Chicago City Workers Owe $19.5 Million in Unpaid Debt as Enforcement Lags Across Sister Agencies

Over 12,000 Chicago city workers owe $19.5 million in unpaid tickets and bills. Despite garnishment laws, more than half have no payment plans in place.

By: AXL Media

Published: Apr 4, 2026, 5:52 AM EDT

Source: Information for this report was sourced from the Chicago Sun-Times

Systemic Failure to Collect Debts from Municipal Payrolls

A significant portion of Chicago’s uncollected revenue is tied to the very individuals tasked with maintaining city operations. Records indicate that 12,761 employees of the city and its sister agencies, including the Chicago Transit Authority (CTA) and Chicago Public Schools (CPS), collectively owe more than $19.5 million. These debts stem from a variety of infractions, including building code violations, delinquent water bills, and automated traffic tickets. Despite the city’s legal authority to garnish up to 25% of an employee’s paycheck, a recent analysis found that the majority of these workers continue to receive full pay without any formal debt-resolution measures in place.

Hiring Policies Ignore Financial Delinquency at CPS and CTA

The bulk of the outstanding debt is concentrated within two major agencies, with CPS and CTA employees accounting for nearly $15.7 million of the total. Both organizations have defended their hiring practices, stating that a candidate’s debt to City Hall is not a factor in employment decisions. CPS officials emphasized that their priority remains the qualifications and experience of educators, arguing that denying employment based on debt would prevent individuals from gaining the means to repay their obligations. Similarly, the CTA noted that it cannot legally deduct city debts from paychecks without a specific court order for garnishment or voluntary consent from the employee.

Extreme Cases Highlight Oversight Gaps and Errors

The list of debtors includes several extreme cases that illustrate the complexities and occasional inaccuracies of the city's tracking systems. One substitute teacher currently owes nearly $200,000, primarily due to building code violations on multiple properties, yet remains on the payroll at $24.82 an hour. Conversely, a CTA worker was flagged for $136,000 in fines for offenses allegedly committed while he was serving a 20-year federal prison sentence. This likely case of mistaken identity underscores the administrative hurdles the Finance Department faces as it attempts to reconcile decades of records with current payroll data.