SPRINGFIELD, IL (Chambana Today) – Illinois Governor JB Pritzker delivered his fiscal year 2026 budget proposal on Wednesday, calling the $55.2 billion plan “responsible and balanced” while highlighting the state’s improving financial outlook. The proposal includes a modest 3% increase in spending, with no new income or sales taxes, aiming to balance the state budget without further burdening Illinoisans.
Pritzker’s plan is based on an improved revenue forecast, but it also reflects a significant $1.2 billion reduction from the state’s previous November spending estimate. Despite the positive revenue outlook, the governor cautioned that federal policy changes under President Donald Trump could undermine state finances, including potential cuts to health care, tariffs, and food safety deregulation.
“The state budget can’t make up for the damage that is done to people across our state,” Pritzker warned, referring to the uncertainty surrounding federal policy. His proposal assumes a $173 million increase in federal funding, but much of that support hinges on federal decisions beyond Illinois’ control.
Key aspects of the governor’s budget include a reduction in spending on immigrant health care programs, including the elimination of benefits for low-income noncitizens aged 42 to 64. The plan also prioritizes funding for education, pensions, and health care costs, while proposing a flat funding allocation for early childhood grants and a reduction in asylum seeker services.
While Pritzker seeks to tighten spending, Democratic lawmakers, particularly those from the Illinois Legislative Latino Caucus, have expressed concerns about cuts to immigrant programs and the elimination of services for certain noncitizens.
The governor’s budget also includes plans for economic development, including a proposal to repurpose five shuttered state prisons into development sites and further cost-saving measures in state government. However, no new funding was allocated for public transportation, despite a looming $700 million shortfall for Chicago-area transit agencies.
As the proposal heads to the legislature, Pritzker emphasized that tough decisions would need to be made to ensure a balanced budget. “If you come to the table looking to spend more, I’m going to ask you where you want to cut,” he said.