What Happened to City of Chicago?

Chicago has demonstrated resilience and dynamism in the period leading up to July 2026, navigating various challenges while achieving significant milestones across several sectors. Following post-pandemic population declines, the city has seen a positive turnaround, with its population growing for the third straight year, reaching 2,731,585 as of July 1, 2025, and the wider metro area hitting 9.4 million in 2025. This growth, while slowing in 2025, has been significantly aided by international migration.

Economically, tourism has been a major driver of recovery. Chicago welcomed 56.8 million visitors in 2025, generating a record-setting $21.5 billion in visitor spending and supporting over 135,000 local jobs. This performance outpaced many other major U.S. urban destinations, with leisure hotel room demand reaching record levels. The city was also recognized as the 'Best Big City in the U.S.' by Conde Nast Traveler's Readers' Choice Awards 2024 for an eighth consecutive year. Major construction projects are underway, including the groundbreaking of the $5.7 billion Red Line transit extension in April 2026, a $1.45 billion O'Hare airport expansion, the topping out of Bally's $1.7 billion casino development in May 2026, and the start of construction for the Chicago Fire FC's $750 million soccer stadium in March 2026.

Public safety has been a central focus, with Chicago reporting a significant decline in violent crime. Violent crime fell to a more than decade low in 2025, decreasing across 88% of the city's neighborhoods, while arrest rates rose. Homicides, robberies, and aggravated batteries all reached decade lows in 2025. However, criminal sexual assault saw an increase to a decade high. The city's 2025 Litigation Report, released in June 2026, highlighted record-low Use of Force payouts and a historic $90 million global settlement for 176 wrongful conviction lawsuits related to former Sgt. Ronald Watts.

Politically, Mayor Brandon Johnson, who took office in 2023, has faced a dynamic environment. The FY2026 budget, adopted in December 2025, was a contentious process, with the City Council ultimately passing a $16.6 billion budget that rejected some of the Mayor's initial proposals, such as a corporate 'head tax.' The budget aimed to close a $1.2 billion gap without increasing property taxes, relying instead on measures like an increased 'cloud tax.' The city has also continued to grapple with the migrant crisis, which saw a peak in arrivals from Texas in late 2022 and 2023. By January 2025, Chicago implemented a new 'unified' shelter system, combining migrant and traditional homeless shelters, and ended guaranteed beds for new arrivals as the number of incoming migrants significantly decreased.

Looking ahead, the political landscape is already heating up for the February 2027 mayoral election. While Mayor Johnson has not formally announced his re-election bid, several prominent figures, including Illinois State Comptroller Susana Mendoza, U.S. Representative Mike Quigley, and others, have either announced their candidacy or are exploring a run. The Johnson administration continues to push for progressive policies, exemplified by the 'Protect Renters Ordinance' introduced in June 2026, which aims to strengthen tenant protections and regulate landlord practices. The city's ongoing legal battles, including lawsuits against Glock and Airbnb, underscore its proactive stance on public safety and consumer protection.