfunds CPS and ahead of a November school‑board election, making the funding issue a potential campaign focus. While the board’s amendment preserved staff positions, the district’s ability to start school on time and meet payroll depends on securing the promised state money or alternative financing.