Illinois Wins Sanctuary Policy Lawsuit, Passes Record $55.2B Budget, and Boosts Economic Development in Major State Update

Illinois continues to make headlines as state and local governments respond to both immediate and long-term challenges. Recent days have seen significant developments in policy, economy, community progress, and education, all underpinned by an active news cycle.

Among the top news, The Center Square and Illinois In Focus Daily highlight the ongoing legal disputes between Illinois and the federal government, particularly over migrant sanctuary policies. A federal judge in Illinois recently dismissed the Department of Justice’s complaint against the state, Cook County, and the city of Chicago, saying Illinois’ sanctuary policies do not violate federal law. However, the Department of Justice has until late August to amend its complaint, so the issue remains unresolved. Meanwhile, Chicago’s mayor and city council continue to defend sanctuary policies, amid a backdrop of rising homelessness and persistent debates around funding for social services.

On the legislative front, Governor J.B. Pritzker recently signed Illinois’ largest-ever budget—$55.2 billion for the 2026 fiscal year, as reported by Wipfli. This budget introduces several new taxes, including on online sports wagering, hotel bookings through online platforms, and increases on tobacco and telecommunications services. The package aims to fund climbing costs in education, pensions, and healthcare, while supporting new economic development initiatives. The state General Assembly will reconvene in October and is expected to consider major reforms and new funding mechanisms for public transportation, with Capitol News Illinois noting that insurance regulation transparency will also be on the busy fall docket.

Senate Bill 328, a controversial measure that would expand Illinois courts’ jurisdiction over out-of-state parties, faces strong opposition from Senate Republicans, who argue that it threatens to overload the courts and raise costs for Illinois employers. The bill awaits action from Governor Pritzker by the end of August, with legal challenges ongoing in Sangamon County Court.

Economic news includes a major announcement from automotive seating manufacturer Adient, which plans to establish new production operations in Normal, Illinois. According to Area Development, the $8 million investment will create about 75 jobs and strengthen Illinois’ position in advanced manufacturing, supporting the state’s clean energy and EV sectors.

On the education and infrastructure side, John A. Logan College in Carterville will soon break ground on a $14.1 million Career Technical Education Center. This project, partially funded by a federal grant, will modernize technical training facilities, benefiting workforce development in southern Illinois. The broader $45 billion Rebuild Illinois initiative, as noted by the Office of Comptroller, continues to pour funds into roads, bridges, schools, and public facilities across the state.

Illinois is also seeing a wave of new laws this year. Disparti Law Group reports that over 300 new laws are in effect in 2025, ranging from expanded mental health coverage for first responders to stricter bans on corporal punishment in schools and better traffic safety measures.

There have been no major weather events reported in recent days, allowing construction and infrastructure projects to proceed without interruption.

Looking ahead, listeners should watch for the upcoming groundbreaking at John A. Logan College on August 4, key court dates for SB 328, and the General Assembly’s return in October for debates on public transportation, insurance reforms, and potential responses to federal policy changes.

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Episode Transcript

Speaker 1 (00:00):
Illinois continues to make headlines as state and local governments
respond to both immediate and long term challenges. Recent days
have seen significant developments in policy, economy, community progress, and education,
all underpinned by an active news cycle. Among the top news,
the Center Square and Illinois in Focused Daily highlight the
ongoing legal disputes between Illinois and the federal government, particularly

(00:23):
over migrant sanctuary policies. A federal judge in Illinois recently
dismissed the Department of Justice's complaint against the state, Cook
County and the City of Chicago, saying Illinois sanctuary policies
do not violate federal law. However, the Department of Justice
has until late August to amend its complaint, so the
issue remains unresolved. Meanwhile, Chicago's mayor and City Council continue

(00:48):
to defend sanctuary policies amid a backdrop of rising homelessness
and persistent debates around funding for social services. On the
legislative front, Governor J. B. Pritzker recently signed illinois large
just ever budget fifty five dollars and two cents for
the twenty twenty six fiscal year. As reported by Ripfley,
this budget introduces several new taxes, including on online sports wagering,

(01:11):
hotel bookings through online platforms, and increases on tobacco and
telecommunication services. The package aims to fund climbing costs in education, pensions,
and healthcare while supporting new economic development initiatives. The state
General Assembly will reconvene in October and is expected to
consider major reforms and new funding mechanisms for public transportation,

(01:33):
with Capital News Illinois noting that insurance regulation transparency will
also be on the busy fall docket. Senate Bill three
twenty eight, a controversial measure that would expand Illinois courts
jurisdiction over out of state parties, faces strong opposition from
Senate Republicans, who argue that it threatens to overload the
courts and raise costs for Illinois employers. The bill awaits

(01:55):
action from Governor Pritzker by the end of August, with
legal challenges ongoing and saying County court. Economic news includes
a major announcement from automotive seating manufacturer Idiot, which plans
to establish new production operations in Normal Illinois. According to
Area Development, the eight million dollars investment will create about
seventy five jobs and strengthen Illinois's position in advanced manufacturing,

(02:19):
supporting the state's clean energy and EV sectors. On the
education and infrastructure side, John A. Logan College and Carterville
will soon break ground on a fourteen dollars and one
cens career technical education center. This project, partially funded by
a federal grant, will modernize technical training facilities, benefiting workforce
development in southern Illinois. The broader forty five billion dollars

(02:43):
Rebuild Illinois initiative, as noted by the Office of Comptroller,
continues to pour funds into roads, bridges, schools, and public
facilities across the state. Illinois is also seeing a wave
of new laws this year. This Party Law Group reports
that three hundred new laws are in effect in twenty
twenty five, ranging from expanded mental health coverage for first responders,

(03:06):
to stricter bands on corporal punishment in schools, and better
traffic safety measures. There have been no major weather events
reported in recent days, allowing construction and infrastructure projects to
proceed without interruption. Looking ahead, listeners should watch for the
upcoming groundbreaking at John A. Logan College on August fourth.

(03:27):
Key court dates for SB three twenty eight and the
general assemblies return in October for debates on public transportation,
insurance reforms and potential responses to federal policy changes. Thank
you for tuning in and remember to subscribe. This has
been a quiet please production. For more check out Quiet
please dot ai