WeVote
Log In

Bill

Bill

HB 3014

Relating generally to liability of hospital police

2025 Regular Session Introduced by Jarred Cannon and 4 co-sponsors

HB 3014 caps General Fund spending growth to Illinois' 10-year GDP CAGR, starting FY2027, forcing agencies to prioritize programs and pursue efficiency within the cap.

Chapter 160, Acts, Regular Session, 2025
#health
0
WeVote Research Nonpartisan
Bill Summary · HB 3014

HB 3014 — Budget Spending (Introduced Feb 6, 2025; Introduced Feb 19, 2025)

Overview / Purpose

HB 3014 amends Section 50‑5 of the State Budget Law to place a growth cap on State general fund appropriations. Beginning with the budget prepared for Fiscal Year 2027, year‑over‑year growth in total appropriations from the State general funds would be limited to the growth rate of the Illinois economy, measured as the 10‑year compound annual growth rate (CAGR) of Illinois gross domestic product (GDP) using U.S. Bureau of Economic Analysis (BEA) data (or its successor) reported before December 31 immediately preceding the fiscal year.

Key provisions

  • Spending growth cap: The rate of growth of appropriations from the State general funds over the preceding fiscal year shall not exceed the rate of growth of the Illinois economy.
  • Definition of economy growth rate: Calculated as the compound annual growth rate (CAGR) of Illinois GDP over the preceding 10 calendar years, using BEA data (or successor agency) available by December 31 before the fiscal year begins.
  • Effective timing: Applies beginning with the budget prepared for Fiscal Year 2027.
  • Existing budget law provisions (governor submission deadlines, reporting, and budget presentation mechanics) remain intact except as amended by this growth‑cap requirement.

Example calculation: CAGR = (GDP_end / GDP_start)^(1/10) − 1. If the 10‑year CAGR equals 2.5%, general‑fund appropriations could not increase by more than 2.5% vs. the prior fiscal year (absent other legislative changes).

Who is affected

  • State government: The Governor’s budget office and all agencies that receive general fund appropriations would be required to plan within the cap.
  • Legislature: Appropriations enacted by the General Assembly for the State general funds would be constrained by the statutory growth limit.
  • Programs and recipients: Any programs primarily funded from the State general funds (education, human services, corrections, etc.) could face constrained nominal increases or reductions relative to current practice if the cap is binding.
  • Fiscal policy: Interacts with debt service, pension obligations, federal funds, and non‑general fund spending (depending on existing law and practice).

Implementation & procedural notes

  • Data source and timing: Uses BEA state GDP series (or successor) through December 31 preceding the fiscal year to compute the 10‑year CAGR.
  • Applies to appropriations from the State general funds starting in the FY2027 budget document.
  • The bill text does not, in its synopsis, specify enforcement mechanics (e.g., automatic cuts, waiver processes, or exceptions beyond current statutory language); practical application would depend on budget instructions and subsequent legislative action.

Potential impacts (practical considerations)

  • Constrains year‑to‑year growth in general fund spending, likely increasing pressure to prioritize programs, identify efficiencies, or shift costs to other funds.
  • In years of slow or negative 10‑year GDP growth, the cap could force nominal spending freezes or reductions.
  • May incentivize revenue growth measures, increased use of non‑general funds, or structural budget changes to accommodate statutory limits.
  • Interaction with constitutional and statutory obligations (e.g., pension payments, mandated programs) would be significant in practice and may require policy or statutory adjustments.

Legislative status & sponsors

  • Primary sponsor: Rep. Dan Ugaste (filed Feb 6, 2025)
  • Co‑sponsors: Rep. Travis Weaver; Rep. Ryan Spain (added Mar 21, 2025)
  • Committee activity and floor calendar activity occurred in March–April 2025 (referred to Pensions, Investments & Financial Services; committee substitute reported favorably; placed on General State Calendar; laid on table subject to call).
  • Related/companion legislation: SB 1809, HB 3168.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.