Budget & Taxes

Creates the Small Business Asset Purchase Account Act. Provides that a small business in the State may open a small business asset purchase account at an eligible financial institution. Provides that funds from a small business asset purchase account may be used only for specified eligible costs. Amends the Illinois Income Tax Act. Creates a deduction in an amount equal to 50% of the amount contributed during the taxable year to a small business asset purchase account. Creates a deduction of 100% of the interest earned on the account that is not included in the taxpayer's federal adjusted gross income. Amends the Uniform Penalty and Interest Act to provide for penalties for amounts withdrawn that are not used for eligible costs.

Amends the Illinois Income Tax Act. Creates an income tax credit for each taxpayer that is an eligible small employer in an amount equal to the amount paid during the taxable year by the eligible small employer to its employees as paid leave that is required by the Paid Leave for All Workers Act. Provides that an eligible small employer is an employer that employs 50 or fewer employees during the taxable year and is subject to the Paid Leave for All Workers Act. Effective January 1, 2027.

Amends the Counties Code. Provides that, beginning July 1, 2026, each State's Attorney whose term begins after July 1, 2026 shall be compensated at the rate of 100% of the mean of the amount paid to the resident circuit judges in the county courthouse for the State's Attorney.. Provides that the State shall furnish 66 2/3% of the total annual compensation to be paid to each State's Attorney in the State based on the salary in effect on December 31, 1988, and 100% of the increases in salary taking effect after December 31, 1988. Provides that the amount shall be paid from the Personal Property Tax Replacement Fund. Provides that the county shall be responsible for the State and federal income tax reporting and withholding and the employer contributions under the Illinois Pension Code.

Amends the Program of All-Inclusive Care for the Elderly Act. Provides that the Department of Healthcare and Family Services shall coordinate with the Department on Aging and the Department of Human Services to ensure the maximization of all available federal financial participation and existing State revenue sources, which shall include, but not be limited to, identifying and integrating funding streams currently used for the Home and Community-Based Services (HCBS) waivers to support PACE enrollment and developing a unified budgeting approach under which appropriations for long-term services and supports are treated as a fungible pool, allowing funding to transition seamlessly when a participant chooses PACE over traditional waiver services. Provides that, to ensure participant choice and program flexibility, the Department shall establish a service-neutral enrollment mechanism. Provides that if an individual is on a waiting list for a HCBS waiver and chooses to enroll in PACE, the individual's status and slot value shall be preserved and applied to the PACE capitation rate to ensure the State's budget neutrality. Sets forth provisions concerning funding portability, transitioning between PACE and traditional HCBS models, and the use of a Unified Assessment Tool.

Amends the Department of Veterans Affairs Act. Requires the Department of Veterans Affairs to develop and implement a statewide military history initiative aimed at preserving Illinois' war and veterans' memorials, monuments, plaques, and historic sites. Creates the Illinois War and Veterans Memorials and Monuments Fund as a special fund in the State treasury to support the preservation and restoration of outdoor memorials, monuments, plaques, and historic sites located within the State that highlight the service and sacrifice of Illinois' military veterans. Provides that, subject to appropriation, moneys in the Fund shall be expended to provide grants to local governments, historic societies, and veterans' organizations seeking to restore, repair, or maintain memorials, monuments, plaques, or historic sites within their communities. Requires the Department to establish criteria on how to identify war and veterans' memorials, monuments, plaques, and historic sites that are in need of preservation or restoration or other forms of aid, and match them with grants and other sources of funding based on the scope of the preservation or restoration project and on the grant applicant's ability to carry out and complete the project. Requires the Department to create and maintain a digital archive of Illinois veterans' records, letters, and oral histories and make such materials readily accessible to the general public and local schools. Requires the Department to partner with State colleges and universities to collect and preserve personal documents, photos, and interviews with Illinois veterans. Amends the State Commemorative Dates Act. Designates April 9 of each year as Illinois Veterans' Legacy Day to be observed throughout the State as a day to recognize and honor the service and sacrifice of Illinois' military veterans with suitable activities designed to teach and preserve Illinois' military history and build social connections between Illinois' veterans population and school-aged youth. Amends the School Code. Requires the State Board of Education to prepare and make available to all school boards teaching modules on Illinois' military history for public school students enrolled in grades 6 through 12.

Makes appropriations for the ordinary and contingent expenses of the Human Rights Commission for the fiscal year beginning July 1, 2026, as follows: General Funds $6,244,600.

SB 4163 allocates state funds for capital projects (like infrastructure and buildings) during the fiscal year starting July 1, 2026. It directly affects state agencies that manage capital construction and maintenance by providing budget authority for their projects. The bill makes specific funding assignments without creating new taxes or changing existing laws, simply directing how existing budget resources will be used for capital needs. This is a routine budget measure to support state facility investments.

Amends the Environmental Protection Act. Provides that, beginning July 1, 2026, and each July 1 thereafter, the State Comptroller shall direct and the State Treasurer shall transfer the sum of $5,000,000 from the Underground Storage Tank Fund to the Brownfields Redevelopment Fund. Provides that, among other things, moneys in the Brownfields Redevelopment Fund may be used for the issuance of grants or providing additional subsidization. Removes provisions limiting the size of grants to municipalities issued under the Municipal Brownfields Redevelopment Grant Program.

Appropriates $20,000,000 from the General Revenue Fund to the Department of Commerce and Economic Opportunity for grants to the Job Training and Economic Development Program. Effective July 1, 2026.

Appropriates $1,670,000 from the General Revenue Fund to the Illinois Arts Council for the purpose of a grant to the Illinois Humanities Council. Appropriates $250,000 to the Department of Natural Resources for the purpose of a grant to the Illinois Humanities Council for costs associated with the Illinois America 250th Commemoration, including general operating costs associated with statewide commemoration efforts. Effective July 1, 2026.