Mayor Brandon Johnson’s innovative plan to confront Chicago’s affordable housing crisis hit a roadblock Wednesday, despite frenzied negotiations that satisfied one of the mayor’s powerful union allies.
The American Federation of State, County and Municipal Employees Council 31 embraced the so-called “green social housing” ordinance after Johnson agreed to job protections for AFSCME members concerned that their jobs could be privatized.
However, the City Council’s Housing and Finance Committees voted 19-17 to hold the measure in committee.
The primary concern this time was ethics, transparency, and oversight of the city-owned nonprofit housing developer that would be created to issue $135 million in loans to developers who build affordable housing and sell their environmentally-friendly buildings back to the city.
An eleventh-hour amendment to the measure declared that the “Residential Investment Corporation” be regarded as a contractor compelled to cooperate with the city’s inspector general’s office and respond to the watchdog’s subpoenas.
Critics, however, argued that this change did not go far enough.
“Who do you have a fiduciary duty to — the nonprofit or the city or both? And which one wins the jump ball?” questioned Ald. Brendan Reilly (42nd), a vocal critique of Johnson’s administration.
Reilly expressed that while he would love to support the green social housing ordinance, he believed it should not be rushed.
“Whenever this body rushes something, we get it wrong. We owe it to the public to take more time,” he stated, emphasizing the need for careful consideration.
“I’m glad you worked out your differences with AFSCME, but that’s only half the job. Call us back when the good work has been done.”
Inspector General Deborah Witzburg has previously clashed with the Johnson administration on various ethics issues.
She noted that characterizing the nonprofit as a contractor helped clarify her ability to issue subpoenas but raised concerns about the compliance of the city’s ethics ordinance.
“I’m not sure how we would go about enforcing fiduciary duty on both sides of the transaction,” Witzburg said, questioning the status of nonprofit board members as “contractors or officials or employees.”
Despite the delay, Johnson did not apologize for his attempt to expedite the complex housing ordinance through a somewhat skeptical City Council.
“I’ve made a commitment to repopulate the city of Chicago with working people,” Johnson asserted.
He continued, “I’ve also made a commitment to make sure that the people who love this city don’t get priced out. That’s the goal here.”
While the ordinance is expected to eventually pass after more adjustments, the delay was a setback for Ald. Leni Manaa-Hoppenworth (48th), a key proponent of the proposal to accelerate the construction of housing with a minimum of 30% of income-restricted affordable units.
Rent paid on the units and the loans being repaid to the city would help fund the program’s self-sustainability.
“We have to move forward to help our housing crisis now. We can’t wait,” Manaa-Hoppenworth declared, highlighting the urgent need for affordable housing amid ongoing struggles.
She added, “We have too many people who have been struggling — not just today, but for many years — and we don’t see a future in sight in which my own kids can afford to live in the neighborhood they grew up in.”
Manaa-Hoppenworth also pointed out that 51% of Chicagoans spend more than 30% of their income on housing, stressing, “This is a new way to unlock an abundance of housing. It’s what we want. It’s what we need.”
Ald. Mike Rodriguez (22nd), who chairs the Council’s Committee on Workforce Development, expressed that the budget-cutting measures initiated by President Donald Trump’s senior adviser Elon Musk necessitate that Chicago must take independent steps.
Rodriguez emphasized that timing is critical, particularly in light of fluctuating tariffs and their potential impact on construction material costs.
“I don’t know how many times I’ve heard from my colleagues that their projects are slowed up or in a bureaucratic mess,” he remarked.
He expressed hope that this new entity would facilitate the fast-tracking and streamlining of affordable housing developments, emphasizing the need for progress in addressing the housing crisis.
image source from：https://chicago.suntimes.com/city-hall/2025/04/16/mayor-brandon-johnsons-green-social-housing-initiative-afscme
