Third Reading Report: January 26, 2026

Illinois Legislative News

The House Convenes for 2026 Session

The House met for three days l​ast week, spending most of its time debating non-binding resolutions on federal issues such as ICE, healthcare subsidies, childcare funding cuts, and tariffs. The chamber wrapped up Thursday morning and will not return until February 17. The Senate is also on a brief break, reconvening on February 3 for three days before returning again on February 17. Legislators in both chambers have until February 6 to file bills for this session.

GOMB Releases Update on Gov. Pritzker’s Executive Order Calling on State Agencies to Withhold 4% of Appropriated Funds

Last September, Gov. JB Pritzker signed Executive Order 2025-05, which directed most state agencies to identify and reserve up to 4% of their FY 2026 General Funds appropriations as a safeguard against federal funding changes and broader economic risk. The Executive Order also directed agencies to limit non-essential spending, purchases, and travel, and to prioritize essential roles in hiring. At the time of the order’s signing, the Governor’s Office of Management and Budget (GOMB) estimated that withholding 4% of state agency appropriations would result in savings of $301M. Besides counteracting federal government changes and economic uncertainty, the 4% holdback was designed to largely offset a required $303M continuing appropriation to the State Employees’ Retirement System (SERS), one of Illinois’ five state pension funds, due to an initial FY 2025 contribution that did not meet the statutory requirement.

On Thursday, January 22, GOMB released an update on progress toward the Executive Order, including a list of state agency FY 2026 General Funds reserve targets and approved amounts. State agencies identified a combined total of $481.6M in General Funds savings from reserves under the Executive Order, exceeding the originally projected amount by $180.6M. Below is a breakdown of the savings by service area.

  • Healthcare and Human Services: $361.5M (includes $200M from HFS’ decision to forgo a planned transfer to the Healthcare Provider Relief Fund due to a lower-than-expected caseload)
  • Higher Education: $30.5M (includes withholding of Gov. Pritzker’s 2% or $25.1M discretionary funding increase to state universities)
  • Public Safety: $22.1M
  • Economic Development, Environment & Culture: $10.3M
  • Government Services: $57.2M

These savings were achieved through administrative efficiencies, staffing adjustments, lower-than-expected caseloads, and cost controls. GOMB noted in its press release that funding for pensions and K-12 education was not impacted.

Looking ahead, Gov. Pritzker is scheduled to deliver his State of the State and FY 2027 budget address on February 18, 2026. Despite stronger-than-expected revenues in the first half of FY 2026, federal cuts and annual spending growth, primarily in pensions, healthcare, and education, pose challenges the state will need to address in FY 2027.

Illinois Joins 11 States in Bid for Earlier 2028 Primary

Illinois Democrats are seeking to move the state’s 2028 primary election to an earlier date in an effort to give Illinois voters greater influence in selecting the next Democratic presidential nominee. Proponents argue Illinois’ primary should be near the front of the calendar because the state is the most demographically similar to the entire United States population, according to analysis from The Conversation in 2024. Considering Illinois’ racial, ethnic, age, gender, income, education, and occupational statistics, it is the state that compares most closely to the country overall. Proponents believe that demographically similar states have the best chance of representing the sentiments of the entire nation.

Illinois joined 11 other states in petitioning the Democratic National Committee (DNC) to hold their 2028 primaries on an earlier date to gain more influence. Currently, the Illinois primary election is slated for March 21, 2028. If the effort to move the primary earlier succeeds, this would not be the first time Illinois has moved its primary election. The state moved its presidential primary in 2008, when an earlier date helped bolster then-U.S. Senator Barack Obama’s campaign.

The petition renews speculation about Gov. JB Pritzker’s national ambitions, with some suggesting an early Illinois primary could help position him should he decide to enter the 2028 presidential race. While the DNC remains in the early stages of determining the primary calendar, party officials say the final lineup will be based on rigorous selection criteria.

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 tightens its belt by $500M ahead of budget fights and federal cutsCrain’s Chicago Business, January 22, 2026

The state of Illinois says it has come up with a nearly half-billion-dollar cushion against anticipated shortfalls and disruptions in federal funding. Gov. JB Pritzker told state agency leaders last fall to identify 4% in spending cuts.

Illinois targeted in Trump review of federal funds to Democratic statesCrain’s Chicago Business, January 22, 2026

The Trump administration has ordered a sweeping review of federal funding flowing to Illinois and 13 other Democratic-controlled states, raising fresh questions about potential disruptions to money supporting state government, local agencies, nonprofits and universities.

McCombie not in support of ‘millionaire tax,’ calls for more transparency around state spendingThe Daily Line, January 22, 2026

Illinois’ House Republican leader is again calling for more transparency around state spending as the House legislative session kicks off in Springfield.

Affordability tops Illinois House agenda this sessionWAND TV, January 21, 2026

Affordability is the top issue for Democrats and Republicans in the Illinois House this session. Welch said he wants to address homeowner insurance rates as escrow payments continue to rise. However, House GOP leaders said lawmakers can help Illinoisans by allowing people to benefit from President Donald Trump’s economic policies.

Illinois AG Kwame Raoul says state has filed more than 50 lawsuits against Donald Trump administrationABC 7, January 20, 2026

Over the past 365 days, Illinois has filed more than 50 lawsuits. The attorney general said the state is locked in a series of legal battles with the Trump administration challenging everything from federal funding freezes to “aggressive and unconstitutional” immigration enforcement tactics.

Lawmakers Return to Springfield, Some Demand FocusWLS, January 21, 2026

As the Illinois House convenes in Springfield, the Illinois Freedom Caucus is warning that Illinois families cannot afford a repeat of the political theater that dominated the Spring session in 2025.

Illinois House Republicans propose bill to make all felonies detainable under SAFE-T ActThe Daily Line, January 21, 2026

After Democratic leaders expressed they would be willing to make changes to Illinois pretrial release system, two House Republicans have introduced a measure that would include all felonies as detainable offenses.

Gov. JB Pritzker’s office inks new deal with outside lawyer to advise in Chicago Bears stadium talksChicago Tribune, January 21, 2026

Gov. JB Pritzker’s office signed a new $25,000 contract late last month with an outside attorney to continue advising the administration in negotiations with the Chicago Bears through the end of June as the NFL franchise seeks to pressure Springfield to act this spring on a proposal that would aid plans for a new stadium in Arlington Heights.

Bipartisan calls to bring no tax on tips to IllinoisCentral Illinois Proud, January 19, 2026

Some state lawmakers are hoping to pass a bill to bring “no tax on tips” to Illinois after it decided to not enact the federal policy.

2 million Illinoisans eligible for automatic sealing of convictionsChicago Tribune, January 16, 2026

An estimated 2 million Illinois residents who’ve served their sentences for nonviolent offenses will become eligible to have their state criminal records automatically sealed from public view beginning in 2029, under the so-called Clean Slate measure Gov. JB Pritzker signed into law Friday.

ICE hiring ban bill reignites SAFE-T Act fight at Illinois CapitolThe Center Square, January 16, 2026

A newly introduced bill that would bar former Immigration and Customs Enforcement agents from working in state and local law enforcement in Illinois is sparking intense debate, with supporters calling it a necessary accountability measure and critics warning it could worsen police shortages and undermine public safety.

Jury acquits Chicago man facing charge of soliciting murder of Border Patrol Cmdr. BovinoChicago Tribune, January 22, 2026

A federal jury on Thursday found a Chicago construction worker not guilty of charges he solicited the murder of Border Patrol Cmdr. Gregory Bovino, delivering a swift repudiation in a case the Trump administration had held up as evidence of violence toward immigration officials.

CTA to focus on safety, cleanliness and bus service improvements in 2026, acting president saysChicago Tribune, January 22, 2026

The CTA will focus on safety, cleanliness and improvements to bus service in 2026, its acting president, Nora Leerhsen, said Thursday.

American signals it’s not backing down in O’Hare grudge match with UnitedCrain’s Chicago Business, January 22, 2026

American Airlines is adding routes at O’Hare, rejecting United CEO Scott Kirby’s claim that the carrier is losing money in Chicago and signaling it plans to keep expanding in one of the country’s most lucrative airline markets.

Chicago zoning leadership fight enters new phaseCrain’s Chicago Business, January 21, 2026

With Mayor Brandon Johnson and the City Council yet to reach a compromise over who should lead the Zoning Committee, the acting chair took the formal step today to elevate himself to the position.

Chicago paid $26.5 million in OT to ineligible employees, report saysChicago Tribune, January 21, 2026

Chicago doled out $26.5 million in overtime in recent years to government employees who should not have gotten it, according to a report released Wednesday by the city’s inspector general.

Ald. Hopkins waters down curfew ordinance, again, to appease Mayor Brandon JohnsonChicago Sun-Times, January 21, 2026

Ald. Brian Hopkins revised his teen curfew ordinance yet again Wednesday — this time to appease Mayor Brandon Johnson — but failed to get it through the City Council amid complaints it was more like a legislative placebo.

Unwilling to make ‘a bad deal even worse,’ Mayor Johnson drops out of competition to buy back parking metersChicago Sun-Times, January 20, 2026

After submitting an undisclosed bid, Mayor Brandon Johnson quickly learned that the asking price would have been at least triple the $1.15 billion that Chicago received from the 75-year lease in 2008. The leveraged buy-out would have required the City Council to “raise parking rates year after year,” the mayor said.

Logistics company expands HQ, eyes hiring run with move to River NorthCrain’s Chicago Business, January 20, 2026

A logistics company that bolstered its Chicago headcount over the past few years has more than doubled its downtown office footprint to make room for what could be another 200 jobs in the city’s core.

Chicago weighs costly buyback of parking meter deal Crain’s Chicago Business, January 18, 2026

Mayor Brandon Johnson is considering a costly bid to take back control of Chicago’s parking meters, a move that would reverse one of the city’s most infamous deals while exposing City Hall to fresh financial and political risk.

Well-funded potential challengers already circling Mayor Brandon JohnsonChicago Tribune, January 18, 2026

A large and growing field of candidates is angling to take out Mayor Brandon Johnson, who is seen as very beatable. New campaign finance records showing a couple of likely challengers holding commanding leads in fundraising over the freshman incumbent drive home the tough battle he faces.

Special Reports

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Previous Reports

Third Reading Report: February 23, 2026

Click here to see the summary of Gov. Pritzker’s FY 2027 Budget Proposal.  Important Upcoming Dates – Statewide 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 Chicago biotechs laud Pritzker plan to expand R&D tax credits – Crain’s Chicago Business,...

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Third Reading Report: February 16, 2026

Illinois Fiscal Update: GOMB February 2026 Report Summary On February 9, 2026, the Governor's Office of Management and Budget (GOMB) released an update to its October 2025 Economic and Fiscal Policy Report, outlining potential state budget impacts from H.R. 1 (the "One Big Beautiful Bill") and Trump administration actions. Notably, these projections represent a worst-case scenario, and some of the cuts shown may not ultimately take effect. Consistent with the Pritzker administration's...

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Third Reading Report: February 9, 2026

Illinois General Assembly Bill Filing Deadline ​The Senate convened briefly last week, but most of the action was behind the scenes as members worked to finalize legislation ahead of Friday’s filing deadline. As of Friday morning, 1,060 Senate bills and 1,230 House bills had been filed since Veto Session. Now, attention will quickly shift to committee assignments and early bill movement ahead of the committee deadlines – March 13 in the Senate and March 27 in the House. Neither chamber will...

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