Budget & Taxes

Makes appropriations for the ordinary and contingent expenses of the Illinois Council on Developmental Disabilities for the fiscal year beginning July 1, 2026, as follows: General Funds $220,000; Other State Funds $0; Federal Funds $5,263,500; Total $5,483,500.

Amends the Illinois Income Tax Act. Creates an income tax deduction for gratuities that are included in the taxpayer's federal adjusted gross income. Creates an income tax deduction for the amount of overtime compensation that is paid to the taxpayer during the taxable year and that is included in the taxpayer's federal adjusted gross income. Effective immediately.

Makes appropriations for the ordinary and contingent expenses of the Office of the State Fire Marshal for the fiscal year beginning July 1, 2026, as follows: Other State Funds $76,527,220; Federal Funds $1,000,000; Total $77,527,220.

Appropriates $700,000 from the General Revenue Fund to the Department of Commerce and Economic Opportunity for a grant to the Illinois Center for Employee Ownership for the purpose of expanding education, outreach, and technical assistance related to employee ownership transitions and supporting small businesses in evaluating and pursuing succession through employee ownership. Effective July 1, 2026.

Amends the Property Tax Code. Provides that certain property on which a community-integrated living arrangement is located is entitled to a reduction in its equalized assessed value in an amount equal to the product that results when the number of occupants who use the community-integrated living arrangement as a primary residence is multiplied by $2,000. Provides that property qualifies for the homestead exemption for persons with disabilities even if the person with a disability is not an owner of record of the property or liable for paying property taxes if a family member of the person with a disability meets those criteria. Effective immediately.

Creates the Privately-Owned Carbon Capture Device Rebate Act. Establishes a rebate program administered by the Environmental Protection Agency for eligible purchasers of privately-owned carbon capture devices that use biological processes, including microalgae photosynthesis, for residential use. Lists eligibility criteria for applicants and devices. Provides rebate amounts and timelines, prioritizing low-income applicants. Requires ownership and residency conditions and sets limits on rebate frequency. Authorizes auditing and reimbursement for noncompliance. Imposes a 5% user fee on device sales to fund rebates. Creates the Privately-Owned Carbon Capture Device Rebate Fund in the State treasury and amends the State Finance Act to add the Fund. Grants rulemaking authority to the Agency and the Department of Revenue. Effective immediately.

Creates the Solar Energy Reliability and Affordability Checkoff Program Act. Sets forth findings. Defines terms. Creates the Solar Energy Reliability and Affordability Fund. Provides that the Fund may receive deposits of moneys collected by the Department of Agriculture under provisions of the Act concerning the collection of solar energy fees. Creates the Solar Energy Reliability and Affordability Board appointed by the Governor to administer and manage the Fund. Sets forth membership requirements of the Board. Provides that the Board shall ensure that assessments collected under the Act are used for the creation and publication of research, communication, marketing, and education programs that promote accurate information related to, emphasize the clean energy benefits and affordability of, and promote the adoption of solar energy systems and energy storage systems, which may include the funding of third-party organizations for these purposes and any related activities to carry out the programs as proposed by the Board. Requires each owner, operator, or developer of a solar energy system to pay a 2 cents per watt assessment on all solar energy systems sold for installation within the State to the Department of Agriculture. Provides that assessments are payable directly to the Board and shall be paid when a commercial renewable energy facility owner enters into an agricultural impact mitigation agreement as required under the Renewable Energy Facilities Agricultural Impact Mitigation Act. Requires the Board to publish an annual financial and activities report. Amends the State Finance Act to create the Solar Energy Reliability and Affordability Fund as a special fund in the State treasury. Effective immediately.

Appropriates $150,000 from the General Revenue Fund to the Department of Commerce and Economic Opportunity for a grant to the Village of Barrington Hills. Effective immediately.

Amends the School Code. Provides that all mandated categorical programs under the Code and the School Breakfast and Lunch Program Act shall be funded at 100% of their required levels as calculated by the State Board of Education, without proration. Provides that, beginning with Fiscal Year 2027, the General Assembly shall appropriate funds for each fiscal year sufficient to fully reimburse school districts for all services and costs under mandated categorical programs, as required under the Code. Requires the State Board to annually provide to the General Assembly, no later than May 1 of each year, the appropriation levels needed to fully fund mandated categorical grant funding for the upcoming fiscal year. With respect to the evidence-based funding formula, provides that the State shall increase annual new State funds to ensure full funding of the formula beginning with Fiscal Year 2027. Requires the State Board to annually determine and report the amount necessary to bring all Tier 1 and Tier 2 organizational units to 100% of their adequacy targets, and requires the General Assembly to appropriate sufficient funds to meet this requirement no later than Fiscal Year 2027. Provides that no organizational unit may receive less than the amount determined under the formula in any fiscal year. Effective immediately.

Amends the Illinois Insurance Code. Creates the Vision Benefit Managers Article. Beginning on July 1, 2026, requires a vision benefit manager to be registered with the Department of Insurance, as specified, to conduct business in the State. Requires amounts collected under provisions concerning vision benefit manager registration requirements to be deposited into the Low-Income Student Vision Examination Fund, which is created as a special fund in the State treasury. Grants the Director or the Director's designee the authority to examine a registered vision benefit manager related to all of its lines of business. Amends the Vision Care Plan Regulation Act. Changes the name of the Act to the Vision Benefit Manager Regulation Act. Establishes the legislative intent of the Act. Makes changes to defined terms. Throughout the Act, replaces references to vision care plans with vision benefit plans and vision benefit discount plans and vision care organizations with vision benefit managers. Sets forth provisions concerning required actions for noncovered services; fee schedules for eye care providers; reimbursement paid by a vision benefit manager to an eye care provider; application of the Act to a specified limited health service organization; an eye care provider's choice of vendors and affiliations; the modification of a plan; audits of an eye care provider; prohibited conduct impacting patient access and choice; credentialing; termination of agreements; prohibition on security interests; arbitration costs; nonretaliation; and private rights of action. Amends the Consumer Fraud and Deceptive Business Practices Act and the State Finance Act to make conforming changes. Effective January 1, 2027.