A study by WalletHub concluded that Chicago, IL, is one of the worst-run cities, while Oklahoma City, OK, is one of the best-run cities.
WalletHub studied the 148 most populous cities in America. It looked at six categories: financial stability, education, health, safety, economy, and infrastructure and pollution.
“The best-run cities in America use their budgets most effectively to provide high-quality financial security, education, health, safety and transportation to their residents,”
said Cassandra Happe, a WalletHub analyst. “Many of the top cities also have a very low amount of outstanding government debt per capita, which can prevent financial troubles in the future.”
Why did I choose these two cities? I’m from Chicago and live in Oklahoma City.
There are many reasons why I chose OKC over Chicago, even though the latter will always be home.
I wish the study had more details.
Chicago
Chicago ranked 137th. The bloated budgets and spending contributed the most to the ranking. What a shock.
Financial stability rank? 148. The city’s long-term debt outstanding per capita ranks 145th.
Economy rank? 126.
Chicago’s debt stands at $43,000 per taxpayer, totaling around $40 billion. That’s on top of Illinois’s debt at $42,000 per taxpayer. It’s awful:
Chicago’s accumulating debt might be bearable if the city had low taxes and therefore room to raise them and pay down some of the liabilities. But taxes in the Windy City already rank among the nation’s harshest. According to a national study, Chicago’s combined city and state taxes would
eat up over 12 percent of a U.S. median family income. The only large cities with higher proportionate taxes are Rust Belt towns with much smaller populations, such as Detroit and Newark. Chicago imposes the highest
sales tax of any major city (10.25 percent) and punishing property taxes, too.
Chicago’s taxation is also brutal on businesses. A recent study of 53 cities found that Chicago’s tax on industrial properties was nearly double the average of other cities. Chicago’s commercial property-tax rate, at more than 4 percent per year, was by far
the worst of any major city and more than twice the average.
High debt and taxes might be manageable if the city’s economic fundamentals were strong. They’re not. Chicago relied for years on commercial properties, especially downtown offices in the Loop, to power its economy and fund the city’s excesses. But those jobs are fleeing. Downtown Chicago’s office vacancy rate recently approached 24 percent, a record high. Boeing
has moved its headquarters from the Loop to Northern Virginia. These white-collar firms
will not pay the city’s higher taxes in the future; they won’t even pay their existing leases.
The cost of living and taxes have forced people out of the city. Yeah the city has 2.7 million, barely holding on as America’s third-largest city, “but it’s a quarter smaller than it was about a half-century ago.”
Those who stay in the city make way less than the national median household income. Over 50% of the residents live in poverty.
One Chicago resident left the city when it doubled her property taxes in 2023, totaling over $7,100. The property taxes went up 1,000% in 20 years!
Then again, people have been fleeing Illinois for years because of taxes and spending, and it’s corrupt.
I’m shocked Chicago ranked 45th under safety. It’s a violent city.
For some reason, WalletHub ranked OKC 70th in safety. I feel safer in OKC than Chicago!!