Illinois Insights: An Update from Cozen O’Connor (1/26)

January 26, 2026

ILLINOIS

AROUND THE STATE

As Illinois House returns to Springfield, Democrats focus on Trump 

“Illinois House Democrats kicked off their spring session this week in a mostly symbolic fashion, denouncing President Donald Trump’s policies in a series of resolutions criticizing immigration raids and cuts to health care and child care programs,” by Capitol News Illinois. 

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State finds nearly $500 million in budget reserves amid federal funding uncertainty  

“Gov. JB Pritzker’s administration on Thursday announced it has identified nearly $500 million it will keep in budget reserves following the governor’s request last year that state agencies identify 4% of their budgets to hold back amid federal budget uncertainty,” by the Chicago Tribune. 

Pritzker, Johnson call for ICE to be abolished after second fatal shooting by feds in Minneapolis 

“Mayor Brandon Johnson and Gov. JB Pritzker called for abolishing of the U.S. Immigration and Customs Enforcement agency on Saturday, after federal agents shot and killed a man in Minneapolis,” by the Chicago Sun-Times. 

Illinois targeted in Trump review of federal funds to Democratic states 

“The Trump administration has ordered a sweeping review of federal funding flowing to Illinois and 13 other Democratic-controlled states, raising fresh questions about potential disruptions to money supporting state government, local agencies, nonprofits and universities,” by Crain’s Chicago Business. 

Judge rules Trump administration must keep funding child care subsidies in 5 states for now, including Illinois

“A federal judge ruled Friday that President Donald Trump’s administration must keep federal funds flowing to child care subsidies and other social service programs in five Democratic-controlled states — at least for now,” by the Chicago Tribune.  

 

CHICAGO

MORE FROM CITY HALL

Majority of council calls for hearing into city ‘cash flow challenges’ after partial advance pension payment made

“A majority of alderpeople are calling for a hearing in the Committee on Finance on why Mayor Brandon Johnson’s administration only made half of the city’s advance pension payment. The mayor and his budget team have cited cash flow issues and that the city’s budget allows the payment to be broken up into multiple installments,” by The Daily Line.  

Chicago splits pension payments in hopes of Improving cash flow 

“With taxpayers already on the hook for almost $260 million to the city’s four retirement systems as part of the 2026 budget, Mayor Brandon Johnson recently announced his administration would be making a partial payment in January while pushing a second down the line in hopes of loosening cash flow,” by the Center Square Illinois. 

Chicago bids to host 2028 and 2032 Democratic National Conventions 

“Buoyed by their success last time, local officials are moving to lure both the 2028 and 2032 Democratic National Conventions back to Chicago,” by Crain’s Chicago Business.  

As Chicago Ethics Board Surpasses 6 Months Without a Leader, Enforcement Actions Stall 

“The Chicago Board of Ethics, which has been without a permanent leader for more than six months, was forced to cancel two recent meetings, stalling several probes into campaign finance law violations, nepotism in city hiring and bribery,” by WTTW. 

Chicago gets its first-ever LGBTQ+ affairs director, Antonio King 

“The newly created job will be filled by Antonio King, who has spent more than two decades as the LGBTQ+ health and outreach liaison for the Chicago Department of Public Health,” by the Chicago Sun-Times. 

 

FEDERAL

Cozen Currents: Can We Bank on Fed Independence? 

The Fed’s credibility, and as a result, the efficacy of its monetary policy toolset, is at stake in this week’s Supreme Court case over President Trump’s attempt to fire Fed Governor Lisa Cook. 

In the absence of comprehensive federal rules on AI, a patchwork of state laws in red and blue states alike is developing. 

As with much of government, the Trump administration is also changing business as usual at the Pentagon. Read the Cozen Currents here.

Beltway Briefing: Mamdani First 30 Days & Key NY Congressional Races

30 days into the Mamdani administration, New York City finds itself blanketed in snow and ice as early signals from City Hall begin to take shape. The New York Public Strategies team examines key appointments, executive actions, and evolving relationships with Washington, while previewing the state and federal races to watch ahead of 2026. Featuring Public Strategies’ Mark Alderman (DC), Jamie Ansorge (NY), and Rose Christ (NY). Listen to the Beltway Briefing here.

Authors

About Cozen O’Connor Public Strategies

Cozen O’Connor Public Strategies, an affiliate of the international law firm Cozen O’Connor, is a bipartisan government relations practice representing clients before the federal government and in cities and states throughout the country. With offices in Washington D.C., Richmond, Albany, New York City, Philadelphia, Harrisburg, Chicago, and Santa Monica, the firm’s public strategies professionals offer a full complement of government affairs services, including legislative and executive branch advocacy, policy analysis, assistance with government procurement and funding programs, and crisis management. Its client base spans multiple industries, including healthcare, transportation, hospitality, education, construction, energy, real estate, entertainment, financial services, and insurance.

About Cozen O’Connor

Established in 1970, Cozen O’Connor has over 775 attorneys who help clients manage risk and make better business decisions. The firm counsels clients on their most sophisticated legal matters in all areas of the law, including litigation, corporate, and regulatory law. Representing a broad array of leading global corporations and middle-market companies, Cozen O’Connor serves its clients’ needs through 31 offices across two continents.

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