{"id":2392,"date":"2019-06-21T17:10:14","date_gmt":"2019-06-21T17:10:14","guid":{"rendered":"http:\/\/fifal.local\/?p=2392"},"modified":"2019-06-21T17:10:18","modified_gmt":"2019-06-21T17:10:18","slug":"2019-legislative-roundup-illinois-takes-steps-to-help-families-build-financial-security","status":"publish","type":"post","link":"https:\/\/financialinclusionforall.org\/2019-legislative-roundup-illinois-takes-steps-to-help-families-build-financial-security\/","title":{"rendered":"2019 Legislative Roundup: Illinois Takes Steps to Help Families Build Financial Security"},"content":{"rendered":"\n

IABG advocates\nfor policies<\/a> that close the racial wealth divide, expand savings\nopportunities, and protect Illinoisans from wealth-stripping financial products\nand practices. <\/p>\n\n\n\n

Illinois’ legislative session wrapped up in early June, and for the first time in many years, Illinois took steps forward in addressing racial wealth inequity in the state. While we still need big, bold solutions to close the racial wealth divide, we are excited to share progress on many of our policy priorities, including Children’s Savings Accounts and debt collection reform. It was a very<\/em> productive legislative session, so read on for all of the updates!<\/p>\n\n\n\n

End Wealth-Stripping & Strengthen Consumer\nProtections<\/strong><\/p>\n\n\n\n

HB2468<\/a>\u00a0\u00e2\u20ac\u201c Fair Lending Act<\/strong>: Caps interest rates on auto title loans at 36%. HB2468 received significant bipartisan support, with 43 cosponsors. It passed out of committee unanimously, but was not called for a vote in the House due to heavy opposition from the title loan industry. We will work with our coalition partners to advance the campaign in the coming months. Learn more about title loans<\/a>, the legislation<\/a>, and our progress this session<\/a>.<\/p>\n\n\n\n

Oppose\u00a0HB2825<\/a>\u00a0\u00e2\u20ac\u201c Sandbox Bill:\u00a0<\/strong>Creates a barebones sandbox initiative, which allows companies to test “innovative” financial products without commonsense consumer protections. We worked with our partners at Woodstock Institute to oppose HB2825, which is not moving forward this year due to our opposition. This is great news for Illinoisans who won’t bear the burden of risky financial products. Learn more<\/a> about innovation in financial products.<\/p>\n\n\n\n

Expand Access to Higher Education<\/strong><\/p>\n\n\n\n

HB2237<\/a>\u00a0\u00e2\u20ac\u201c Statewide Children’s Savings Account Program<\/strong>: Automatically provides a $50 seed deposit into a 529 college savings account for every child born or adopted in Illinois beginning in 2021, and gives the State Treasurer’s Office the ability to develop savings matches and incentives. With great work from our partners and the State Treasurer’s office, HB2237 passed out of the House and the Senate, and is headed to the Governor!\u00a0Check out our fact sheet<\/a> and press release<\/a>, and stay tuned for updates as we work with the Governor to sign the bill, and partner with the Treasurer’s Office on implementation.<\/p>\n\n\n\n

HB217<\/a>\u00a0\u00e2\u20ac\u201c Ban the Box in Higher Education<\/strong>: Prohibits Illinois higher education institutions from asking about an applicant’s criminal record in the admissions process. HB217 did not have enough support to advance this session. We will continue working to move this forward with our partners.<\/p>\n\n\n\n

Reform Burdensome Debt Collection Practices, Fines, &\nFees<\/strong><\/p>\n\n\n\n

HB88 <\/a>\u00e2\u20ac\u201c Debt Collection Reform<\/strong>: Helps Illinoisans pay\noff debt more quickly and build financial security. In Illinois, communities of\ncolor have twice<\/em> as many individuals\nin collections as white communities \u00e2\u20ac\u201c so this legislation will make strides in\nreducing the racial wealth divide. HB88 passed unanimously out of the House and\nSenate, and is now on the Governor’s desk. Download\nthe fact sheet<\/a> and read\nour press release<\/a> to learn more.<\/p>\n\n\n\n

SB1786<\/a> \u00e2\u20ac\u201c Driver’s License Suspension Reform<\/strong>:\nProhibits driver’s license suspension for non-moving violations, including\nparking tickets. SB1786 passed out of the Senate, but is still awaiting a vote in\nthe House. Check out the License\nto Work website<\/a> for updates.<\/p>\n\n\n\n

Expand Access to Safe & Affordable Financial Products<\/strong><\/p>\n\n\n\n

SB1332<\/a>\u00a0\u00e2\u20ac\u201c Illinois Bank On<\/strong>: Creates a statewide “Bank On” program to promote access to safe and affordable checking accounts, which are the foundation for financial success. SB1332 passed out of the House and Senate, and is now on the Governor’s desk. Stay tuned for more as this program rolls out. <\/p>\n\n\n\n

Strengthen\nFinancial Security and Equity for All<\/strong><\/p>\n\n\n\n

SB1<\/a> – Minimum Wage Increase:<\/strong> It has been nearly a decade since low-income workers have received a raise. This law puts Illinois on a path to raise the minimum wage to $15\/hour over the next 6 years. The first increase to $9.25\/hour will happen on January 1, 2020, the second increase will occur July 1, 2020 to $10\/hour, and the minimum wage will continue to increase by $1 on July 1 each year until it reaches $15. This will substantially increase the income of workers across the state.<\/p>\n\n\n\n

SJRCA1<\/a> – Fair Tax<\/strong>: For decades, Illinois’ taxes have been inequitable, with a flat tax in the constitution. This year, SJRCA1 was adopted, which means that voters will get the chance to decide whether we keep our current flat tax system or allow for a graduated income tax. With a graduated income tax \u00e2\u20ac\u201c or Fair Tax \u00e2\u20ac\u201c people with higher incomes pay higher tax rates and people with lower incomes pay lower tax rates, so that everyone pays their fair share. <\/p>\n\n\n\n

SB687<\/a> – Income Tax Rates Bill:<\/strong> SB687 outlines the tax rates that will be enacted if the constitutional amendment is supported by voters. If passed, 97% of Illinois filers will pay the same or less in taxes, and we would raise more than $3 billion a year for investments in human services, schools, and other priorities.<\/p>\n\n\n\n

\n\nIABG is a project of Heartland Alliance for Human Needs & Human Rights<\/a>. Our policy team at Heartland Alliance also championed a number of bills<\/a> that build equity and address poverty.\n\n<\/p>\n\n\n\n

First Balanced Budget in Years\u00a0<\/strong><\/p>\n\n\n\n

SB262<\/a> & SB1814<\/a> – FY20 Budget Bills<\/strong>: Illinois passed a generally balanced state budget without significant cuts in programs or budgetary gimmicks for the first time in years. Some highlights include:<\/p>\n\n\n\n