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Our Response to the Approved Illinois Fiscal Year 2027 State Budget

The Illinois General Assembly approved a Fiscal Year 2027 budget that increases funding for the Early Intervention program and the Child Care Assistance Program but fails to commit new money for other key early childhood programs.

June 1, 2026
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The Illinois General Assembly approved a Fiscal Year 2027 state budget that includes meaningful funding increases for the Early Intervention (EI) program and Child Care Assistance Program (CCAP). In a year when additional funding for discretionary programs was difficult to secure, Start Early appreciates the commitment to these core early childhood programs demonstrated by the Pritzker administration and the state legislature.

Unfortunately, the approved budget does not increase spending for other critical early learning programs – a change from the administration’s multi-year Smart Start Illinois initiative. We expect the governor will sign this final budget package soon.

“Start Early thanks Governor JB Pritzker and the General Assembly for their continued support for Early Intervention and child care, vital early care and education programs on which thousands of Illinois families with young children rely,” Start Early’s President-elect Celena Sarillo said. “However, the final budget does not include many of the other early childhood funding priorities backed by families and providers. Over the coming year, we will continue working with policymakers, advocates, and families to improve programs and services, like home visiting and preschool, that are foundational to children’s success in school and in life.”

This year’s budget formally transfers funding for most of the state’s early childhood programs to the Illinois Department of Early Childhood (IDEC), marking an important step for the agency after its creation in 2024. Start Early remains committed to working with the state and IDEC to make Illinois the best state in the nation to raise a family.

The budget package (HB111) contains $55 million in new state funding for the Child Care Assistance Program (CCAP) and $15 million for the Early Intervention (EI) program, funding levels proposed by Governor Pritzker this February. The CCAP dollars will allow IDEC to manage its caseload and raise reimbursement rates for home providers. Additional funding for the EI program will enable IDEC to accommodate anticipated caseload growth and reduce service delays for families through improvements to the program’s infrastructure.

Start Early urges IDEC to dedicate a share of its Early Intervention appropriation to a provider reimbursement rate increase. While we welcome improvements in the program’s operational infrastructure — especially changes that reduce service delays — the workforce crisis demands a more targeted solution: closing the wage gap identified in the state’s cost model. That gap directly undermines families’ access to services they are legally entitled to receive.

“At a time when federal funding cuts and economic uncertainty have placed real pressure on state budgets, Start Early is thankful that Illinois leaders remained focused on approving a balanced budget that will support families and those who care for them,” Start Early Vice President of Illinois Policy Ireta Gasner said. “Crafting a state budget under these conditions is a challenge. This budget is a step forward, but much is left to be done.”

Here are the specifics of what’s in the final package:

  • $55 million (7.1%) increase for the Child Care Assistance Program at the Illinois Department of Early Childhood (IDEC)
  • $15 million (9.3%) increase for the Early Intervention program at the Illinois Department of Early Childhood (IDEC)
  • Nearly $86 million to the Department of Early Childhood for its annual operations.

No additional funding for the following programs was included:

  • The Early Childhood Block Grant at IDEC, which supports the state’s Prevention Initiative, Preschool for All and Preschool for All Expansion programs
  • The Smart Start Workforce Grants at IDEC
  • Evidence-based home visiting programs at IDEC
  • The Early Childhood Access Consortium for Equity (ECACE) scholarship program at the Illinois Student Assistance Commission (ISAC)

As the Governor’s own Early Childhood Funding Commission found, the money gap between what is needed and what is available currently remains significant. This budget is a step in the right direction, but more investment – and the revenues to make those investments a reality – is needed to build and maintain the early childhood system communities need.

Several other important measures impacting the early care and education system – and the families and workforce who are a part of it – were approved by the legislature this session, including:

  • HB4606 (Rep. Faver Dias, Sen. Castro) – authorizes the Illinois Department of Human Services (IDHS) to design, implement, and maintain the infrastructure to support a statewide Universal Newborn Support Systems (UNSS) program.
  • HB5225 (Rep. Manley, Sen. Loughran Cappel) – authorizes speech-language pathologists to diagnose autism for children under the age of 3 in the Early Intervention (EI) program if the child has no co-occurring medical conditions and (b) if the speech-language pathologist has been trained. The bill also amends the Public Aid and Insurance Codes to ensure appropriate benefits are afforded to families receiving a diagnosis from a speech-language pathologist.
  • SB3365 (Sen. Aquino, Rep. Moeller) – the annual Medicaid Omnibus bill, which includes language that allows IDHS to establish pilot programs through which financial support can be provided to Illinois residents by local governments, nonprofits, or privately funded programs, such as direct cash transfers to pregnant people and new parents (like the Rx Kids model).
  • A suite of bills introduced by the Illinois Department of Early Childhood (IDEC):
    • HB3595 (Rep. Mason, Sen. Morrison) – changes references in law from “day care” programs to “early care and education” programs; modernizes the child care licensing exemptions process, and allows for background checks to follow the staff person and not the program at which those staff people work.
    • HB5204 (Rep. Mason, Sen. Collins) – transfers administration of the Early Learning Council to IDEC, expands parent and caregiver representation on the Council, and assigns IDEC appointment authority for the ECACE advisory committee, among other changes.
    • HB5099 (Rep. Mason, Sen. Morrison) – transfers administration of child care background checks from the Illinois Department of Children and Family Services (DCFS) to IDEC.
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