Governor JB Pritzker Monday introduced a $49.6 billion budget for Fiscal Year 2024 that is being criticized by Republicans for locking the state into expensive long-term spending while staring down the barrel of a potential recession.

Some details on the spending proposal from the Chicago Tribune:

Gov. J.B. Pritzker stressed additional funding for education in his $49.6 billion budget proposal Wednesday while also using the occasion to blast “a virulent strain of nationalism” that he said has infected the national debate over school curricula and the content of library shelves.

While occasionally straying into broader political arguments, Pritzker spent much of his roughly hourlong speech laying out specifics of his spending plan for the budget year that begins in July and touting the “remarkable” progress made toward stabilizing the state’s finances during his first term despite the uncertainties brought on by COVID-19.

“Fiscal responsibility isn’t easy, nor is it a one-time fix. It’s an annual effort that requires persistence. It requires conservative revenue estimates, as all of my budget proposals have,” Pritzker said. “But when done right, consistent balanced budgets strengthen the institutions our residents rely upon, creates new opportunities for success, and makes life easier for the people of Illinois.”

The governor’s budget proposal, which accounts for projections of a mild recession in the coming months, doesn’t include any major tax or fee increases, or any significant spending cuts.

The centerpiece of the plan is a $250 million package aimed at giving a boost to the youngest Illinois residents and their families, including $75 million to add 5,000 slots to existing state funded preschool programs that currently serve about 94,000 children. The governor has called for adding a total of 20,000 slots over four years in programs that prioritize placement of children at risk of academic failure.

Pritzker implored lawmakers to join him in supporting the plan, dubbed “Smart Start Illinois,” which he called a “long-term investment that has the greatest return for taxpayers with the most positive social and economic impact that I have ever come to you with.”

“It will make our state the best place in the nation to raise young children,” Pritzker said.

The governor campaigned on making public higher education tuition-free for families who earn at or below median income, and to that end proposes increasing funding for state’s Monetary Award Program, or MAP grants, by $100 million.

That, combined with federal Pell grants, should be enough to make community college tuition-free for nearly all families who qualify, but would only cover about 40% of those who want to attend four-year schools, according to the governor’s office.

Reaction from House Speaker Chris Welch:

“The progress we have made as a state in just a few short years is truly remarkable. As we heard today in the governor’s budget address, our financial outlook is strong. It is because of that progress that we are in a position to consider priorities that aren’t just important to Democrats, but the majority of Illinoisans. It is paramount that we prioritize hardworking families and continue to make fiscally responsible decisions that put our state in a better position for generations to come. This proposal by Governor Pritzker proves that Democrats are united in those goals. This budget address is a great starting point for our legislative negotiations, and I look forward to building on our recent success. I am confident that Chief Budgeteer Jehan Gordon-Booth, Majority Leader Robyn Gabel, our budget negotiation team, and our appropriations chairs will produce a final product that Illinois can be proud of.”

Reaction from House Republican Leader Rep. Tony McCombie (R-Savana):

“Today we heard a long list of expensive promises totaling $2.7 billion in new spending, when the Governor himself projects revenue to be down $1.42 billion. This will require future tax increases or cuts to vital programs serving our most vulnerable.”

Reaction from Senate Republican Leader John Curran (R-Downers Grove):

"Two years ago, the Governor and the Democratic Majority proposed the largest tax increase in Illinois history. The voters soundly rejected it. Last year, the Democratic Majority added another $4 billion in spending on top of the Governor’s proposed budget. This year, the Governor’s proposal seeks to build upon that spending. We must heed the warnings of Comptroller Mendoza and be disciplined in our fiscal approach at a time when we are likely to experience a recession. We must stop the Democratic Majority from spending us into a tax increase. That said, there are some opportunities to work together – especially on providing more access to early childhood education and childcare. However, I would like to see a greater prioritization for our developmentally disabled communities that continue to be massively underfunded. I look forward to working with the Governor and other leaders to share the Senate Republican priorities of creating more opportunities for Illinois families and businesses, funding public safety, and implementing structural reforms to ensure a more stable and prosperous Illinois.”

Multiple Republicans have cited Mendoza, who has cautioned fiscal restraint. But Mendoza issued a statement Wednesday reiterating her support for Pritzker’s plan.

“My hope was that Governor Pritzker would propose a balanced budget that shores up our Rainy Day Fund and the Pension Stabilization Fund; that avoids any major commitments for new programs and instead uses revenue surpluses on existing programs that have proven a good return on investment for Illinois taxpayers - programs like early childhood education and MAP grants for Illinois college students. His proposed budget does all that. Instead of new programs, I see careful, strategic, and necessary investments in childcare and pre-school programs where they are most needed. Notably, it includes a continuation of shoring up our Rainy Day Fund and another $200 million for the Pension Stabilization Fund. I will aggressively push for my Rainy Day Bill, HB2515, to make deposits into the Rainy Day Fund and the Pension Stabilization Fund an ongoing commitment. I was pleased the Governor proposed an additional $100 million in MAP grant funding to make college more affordable to our bright minds who can’t afford college today. This will safeguard our current investment of billions of dollars in our kids from K-12, and keep them in Illinois for a fast return on this investment once they graduate with higher income potential. This budget was a good start, and I will continue calling for fiscal restraint and discipline as the budget process unfolds.”

Senate Democratic Budgeteer Sen. Elgie Sims (D-Chicago):

“As we begin negotiations, it is important that we pass a budget that is balanced, responsible and invests in hardworking people in all corners of our state,” State Senator Elgie R. Sims, Jr., the Senate’s lead budget negotiatory, said. “As chair of the Senate Appropriations Committee, my pledge to the people of Illinois is that we will bring forth a budget that works to solve the pressing economic issues facing our working families and that makes investments in education, small businesses, public safety and more to provide a brighter future for our state.”

Patrick Pfingsten

@pfingstenshow

patrick@theillinoize.com