PEER Illinois Responds to Failed Proposed Constitutional Amendment to Create a Millionaires Tax

The constitutional amendment HJRCA21 was proposed to direct 50% of its revenue to public education, dies in final hours

(SPRINGFIELD, IL - April 23, 2026): Today, Illinois state lawmakers are confirming they will not move forward with a constitutional amendment (HJRCA21) backed by House Speaker Emanuel “Chris” Welch which would have imposed a 3% tax on income greater than $1 million and allocating 50% of the revenue collected to public schools on a per-pupil basis. PEER Illinois supports progressive revenue measures and the intention to allocate funding to public schools, however if we want to make transformational changes for our communities, any proposal needs to ensure funding is fairly distributed to the students who need it most across the state. 

As the legislative session continues to accelerate, any bills with huge ramifications for our state like this one, must be debated transparently and shaped by meaningful input from the communities most directly impacted. 

“PEER Illinois supports progressive revenue that funds public education and other critical resources that communities need to thrive. At the same time, we urge Illinois lawmakers to  support progressive revenue measures that could make meaningful change and actually reach the students in school districts that need resources the most,” said Maddy Wheelock, PEER Illinois Coalition Coordinator. “Meaningful consideration of a millionaire’s tax could be a step forward, but we need to have more conversations and transparency with the communities that would be impacted most to ensure all revenue measures are fair for working families.”

For too long, Illinois’ regressive tax system and corporate loopholes have placed the tax burden on working-class and middle-class families and limited revenue available to support thriving communities. Even though we have created landmark policies like the Evidence-Based Funding Formula (EBF), which is intended to fully fund public schools across the state equitably; that investment continues to be underfunded over the past decade. A well-crafted millionaires tax may be a great step forward when that time comes, but to ensure all students receive critical classroom resources they need now, lawmakers must support all progressive revenue proposals, like the solutions outlined by the Illinois Revenue Alliance, designed to generate over $7 billion annually. 

• Illinois Revenue Alliance Initiatives: 

• Digital Advertising tax - SB3353 (Peters) | HB4894 (N. Hernandez)

• Corporate tax reporting - SB3486 (Martwick) | HB5318 (West)

• Billionaire wealth tax - SB3376 (Villa) | HB5215 (Mah) 

• Closing corporate tax loopholes - SB3796 (Collins) | HB5125 (LaPointe)

Per pupil distribution systems, that was proposed in HJRCA21, exacerbate disparities between communities with higher and lower local property tax bases. Illinois has an existing problem with equitable distribution of funding to public schools – despite our progressive funding formula, the Education Law Center graded Illinois with a “D” in funding distribution which means the funds are not getting to the students that need it most. 

Luckily for Illinois, there are blueprints already for an equitable millionaires tax from our east coast and rocky mountain neighbors. In 2022, Massachusetts residents came together to create a fair share amendment that passed to create a more equitable tax system. Their proposal has allowed for students to receive free school meals, more special education services and new literacy programs for students in need. In the most recent election in 2025, Colorado passed Proposition MM to increase taxes on high-earners, which will lead to fully funded free breakfast and lunch for all public school students in their state.

PEER Illinois’ new interactive funding tool shows how important it is for students to gain access to adequate funding. Students in lower-income districts and students of color continue to be the most affected by severe underfunding – and it doesn’t have to be this way. 

Illinois leaders can choose a better path: raise new revenue and direct those new investments towards protecting working families, while making our wealthiest Illinoisans pay their fair share so every community can succeed.