SPRINGFIELD – Governor JB Pritzker delivered his seventh State of the State address touching on new plans for colleges to healthcare costs to sharp criticism for President Trump that elicited boos from some state lawmakers.
The 21st show provided live coverage of the address along with analysis from two policy experts as well as a special rebroadcast of the speech. Below is a transcript of the 2025 State of the State Address.
Thank you very much. Speaker Welch. President Harmon, Minority Leader McCombie, Minority Leader Curran, Lieutenant Governor Juliana Stratton, my fellow constitutional officers, the members of the 104th General Assembly, Chief Justice Tice, and the members of the Supreme Court, First Lady, MK Pritzker, honored guests and all the people of the great state of Illinois. I’m JB Pritzker, and I’m grateful to be here to deliver my seventh state of the state and budget address.
In 1818, the first Illinois constitution mandated that the governor shall from time to time, give the General Assembly information of the state of the government and recommend to their consideration such measures as he shall deem expedient. Remarkably, as far as I can tell, every single year for 207 years in one fashion or another, Illinois governors have stood before this body to do what our first constitution mandated of them, these messages have reflected the unique times during which each Governor served. Our second governor, Edward Coles, advocated for the abolition of slavery decades before Abraham Lincoln. Passionate in his entreaty that it was a matter of justice and humanity. Dwight Green, our 32nd governor, implored Illinoisians at the start of the second World War to not let the tragic spirit of despair overcome us. I like what this tradition represents. No matter what budget circumstances, no matter if there’s a world war or a deadly pandemic, no matter how many governors and legislators have been elected and installed, every year, our democratic process begins again, and every year we come together as democratically elected representatives of the people to acknowledge that the power they grant us. With each election and reelection is not unlimited. It’s traditions like this one, which bring together all our branches of government to stand in respect of each other, that underpin the guardrails of our democracy. The only power that the Constitution truly recognizes is a power that is capable of humbling itself before our people. Since I became governor, each of our budgets has been an effort to strengthen the fiscal foundation upon which we could all confidently build prosperity throughout Illinois in good years and in bad together, so far, we have paid down more than $12 billion in debt, grown a rainy day fund of more than $2 billion improved our pension funded ratio and earned nine credit upgrades, which are the first in a quarter century, and we invested in things that matter to Illinoisians, education, health care, public safety, infrastructure and job creation. Every single one of these budget years has presented its own unique set of difficulties. This year is no exception. Here’s the good news. We’ve made responsible investments, and Illinois is better built for the long term. That means that lean budget years are a challenge and no longer a catastrophe. Overcoming a challenging budget year starts with growing our economy, because every business we add, every dollar we invest, every worker we employ, every entrepreneur we uplift strengthens our resiliency. For too many years, Illinois lacked an organized effort to attract, retain and expand businesses, payrolls and career opportunities. Global CEO’s and site selectors have told me Illinois was never on their radar screen, because for decades, our state wasn’t proactively competing for their new factories or headquarters like other states were. That’s all changing thanks to the work of this general assembly and our new team Illinois economic development organization, this state has so much to offer, among the best in the nation for workforce, talent, innovation, clean energy, abundant fresh water, fertile soil, educational and scientific institutions and so much more. I’ve been across the country and around the world with Illinois business leaders showing our wares to company leaders looking for a place to expand, and we’ve had real success in 2019 CNBC list of top states for business ranked Illinois 30th out of 50 states today, we’re 15th.
Our economy is over $1.1 trillion and growing- the fifth largest in the United States and the 18th largest in the world. We’re now ranked number two in the nation for corporate expansions and relocation destinations, and you can see that progress from Du Quoin to Decatur to Manteno to Belvedere. Back in 2016, Mitsubishi closed its only U.S. plant in Normal, Illinois. The community’s future was in jeopardy. Along came Rivian automotive, which bought the idled plant and brought new life to the factory and in turn, to the community. Not satisfied with that, team Illinois worked with the General Assembly to support Rivian decision to invest $1.5 billion more in a factory expansion. In 2018 there were 27 Rivian employees in Normal. There are now thousands.
When Vaughan and Bushnell Manufacturing, an economic engine and community institution in Bushnell for over 150 years, was on the verge of closing, hundreds of jobs and the future of the community were at risk, a small town where generations of Illinoisans had laid down roots, built lives and raised families could have disappeared. Team Illinois immediately began working with the company and local officials to make sure that that didn’t happen. Those efforts compelled Marshall town company to step in and acquire Vaughan and Bushnell now, keeping the jobs right here in Illinois and keeping a small town together.
Bushnell Mayor Robin Wilt is here with us today. Would you please stand and be recognized?When her community was in need, Mayor Wilt rolled up her sleeves and worked with my team to keep it together. She didn’t worry about partisan politics or budget games. Her focus was as ours should be, on the working families who depend on our ability to get results. Portman Steel, Helanova, PsiQuantum, Prysmian Group, Nexamp, Manor Polymers, and so many more, representing tens of billions of dollars of investment and revenue. These are just some of the new facilities and headquarters that have moved to Illinois or expanded here in just the last few years, and they’re an important part of the vital new economic foundation of this state. Economic growth is an essential ingredient that allows us to move beyond challenging budget years like this one. None of this happens without fiscal responsibility. I’m proud to say that this year’s budget proposal is balanced and responsible. It represents some hard sacrifices and moderated spending. We’re preserving the progress that we’ve made over the last six years, streamlining certain departments to do more with less, and delivering for our residents without raising their taxes.
Like so many other states, our FY 26 revenue will grow at a slower rate than we experienced in recent years. For example, state source revenue increased 15.9% in 2021 and 13.2% in 2022 we expect to finish this year with 5% revenue growth. But for 2026 our forecast projects a 1.9% increase, much more modest, in part, because the US economy is projected to grow at a slower pace while we hope. This is temporary in nature. I’m not going to base a budget on bloated revenue estimates. I have never done that, and therefore our spending must reflect reality. We have to live within our means.
New discretionary spending is increasing by less than 1% in the FY 26 budget. Other expenditures are mandatory, full pension payments, inflation on health care coverage and debt pay down, for example, this proposed budget enacts cost saving operational efficiencies, improves productivity, curtails new hiring at agencies, consolidates unnecessary segregated funds, eliminates dormant boards and commissions and overhauls state purchasing to save taxpayers money. Each and every year I have proposed a balanced budget, and each and every year the General Assembly has passed a balanced budget. As always, I stand ready to work with members of the General Assembly to deliberate and negotiate the final budget. But let’s be clear, I will only sign a balance budget. If you come to the table looking to spend more, I’m going to ask you where you want to cut. I have made difficult I have made difficult decisions, including to programs that I have championed, which is hard for me, just as I know some of the difficult decisions you will have to make will be hard for you. I believe strongly that we must continue our firm commitment to building up the rainy day fund, new funding for public schools, investing in economic growth and jobs and improving much needed services to working families and to the most vulnerable. These are things that we cannot compromise on, particularly when we face the uncertainty of the federal government’s haphazard, ready fire, aim tactics toward everyday Americans. I know it’s in fashion at the federal level right now to just indiscriminately slash school funding, healthcare coverage, support for farmers and veterans services. They say they’re doing it to eliminate inefficiencies, but only an idiot would think that we should eliminate emergency response in a natural disaster, education and health care for disabled children, gang crime investigations, clean air and water programs, monitoring of nursing home abuse, nuclear reactor regulation and cancer research. Here in Illinois, ten years ago, we saw the consequences of a rampant ideological gutting of government. It genuinely harmed people. Our citizens hated it. Trust me, I won an entire election in part on just how much they hated it.
So while this budget makes sacrifices, it preserves Illinois’ progress toward delivering what children and families need most, we ought to be focused on making life more affordable for everyday Illinoisans with the new tariffs that are already put in place by President Trump and the ones that he has proposed, the cost of everyday goods like tomatoes and beef and beer is likely to rise again. It’s confounding that when this happens. It seems like large corporations just hike up prices to drive up profits, while everyday people get stuck with the bill. It’s not right, and we ought to call out the federal government and the companies on it.
We can do something about it at the state level. Last year, we lowered taxes on parents when we enacted the child tax credit and permanently eliminated the state grocery tax together, saving Illinois ins more than half a billion dollars per year. This year, we’re going to need to do even more to address high prices and counteract Trump’s tariffs that will raise taxes on working families at the top of the list. We need to lower health care costs. One of the great ironies of our modern age is that breakthroughs in research are producing medications that can treat and even cure long standing chronic diseases, but the high cost of these drugs are making them unaffordable for people who need them the most. What’s causing that well, patients, healthcare providers and independent pharmacists will all tell you that pharmacy benefit managers or PBM’s are driving up prices.
PBM’s are middlemen in the healthcare industry. They extract extra profit from patients through opaque and often predatory tactics. They are not doctors, but they work with insurance companies to deny people the drugs and treatment doctors prescribe. Not only are they driving up health care costs for Illinois families by hundreds of millions of dollars per year, but they’re also putting small, local independent pharmacies out of business. Michelle Dyer of Macoupin County is a pharmacy owner. Will you please stand and be recognized?
Michelle was forced to close three of her stores after years of skyrocketing PBM fees. Her livelihood was threatened, and so were her patients. She’s not alone. We’re talking about rural small businesses being ruined by large pharmacy store chains that own PBM’s- Michelle and all the independent family run pharmacies. Programs are under threat, and they deserve a level playing field.
That’s why I’m introducing the prescription drug affordability act to rein in the unfair practices of PBM’s reduce drug costs for Illinois patients by hundreds of dollars per year on average, and protect independent pharmacists.
I will also give full statutory authority to the Illinois Department of Insurance to examine the books and records of PBM’s and require them to submit to annual reporting and auditing. We’re going to end the overcharging for drugs that people rely on, from insulin for diabetics to chemotherapy for cancer patients. Millions of Illinoisans have had an unexpected illness or accident that left them owing thousands of dollars in medical bills that they may never be able to pay. Today, I’m announcing a second batch of medical debt cancelations made possible through our landmark program established last year. Over 100,000 Illinoisians have now seen their medical debt automatically erased.
This is a great example of the creative policies that have allowed us to transform the lives of our people for the better while remaining fiscally prudent. So far, $900,000 has allowed us to eliminate over $128 million in medical debt owed by middle class and working class families, saving them over $1,000 on average. Last year, we enacted the health care Protection Act, allowing doctors and patients to make their own medical decisions without interference from insurance companies. It will save Illinoisians money while improving the quality of medical care in the state. Well, this year we’re going to take it a step further. We’re going to stop insurance companies from blocking access to mental health. We can do that by banning prior authorization for all behavioral health care.
And for rural Illinois families and those who live far away from certain medical care will require insurance reimbursement for reasonable travel costs associated with medical appointments when the distance traveled exceeds network adequacy requirements, the days of unchecked health insurance greed are coming to an end. Here in Illinois, predatory practices are being dismantled one by one, and we’re going to lower the cost of health care for working families.
One of the biggest affordability challenges people are facing is housing. Amid the construction supply chain challenges of the last few years, along with higher interest rates, Illinois housing inventory decreased more than the national average. That’s got to change. Last year, I appointed a Director of Housing Solutions and formed an advisory committee of housing experts. They proposed a slate of reforms to unlock new financing, attract capital, incentivize builders, and eliminate unnecessary barriers to housing construction. This year, I’m asking the General Assembly to put those recommendations to work so that we can make Illinois housing more affordable and economical.
While this is a year for tightening our belts, we’ve made real progress toward giving every Illinois child the support they need to live a healthy and prosperous life. Let’s not lose that forward momentum. Our historic investments in evidence-based funding have made a profound impact on student success in 2024 reading scores for Illinois’ eighth graders were the second highest in the nation, and their math scores were fifth highest in the nation.
On top of that, good news, high school graduation rates in Illinois have reached a 14-year high. I believe in building on what works. So despite the challenges that we’re facing this year with the budget, my budget proposal increases our commitment to evidence-based funding for public education so that we can put new resources in underfunded schools first improving the classroom environment and limiting distractions is vital to student achievement. And in conversations with educators and parents around this state, there is one thing that they commonly cite as an impediment to learning in the classroom, cell phones. Furthermore, cyber bullying has expanded at alarming rates, and it’s time for Illinois to take measures to protect our kids. That’s why this session, I’ll move forward with legislation requiring all school districts in Illinois to adopt a cell phone policy that bans the use of phones during classroom instruction.
More focus on learning will bring even greater success for kids across our state. According to U.S. News and World Report, Illinois ranks number seven in the nation for pre K-12 education, and that’s one reason why so many of our students go to college and our map grant and aim high scholarship programs along with our state university’s free college offers like the Husky pledge and Illinois Promise are making university education in Illinois more affordable. But making it more accessible would help us keep the best and brightest students here at home. So I propose we pass the public university direct admission program Act introduced by majority leader Kimberly Lightford Last year, it would allow students to know before they apply, whether they qualify for admission to any or all of our state’s public universities. That way, a student can apply with no fee and full confidence in their acceptance, more kids in Illinois will stay and go to school here, and that’s great for our state’s families and our economy.
Along those lines, I want to offer one final proposal focused on one of the jewels of the Illinois education system, our community colleges. Illinois is home to one of the best community college systems in the nation, third largest in size and still growing. Last fall, enrollment at Illinois Community Colleges grew for the third consecutive year, outpacing the national average by almost 3% one of those students is Melissa McCaig of Jerseyville, who is here today. Will you stand Melissa?
Melissa is a nursing student at Lewis and Clark College Community College and a student trustee, along with being a devoted mother and grandmother. Melissa wants to pursue a baccalaureate degree in nursing, but the cost and the commute to a school farther away will make it too expensive. There are people like Melissa all across Illinois who want to get a four-year degree to make a better living. We should make that easier for them, and that’s why I’m proposing that we allow community colleges to offer four-year baccalaureate degrees for in demand career paths.
Nursing, advanced manufacturing, early childhood education and beyond. I mean, with lower tuition rates and greater presence across the state, especially in rural areas, community colleges provide the flexibility and the affordability that students need. This is a consumer driven, student centered proposal that will help fill the needs of regional employers in high need sectors and create a pathway to stable quality jobs for more Illinoisans. This is my seventh state of the state address, and I’ve come before you to present a budget in good years and in bad in years of crisis and years of relative stability, there’s a whole industry of back seat belly acres in this state and around the country who make a profession out of rhetorically tearing down Illinois and suggesting that if we would just enact one of their magic bean fixes, that we would never face another difficult budget year. But there’s one thing that I’ve learned as governor. There are no magic bean fixes, and each year there’s some difficulty that requires us to work hard to overcome it. This year, the surfacing difficulty is Donald Trump’s and Elon Musk’s plan to steal Illinois’ tax dollars and deny our citizens the protection and the services that they need. I want to offer you a few examples. 20 million Americans, 700,000 of them here in Illinois will lose health care coverage if congressional Republicans are successful in their effort to cut the Affordable Care Act and rural hospitals across Illinois will be shuttered. The Trump administration cut off funding for food safety inspectors for nearly a month, impacting more than 70 meat and poultry facilities in Illinois. Without these inspectors, the supply chain collapses. Prices go through the roof, from farmers to truckers to meat packers to retailers, jobs will be lost. Meals on Wheels, programs which home deliver 12 million meals per year to 100,000 seniors and people with disabilities in Illinois are on the federal chopping block. This is real. The new administration and the Republican Congress and Elon Musk intend to take these programs away for all the Illinoisians watching at home. Let me be clear, this is going to affect your daily lives. Our state budget can’t make up for the damage that is done to people across our state. If they succeed, there are people, some in my own party, who think that if you just give Donald Trump everything that he wants, he’ll make an exception, and he’ll spare you some of the harm. I’ll ignore the moral abdication of that position for just a second to say almost none of these people have had the experience with the president that I do. I once swallowed my pride to offer him what he values most public praise on the Sunday news shows in return for ventilators and N-95 masks during the worst of the pandemic, we made a deal, and it turns out his promises were as broken as the BiPAP machines he sent us instead of ventilators going along to get along does not work. Just ask the Trump fearing red state governors.
You can boo all you want. Until your constituents lose these services, those Trump states, red state governors are dealing with the same cuts that we are and I won’t be fooled twice. Last week, our federal courts returned a verdict, rightfully condemning the once unchecked power of a former speaker of this house. Now if you applauded that decision like I did, then I expect you to defend and applaud those same federal courts as they checked this president in his quest for unrestrained power.
I’ve been reflecting these last four weeks on two important parts of my life, my work, helping to build the Illinois Holocaust Museum, and the two times that I’ve had the privilege of reciting the oath of office for Illinois Governor. As some of you know, Skokie, Illinois once had one of the largest populations of Holocaust survivors anywhere in the world. In 1978, Nazis decided that they wanted to march there. The leaders of that march knew that the images of swastika clad young men goose stepping down a peaceful suburban street would terrorize the local Jewish population, so many of whom had never recovered from their time in German concentration camps. The prospect of that march sparked a legal fight that went all the way to the Supreme Court. It was a Jewish lawyer from the ACLU who argued the case for the Nazis, contending that even the most hateful of speech was protected under the First Amendment. As an American and as a Jew, I find it difficult to resolve my feelings around that Supreme Court case, but I am grateful that the prospect of Nazis marching in their streets spurred the survivors and other Skokie residents to act. They joined together to form the Holocaust Memorial Foundation and build the first Illinois Holocaust Museum in a storefront in 1981- a small but important forerunner, the one I helped to build 30 years later. Here, I do not invoke the specter of Nazis lightly, but I know the history intimately, and have spent more time than probably anyone in this room with people who survived the Holocaust. Here’s what I’ve learned. The root that tears apart your house’s foundation begins as a seed, a seed of distrust and hate and blame. The seed that grew into a dictatorship in Europe a lifetime ago didn’t arrive overnight. It started with everyday Germans mad about inflation and looking for someone to blame. I’m watching with a foreboding dread what is happening in our country right now, a president who watches a plane go down in the Potomac and suggests without facts or findings, that a diversity hire is responsible for the crash, or the Missouri Attorney General, who just sued Starbucks, arguing that consumers pay higher prices for their coffee because the baristas are too female and non-white. The authoritarian playbook is laid bare here they point to a group of people who don’t look like you and tell you to blame them for your problems. I just have one question, what comes next after we’ve discriminated against, deported or disparaged all the immigrants and the gay and lesbian and transgender people, the developmentally disabled, the women and the minorities, once we’ve ostracized our neighbors and betrayed our friends after that, when the problems we started with are still there staring us in the face, what comes next? All the atrocities of human history lurk in the answer to that question, and if we don’t want to repeat history, then for God’s sake, in this moment, we better be strong enough to learn from it.
I swore the following oath on Abraham Lincoln’s Bible. I do solemnly swear That I will support the Constitution of the United States and the Constitution of the State of Illinois, and that I will faithfully discharge the duties of the office of Governor according to the best of my ability. My oath is to the Constitution of our state and of our country. We don’t have kings in America, and I don’t intend to bend the knee.
I’m not speaking up in service to my ambitions, but in deference to my obligations. If you think I’m overreacting and sounding the alarm too soon, consider this, it took the Nazis one month, three weeks, two days, eight hours and 40 minutes to dismantle a constitutional republic. And all I’m saying is that when the five-alarm fire starts to burn, every good person better be ready to man a post with a bucket of water. Or if you want to stop it from raging out of control, those Illinois Nazis did end up holding their march in 1978 just not in Skokie. After all the blowback from the case, they decided to march in Chicago. Instead, only 20 of them showed up, but 2,000 people came to counter protest. The Chicago Tribune reported that day that the rally sputtered to an unspectacular end after 10 minutes, it was Illinoisians who smothered those embers before they could burn into a flame. Tyranny requires your fear and your silence and your compliance. Democracy requires your courage. So gather your justice and humanity Illinois, and do not let the tragic spirit of despair overcome us when our country needs us the most. Thank you.