Participatory Budgeting
Origin: Participatory Budgeting Chicago (PBC) Steering Committee
Bill Name/Number: “PB49” by Chicago Alderman Joe Moore, 49th Ward
Link: Click here
Summary: Participatory budgeting is a democratic process in which community members directly decide how to
spend part of a public budget. Chicago’s participatory budgeting process began in 2009 with Alderman Joe Moore of
the 49th Ward and has now expanded to a public-private and multi-ward project.
Talking Points & Important Information:
• While disenfranchisement is still a major issue, the inequitable distribution of government funding and services
contributes to the overall malaise of the American public. Faced with the seemingly insurmountable power of
big money and special interests, residents and citizens are throwing more momentum behind participatory
budgeting, a grassroots democratic process wherein community members directly decide how to spend part or
all of a public budget.
• There are significant variations in the institutional design and models of participatory budgeting (PB) that have
spread nationally and internationally. The most inclusive models give residents decision-making power over the
entire municipal budget and are based on neighborhood assemblies where all residents can participate and vote
on priorities. These types of models produce the best poverty reduction, declines in corruption, and extensive
participation from local residents. Smaller scale processes, which are most common in the United States and is
the model utilized in Chicago, give citizens decision-making power over a smaller portion of the budget or some
of an individual councilmember’s discretionary funds.
• Chicago’s PB process is based on individual councilmembers having unilaterally decided to engage their
constituents by using PB to spend their discretionary budgets. Notably, since officials are allocating individual
discretionary capital budgets, no new legislation is required. Instead of individual councilmembers deciding
how to spend the $1.3 million in “menu money” allocated annually to each of Chicago’s 50 council members for
capital improvements, participating councilmembers open up a public process to determine how they spend
$1M of the allotment. The remaining $300,000 is locked away for emergencies and cost overruns.
• In 2015, there are eight participating Wards and at least 20 private and community-based organizations working
in partnership on the multi-ward PB Chicago Steering Committee.
• In 2012, Vallejo, California became the first city in the country to establish city-wide participatory budgeting. For
more information on Vallejo’s PB program, click here.
2015 POLICY BOOK
LOCAL
LEVEL
PAGE 19