July 14, 2023 Update

GOVERNOR’S HIGHLIGHTS:

Trade Mission: Governor Pritzker is leading a trade mission to the United Kingdom.  He will be accompanied by business and education leaders from around the state. The Governor will begin the international trip by attending the Goodwood Festival of Speed from July 13-16 to discuss Illinois’ commitment to electric vehicle manufacturing.

Following the Goodwood Festival of Speed, a delegation of business and education leaders will meet with their counterparts in London to discuss strengthening economic cooperation between the State of Illinois and the United Kingdom. Programming throughout the mission will focus on manufacturing, clean energy and technology, quantum, higher education collaboration, and other key industries.

Adult Use Cannabis: The Illinois Department of Financial and Professional Regulation announced the results of the Social Equity Criteria Lottery (“SECL”) for 55 Conditional Adult Use Cannabis Dispensary Licenses. Before Conditional Licenses are formally issued, the Department will initiate a review process to ensure applicants selected meet all statutorily required rules. Once confirmed, the Department will issue a Conditional License. The results of the SECL are here. Read more here.

Transportation Funding: Governor JB Pritzker and the Illinois Department of Transportation announced $40.99 billion over six years will be allocated to fix and repair infrastructure in all modes of transportation: roads and bridges, aviation, transit, freight and passenger rail, waterways, as well as bicycle and pedestrian accommodations. The funding represents the largest multi-year program to fix and repair infrastructure in the state’s history.

The Fiscal Year 2024-29 Proposed Highway and Multimodal Improvement Program invests $27.03 billion in roads and bridges, with $4.6 billion allocated for the current fiscal year. A total of $13.96 billion is targeted for other modes including: $9.85 billion for transit, $2.67 billion for freight and passenger rail, $1.25 billion for aviation and $190 million for ports and waterways. Projects are spread out across state and local transportation systems.

Supportive Housing: The Illinois Housing Development Authority is offering up to $75 million in state and federal financing to create housing for persons with disabilities, those struggling with homelessness and other vulnerable populations. Available through IHDA’s Permanent Supportive Housing Development Program, funds will support the development of affordable housing combined with supportive services designed to help vulnerable individuals and families attain stable housing and use it as a platform for health, recovery and personal growth, as well as projects with innovative healthcare partnerships that address community health disparities.

Non-profit, for-profit and joint-venture affordable housing developers are eligible to apply and may request loans, forgivable loans and grants of up to 90 percent of the total development cost. Applications are due Tuesday, January 16, 2024. Additional program details can be found at here.

Gubernatorial Appointments: Governor Pritzker appointed the following:

·        Donna Dorsey will serve as a member of the Illinois Workforce Innovation Board.

·        Michael Macellaio will continue to serve as a member of the Workers’ Compensation Medical Fee Advisory Board.

103rd ILLINOIS GENERAL ASSEMBLY:

Natalie Toro, a Chicago Public School Teacher, was appointed Senator in the 20th District. She replaces Senator Pacione-Zayas who stepped down to serve in Mayor Brandon Johnson’s administration. Progressive candidate Graciela Guzmán, who also sought the nomination, is expected to challenge Toro in the 2024 Democratic primary.

Representative Kam Buckner is working on legislation to establish a student athlete bill of rights which would be modeled after a decades old California law. Buckner noted the legislation would include economic and educational protections for student athletes. Following the latest allegations against the Northwestern football and baseball program, Buckner indicated he now plans to expand the scope of the legislation to create a third-party ombudsman where student athletes can go and report concerns without fear of retaliation.   Representative Buckner is finalizing his legislation and plans to file it during veto session. 

The House Elementary & Secondary Education: School Curriculum and Policies Committee will hold a subject matter hearing on July 20 at 10:00 am in the Bilandic Building in Chicago to discuss school personnel shortages.

The House Personnel and Pensions Committee will hold a hearing on July 19 at 10:00 am in the Bilandic Building in Chicago to discuss an conversion of state pension systems and CTPF along with HB 4098 and HB 4099 . 

The House Appropriations Higher Education hearing to discuss the recent supreme court ruling and affirmative action in Illinois colleges and universities scheduled for July 27 has been cancelled.

OTHER NEWS:

June Revenue Report: June General Funds base receipts fell $110 million, primarily due to drops in income tax, net sales tax and base revenues, which were all short of last year’s levels. However, when accounting for one-time transfers of federal dollars into the State’s General Revenue Fund, the overall monthly growth is $1.255 billion. 

Revenues from the Personal Income Tax were $183 million lower in June ($158 million net). According to the Commission’s preliminary findings, the monthly drop is likely the result of the time of receipts rather than a declining trend in taxable income. Corporate Income Tax receipts fell $27 million gross ($16 million net). Sales tax receipts were stagnant with gross receipts up only $9 million ($14 million net). The remaining State Tax sources combined to grow $139 million. Gains were seen in Other State sources (up $69 million) and Interest on State Funds and Investments (up $54 million). Insurance Taxes were up $7 million; the Inheritance Tax was up $6 million; the Corporate Franchise Tax was up $4 million, and the Liquor Tax was up $2 million. Public Utility Taxes dropped $2 million in June.

June transfers into the State’s General Funds combined to grow $34 million. The increase came from a $52 million increase in miscellaneous transfers. Lottery Transfers were down $17 million and Cannabis transfers were down $1 million. The Casino Gaming transfer held flat. Base federal sources finished the year with a decline of $95 million in June. 

Fiscal Year 2023: According to a recent report from the Commission on Government Forecasting and Accountability, FY 2023 finished the year with a base General Funds revenue total of $50.707 billion which is $373 million higher than FY 2022. When including the one-time reimbursement and transfers received in FY 2023 associated with pandemic-related federal dollars, the overall FY 2023 total rises to $53.134 billion, which is $2.064 billion higher than FY 2022. The FY 2023 General Funds revenue totals, in terms of both base receipts and total receipts, become the highest on record for the State of Illinois. Read the full report here. Capitol News offers more here.

Governor Pritzker announced this week that Illinois reached its highest-ever hotel revenue figures in FY23 ($308 million) – surpassing the pre-pandemic record in FY19. Illinois welcomed 111 million visitors who spent $44 billion in 2022 – representing 14 million additional travelers spending $12 billion more than calendar year 2021.

Autonomous Vehicles: ABATE of Illinois, in an effort to protect the motorcyclists of Illinois and encourage responsible development of autonomous technology in Illinois, is calling on the Governor and legislative leaders to convene an Autonomous Vehicle Working Group to develop legislation that will both protect the public and help keep Illinois a leader in developing the next generation of transportation technologies. ABATE wants to the Working Group to include representatives from the manufacturing and industry sectors, transportation safety advocates and professionals, and transportation advocacy groups representing all modes of transportation and road users.

The call for a Working Group follows TESLA’s announced expansion of testing for their experimental full-service autonomous driving technology on public roadways into 14 additional cities including Elgin, Illinois.

2024 Election Update: After announcing earlier this summer that he was contemplating a return to elected office, former Republican State Representative Dan Brady, who ran unsuccessfully in 2022 for Secretary of State, announced he will not be a candidate for either the Illinois 17th District Congressional seat or the Illinois House of Representatives in the 88th District. 

Democrat Kina Collins will challenge Congressman Danny Davis in the 7th Congressional District. This will be the third time Collins has challenged Davis. City Treasurer Melissa Conyears-Ervin is expected to announce her candidacy for the seat in the coming weeks.

Conservative Republican Samantha Gasca will challenge Senator Michael Hastings. 

Republican Charlie Helmick will challenge Representative Gregg Johnson in the 72nd House District.