Message from the President
Dr. Tasha Green Cruzat
Dear Friends,
In the next few weeks, Illinois Governor J.B. Pritzker will outline his proposed Fiscal Year 2024 state budget to the Illinois General Assembly. The Governor took the oath office for a second term on January 9th and in his remarks indicated that some of his top goals were making preschool available to every family, eliminating childcare deserts, and making college more affordable. Those are all goals Children’s Advocates for Change (CAFC) supports, and we look forward to hearing more of the details in the Governor’s budget address.
At CAFC, we’ve also been thinking about the upcoming legislative session and one of our top priorities is establishing a state child tax credit. The results of the enhanced federal child tax credit in 2021 (unfortunately for only one year) are indisputable. Combined with other federal COVID-19 economic relief measures, the nation’s child poverty rate declined by nearly half. With the expiration of the enhancement, an estimated 671,000 Illinoisans are no longer able to take full advantage of the federal tax credit. Yet, for many of these families inflation (at 6.5% for the 12 months ending in December) continues to eat away at earnings making the purchase of basic household items difficult.
The state can also ease the burden of many low- and moderate-income families by providing an income tax credit for renters. The state allows qualifying homeowners to take a credit of 5% of one’s property tax bill against the taxpayer’s income tax liability. However, renters don’t get similar relief. According to PolicyLink, 57% of Black Illinois renters versus 42% of white Illinois renters spent more than 30% of their income on housing costs in 2019.
For many Illinois families, 2023 will still be a difficult year financially. A state child tax credit and an income tax credit for renters would not only provide economic relief to Illinois working families but also promote greater racial and ethnic equity given disparities in household income.
The Governor is scheduled to give his budget address on February 15th. CAFC will be looking to see how his proposed budget provides further economic assistance to Illinois families and working with legislators during the current General Assembly session to promote racial and ethnic equity in state budgeting. We'll have an blog post analyzing the FY24 proposed budget after the Governor's address.