Bailing Out Chicago Would Send a Dangerous Message

Chicago has seen better days. The city is losing residents and businesses and is digging itself deeper into debt just to maintain the status quo. Yet city officials show no intention of cutting back on spending. This crisis, however, will have nationwide implications. An unconditional bailout will signal to other fiscally mismanaged cities that their irresponsibility can be rewarded. At its core, Chicago’s fiscal problems are straightforward. For decades, the city has committed itself to unsustainable spending levels. While its ridership is declining, the Chicago Transit Authority (CTA) is flush with funds thanks to sales tax and driver fees. Chicago...