What to watch in this legislative session: Bears stadium, data centers and pensions
Research found Illinois’ state budget has grown nearly five times faster than the economy

CHICAGO (Jan. 13, 2026) – Illinois’ legislative session begins today as Illinois senators return to Springfield with a host of issues to tackle, including football stadium subsidies, energy costs, higher education spending, pensions and even a progressive income tax.

These issues may burden Illinois residents and businesses with new taxes and fees while adding long-term costs to state and local governments. Illinois’ lawmakers have grown the state’s budget by 36% since 2018, nearly five times faster than the economy’s growth of just 7.4%, according to research from the Illinois Policy Institute.

“When lawmakers are in session, taxpayers are at risk of being on the hook for reckless spending. Until there’s a serious culture change, that’s the case this week,” said Ravi Mishra, a policy researcher at the Illinois Policy Institute.

In the final hours of last year’s legislative session, lawmakers rushed through billions in spending with virtually no opportunity for public scrutiny. An institute analysis identified 2,815 line items exceeding $200,000 each, including $7 million to move pigs, $1 million to “rethink capitalism,” $12 million for NASCAR, $2.6 million for tennis and pickleball, as well as $740,000 for floating art displays.

Key issues to watch during the 2026 legislative session: 

• Chicago Bears stadium: The Bears continue seeking taxpayer support for a new stadium while lawmakers resist, sparking renewed political battles and even threats of relocating the team outside Illinois.
• Progressive tax: Despite voters rejecting it in 2020, lawmakers are again pushing a graduated income tax, threatening retirees, small businesses and accountability by weakening Illinois’ flat-tax constitutional protection.
• Higher education spending: Illinois leads the nation in per-student higher education spending because of declining enrollment, bloated administration and rising pensions, highlighting the need for structural reform and better alignment with workforce needs.
• Tier 2 pensions: Lawmakers advanced a bill expanding Tier 2 pension benefits for government workers hired since 2010, a move projected to cost taxpayers $52.7 billion and worsen Illinois’ already strained public pension systems.
• Data centers and energy: Illinois faces looming power shortages as clean energy mandates collide with rising demand from data centers, raising concerns about reliability, costs and the need for more nuclear and fossil fuel electricity generation.

“To curb wasteful spending and to truly look out for businesses and taxpayers’ best interests, lawmakers can adopt a budget cap tied to economic growth. That would ensure spending decisions are in align with what the state can afford,” Mishra said. 

To read more about Illinois’ budget growth visit, illin.is/2026session.

For bookings or interviews, contact media@illinoispolicy.org or (312) 607-4977.