Illinois Valley Times

At a recent press conference, Sen. Win Stoller (R-Peoria) said Senate Bill 2803, which appropriates federal funding toward the state's unemployment insurance trust fund debt, will bring large tax increases for businesses.

"Now there are really only three things left that we're facing. We're facing the possibility of one of the largest tax increases on employers in Illinois history, we're facing the possibility of significant benefit cuts to people who need them most -- unemployed workers, and we're facing the possibility of trying to borrow our way out of this problem with additional bonding debt," Stoller said. "We were given all of the money we needed to solve this problem and fix it and avoid this train wreck but we didn't do it."

Senate Bill 2803 passed both the Senate (33-15) and the House (68-43) along partisan lines and was signed by the governor on March 25. The bill authorizes putting $2.7 billion in government COVID funding toward paying off part of the $4.5 billion unemployment insurance trust fund debt.

Republicans are angry the debt wasn't paid off in full and argue the decision will bring tax hikes for businesses.

Governor J.B. Pritzker takes a different view of the legislation.

"Today we mark yet another milestone in getting Illinois' fiscal house in order — paying down $4.1 billion in debt for health insurance, college programs, pensions and unemployment," Pritzker said in a statement, The Telegraph reported. "These actions are saving Illinois taxpayers hundreds of millions of dollars in interest payments and reducing the burden that would fall onto businesses and workers over the next decade. Democrats in the General Assembly are overcoming the difficult circumstances of our past and putting working families first."

Republican lawmakers think differently.

"I think it's incredibly disingenuous this afternoon and after last night's action in the House for Democrats to be painting today's action as a win or a success for fiscal responsibility," Sen. Donald DeWitte (R-St. Charles) told the Chicago Tribune. "Employers who have been treated with absolute disregard throughout this pandemic will literally be left holding the bag and will be responsible for filling the remaining deficit in the unemployment insurance trust fund."

The bill makes supplemental appropriations from the Pension Stabilization Fund for financing the unfunded liabilities of the General Assembly Retirement System, the Judges Retirement System of Illinois, the State Employees’ Retirement System of Illinois, the Teachers’ Retirement System of the State of Illinois, and the State Universities Retirement System. It also appropriates $250 million from the General Revenue Fund to the Illinois Student Assistance Commission.