Illinois is entering the new year amid brisk political maneuvering, targeted economic investments, and evolving community priorities across the state. Politico’s Illinois Playbook reports that mounting budget pressures in Springfield have revived talk of a graduated income tax, though Governor JB Pritzker backs the idea only “in principle” and has signaled it is not a priority for 2026, keeping broader tax reform on a slow track for now. Politico also notes growing buzz around statewide races, including Attorney General Kwame Raoul’s endorsement of Margaret Croke for state comptroller, underscoring early positioning ahead of the next election cycle.
On the legislative front, nearly 300 new Illinois laws took effect January 1, touching education, healthcare, public safety, and veterans’ services, according to a breakdown from State Senator Chris Balkema. Balkema emphasizes that while some changes mark progress, there is ongoing concern about regulatory complexity and its impact on businesses and families. ABC7 Chicago reports that new statutes now protect immigrant students from being excluded or discouraged from school participation based on immigration status, expand scholarship eligibility regardless of citizenship, and strengthen workplace protections by broadening what counts as unlawful employment practices. ABC7 also highlights new measures on gun storage safety and lost or stolen firearm reporting, reflecting continued focus on public safety.
Economically, Illinois is leaning into incentives and workforce development. St. Louis Public Radio reports that a newly expanded STAR bond program, signed by Governor Pritzker as part of SB 1911, allows local governments statewide to use state sales tax revenue from major projects to repay bonds for developments creating at least 300 jobs and $30 million in capital investment, with the goal of luring large-scale attractions and thousands of new jobs. Effingham Radio reports that Pritzker and the Department of Commerce and Economic Opportunity have opened a 24 million dollar grant program to establish six new Manufacturing Training Academies at downstate community colleges, aimed at high-demand manufacturing and clean energy jobs. The Governor’s Office says these academies are part of the state’s long-term economic growth plan and build on recent facilities in Normal and Belleville.
At the local level, Des Plaines officials are moving ahead on a new Costco Business Center and gas station, with ABC7 Chicago reporting construction could begin by the end of the year, signaling continued retail and logistics growth in the suburbs. In Danville, CNHI reports the mayor and city council are working to stay competitive in attracting businesses as companies seek larger incentive packages.
Significant weather events have been relatively limited so far this month, with no major statewide disasters reported, though winter conditions continue to pose routine travel and infrastructure challenges typical for Illinois this time of year.
Looking ahead, WAND reports that Illinois House leaders are preparing for the 2026 legislative session with competing priorities on taxes, public safety, and social services, while the expanded STAR bond window and new workforce grants could shape where major developments land over the next two years. Listeners can also expect ongoing debate over federal funding cuts for childcare and social services, as highlighted by Capitol Fax, and continued scrutiny of how new laws are implemented in schools and workplaces.
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