Chicago approves $500 monthly payments to low-income households, other measures in budget

CHICAGO (WAND) - Monthly payments of $500 will be given to 5,000 low-income Chicago households as part of a $16.7 billion budget approved Wednesday. 

Due to a large infusion of federal dollars, Chicago is seeing a 30 percent increase in spending for an array of programs. The 35 to 15 vote approved the use of nearly $2 billion in federal money and closes a budget gap of $733 million, per NBC Chicago. 

Program funding involves over $200 million for fighting homelessness, $67 million for mental health programs and $31.5 million for the universal basic income effort. 

Chicago's spending plan features a property tax levy of $76.5 million. Part of this amount represents a tax increase Chicago leaders approved in 2020, which is tied in the national consumer price index. 

City budget officials said they estimate a property valued at an average rate of $250,000 will see a bump of about $38 per year. 

The property tax levy saw 18 aldermen vote against it.