Tax Increment Financing, or TIF, is one of the most widely used—and often misunderstood—economic development tools in Illinois. With approximately 1,488 active TIF districts across 511 municipalities in Illinois as of 2025, TIF plays a significant role in shaping local investment, property tax dynamics, and public finance. This primer explains how Tax Increment Financing (TIF) operates in Illinois, including Chicago; assesses its fiscal impacts on taxpayers and overlying taxing bodies; outlines…
As the Illinois General Assembly takes up Governor Pritzker’s FY2027 budget proposal, a realistic picture ofthe current state of labor markets is essential. The labor market is one of the clearest signals about thestrength of the State’s economy, underlying lags and weaknesses compared to national trends, and howreliable state revenues will be in the coming fiscal year. This report discusses both national and state labormarket conditions, highlighting a cooling labor market that could impact…
As the State of Illinois budget season approaches, the Civic Federation continues our focus on H.R. 1, particularly its tax code provisions. We describe selected changes and their impacts on Illinois, assess the State’s responses to date, and briefly discuss other policy adjustments the state might consider going forward.
The State of Illinois enters the FY2027 budget process at a pivotal moment. After several years of improved fiscal stability, marked by the reduction of the State’s bill backlog, incremental reserve building, and progress toward mitigating chronic structural deficits, the long-standing baseline fiscal pressures are tightening the State’s finances. While recent federal tax law changes initially raised concerns about substantial revenue losses, the State has taken steps to partially mitigate…
Joint Statement from BOMA/Chicago, Chicagoland Chamber of Commerce, Illinois Chamber of Commerce, Civic Committee of the Commercial Club of Chicago, Civic Federation, Better Government Association, Illinois Manufacturers' Association, and Illinois Retail Merchants Association on Governor Pritzker's proposal to strengthen Illinois' pension system.Governor Pritzker’s just-released proposal to…
Illinois’ early childhood system plays a central role in supporting children’s learning, development, well-being, and family stability from birth to age five. This report provides a data-driven overview of the early childhood landscape in Illinois. It examines demographic and socioeconomic conditions, governance and organizational structures, funding trends, program access, workforce capacity, quality indicators, family experiences, and outcomes. The goal is not to make policy recommendations,…
This dashboard provides a data-driven snapshot of the early childhood landscape in Illinois, including trends in population change, poverty, language status, and access to quality of services. Together, these indicators establish a baseline for understanding current conditions and for tracking changes in the system over time as governance, funding, and service delivery evolve.
Illinois Senate Bill 2111, passed by the Illinois General Assembly on October 31, 2025, makes major changes to the way transit service is governed and funded in Illinois. The legislation, which is expected to be signed by the Governor, becomes effective on June 1, 2026. This report briefly summarizes the components of this legislative breakthrough and assesses how well the legislation addresses the system’s underlying challenges. While the legislation specifies substantial governance…
by Roland CaliaThe State of Illinois (Illinois or the 'State') enacted a multi-year $52.6 billion FY2026 capital budget on June 16, 2025 The budget is a 1.5% decrease from FY2025 due to lower spending on new projects. The following are some capital budget…
The recent federal government shutdown caused nationwide disruptions in public services and assistance across many domains, including food and nutrition supports for low-income individuals and households (see Federal Shutdown Threatens Food Assistance for Illinois Families). For the nation’s 41+ million participants in the Supplemental Nutrition Assistance Program (SNAP), the shutdown highlighted their vulnerability to unexpected decreases in monthly benefits. Indeed, SNAP participants…
