Government Affairs Roundup
“Your Timely Roundup of Local, State, and Federal Updates”
Chamber members:
State Representatives returned to Springfield yesterday for their first House session this year. The Illinois Senate met briefly last week. Congress is at work out in Washington D.C. looking to pass the final funding bills. Government at all levels is in full swing with primary elections right around the corner. See below for all of today’s updates.
Additionally, please consider joining us for our member luncheon next week on Thursday, January 29th at Harrah’s Joliet Casino & Hotel. We will hear from the Joliet Fire and Police departments about recent success, current updates, and future plans. Join us to celebrate and share the work that our first responders are doing in the community. You can register here:
https://members.jolietchamber.com/events/details/2026-member-lunch-january-29-update-from-our-first-responders-7779
*Government Affairs Roundup brought to you by CITGO*
House to Vote on Final Four Government Funding Bills Totaling $1.2 Trillion
With just 10 days remaining before the government funding deadline, House appropriators have released the final four fiscal year 2026 spending bills, setting up a critical vote in the chamber.
The 771-page package totals $1.2 trillion and funds the departments of Defense; Labor, Health and Human Services, and Education; Transportation and Housing and Urban Development; and Homeland Security. House Appropriations Committee Chairman Tom Cole, R-Okla., said the release marks a major milestone in a process many once thought unlikely to conclude on time. “At a time when many believed completing the FY26 process was out of reach, we’ve shown that challenges are opportunities,” Cole said in a statement Tuesday. “It’s time to get it across the finish line.”
The largest share of funding is directed to the Defense Department, which would receive $839 billion for military personnel, research, equipment and operations. The bill includes a 3.8% pay raise for service members, $13 billion for President Donald Trump’s “Golden Dome” missile defense initiative, and funding to establish a network of commercial factories capable of quickly shifting to military production.
The Transportation and Housing and Urban Development bill allocates $102 billion, including $25 billion for transportation and border security. When combined with revenue from separate highway and airport trust funds, the Federal Aviation Administration would receive $22 billion this fiscal year, while the Federal Highway Administration would receive $64 billion. The remaining $77 billion is designated for HUD programs, supporting rental assistance, public housing, homelessness services and mortgage insurance.
Another politically sensitive measure is the $221 billion Labor-HHS-Education bill. It funds bipartisan priorities such as early childhood education, Pell Grants, rural health care, job training initiatives and biomedical research. Republicans secured $500 million for charter schools, but fiscal conservatives are expected to object to more than $5 billion for migrant and refugee assistance programs. Although that figure is lower than in the previous two years, it remains roughly triple the funding levels seen during Trump’s first term.
Democrats have raised concerns about the $64 billion Homeland Security bill, arguing it fails to sufficiently limit the authority of Immigration and Customs Enforcement officers. Still, with the risk of a partial government shutdown looming, House Appropriations Committee Ranking Member Rosa DeLauro, D-Conn., urged Democrats to weigh the broader implications. She encouraged members to “review the bill and determine what is best for their constituents and communities,” while acknowledging frustration among those opposed to funding ICE.
So far, only three of the 12 annual appropriations bills have been signed into law. Three more are awaiting the president’s signature, and two additional measures are expected to reach the White House next week after Senate action.
House leaders aim to pass the remaining four bills by Friday, allowing the Senate to take up all six when it returns next week and avert a lapse in government funding.
President Trump Backs Swipe Fee Reform, Renewing Push to Cut Merchant Costs
President Donald Trump on Tuesday announced his support for the Credit Card Competition Act (CCCA), a bipartisan proposal aimed at increasing competition in the credit card processing market and lowering so-called “swipe fees” paid by merchants. The endorsement has given new momentum to an issue long championed by retailers and small businesses as a major cost driver.
Swipe fees — the interchange fees charged each time a customer uses a credit card — are among the highest operating expenses for many merchants, trailing only labor. Supporters of the CCCA argue the bill would provide meaningful relief by allowing merchants to choose how credit card transactions are routed, rather than being locked into a single payment network and its associated fees.
The legislation, sponsored by Sen. Roger Marshall, R-Kan., and Sen. Dick Durbin, D-Ill., was first introduced in 2022 and reintroduced in January 2026. It has reignited a familiar fight between retailers and financial institutions. Retail groups say the bill would reduce operating costs and free up capital for hiring, expansion and price stability. Banks and card networks counter that lower interchange revenue could lead to reduced credit card rewards and higher costs elsewhere in the system.
Trump weighed in on the debate earlier this year on Truth Social, saying he supports the bill “in order to stop the out-of-control swipe fee ripoff,” placing the issue squarely back in the national spotlight.
Under the current system, merchants that accept credit cards must use the payment network associated with the card — most often Visa or Mastercard — and pay the fees set by that network. Critics say this effectively creates a duopoly with little competitive pressure to keep fees in check.
The Credit Card Competition Act would require large banks to enable at least two unaffiliated payment networks on their credit cards. That change would allow merchants to choose which network processes a transaction, potentially opting for lower-cost alternatives. Supporters believe that competition among networks would drive down interchange fees over time.
Retail and small business advocates say the impact could be significant, particularly for independent businesses operating on thin margins. “Swipe fees are the second-highest operating cost for many small retailers, and they automatically rise with inflation,” said Doug Kantor, general counsel for the National Association of Convenience Stores. “That makes it extremely difficult for business owners to maintain profitability.”
Proponents argue that lower swipe fees would allow businesses to reinvest savings in their operations, including employee wages, new locations, technology upgrades and expanded product offerings. While the bill does not require merchants to pass savings directly to consumers, supporters say cost relief would help stabilize prices in an inflation-sensitive economy.
Skeptics, however, question whether savings would translate into lower prices at scale. Some analysts expect small businesses to use any savings to offset rising costs elsewhere, build financial reserves or fund long-delayed improvements rather than cut prices outright.
Timing is another uncertainty. While Trump’s support adds political weight, it remains unclear when or whether Congress will move the bill forward. “Your guess is as good as mine,” said Stephanie Martz, chief administrative officer and general counsel for the National Retail Federation, which supports the legislation.
Financial institutions and card issuers warn that reduced interchange revenue could have ripple effects, including scaled-back rewards programs and tighter credit standards. They also point to added compliance and security costs associated with supporting multiple payment networks.
Still, retailers say the core issue is fairness and competition. With swipe fees rising year after year and limited alternatives available, they argue that reform is overdue.
With the President now publicly backing the Credit Card Competition Act, business groups are hopeful the long-stalled effort to rein in swipe fees may finally gain traction — offering merchants a rare chance to lower one of their most persistent and least negotiable costs.
State Education Board Approves $10.9 Billion Budget Request Amid Fiscal Constraints
The Illinois State Board of Education approved a $10.9 billion budget request for the upcoming fiscal year, signaling a cautious approach to K–12 spending as the state braces for tighter finances.
While the proposal appears to reduce overall education funding from the current level of just over $11 billion, the decline is largely structural. Nearly $750 million for early childhood education is being shifted out of ISBE’s budget and into the newly created Department of Early Childhood, an initiative championed by Governor JB Pritzker in 2024.
Stripped of that transfer, the board’s request calls for modest growth in core K–12 funding. Central to the plan is a $350 million increase in the Evidence-Based Funding (EBF) formula — the minimum annual increase required under the 2017 law designed to move all school districts toward at least 90% of their funding adequacy targets. Of that amount, $300 million would go directly to classroom and instructional costs, while $50 million would support property tax relief grants for districts with high local tax burdens.
The upcoming fiscal year, which begins July 1, marks the 10th year of the Evidence-Based Funding program. When EBF launched in fiscal year 2018, 168 of Illinois’ 852 school districts were funded at less than 60% of their adequacy target.
Today, no district falls below the 60% threshold. However, funding gaps remain significant: 48 districts are still below 70% of adequacy, and 532 districts remain under the 90% benchmark. If approved, the proposed increase would bring total EBF funding to just under $9.3 billion in fiscal year 2027. According to ISBE estimates, an additional $3 billion would still be needed to bring all districts to the 90% adequacy level.
Beyond EBF, the budget request seeks a $151 million increase — about 13% — for mandated categorical, or MCAT, reimbursements. These funds cover non-classroom expenses that districts are legally required to provide, including certain transportation and special education costs that fall outside the EBF formula.
In recent years, budget pressures have forced the state to reimburse only a portion of those expenses. This year, for example, Illinois covers just 60% of the cost of transporting students to special education programs, down from 71% in fiscal year 2024. Reimbursements for regular vocational education transportation have also declined, from 85% to 75% over the same period.
The proposed MCAT increase would not restore full funding, but it would prevent further cuts by holding reimbursement rates steady in fiscal year 2027.
ISBE officials developed the budget request after holding a series of public hearings and reviewing economic forecasts from both the governor’s office and the General Assembly.
The Governor’s Office of Management and Budget warned in October that state revenues are expected to fall short of earlier projections, creating a $267 million deficit in the current fiscal year and a projected $2.2 billion shortfall next year unless spending cuts or new revenues are enacted. State officials attribute much of the decline to changes in federal tax law approved last summer as part of the “One Big Beautiful Bill Act,” which are expected to reduce corporate income tax receipts.
Meanwhile, the General Assembly’s Commission on Government Forecasting and Accountability said in December that it remains confident Illinois will meet its revenue targets this year, though it cautioned that federal tax changes have injected added uncertainty into the outlook for the months ahead.
Against that backdrop, lawmakers will now weigh the education board’s request as they begin negotiations over the state’s next budget.
City of Joliet Announces 2026 Arts, Culture and Special Events Programming, Including Concerts, Markets, Festivals, Civic Commemorations, Educational Programming and More
The City of Joliet today announced an extensive slate of arts, culture and special events programming planned for 2026, outlining a year-long strategy designed to activate public spaces, enhance quality of life for residents and strengthen Joliet’s position as a regional destination.
Post Date: 01/21/2026 8:21 AM
JOLIET, IL — The City of Joliet today announced an extensive slate of arts, culture and special events programming planned for 2026, outlining a year-long strategy designed to activate public spaces, enhance quality of life for residents and strengthen Joliet’s position as a regional destination.
The 2026 programming unveils the new City Square development, expands public events at Billie Limacher Bicentennial Park, improves coordination and efficiency in special event planning and permitting, and builds out city-supported cultural programming across Joliet’s neighborhoods through partnerships including the Joliet Park District.
“Investing in arts, culture and special events is about far more than entertainment,” said Mayor Terry D’Arcy. “These programs support economic development, bring people into our downtown and neighborhoods, increase foot traffic for local businesses and create shared experiences that build community connections. This 2026 programming reflects a thoughtful, coordinated approach to making Joliet an even more vibrant place to live, work and visit.”
A major focus of the 2026 calendar will be City Square, the new public gathering space currently under construction in the heart of downtown Joliet that will host a wide variety of weekly, seasonal and marquee public events. Planned programming for this outdoor community space’s debut year will include workouts, dance classes, concerts, family-friendly events, farmers markets, film screenings and more. The City is also excited to welcome back NASCAR and the “Race Fan Rally”, featuring music, driver appearances and fan activities.
In 2026, City Square will unveil Unity Dome, a large-scale stainless-steel sculpture by artist Sijia Chen that will serve as the space’s signature centerpiece. Developed through months of collaboration with residents, students and local institutions, the artwork reflects Joliet’s rich and diverse history, culture, aspirations, and community spirit. Public feedback helped shape the sculpture’s visual elements, which are expressed through intricate paper-cut–inspired cutouts—
such as a hammer, bridges, wheels, sunglasses, a Route 66 sign, and a chair from the Rialto Theatre—seamlessly integrated into the dome. Completion is anticipated in May 2026.
“Every event, whether it’s a small community gathering or a major regional attraction, requires careful coordination, planning and partnership,” said Joliet City Manager Beth Beatty. “Cultural programming is a way to spotlight public spaces and give the people of Joliet opportunities to connect with their community.”
In addition to City Square, expanded programming is planned for Billie Limacher Bicentennial Park, including concerts, festivals and theater productions in partnership with the Joliet Drama Guild, which will be providing youth summer camps, workshops and resident theater programming, including Joliet’s first-ever Spanish language theater production.
Special events are being planned to mark several major milestones in 2026, including the Centennial of Route 66, the 250th anniversary of the Declaration of Independence with the Annual 4th of July Fireworks at Joliet Stadium, the 100th anniversary of the Rialto Square Theatre and more, with programming and partnerships designed to highlight Joliet’s history, cultural vitality and national significance.
The City is also developing a comprehensive strategy for murals, sculptures and other forms of art that are in public spaces across Joliet. This strategy includes clear processes for artist selection, installation, documentation and an ongoing maintenance plan of all murals and public art assets. As part of this effort, the City is also looking to re-engage the Joliet Arts Commission to support and guide the strategy.
“Our comprehensive strategy for publicly accessible artwork is about stewardship as much as beautification,” said Ann Sylvester, Director of Cultural Affairs & Special Events for the City of Joliet. “When public art is planned and cared for proactively, it helps define neighborhoods, creating a sense of place and drawing people into public spaces they want to spend time in, benefiting both residents and local businesses.”
Lastly, the City is advancing operational improvements in 2026, including the streamlining of the current permit application process and development of new event permitting software and expanded coordination with City departments to support safe and efficient events.
For more information about arts, culture and special events programming in Joliet, visit www.joliet.gov.
Business Attraction Prime Sites Grants
The intent of this program is to assist companies with large-scale capital investment projects that commit to significant job creation for Illinois residents as they relocate or expand operations within Illinois. Business Attraction Prime Sites grants can encompass a wide range of economic development projects and may include infrastructure and capital equipment purchases that will result in job creation in the state of Illinois.
Eligible Applicants: See application guidelines for complete eligibility requirements.
Application Deadline: June 30, 2026
Invite to Participate in the City of Joliet Comprehensive Plan Workshops
As part of the City’s Comprehensive Plan initiative, you are invited to attend a series of upcoming workshops focused on key topics that will guide Joliet’s growth and development.
Workshop Schedule
Location: Joliet City Hall – 2nd Floor Council Chambers
Time: 6:30 PM – 8:00 PM
- Wednesday, January 21 – Arts, Culture & Heritage
(Neighborhood character, historic preservation, cultural celebration, public art, events & festivals) - Monday, January 26 – Economic Development
(Commercial corridors & areas, business, industry & job diversification, business support, workforce pathways) - Tuesday, January 27 – Land Use & Future Development
(Character areas & neighborhoods, new development & design, reinvestment corridors, community assets)
Why Attend?
Learn where the city is in the planning process
Dive deep into specific topic areas
Share your ideas and priorities for Joliet’s future
Pre-registration is encouraged!
www.joliet.gov/comprehensiveplan
Questions? Reply to this email or contact us at comprehensiveplan@joliet.gov
Stay well,
Mike Paone
Executive Vice President
Joliet Region Chamber of Commerce & Industry
mpaone@jolietchamber.com
815.727.5371 main
815.727.5373 direct