Gov. JB Pritzker’s $55.2 billion budget has no new taxes, cuts health care for adults lacking legal status
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The Democratic Governor also peppered key policy proposals into his seventh budget plan, which Republicans criticized as being the largest ever in the history of the state.
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The Democratic Governor concluded a 35 minute budget and State of the State Address at the Illinois State Capitol by saying he is “watching what is happening right now in our country with a foreboding sense of dread.” He framed Trump’s first weeks in the Oval Office in terms of a playbook of blaming the ‘other’ for the problems of the country.
Pritzker stated that it took the Nazis a month, three weeks or two days to demolish a constitutional republic. Pritzker said, “When the five-alarm blaze starts to burn you better have a bucket full of water ready at your post if you’re going to try to control it.”
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Pritzker’s speech was mostly applauded by Democrats, with some Republican laughter, especially when he complained about the insecurity of federal funding.
“…Only a fool would think that we should eliminate emergency responses in a natural catastrophe, education and healthcare for disabled children and gang crimes investigations, clean water and air programs, monitoring nursing home abuse and nuclear reactor regulations, Pritzker said.
The Democratic Governor also peppered key policy proposals into his seventh budget plan, which Republicans criticized as being the largest state budget in history. The first ensures that abortion pills will remain legal in Illinois, even if federal legislation is passed. Another bans the use of cellphones during class instruction in Illinois schools. One health initiative would reduce the cost of Pharmacy Benefit Managers (or PBMs), which he called the “middlemen of the health industry”.
Pritzker’s budget plan does not include funding for adult immigrants who are undocumented and between the ages 42-64. Last year, the Democratic Governor included $629 millions to provide health benefits to adults without legal status who are 42 years old and older, as well as seniors who would qualify for Medicaid.
According to the Governor’s Office, the cost of the adult program is approximately $420 million per year.
The Governor’s Office said that this intentional omission was a reflection on the difficult decisions made to balance the proposal. However, the office said that funding for seniors without legal status would be maintained. The program for immigrants aged 42-64 without legal status ends June 30. This is the end of the financial year.
Several members of the Illinois Legislative Latino Caucus have expressed their displeasure at the reduction and intend to fight for it to remain in the budget this year.
Karina Villa (D-West Chicago), state senator, said: “We don’t know why he did that, but we felt it was a major blow to a program very important to our caucus.” We’ll continue to speak out and make sure we move forward on this program.
Pritzker’s vision of education funding
Pritzker’s Smart Start early education program, now in its third year, has kept block grants for early education at $748 millions. This is despite the fact that the number had increased by $75 million during the first and second years.
Education funding includes $350 million towards the state’s formula for school funding, but education advocates warn that they will fight to get more. Total K-12 funding in the Governor’s proposal is $11.1 billion, an increase of $300 millions from last year.
The Chicago Teachers Union called the money allocated to CPS on Wednesday “the minimum increase required” and criticised Governor Rauner for failing to include plans that would protect Illinois children from Trump and his WWE nominee (Linda McMahon).
The estimated revenue for the fiscal period that starts July 1 is $55.4 billion. This represents a 2.9% rise from last year. This is due to the growth of the base revenue in the state. It’s also about $1.5 billion higher than what the state had predicted in its report from November. The state has to produce revenue in order to cover a deficit of $1.7 billion. This is still a large deficit, but it’s better than the $3.2 billion projected by Governor’s Office of Management and Budget.
The Governor’s Office said that it will also ask lawmakers to approve a $550 million supplemental bill.
Casino tax revenue: What role does it play?
Pritzker’s budget team hopes to generate $100 million by taxing table games in casinos at the same graduated rate as slot machines. Tax rates for blackjack, craps and other table games were lowered as part of a gaming expansion in 2019 that brought six new casinos into the state.
Chicago’s casino has its own tax system, so the adjusted rates would not apply.
The governor did not address the issue of legalizing online gambling. This is a proposal that has been made by Democratic supporters who claim it could bring in hundreds of millions of dollars for the state. Sports Betting Alliance supporters claim it is “already occurring in the state illegally and unregulated,” while opponents say it could increase gambling addiction.
The Road Fund will also receive $171 million in revenue from the suspension of the final transfer of state sales tax on motor fuel.
Pritzker was criticized by members of the Illinois Legislative Black Caucus after he delivered a budget speech that stressed the importance of living within state means.
Our means has been taken away from us for many years. “We haven’t received the dollars promised to communities,” said State Rep. Carol Ammons (D-Urbana). “At the moment, I am voting against the budget.” “Our people are being attacked and to not mention the situation in our communities is to insult this entire Black Community.”
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