IVCA Provides Updates for State Legislative Issues – 02/04/2026
IVCA Illinois Legislative Report
David Stricklin, IVCA Legislative Liaison, Stricklin & Associates
GOVERNOR LEADS WITH PENSION COMMITMENT
Illinois Governor JB Pritzker got out in front of his annual budget message by releasing his preferences for how the state should handle its ongoing pension obligations.
- Proposing an extension of the state’s pension buyout program to further reduce long-term liabilities and continue to save taxpayer dollars.
- Proposing to direct additional revenues toward paying down Illinois’ pension commitments through transferring unexpected surplus revenues left over after paying income tax refunds.
- Reaffirming commitment to the Governor’s 2024 multi-tiered plan to manage the state’s long-term pension funding commitments, including increasing the statutory funded ratio goal to 100% funded by 2048 and addressing the Tier II safe harbor concerns by adjusting pensionable earnings cap, building on $75 million set aside in the most recent budget.
PRITZKER — FULLY FUND PENSIONS
The governor gives his budget address two weeks from today. Legislative leaders and the governor have all signaled to the constituencies who want more spending from Springfield that the budget they produce this spring will be hard pressed to meet all the spending pressures, especially considering uncertainty from the federal government.
CRAIN’S ANALYSIS AND QUOTES ON PRITZKER PENSION PLAN
RELATED:
* Center Square | GOP candidates for Illinois governor challenge Pritzker on state finances: “I believe that when we crack this budget open and start showing the people where all this is going, I think we’re going to have most of what we need to work with to start tamping down on property taxes, energy prices and especially working with our pensions,” Bailey told The Center Square. Bailey said the state budget rose from around $32 billion in 2017 to more than $55 billion this year.
COGFA OFFERS INSIGHT
The Commission on Government Forecasting and Accountability provides the legislature and the executive facts and figures on Illinois economic and revenue trends. Out today with its latest report, COGFA FEBRUARY BRIEFING.