SPRINGFIELD, Ill. (WAND) — Gov. JB Pritzker introduced a $52.7 billion spending plan for Fiscal Year 2025 Wednesday. If approved by lawmakers this spring, his proposal would be the largest budget in state history. Pritzker told lawmakers and distinguished guests at the 2024 State of the State and Budget Address that he is prioritizing education, human services and health care.

"I love living in Illinois and spending every day working to improve the lives of our residents," Pritzker said. "In a world seemingly filled with chaos, it's a privilege to be tasked with bringing stability and progress."

The governor's FY25 spending plan features over $400 million for the second year of his Smart Start Illinois program to help even more young children get into preschool. Half of the investment could help raise wages and recruit for the early childhood workforce.

Pritzker's budget also invests $350 million for the evidence-based funding model helping K-12 schools. He noted that the state's teacher pipeline has already helped bring nearly 5,400 new teachers to 170 school districts across the state.

"Teachers are the single most important investment we can make in our schools," Pritzker said, followed by a standing ovation. "So, I propose we invest another $45 million in the teacher pipeline, bringing thousands more educators into the field." 

The Democrat hopes to help many Illinois families by permanently eliminating the state's 1% grocery tax as well.

"It's good that the governor is finally taking the side that we've been on for several years now," said Sen. Steve McClure (R-Springfield). "It needs to be eliminated. People are really struggling to pay their bills right now. And this small grocery tax is unnecessary."

Many people may remember that the Illinois grocery tax was suspended from July 1, 2022-June 30, 2023. Pritzker provided the temporary tax relief through the Fiscal Year 2022 budget.

The Pritzker administration is also calling for a child tax credit for families with kids under 3. Eligible families could receive 20% of the taxpayer's state earned income tax credit. The Governor's Office of Management and Budget estimates the new tax credit to cost the state roughly $12 million.

Comptroller Susana Mendoza told WAND News this is the best budget proposal she has seen in 23 years of public service.

"Going into a year that is a tougher year than the years we've seen the last three to four years, I was worried about the fact that we would see additional new spending that wasn't necessary," Mendoza said. "This budget was flat essentially. The areas where you see growth in it are areas where we absolutely need."

State of the State

Gov. JB Pritzker provided his 2024 State of the State and Budget Address in Illinois House chamber on February 21, 2024.

Yet, Republican lawmakers said Illinois families could be impacted by roughly $800 million of revenue from tax increases on corporations and sports betting among others. One option could reduce the standard exemption for personal income taxes to provide the state roughly $93 million from taxpayers. GOP members said the sanctuary state policy has led to unchecked spending and more tax increases.

"On one hand, oh we're gonna give you grocery tax relief," said Sen. Chapin Rose (R-Mahomet). "But then, there's actually an income tax increase in here which is like putting money in your right pocket and taking out of your left pocket. There's a billion dollars worth of tax increases on the families of this state. So, who's paying for this illegal immigrant crisis? It's the working people in this state."

The governor wants lawmakers to approve $182 million more to help address the migrant crisis in Chicago. That is roughly half of an agreed spending plan with the Cook County Board President to ensure migrants continue to have a welcoming center and housing.

"Children, pregnant women, and the elderly have been sent here in the dead of night, left far from our designated welcome centers, in freezing temperatures, wearing flip flops and T-shirts," Pritzker stressed. "Think about that the next time a politician from Texas wants to lecture you about being a good Christian."

Pritzker did not shy away from taking jabs at Texas Governor Greg Abbott or Republican members of Congress. He noted that Congress recently had an opportunity to pass bipartisan immigration reform, but former president Donald Trump told his allies to kill the plan in order to help him gain more support for the 2024 presidential election.

"Listen, maybe some of you think we should just say this is not our problem and that we should let the migrant families starve or freeze to death," Pritzker added. "But that's not what decent Midwesterners do. That's not what leaders do." 

Rep. Blaine Wilhour (R-Beecher City) joined the Illinois Freedom Caucus and many other Republican lawmakers in condemning Pritzker's comments and the proposed spending for new arrivals. Wilhour said Illinois families deserve every bit of state funding.

"Seniors can't afford health care and prescriptions, but we're more than happy to give all this stuff to illegal immigrants," Wilhour said. "It's typical. The governor's priorities are completely out of whack."

Pritzker also wants to invest $4.4 million to the Illinois Department of Public Health to create an action plan addressing the state's maternal mortality rate. The governor requested over $10 million to identify gaps in services and $5 million to expand the state's home visiting program.

"We have areas in the state where especially Black women are dying at higher rates than in some third world countries," said Sen. Doris Turner (D-Springfield). "That should not be the case with the advanced health care that we have in our state."

The governor also called for lawmakers to provide $10.1 billion to fully fund the annual required pension contribution. Pritzker administration leaders expect to have a budget surplus of $298 million and $170 million set aside in the budget stabilization fund. 

The Governor's Office of Management and Budget explained Pritzker hopes to eliminate $4 billion of medical debt for 1 million Illinoisans over the next four years. Pritzker plans to use $10 million to eliminate $1 billion of medical debt for the first 340,000 Illinoisans this spring. 

20.5% of the spending plan could help the state provide social services, including a $50 million boost for the Home Illinois program. Pritzker said he is committed to ending homelessness in Illinois by providing crisis response services and expanding housing. His plan includes more than $181 million to support unhoused people seeking shelter and services. There is also $42 million to maintain funding for current supportive housing and $25 million for short-term rental assistance and targeted support services.

"Underlying Home Illinois is the belief that this state values the dignity of human life and the universal right to a safe home," Pritzker stressed. "Not so with all states."

WAND News will cover budget negotiations over the coming months. The Illinois General Assembly is scheduled to adjourn on May 24. 

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