Illinois General Assembly Back in Session
The Illinois General Assembly returned to Springfield last week. The Senate met briefly on Tuesday and Wednesday, although they conducted no substantive business. The Senate adjourned until February 3, leaving a quiet few weeks ahead. The House is scheduled to come back on Tuesday January 20th, which will mark its first session day of the year. Since the end of veto session, 117 bills have been filed in the Senate and 278 bills in the House, numbers that are expected to quickly rise ahead of the February 6 bill‑filing deadline.
Federal Mental Health and Addiction Grants Briefly Terminated and Reinstated
Late on Tuesday, January 13, the Trump administration sent hundreds of termination letters for $2B in federal grants supporting the mental health and drug addiction system. The cuts pulled back funding for a wide swath of discretionary grants representing about a quarter of the Substance Abuse and Mental Health Services Administration’s (SAMHSA) overall budget, on the grounds that the grants do not align with Trump administration priorities. SAMHSA cuts come in the wake of upcoming cuts to Medicaid funding that will take effect in FY 2028 that will also affect many mental health and addiction providers.
Many organizations in Illinois impacted by the SAMHSA cuts were surprised by the lack of communication and the massive loss of front-line capacity. In Illinois, the impact ranges from ceasing to provide peer recovery services to a decrease in naloxone distribution. For example, the Haymarket Center, the largest nonprofit addiction treatment program in Chicago, lost a grant to help unhoused people in substance rehabilitation obtain job training, which is what the Trump administration requires for Medicaid and SNAP recipients.
Following the announcement of cuts, Congressmembers on both sides of the aisle urged the White House and the U.S. Department of Health and Human Services officials to reverse course. Facing strong opposition, the Trump administration restored the terminated grants one day later on Wednesday, January 14. While the funding cuts were short-lived, the organizations they impacted will remain panicked about the potential for future sweeping cuts at a moment’s notice.
Trump Administration Threatens Funding Cuts to Sanctuary States and Cities
U.S. President Donald Trump stated on Tuesday, January 13, that he plans to deny federal funding to any sanctuary cities and states beginning February 1, arguing that such jurisdictions “protect criminals” and contribute to fraud and crime. Illinois is considered a sanctuary state under the TRUST Act, which restricts local police from detaining individuals solely based on immigration status or in response to ICE requests unless a criminal warrant is signed by a judge.
In 2017, the first Trump administration issued an executive order to halt funding to sanctuary jurisdictions. A federal district court in California ruled the order was unconstitutional on multiple grounds: violating the Tenth Amendment, prohibiting the federal government from commandeering state and local officials to carry out federal duties; the Fifth Amendment, guaranteeing the right to due process; the Spending Clause, limiting how federal funds can be conditioned; and the separation of powers doctrine. Since then, when the Department of Justice attempted to add immigration‑related conditions to certain federal grants, multiple federal courts held that those conditions exceeded statutory authority and violated the Spending Clause and anti‑commandeering limits.
The State of Illinois FY 2026 General Funds budget estimates approximately $3.75B in federal funding in FY 2026. The City of Chicago also expects to receive over $3B in federal funds in 2026, with Chicago officials stating the latest threat could affect funding for public health, transportation, and public safety. Since many federal grants contain broad discretionary language, agencies such as the U.S. Department of Transportation could halt funding for Chicago projects without penalty. Both Chicago Mayor Brandon Johnson and Gov. JB Pritzker stated that they will challenge the policy in court if it moves forward.
Important Upcoming Dates – Statewide
February 6 – Bill Introduction Deadline
February 18 – Governor’s State of the State and Budget Address
March 13 – Initial Chamber Committee Deadline (Senate)
March 27 – Initial Chamber Committee Deadline (House)
April 17 – Initial Chamber Third Reading Deadline
May 8 – Opposite Chamber Committee Deadline
May 22 – Opposite Chamber Third Reading Deadline
May 31 – Adjournment
In the News
Illinois wage inequities improve slightly, persist despite transparency efforts: report – Capitol News Illinois, January 15, 2026
Analysis of wage and demographic data from Illinois businesses shows some improvement, but inequity remains.
Eye On Illinois: State constitution empowers elected officials to help choose their replacements – Shaw Local, January 15, 2026
Two weeks from today will be Mary Jane Theis’ final shift as a member of the Illinois Supreme Court. Theis, a Chicago Democrat, is 76 but had another seven years on the decade-long stint she secured in a 2022 retention election.
New IL law requires annual report on prison hospice care – WAND TV, January 15, 2026
A new law requires Illinois to report data on hospice care available for prisoners. Supporters say the law will bring dignity, transparency and compassion to people dying within the state’s correctional facilities.
Top Democrats say they would consider small changes to Illinois’ SAFE-T Act – Capitol News Illinois, January 14, 2026
Some of Illinois’ top Democrats say they’re open to considering targeted changes to Illinois’ controversial SAFE-T Act this spring if a forthcoming judicial report says they’re needed.
Editorial: A Supreme Court ruling has put Illinois’ wetlands at risk. Springfield should respond – Chicago Tribune, January 15, 2026
Following the U.S. Supreme Court’s ruling in Sackett v. EPA, which significantly narrowed federal protections for many “isolated” waterways, Illinois must enact its own state-level legislation to safeguard its remaining wetlands from development and ensure critical flood control and water filtration for its communities.
US Supreme Court says GOP congressman can challenge Illinois’ mail-in voting law but more legal fights remain – Chicago Tribune, January 14, 2026
The U.S. Supreme Court ruled Wednesday that veteran downstate Republican Rep. Mike Bost has standing to pursue a federal lawsuit challenging the constitutionality of Illinois’ election law that allows mail-in ballots postmarked or certified by Election Day to be counted up to 14 days later.
Illinois Supreme Court hears oral arguments in case asking what counts as ‘working hours’ under Illinois Minimum Wage Law – The Daily Line, January 14, 2026
The Illinois Supreme Court heard oral arguments Tuesday in an ongoing lawsuit between Amazon and two of its former employees asking if Illinois employees should be paid for time spent getting COVID-19 screenings.
Pritzker said insurance bill likely to come back during spring session, infrastructure talks with Bears continue – The Daily Line, January 14, 2026
As Illinois lawmakers returned to the state capital Tuesday, Gov. JB Pritzker again called for measures to increase transparency from the insurance industry and said talks continue with the Chicago Bears about infrastructure needs for their stadium project.
Secretary of State’s office adds Saturday hours for REAL ID rush, with almost half of Illinoisans covered – Chicago Sun-Times, January 14, 2026
The Illinois Secretary of State is launching Saturday hours at its downtown Supercenter to accommodate more residents trying to obtain REAL IDs before next month’s federal deadline to avoid fees at the airport.
Lawmakers focus on cost of living, balanced budget as session resumes – The Courier, January 13, 2026
Illinois lawmakers are heading into the second year of the 104th General Assembly in Illinois this week. The Illinois Senate got started on Jan. 13. The Illinois House of Representatives begins session on Jan. 20.
A big budget test looms in Springfield – Crain’s Chicago Business, January 13, 2026
To the surprise of many, legislators managed last fall to mostly clear the decks of two thorny, long-simmering issues that consumed much of the collective bandwidth in the Capitol: energy and mass transit.
Illinois House speaker pushing for new millionaire tax with looming $2.2B budget deficit – ABC7 Chicago, January 12, 2026
Illinois House Speaker Emanuel “Chris” Welch is pushing for a new tax on millionaires as the General Assembly gets ready to return to work in Springfield next week.
Harmon preps for new Senate year – Capitol City Now, January 12, 2026
With senators returning to Springfield Tuesday, and representatives a week from Tuesday, Don Harmon (D-Oak Park) begins his seventh year as president.
Illinois lawmakers return to Capitol facing $2.2B budget gap while pushing election-year affordability message – Chicago Tribune, January 11, 2026
In an election-year General Assembly session where what won’t pass will likely be as telling as what might, Illinois lawmakers return to the Capitol facing a familiar but narrowing path: avoid politically radioactive fights, plug a more than $2 billion budget hole and sell voters on a single unifying theme Democrats are leaning on from Washington to Springfield — affordability.
Constitutional concerns raised over Illinois’ first civil hate crime case – The Center Square, January 10, 2026
A former Illinois attorney general candidate says the state’s first civil hate crime lawsuit, while based on “horrendous” conduct, sets a troubling precedent by allowing the attorney general to punish criminal behavior through civil fines that may exceed constitutional limits.
Judge temporarily blocks Trump administration from freezing child care funding in Illinois, 4 other states – Chicago Sun-Times, January 9, 2026
The temporary ruling comes a day after Illinois and the four other Democrat-led states filed a lawsuit against the Trump administration over the federal government’s intention to freeze funding for social services programs in the states.
Illinois AG says National Guard case should be resolved in its favor following Supreme Court ruling – Chicago Tribune, January 9, 2026
Calling a recent U.S. Supreme Court ruling a “straightforward path” to a legal victory, lawyers for the state of Illinois said Friday they hope to quickly resolve ongoing litigation over President Donald Trump’s controversial efforts to deploy National Guard troops to the Chicago area to bolster immigration enforcement.
Illinois lawmaker tries again to make Ski the official state soda – The Intelligencer, January 9, 2026
Republican Charlie Meier, who represents the Illinois House of Representatives 109th District, has submitted Illinois House Bill 4318 to officially designate the drink, which is bottled in Breese, Illinois and several other locations in the U.S., as Land of Lincoln’s soda.
Pritzker, Illinois House Speaker Welch open to tweaking SAFE-T Act – Chicago Sun-Times, January 9, 2026
Chris Welch says he wants to hear what a committee formed by new Cook County Chief Judge Charles Beach has to say later this month about electronic monitoring.
Plan Commission approves Near West Side apartment development in old Universal Overall building, new mixed-use Foundry Park development – The Daily Line, January 16, 2026
The Chicago Plan Commission on Thursday approved a proposed planned development application on the Near West Side and a proposed planned development amendment to accommodate the development of a site along the north branch of the Chicago River into multiple residential and commercial uses.
Mayor Johnson budget defeat, other challenges threaten reelection chances – Chicago Sun-Times, January 15, 2026
The unprecedented stalemate that saw opposition City Council members reject the mayor’s proposed corporate head tax and pass their own city budget is only part of the reason Johnson is in danger of becoming a one-term mayor.
Chicago’s tax on Downtown hotel rooms could rise to 19%, nation’s highest, to boost tourism – Chicago Sun-Times, January 14, 2026
The tax on Downtown hotel rooms may soon rise to 19% — the highest in the nation — to generate $40 million in new revenue to attract conventions and tourism and fend off competitors bad-mouthing Chicago. Three years after the Illinois General Assembly authorized the concept, the City Council’s Finance Committee finally took the first major step forward, scheduling a public hearing on the so-called, “Tourism Improvement District” for Feb. 27 in the Council chambers.
O’Hare, Midway exploring sale of naming rights and sponsorships — Chicago Sun-Times, January 14, 2026
Mayor Brandon Johnson’s administration is testing the waters on the idea of selling naming rights and sponsorships at Chicago’s two major airports. The so-called “request for information” is just a preliminary step to see whether there is a market for companies willing to pay to sponsor or slap their names on everything from the O’Hare people mover system and airport concourses, garages and parking lots to shuttle buses, bus stops and children’s play areas.
Johnson, Pritzker vow to take Trump admin to court over threat of funding loss — NBC 5 Chicago, January 14, 2026
Chicago Mayor Brandon Johnson and Illinois Governor J.B. Pritzker vowed to fight the Trump administration in court after President Donald Trump said he’s going to cut off all funding to sanctuary cities starting Feb. 1.
Downtown office vacancy ended 2025 at another record high – Crain’s Chicago Business, January 14, 2026
Downtown office vacancy hit a record high for the 14th straight quarter at the end of 2025, capping a year that showed signs of leasing stability but failed to reverse the post-pandemic real estate crisis infecting the city’s urban core.
Nearly a year after asphalt spill in Chicago Sanitary and Ship Canal, EPA criticized for leaving cleanup unfinished – Chicago Tribune, January 14, 2026
Nearly a year after a toxic asphalt spill in the Chicago Sanitary and Ship Canal, state and local officials and environmental advocates say the U.S. Environmental Protection Agency ended the cleanup effort before it was completed.
As mayor touts lower crime, community groups say lack of funding jeopardizes the trend – Chicago Sun-Times, January 14, 2026
Mayor Brandon Johnson credited community groups in a South Side police district for contributing to a 53.9% decrease in homicides last year compared to 2024. But one of those group’s leaders, who recently had to lay off staff, told the mayor: “We need proper funding … [to] keep the work going.”
Trump administration hit with federal lawsuit over ‘occupation of Illinois and Chicago’ – Chicago Sun-Times, January 12, 2026
The new lawsuit makes claims about the feds’ capture of biometric data, warrantless arrests, immigration enforcement at “sensitive locations” like courthouses and schools, the swapping of license plates and trespassing on private property.
Todd Smith helped bring down Chicago’s biggest drug traffickers. Now he’s running the DEA here – Chicago Sun-Times, January 12, 2026
Smith, 46, became special agent in Chicago of the DEA’s Chicago field division this month. Margarito Flores, one of the traffickers Smith busted, says of him: “I have nothing but respect.”
Former Mayor Lori Lightfoot sued over credit card debt – Chicago Tribune, January 12, 2026
Lightfoot was served in October at her Chicago home with a lawsuit from JPMorgan Chase Bank for allegedly failing to pay about $11,078 in bills, according to a copy of the complaint filed in Cook County Circuit Court.
Who Will Be Chicago’s Next Mayor? – Chicago Magazine, January 12, 2026
As Brandon Johnson flails, speculation turns to who might succeed him. A year out from the election, we analyze the potential field.
Chicagoans protest in wake of ICE shootings in Minneapolis and Portland – Chicago Sun-Times, January 10, 2026
“ICE out now,” protesters shouted Saturday in Edgewater and the Magnificent Mile following the shooting death of Renee Good in Minneapolis and the shooting of two others in Portland, Oregon. They also called for an end to U.S. intervention in Venezuela.
CPD Must Stop Helping Federal Agents ‘Terrorize’ Chicagoans, Dozens Tell Police Oversight Board – WTTW, January 8, 2026
Chicago Police Department officials must stop helping federal agents carrying out aggressive immigration raids across the city, dozens of Chicagoans told the police oversight board Thursday evening.
