SPRINGFIELD — Uncertainty reigns supreme as Illinois lawmakers enter the final week of the spring legislative session without a budget deal in place while several other pertinent topics also remain unresolved.

State lawmakers return to the Capitol on Monday and are scheduled to adjourn on Friday.

Beyond a spending plan for fiscal year that begins July 1, they may consider legislation that includes reforming governance of Chicago-area public transit agencies; addressing concerns about the reliability of the state’s electrical grid — and the increasing costs to ratepayers ; and clearing the path for a racetrack and casino in Decatur, among other measures.

Here is the state of play.

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Budget games

Though it is not unusual for state lawmakers to wait until the waning hours to finalize a spending plan, the choices facing Gov. JB Pritzker and state legislators will be arguably the toughest since the two-term governor took office in 2019.

It’s a precarious situation. First of all, there’s a long-expected flattening of state revenues following years of state coffers being flushed as a result of post-pandemic consumer spending and billions in direct federal stimulus funds.

Revenues have continued to grow, but slower — and not enough to keep pace with the growth in spending. The Governor’s Office of Budget and Management and the Commission on Government Forecasting and Accountability both project around $54.4 billion in revenue next fiscal year, nearly $800 billion below what Pritzker proposed spending in the budget he previously introduced.

House Democrats were presented with a buffet of options to raise additional revenue during an internal caucus meeting on Thursday.

These included everything from “sin” taxes generated through the legalization of internet gambling or tax rate increases on sportsbooks and table games at casinos, for example, to more structural reforms, such as broadening the sales tax base to include services, taxing wealth and increasing the state’s individual and/or corporate income tax rates.

The State Capitol on April 30, 2025, in Springfield, Illinois.

Many of the ideas floated are highly unlikely to find enough support to reach the final budget package. Still, the “kitchen sink” approach reflects lawmakers' need to get creative with revenue if they want to avoid stark cuts in services.

Complicating matters is a strong likelihood of diminished federal funding as President Donald Trump and congressional Republicans steer their “big, beautiful” federal budget package to the finish line.

If enacted, the federal legislation would make nearly $900 billion in cuts to Medicaid, the nation's health care program for more than 70 million people with low incomes and disabilities, over the next decade.

This would mostly be done through strict work requirements for childless adults without disabilities and added paperwork to keep benefits.

The bill would also cut the cost share for Medicaid expansion under Obamacare from 90% to 80% in states that use their own dollars to provide healthcare to undocumented immigrants. Illinois covers all children regardless of immigration status, and some adults.

If the cost share is reduced, trigger language on the books in Illinois would automatically end Medicaid expansion, leaving more than 770,000 people without coverage.

States would also have to pitch in to cover the cost of the Supplemental Nutrition Assistance Program, which has historically been shouldered by the federal government.

It is unclear what the total impact to Illinois would be.

There is open acknowledgement that whatever state lawmakers pass next week, they will likely have to make adjustments later in the year when the federal picture is in better focus.

This could come in the form of a special session this summer or fall. Or, it could be done during the regularly scheduled fall veto session.

Another pressing issue is funding for public transit agencies across the state, particularly those serving the Chicago region.

The Chicago Transit Authority, Metra and Pace are facing a combined $750 million “fiscal cliff” near year . Without new revenue, the agencies would be forced to make steep cuts to service.

Leaders of the transit agencies have sought new funding from Springfield, but lawmakers have been reluctant to open the state’s purse strings without significant reform of the agencies’ governance.

Those involved with negotiations believe that a deal could be reached on reforming the governance structure by the end of May.

But additional funding, which would also include money for downstate transit agencies, may have to wait until later this year.

Energy

It’s going to be a tough summer for ratepayers in central and southern Illinois, with Ameren is projecting an 18% to 22% increase on monthly electricity bills starting in June.

A significant reason why is increased demand for electricity from data centers and other energy-intensive industries. Meanwhile, supply is falling short as coal and natural gas plants come offline and are not being replaced fast enough by wind and solar projects.

Legislation that would address these challenges is in the works, though it is far from certain how comprehensive it will be.

The state Capitol in Springfield on April 30, 2025.

Business and labor interests oppose a legislative effort being promoted by environmental groups that would require data centers to supply their own power, calling it a "discriminatory mandate" that will chase business away from the state.

However, there appears to be agreement to expand incentives for battery storage of energy generated by intermittent sources like wind and solar, according to people familiar with discussions.

And there could be language that would lift the state's three-and-a-half-decade moratorium on large new nuclear power plants . This could open the door for construction of a second nuclear reactor at the Clinton Power Station, for example.

Bill language has yet to be filed.

Decatur racino

Virginia-based Revolutionary Racing wants to develop a 200-acre parcel of vacant land on Decatur’s western edge into a one-mile harness race track that would include a casino with 900 gaming positions.

They are prepared to invest up to $150 million into the project, which they are calling “Decatur Downs.”

But in order to do that, they first need Illinois lawmakers to authorize an additional horse racing license. Sen. Patrick Joyce, D-Essex, has a bill that would do that, but whether it moves before the legislature wraps up next week is anyone’s bet.

In short, gaming bills are always difficult to handicap because the industry, which includes operators of brick-and-mortar casinos, video gaming terminals, sportsbooks and horse racetracks, among others, is often at odds with one another.

Joyce filed an amendment earlier this week that removed the opposition of Accel Entertainment, which owns FanDuel Sportsbook and Horse Racing — previously known as Fairmount Park — in Collinsville, by adding a provision increasing the amount of off-track betting locations they are permitted to have from nine to 18.

That removes a big hurdle. But others remain. The owners of the Golden Nugget Danville and the Par-A-Dice Hotel and Casino in East Peoria remain opposed.

But what could ultimately kill the effort is the inclusion of a provison that would remove Hawthorne Race Course's veto power on any proposed project within 35 miles of its track in suburban Stickney.

Horses run in the third race of the day on April 6, 2024, at Hawthorne Race Course in Stickney.

Hawthorne’s owners have tried to develop a new harness racetrack in suburban Chicago — allowed under the 2019 gaming expansion law signed by Pritzker — but have been unsuccessful so far.

Hawthorne has powerful allies in the legislature who have thwarted previous efforts to take away their veto power. But every year that goes by without them developing a new track, patience grows thinner. The question will be: is it enough to finally convince legislators to remove the veto and allow another developer to take a swing?

The legislation is expected to receive a hearing next Wednesday.

Pharmacy Benefit Manager reform

Reforming Pharmacy Benefit Manager (PBM) practices has been top priority of Pritzker, who called out the industry during his State of the State address in February. Since then, legislation has largely been developed behind closed doors. And whether it will pass is not yet certain.

Lauren Young, owner of Dale’s Southlake Pharmacy in Decatur and Colee’s Corner Drug in Forsyth, told Lee Enterprises that she has spoken with bill’s sponsors, who said that legislation would soon be filed and that a hearing would be held in the final week.

Certified pharmacy technician Leslie Gould works at Dale’s Southlake Pharmacy in Decatur on Wednesday, March 26, 2025.

“We’ve been told that there is still the desire to have independent pharmacies be saved in Illinois to keep them from closing, no more pharmacy deserts,” Young said. “The transparency measures, they're still very much interested in. The reimbursement methods they're working on because they don't want the unintended consequences of the insurance company forcing that on the patient, and so that's what they're trying to make sure that does not happen with language in the bill.”

PBM reform efforts across the country have typically involved lengthy negotiations and, often, compromises. Young expects the same will be true for this bill.

“There'll be compromises along the way, but it will probably be more in the form of a multi-year plan like we've seen in other states, where they handle more of the Medicaid market first, and then they move on to more of the state employer market, and then they move to commercial all within like a three year period,” Young said.

Pritzker told the Chicago Tribune in an interview last month that he expects a PBM reform bill to pass—he's just uncertain when. Last week, President Donald Trump did sign an executive order to attempt to reduce drug prices.

Other legislative efforts

Pritzker has also championed legislation that would expand four-year degree programs at the state's community colleges. The state's four-year universities, initially opposed, are now neutral on the bill after much negotiation.

However, there remains some opposition in the legislature over concerns about the negative impact it could have on the state's directional institutions, such as Eastern Illinois University, and those that serve significant minority populations, such as Chicago State University and Northeastern Illinois University.

Another priority of Pritzker's is legislation that would prohibit public school students from using cellphones, laptops and tablets during class time. It passed the Senate last month but is being amended in the House.

Likely to be left unaddressed before lawmakers break for the summer are pension reform efforts.

Pritzker last year called for a more robust paydown of the state's massive pension debt, urging state lawmakers to change the formula in place since 1994 from 90% funded by 2045 to 100% funded by 2048. But there has been little movement on that front.

Lawmakers will soon be forced to address a more pressing pension issue of "fixing" Tier 2 pension benefits, which are the less generous benefits public employees hired after 2010 will receive upon retirement.

While it has helped the state rein in its long-term liability, there's concern benefits might not be generous enough to meet "safe harbor," which is the requirement that pension payouts meet or exceed those of Social Security.

Pritzker has included $73 million in his budget proposal to ensure benefits meet the threshold this year. But larger reform efforts are likely to be punted to later this year or next year.

And despite the conviction of former House Speaker Michael Madigan earlier this year on federal corruption charges, there is little appetite among supermajority Democrats for a major ethics reform package despite a push from Republicans and good government groups.

Lee Enterprises’ Michael Mollsen contributed to this report.

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