(SPRINGFIELD) Illinois lawmakers approved the state budget early on this Monday morning in Springfield, after trudging through the night. The budget totals $55.9 billion, including an $830 million supplemental current-year spending plan, meaning the upcoming fiscal year 2027 budget is essentially flat. The measure froze corporate net operating loss and taxes on social media companies, digital assets, fantasy sports, tobacco, and sports betting on prediction market websites. The budget bill also freezes the 1.3-cent gas tax increase that was slated for July 1st, pushing it to January, and the measure also creates a sales tax holiday on school supplies from August 7th to 16th this summer. Many lawmakers were upset with no property tax relief, in fact, no Republicans in the State House voted in favor of the budget, including most all of our downstate area lawmakers. The spending plan passed the State Senate after 3:00 this morning on a 37 to 21 vote, then passed in the State House at around 4:15 this morning on a 76 to 39 vote. Some of the tax increases and revenue maneuvers included a transfer of $150 million in sales tax revenue from gas to the General Revenue Fund once public transportation is fully funded, opening that revenue up to be spent on any purpose. Also, the state plans to spend $143 million on a healthcare program for undocumented immigrant seniors who are living in Illinois illegally and another $4 million on welcoming centers that provide services to illegal immigrants arriving in Illinois. While higher education will only get a 1% increase next year, the second year in a row new funding was below the rate of inflation, the state’s K-12 Evidence-Based Funding formula will be fully funded. Plus, the lawmakers did not forget themselves as they are in line for a roughly 3% pay increase, which will bring their base salaries to $101,450 a year. The state’s largest fiscal year budget in Illinois history takes effect this July 1st, 2026.
(SPRINGFIELD) In one other bill that was approved by the General Assembly is a measure that bans employers or employment agencies from requiring job applicants to have a driver’s license, unless driving is an essential function and business necessity. House Bill 4758 is now headed to the Governor’s desk after it cleared the State Senate late last Friday. For positions that require a driver’s license, the bill mandates an explanation in the job posting why the license is needed.
(SPRINGFIELD) According to data from the U.S. Bureau of Labor Statistics and the Illinois Department of Employment Security, the unemployment rate increased in all 12 of the state’s metro areas for the year ending April 2026. Champaign recorded its th consecutive month of year-over-year job growth, although the Champaign-Urbana area’s rate increased by seven-tenths of a point, to 3.8%. The state’s rate was 5.1%, higher than the national rate of 4.3%.