Budget Equity
Launching our first annual Equity Report!
To accompany the FY24 budget release, we released our first annual Equity Report, a status report of the City’s efforts to institutionalize equity. The FY2024 budget marks the third year we have led city departments in a Budget Equity process, and we hope this report not only captures this journey but serves as a resource to the public, the Mayor, and City Council when understanding opportunities and barriers to racial equity.
This report aims to accomplish four goals:
- Share the overall progress of the City of Chicago’s racial equity efforts
- Make strategic recommendations the City should take to accelerate improvement
- Report progress on department Budget Equity commitments from 2023 and share the new commitments for 2024
- Share trends and evaluations of departments’ Racial Equity Action Plans (REAP)
In addition to our Equity Report is the Equity Report Appendix which provides a deeper dive into department progress on FY2023 racial equity commitments and FY2024 plans.
CLICK HERE to read the Equity Report!
CLICK HERE to read the Equity Report Appendix!
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What is Budget Equity?
Budget Equity is the process by which all departments account for the progress they are making to advance racial equity, though it is not “a monetary accounting of program spend” - you will not see a complex chart with budget numbers in this report. One of the guiding equity principles is that data is a combination of numbers and narratives. The Budget Equity process is an effort to see the strategy that departments are driving behind the numbers. Budget development is also a reflective moment and is the perfect time to evaluate our departments’ work and determine how we are going to resource them moving forward. To do that in a more equitable way, we should be looking at their strategy. Understanding the “why” behind the numbers is as important as the dollar amount itself.
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Why have a Budget Equity process?
Budgets are moral documents that reflect the values and priorities of the City, but we sometimes get lost in the numbers and don’t stop to understand the “why” behind the numbers — why are we allocating resources for certain areas or work? For this reason, OERJ created a Budget Equity Process to account for the progress City departments are making to advance racial equity.
FY2024 budget marks the third year OERJ has led City departments through the Budget Equity process in partnership with the Office of Budget and Management (OBM). This work has progressed and deepened each year, and the equity analysis has become more sophisticated. OERJ developed a budget equity tool that guides departments to analyze progress, create racial equity goals, and identify how their budgets will support those goals. Outside of accountability, our goal is to offer departments the opportunity to reflect on areas of success and opportunity with the goal of advancing an equitable budget.