The Importance of Fiscal Notes and their Role in Illinois Legislation
Of the 6,900 proposed bills in Illinois, lawmakers included estimated costs on just 32. Fiscal notes estimate the financial impact of proposed legislation, allowing lawmakers and taxpayers to see information about the bill’s potential cost.
The primary function of a fiscal note is to deliver a reliable estimate of how legislation implementation will impact state finances. These estimates can reflect increased or decreased spending, shifts in tax revenues, and changes in government staffing, among other impacts. Fiscal notes can evolve as a bill moves through the legislature and can be amended to reflect the final version of an enacted bill.
Most states require these estimates; Illinois allows the bill’s sponsor to decide whether a fiscal note is needed. If the sponsor determines this is unnecessary, a lawmaker who disagrees can insert a fiscal note with support from a majority of members.
Of all 10,023 bills filed in the last two years in the state of Illinois, 6,856 were “substantive,” meaning these propositions change how the state of Illinois operates. In the 104th General Assembly, convened on January 5, 2025, and will adjourn on January 13, 2027, Illinois lawmakers passed and sent 856 bills to Governor J.B. Pritzker for consideration. Of the 856, only five of them included a fiscal note.
Most states require fiscal notes on all, or substantially all, of their bills. The Center on Budget and Policy Priorities conducted a study in 2015 that measured state compliance with five best practices: (1) requiring fiscal notes on all proposals; (2) having fiscal notes prepared by a nonpartisan entity; (3) projecting the long-term impact of the proposal; (4) revising estimates with changes to the proposal; and (5) posting the fiscal notes online.
Illinois complies with just one of the five best practices. Without fiscal notes, lawmakers vote on bills without the cost estimates needed to make informed decisions. Fiscal transparency in the legislative process helps hold lawmakers accountable and provides more information about the financial consequences of legislation before it becomes law.
For more information related to Illinois legislation or fiscal notes, please contact the qualified attorneys at Rock Fusco & Connelly, LLC.