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Chicago to Borrow $283.3M to Clear Police-Misconduct Lawsuit Backlog — Taxpayers Could Face $52M in Interest

Mayor Brandon Johnson says Chicago will borrow $283.3 million to tackle a mounting backlog of police-misconduct lawsuits, with interest projected at about $52 million over five years. The city has already spent at least $285.3 million in 2025 on settlements and judgments — more than three times its usual annual budget for such payouts. Critics contend that settling claims while still funding defenses for some officers raises accountability concerns as legal costs climb.

12:32 PM, 12/02/2025Politics
Chicago to Borrow $283.3M to Clear Police-Misconduct Lawsuit Backlog — Taxpayers Could Face $52M in Interest

Mayor Brandon Johnson announced that the City of Chicago will borrow $283.3 million to address a growing backlog of police-misconduct lawsuits. Officials estimate the borrowing could cost taxpayers roughly $52 million in interest over the next five years.

The announcement comes as the city has already paid at least $285.3 million in 2025 on settlements and judgments — more than three times its typical annual allocation for these payouts. City leaders say the borrowing is intended to accelerate payments and reduce the backlog that has accumulated over several years.

What this means for taxpayers

Borrowing to cover legal liabilities spreads the immediate expense over time, but it increases the total cost because of interest. The up-front relief for the city's budget may come with a longer-term obligation for residents who will ultimately fund debt service through municipal revenues.

Accountability concerns

Critics argue that simultaneously settling claims while continuing to spend money defending some officers in ongoing cases undermines accountability. They say the approach may prioritize short-term fiscal fixes over systemic reforms that could reduce future litigation and costs.

The decision highlights a larger debate about how cities should balance fiscal management with transparency and accountability in policing. As legal costs rise, policymakers and the public will be watching how the city proceeds with both financial and reform strategies.

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