Illinois moves over $300M out of road fund as infrastructure crumbles
Illinois’ latest budget diverts millions in infrastructure funds to cover structural budget deficits despite substandard road conditions.
Despite Illinois’ poor road conditions, Gov. J.B. Pritzker’s 2026 budget will take $308 million from the state’s dedicated road building and repair fund to fix short-term budget gaps.
That includes $171 million in motor fuel tax revenues that were supposed to go to the Road Fund but are being diverted for other state spending. The money was intended to finish Pritzker’s $45 billion Rebuild Illinois infrastructure plan launched in 2019 to fix roads, bridges, railways and airports.
That plan launched a slew of new taxes to pay for the infrastructure, including doubling the state gasoline tax that is now being diverted. It also contained at least $1.4 billion in pork projects, including dog parks, pickleball courts and renovation of a shuttered theater.
And while lawmakers and Pritzker had to rob the Road Fund to prop up their spending plans, they were able to stuff $237 million in pork projects in the new budget, but just for Democrats. That means 1 in 3 taxpayers was left out.
Pritzker just last year reaffirmed his commitment to his infrastructure plan: “Rebuild Illinois has been among my highest priorities since I became governor, after years of neglect and disinvestment that held back our state’s growth.”
Another $137 million was taken from the Road Fund to cover state employee health benefits. State leaders said the move complies with provisions that allow the Road Fund to be used for payments towards “expenses related to workers’ compensation claims for death or injury,” including health care.
These funding shifts come as Illinois ranks just 31st in road quality. U.S. Bureau of Transportation data shows as of 2023, only 80.4% of Illinois’ roads were in acceptable condition, a minimal change since 2015 despite all Pritzker’s spending. The national average is 81.2%, but other Midwestern states such as Indiana, Iowa and Minnesota maintain conditions above 90%.
Lawmakers continue to prioritize gimmicks and short-term solutions as analysts warn these moves can weaken Illinois’ long-term infrastructure funding. Investing in road infrastructure is a crucial part of economic development, as Pritzker said. Maintaining proper funding can enhance trade and commerce, boost tourism, improve connectivity, create jobs and improve property values.
This is nothing new in Illinois. Lawmakers have long used the Road Fund as a piggybank for unrelated expenses, a move that voters overwhelmingly tried to block. In 2016 they approved the “lockbox,” a constitutional amendment which was supposed to protect transportation revenues from lawmaker pilfering. Despite this voter mandate, lawmakers have continued using workarounds such as delayed transfers and reclassifying spending.
If Illinois wants to be serious about improving infrastructure, it must stop misusing dedicated funds. Adopting a performance-based budgeting model such as Minnesota’s can help the state plan and preserve necessary funding for road and bridge maintenance. This model ensures infrastructure money is spent on need, value and measurable outcomes, rather than politics.
The state also needs to structurally balance its budget rather than relying on short-term fixes. The state should adopt reforms from the Illinois Policy Institute’s Illinois Forward plan, including strict budget caps to match taxpayer income growth and necessary cuts to discretionary programs. These measures would reduce pressure to divert infrastructure funds to fill recurring budget deficits.