Prairie State Wire

Gov. J.B. Pritzker announced his budget proposal this week – a proposal that does not increase taxes across-the-board but does include a plan to end corporate tax loopholes. 

"I began working on next year's budget by taking executive action to make cuts this year that will have the least impact on services while preventing the need for additional revenue from hardworking families," Pritzker said today in his budget address, which was streamed online.

Pritzker’s 2022 general fund budget involves spending $1.8 billion less than the fiscal year 2021, which reflects $400 million in additional cuts to appropriations, a hiring freeze, flat operational spending, full required pension payments, and the closure of corporate tax loopholes that will be negotiated with the Illinois General Assembly.

“In addition to the budget committee, I've spoken with members and committee chairs of the General Assembly and incorporated their ideas, like cutting corporate loopholes that force the middle class to pay more,” Pritzker said. “Compromise, hard work and a willingness to make tough decisions is going to be required of all of us. I enter the process of negotiation with an open mind. I have only one hard and fast rule - we aren't going to treat people who have been decimated by this pandemic as roadkill. Those most in need in our most desperate times deserve our help, and we cannot fail them.” 

In delivering the address on Springfield’s State Fairgrounds, Pritzker blasted Republicans in the General Assembly for allegedly failing to submit proposals on how to close the budget deficit.

“I was met with silence,” Pritzker said. “Apparently their idea of bipartisanship ends when hard choices must be made. I won't pretend that these tough decisions don't have a human impact because we are operating within one of the most bare-bones government infrastructures in the country.”

According to the Illinois Policy Institute, there is an existing $3.9 billion budget deficit this year, a $4.8 billion budget hole for the next fiscal year, and a $4.7 billion gap for fiscal year 2023.

“Federal COVID-19 relief funding will provide $740 million to post-secondary institutions," Pritzker said. "So the most important place for us to invest in higher education is in expanding college access for those smart kids who can least afford it. 

"I call on school districts across the state to use those additional funds to follow [President Joe] Biden's plan for restoring safe, in-person learning and to address COVID learning loss, not only this spring but into the summer to higher education," he said.

In a report, however, the Illinois Policy Institute said federal aid will only chip away at the deficit. 

“Any money we receive from the federal government needs to be spent wisely by paying down borrowing and our bill backlog,” Pritzker argued. “Anything remaining must be used to invest in expanding jobs and economic growth, more jobs, more businesses, more economic activity. It means a higher standard of living for our citizens and a healthier budget and healthier state governments.”

Regarding ethics reform, the governor said holding the title of both legislator and lobbyist should be banned. 

“It's time to pass ethics legislation this year and, at the same time, we need meaningful disclosure of conflicts of interest,” he said. “We must end the General Assembly's revolving door, which allows legislators to get paid as lobbyists the day after they leave office. Restoring public trust is of paramount importance.”

Pritzker concluded by listing his key priorities, which include authorizing the second cannabis licensing lottery and passing an energy bill that protects the nuclear fleet and builds up the state's wind and solar industries.