Article Summary
- The governor’s office won’t release details about how state agencies plan to cut spending and reserve funds weeks after their plans for doing so were due to be submitted.
- A spokesperson for Gov. JB Pritzker said the governor’s budget office is still reviewing the agencies’ recommendations.
- Republican lawmakers said Pritzker needs to be transparent about how state agencies propose reducing spending in the current fiscal year.
- Pritzker issued an executive order for the cuts over fears that the state will not have as much revenue as anticipated.
This summary was written by the reporters and editors who worked on this story.
SPRINGFIELD, Ill. (Capitol News Illinois) — Most state agencies were required to submit spending cut plans to Gov. JB Pritzker by Oct. 23, but the governor’s office has declined to release details about those plans.
A spokesperson for Pritzker said the governor’s budget office is still reviewing the proposed cuts.
“Gov. Pritzker is taking proactive steps to protect Illinois’ fiscal stability,” spokesperson Andres Correa said in a statement. “These reviews are part of ensuring the state remains on solid financial footing and can continue delivering the core services Illinoisans depend on.”
But this lack of transparency is not sitting well with Republicans, who said Pritzker needs to be open about the cuts agencies have proposed.
“I was very much looking forward to seeing where Gov. Pritzker’s agencies identified inefficiencies and excessive spending and hoped that maybe this executive order would create a slightly more efficient government,” Rep. Amy Elik, R-Godfrey, the House Republicans’ budget leader, said at a news conference Thursday.
Pritzker signed the executive order on Sept. 23 that requires most state agencies to “identify immediate spending reductions, including efficiencies that will result in reduced spending.” It also directed the agencies to reserve 4% of fiscal year 2026 General Fund appropriations.
Pritzker issued the order in response to fears that federal policies passed in the summer will reduce state revenue and require the state to spend more as economic instability grows.
Read more: Pritzker directs agencies to limit spending in response to Trump’s economic policies
A Freedom of Information request submitted by Capitol News Illinois to review what agencies submitted to Pritzker was denied, with the governor’s office saying the agencies’ responses were draft recommendations and therefore exempt from public disclosure.
State revenue is up
The General Assembly’s bipartisan Commission on Government Forecasting and Accountability’s November report shows state revenue continues to remain up so far in FY26 compared to this time in FY25. But Pritzker’s budget office released a report in October that the state is on track to run a more than $200 million deficit in FY26 – though recent legislative action could erase some of that projected deficit.
Read more: Illinois’ budget on track for deficit as new federal policies create challenges
Republicans said now is the time for the state to formulate a plan to ensure budget stability if the federal government cuts funding to the state or revenues dip.
“We’re seeing federal dollars that are no longer going to flow to Illinois based on some of our policy choices, and so as a state, we’re going to need to build up those rainy day funds, those backup plans for when we are going to have to fill in some of those gaps,” Rep. Regan Deering, R-Decatur, said.
The FY26 budget included only a 1% increase above FY25 spending, but Republicans warned back in May when it passed that Democrats were being too aggressive with spending and seeking out $700 million in new taxes to fund a spending increase.
Read more: Pritzker signs $55.1B state budget reliant on $700M of new taxes
“Now, just a few short months later, Gov. Pritzker is claiming that the very same budget he signed is not feasible and is pointing fingers at the Trump administration through politically motivated executive orders rather than solving Illinois’ problems,” Elik said.
Early mitigations
Democratic lawmakers took action during the October veto session that they hope will address the projected deficit.
Read more: Illinois bill ‘decouples’ state, federal taxes, raising revenue and angering businesses
Lawmakers voted to “decouple” state taxes from the federal tax code in certain areas to avoid revenue shortfalls because of tax changes at the federal level. The changes are still waiting for Pritzker’s approval but are expected to plug most of the FY26 shortfall.
Businesses are expected to be hit hardest by the changes, and Elik said the decision will make Illinois less competitive in retaining or attracting new employers.
(Reporting by Ben Szalinski, Capitol News Illinois)
Capitol News Illinois is a nonprofit, nonpartisan news service that distributes state government coverage to hundreds of news outlets statewide. It is funded primarily by the Illinois Press Foundation and the Robert R. McCormick Foundation.
Comments