UPDATED 1:59pm

Springfield, IL (CAPITOL CITY NOW) – Governor JB Pritzker has signed an executive order that is directing the heads of state agencies to effectively cut four percent of their appropriations from the state’s General Fund, and is blaming the Trump administration for having to do so.

According to a news release, the order is “directing state agencies to identify up to 4% of Fiscal Year 2026 General Funds appropriations to reserve in order to mitigate the impact of Trump’s disastrous economic policies while working to maintain core services.”  The claim is being blamed on a Republican budget bill Pritzker says hampers state revenue streams.  The state says other states are having to do the same thing.

“Illinois has built a strong economy and proven its fiscal responsibility, but Trump’s disastrous policies threaten to undo that progress,” Pritzker said, in a news release. “Trump and Congressional Republicans sealed one of the largest wealth transfers in American history, stripping health care, food assistance, and other essential supports for working families to fund permanent tax breaks for the wealthy. At the same time, tariffs are hurting our farmers and businesses, slowing job growth, and driving up costs for Illinois families. I’m taking executive action to mitigate the impact of Trump’s economic policies on our state finances, maintain critical services, and preserve our economic stability.”

The state news release claims Illinois’ economy has been increasing, surpassing $1 trillion in Gross Domestic Product in 2022.  Pritzker claims the last seven years have had balanced budgets, and the Republican-led budget will undermine economic growth.

Pritzker’s order, according to the state, means agencies have to:

• Conduct immediate budget reviews to identify efficiencies and reductions.
• Identify up to 4% of General Funds appropriations for FY26 reserves to reinforce state finances.
• Limit non-essential spending, purchases, and travel.
• Review all hiring decisions and prioritize only essential roles.
• Propose programmatic changes or appropriation transfers if FY26 budget shortfalls emerge.

The executive order takes effect immediately, and the state agencies have to submit progress reports to the Governor’s Office of Management and Budget within 30 days.

Republicans say it’s a phony ruse which they can see straight through:

“We warned that this budget was irresponsible and overspent. Stop passing blame, Governor. Illinoisans aren’t buying that recent policy changes in Washington DC are to blame for the decades of Illinois financial mismanagement.” – House Minority Leader Tony McCombie (R-Savanna)

“When President Biden was in the White House, the Governor’s own five-year budget projections showed average annual budget deficits of $4.6 billion over the next five years. Yet, he continued to increase state spending by 40 percent since taking office, despite Illinois’ GDP significantly lagging behind national growth. If he is serious about protecting Illinois’ fiscal solvency, he will start by making the difficult, and sometimes unpopular decisions needed to constrain state spending, reduce taxes, and improve economic opportunity for all Illinoisans, regardless of who is president.” – Senate Minority Leader John Curran (R-Downers Grove)

“He claimed (in proposing the current budget) that an increase of $2 billion was tightening our belts. Well, now, by his own admission, each state agency can at least save four percent of their funds, so it makes him look like a total phony to the things he claims while we are trying to negotiate budgets.” – State Sen. Steve McClure (R-Springfield)