Chicago Public Schools’ first fully elected school board will face a difficult choice over property taxes: continue an annual increase that has helped close budget gaps, or forgo revenue as the district confronts rising costs and a $730 million deficit. More than two-thirds of the 45 candidates running for 21 seats in the Nov. 3 election said in a questionnaire they would not vote to raise taxes to the limit. That group includes two of the three candidates seeking the board presidency, according to responses reported Oct. 13. For years, property-tax increases have been a central tool for balancing CPS budgets. The district cannot raise its own revenue through another comparable mechanism, and the increases have brought in more than $100 million annually. Without the latest increase to the maximum allowed, the district’s deficit entering this school year would have approached $900 million, rather than $730 million. The board may raise its property-tax levy by up to the rate of inflation or 5%, whichever is lower, as well as account for new or reassessed property. CPS receives about half of the property taxes collected in Chicago, and its property-tax revenue has doubled over the past two decades. Special assessments established during former Mayor Rahm Emanuel’s administration contributed to that growth. Skipping an increase could also constrain future budgets. Danny Vesecky, a senior policy and research associate at the Civic Federation, said a levy increase that is not taken in one year cannot simply be added to the next year’s levy. If CPS had skipped increases in each of the past five years, its property-tax levy would now be about $500 million lower. The pressure comes as the district faces higher expenses, aging school buildings in need of repairs and increased student needs. CPS has 5,500 more special education teachers and aides than it did seven years ago. Officials have said significant cuts have already been made, and a budget director said last year that the district had exhausted much of its easiest savings. Arnie Rivera, a former CPS chief operating officer and board member, said the elected board will have to weigh voters’ concerns about property taxes against a budget in which expenses are growing faster than revenues. He also cautioned that state lawmakers could question a request for more state funding if CPS declines to use the revenue authority it already has. The three candidates for board president have laid out different approaches. Hilario Dominguez, who is endorsed by the Chicago Teachers Union, supports raising property taxes to the limit until the state provides more education funding. He warned that without the revenue, the district could face cuts and school closures. Jessica Biggs, a current board member endorsed by the union representing CPS support staff, voted for increases in each of the past two years but says she would not rely on them as president. She argues the increases are regressive and proposes cutting administrative costs and seeking more state support, including state coverage of teacher pension costs. That pension proposal may not translate directly into savings for CPS. A special property-tax levy created for teacher pensions under Emanuel could remain in place even if the state assumed those costs, leaving unclear whether CPS would see a financial benefit, Vesecky said. Victor Henderson, a defense attorney who has no union endorsement, says tax increases should not be automatic and wants a forensic audit of the district’s $10 billion budget before asking taxpayers for more. The incoming board’s decision will test whether it can find alternatives to a revenue source that has helped sustain school services while adding pressure to household tax bills.