Chicago Teachers Union seeks to reduce property tax bill for West Loop headquarters

CTU president takes jab at Pritzker amid contract negotiations with CPS

The Chicago Teachers Union is asking for more taxpayer dollars for CPS as it attempts to negotiate big raises into a new contract. But is the union putting its money where its mouth is?

CHICAGO - The Chicago Teachers Union Foundation is seeking to significantly reduce the property tax bill for its West Loop headquarters, according to documents from the Cook County Assessor's Office obtained by FOX 32 Chicago.

The Assessor recently reappraised the value of the CTU’s building, estimating its fair market value at $19 million. However, the CTU is appealing this assessment and has hired a private appraiser who argues that the building's value should be reduced by more than half, to $9.2 million.

Based on the county's appraisal, the CTU would owe approximately $1 million in property taxes. According to the Cook County Clerk’s office, 55% of Chicago’s property tax revenue is allocated to the Chicago Board of Education. This means about $550,000 of the CTU’s tax bill would fund Chicago Public Schools. If the CTU's appeal is successful, it would cut that contribution by more than half, depriving the school district of approximately $275,000.

Chicago Teachers Union Vice President Stacy Davis Gates speaks at a downtown rally in support of the ongoing teachers strike on October 23, 2019 in Chicago, Illinois. Union teachers and school staff members are demanding more funding from the city in

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This development comes as the CTU is demanding $1 billion in additional state funding amidst ongoing negotiations with Chicago Public Schools over a new labor contract. Governor J.B. Pritzker has repeatedly declined the union’s request, reiterating on Monday that the state cannot fulfill this demand.

"I know that there are people who would like more; I’m one of them," Pritzker said. "Let’s go do that, but that’s not something that can happen immediately during their negotiation. It’s something that should be worked on every year, and I’ve done that."

Last week, the Chicago Board of Education approved a nearly $10 billion budget for CPS, which does not account for any potential raises or costs from a new labor contract with the CTU. The district will likely need to find new revenue sources once a deal is reached. Civic Federation President Joe Ferguson suggests that budget cuts may be the only solution.

"Where we have to go with all of this is a full disclosure of the overall financial situation," Ferguson said. "Which will scare the bejeesus out of everybody, because it should."

The CTU did not immediately comment on the reassessment or the governor’s statement.