>> Mayor Brandon Johnson's budget proposal suffered a stinging defeat today.

A key city panel failed to advance his plan to impose more than 600 million dollars in new taxes on the wealthiest Chicagoans and largest firms.

>> But after the blow to mayor struck a defiant tone in front of reporters.

>> We stand by our budget proposal.

There are not any magic 3rd options between cut stuck or services and layoffs and revenue.

Anyone who wants to prevent pretend otherwise is being disingenuous.

>> Or Heather?

Sharon joins us now with more.

Heather.

So it's a confusing day at City Hall break down.

What happened today in the council's finance committee?

Well, despite concerns that Mayor Brandon Johnson hadn't done enough to win support for his budget proposal, he scheduled 2 key votes today and then scrambled.

When it was clear he didn't have the votes to send the package to the city Council for a final vote.

His allies tried to delay the vote, which is what you do when you don't have the votes.

But his opponents insisted on holding a vote in the Finance committee handing the mayor a stinging defeat on his tax revenue just heard from a defiant Mayor seeking to reframe the budget debate.

>> What does he want to focus on?

The city has a 1.2 billion dollar budget deficit.

He says it comes down to whether it's going to working class Chicagoans or what he calls the ultra rich, who will bear the burden of filling that gap.

>> He wants to tax the ultra-rich he says there are other good options left for the city.

>> So at the same Johnson is refusing to back down from his head tax proposal.

He ruled out several other ways that could generate and new revenue to borrow the budget or slash spending as options.

What did he say was off the table?

He says he will veto a budget proposal that raises property taxes.

Reimpose is the grocery tax or increases.

Garbage is now that really leaves the city with no good options to fill the budget get except that corporate head tax which fiercely opposed by many on the city council in Chicago's entire business community.

But he also real doubt ruled out making cuts to the Chicago Police Department, which has a 2.1 billion dollar proposed budget for 2026. budget director.

And that Guzman said today.

There's no way to make significant cuts to the city's budget without touching CPD.

And if that's off the table, too, there are not many options good or otherwise left for city officials are quite a few options that are off the table.

So what if he's proposed spending plan?

Also bar to cover the soaring cost of lawsuits alleging Chicago police officers committed a wide range of misconduct.

How much is the city set to borrow and what will it cost to pay off that debt in all the mayor's budget proposal borrows 283 million dollars to resolve those lawsuits.

And the plan calls for that money to be paid back over the next 5 years, which means we'll likely tack on another 52 million dollars interest costs to that bill.

Now again today the mayor said that it's the prudent thing to do.

>> To get these lawsuits resolved in off the city's liabilities.

essentially and he's not.

said he's going to crack down on officer misconduct with a new system that has been required by the consent decree that federal court order.

I talk so much about for 6 and a half years.

Yes, yes.

What's next, Well, the City Council's finance committee isn't going to come back until after Thanksgiving when they will face all of these same problems.

But perhaps a little more turkey filled by the end.

But no good options.

And a looming deadline and they have until December 30th to figure it all this happened last year.

I think we were hoping we can avoid it this year.

No such luck.

No, such luck had a Sharon.

Thank you.

Thanks.

Brandis.