State Budget

Reaction to Gov. JB Pritzker’s combined State of the State and fiscal year 2027 budget address fell largely along partisan lines as Democrats offered muted praise while Republicans dismissed his affordability message as campaign-style rhetoric.

As Illinois awaits court decisions about federal funding cuts and braces for even further cuts amid rising costs, Gov. JB Pritzker is proposing limited new spending — and yearning for “normal problems.”

The hallmark of the plan calls for fully funding pensions by 2048, rather than reaching 90% funding by 2045 like current state law calls for.

“Talking about a brand new Bears stadium when this one’s not even 25 years old, that’s insensitive to what real people are going through right now," said Illinois House Speaker Emanuel “Chris” Welch.

Gov. JB Pritzker backs the idea in principle but says it’s not a 2026 priority.

A report by the Illinois Economic Policy Institute found federal budget cuts could reduce economic activity in Illinois by $10 billion each year by 2029.

The recent suspension of federally funded food assistance for needy Americans as well as upcoming rule changes in Medicaid are presenting difficult challenges for state policymakers.

Illinois is on track to run a more than $200 million deficit just three months into the current fiscal year, according to the Governor’s Office of Management and Budget.

Illinois agencies must identify spending reductions and create reserves in their budgets to prepare for an economic downturn, according to an executive order issued Tuesday by Gov. JB Pritzker.

Gov. JB Pritzker signed Illinois’ fiscal year 2026 budget into law Monday, taking shots at President Donald Trump’s budget management to defend hard choices state lawmakers were forced to make this year.