HB 5040 Illinois House · 104th Regular Session

LOCAL GOV-RESTRICTED FUNDS

Summary

Amends the State Comptroller Act. Prohibits the State Comptroller from withholding, offsetting, or otherwise applying against any debt any funds payable to a unit of local government if those funds are restricted for a specific purpose by federal or State law, county ordinance, or grant agreement. Amends the Code of Civil Procedure. Exempts all funds, revenues, or accounts that are restricted by federal law, State, law, county ordinance, or grant agreement for a specific public purpose from garnishment, attachment, or any other legal process to satisfy a judgment or debt. Effective immediately.

Issues: ✓ Budget & Taxes

Bill status passed 3 of 5 stages cleared

Introduction

Apr 2026

Committee Review

Apr 2026

House Passage

Apr 2026

Senate Passage

Governor

Introduced Apr 16, 2026 Last action May 26, 2026

Maddy AI version diff · 1 comparison

What changed between versions

Introduced → Engrossed · 3 edits · Apr 15, 2026

MINOR

The bill was formally marked as 'Engrossed' and underwent minor formatting adjustments, such as removing the introductory date and correcting a grammatical error in the findings section. These changes refine the document's presentation but do not alter the core policy of protecting restricted local government funds from garnishment or offset.

TECHNICAL

Removed the 'Introduced' date and replaced the header with 'HB5040 Engrossed', indicating the bill has passed its initial reading and is in its final amended form.

Corrected a grammatical error in the findings section by changing 'tax revenues, that are' to 'tax revenues that are'.

Adjusted the spacing and alignment of page headers and line numbers to match standard legislative formatting for the engrossed version.

Floor votes · House Apr 15, 2026

How they voted

109–0

Passed · 7 other

Total votes 116

Apr 15, 2026

D Democratic76

73 Yea 3

96% Yea

R Republican40

36 Yea 4

90% Yea

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Apr 17, 2026

Committee

Referred to Assignments

upper

Apr 16, 2026

Introduced

Arrive in Senate

upper

Apr 15, 2026

Lower · Passed

Third Reading - Short Debate - Passed 110-000-000

lower

Mar 19, 2026

Lower · Passed

Do Pass / Short Debate State Government Administration Committee; 009-000-000

lower

Mar 4, 2026

Committee

Assigned to State Government Administration Committee

lower

Feb 10, 2026

Committee

Referred to Rules Committee

lower

2 primary · 12 co-sponsors