Pritzker Signs Illinois FY25 Budget; Pension "Plan" Both In/Out

Governor Pritzker signed the FY25 Illinois state budget package yesterday, June 5. The $53.1 billion budget is the “sixth balanced budget in as many years." The full press release is here if interested.

Immediately after Session, SUAA reported that "...the state now has its Fiscal Year 2025 Budget in addition to the approval of Gov. Pritzker’s 100% pension funding plan" and we wanted to clarify the plan(s) for you here. The FY25 Illinois State budget passed by the General Assembly did provide Governor Pritzker with the full pension funding he requested for the FY25 year budget. This payment meets the 100% statutory obligation for the year. This amounts to $11.5 billion in total funding for all of the five statewide pension systems (SURS, TRS, SERS, GARS, and JRS) for FY25, with $2.21 billion allocated to SURS according to the budget bill and the State Actuary's report.

In the waning days of Session, lawmakers also introduced legislation pertaining to Governor Pritzker’s plan to fully fund Illinois’ five statewide pensions to 100% by 2048, instead of the current “Edgar Ramp” that, when complete, would provide the state pension plans are only 90% funded by 2045. This “100% by ‘48” plan is not a part of the FY25 budget package. The Pritzker “100% by ‘48” plan includes a major influx of funding using money Illinois is currently spending on debt repayment for old bonds that retire in the early 2030s. We will alert SUAA members and continue to update you when this plan is scheduled for debate.

Thank you for all you do – Have a great day.