Inside the initial costs for the Democratic National Convention in Chicago
Rachel Schilke
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Democrats are preparing for the 2024 Democratic National Convention in Chicago and are expecting to draw thousands of visitors to an event that will require millions of dollars in expenditures.
The Chicago convention will be hosted from Aug. 19-22 and is expected to draw 5,000 to 7,000 delegates and alternates and bring about 50,000 visitors to the Windy City. It is projected to rake in anywhere from $150 million to $200 million for Chicago’s economy.
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A breakdown of sponsorship levels indicates that sponsors can contribute anywhere from as low as $100,000 to as high as $5 million. A $5 million contribution comes with two lower-level suites with 12 to 24 seats each, as well as credentials for each convention session and 40 premium hotel rooms.
Several high-profile and big-money corporations are expected to attend the biggest Democratic Party event before the 2024 election. The city is waiting as President Joe Biden, the party’s front-runner, is expected to approve the DNC CEO. The CEO will be in charge of the day-to-day operations.
Illinois and DNC officials are already looking at ways to finance the convention.
Gov. J.B. Pritzker (D-IL) said in April that the state plans to stick to a budget of over $80 million for the convention. He previously promised in March, before the city was selected, that Chicago has a “strong fundraising community” and that the convention will “not create any debt” for the DNC, Chicago, or Illinois.
Federal funds do not usually cover conventions besides security, which is provided by the Secret Service through a federal grant for as much as $50 million. The grant is used, among other things, to pay for additional police presence.
The Illinois congressional delegation has already sent a letter to the Department of Homeland Security asking for an increase in the security grant for the convention from $50 million to $75 million, according to Politico.
Without the help of federal funds, money for the convention will likely come from Pritzker himself and other local Democratic fundraisers and philanthropists. A $30 million line of credit was closed on with the city of Chicago and the Amalgamated Bank in New York, Politico reported.
The Chicago Federation of Labor, whose members will transform the United Center into the convention space, is working with the Democratic Party to lock down an agreement within weeks — a step away from the norm, as previous conventions have not settled labor agreements until months before the convention.
So far, if the DNC receives $75 million for security, combined with the $80 million budget, Chicago could be looking at a $155 million convention.
In 2016, when Hillary Clinton was the Democratic nominee, Philadelphia set the budget at $86 million. Most of the money was raised from the Democratic National Convention Committee 2016 and the Philadelphia 2016 Host Committee, both relying primarily on private donors. The two committees raised nearly $67 million to meet the budget.
Combining the city’s budget of $86 million with a federal security grant of $43 million, the total cost in 2016 amounted to nearly $129 million. The event generated a total economic impact of $230.9 million for Philadelphia, per the city auditor.
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The 2016 Republican National Convention cost about $114 million, for comparison, according to the Fiscal Times.
The 2024 convention is likely to highlight the importance of the Midwest’s “Blue Wall” states — Illinois, Wisconsin, Michigan, and Minnesota. All the Democratic governors were reelected during the 2022 midterm elections. It will also display the successes of Biden’s agenda and job performance.