Illinois Set to Cut DSP Service Hours – Here’s What You Need to Know August 28, 2025

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August 28, 2025

Written by Joe O’Sullivan, Director of Public Policy and Advocacy

The FY26 budget for the state of Illinois includes steep cuts to Direct Support Professional (DSP) service hours for individuals with intellectual and developmental disabilities (I/DD).

Beginning January 2026, individuals will lose hundreds of thousands of service hours they depend on every day.


Here’s a timeline of how we got here ⬇️

February 2023

  • The Illinois Department of Human Services’ Division of Developmental Disabilities (DHS-DDD) announced the elimination of 3.7 million DSP service hours.
  • This came from a new CILA (Community Integrated Living Arrangement) rate calculator, recommended by the Guidehouse study.
  • Importantly, Guidehouse did not recommend eliminating hours—only redistributing them so individuals with higher needs could access more support.
  • Providers were shocked and opposed the cuts. DHS-DDD delayed implementation after pushback, opening the door for further advocacy.

November 2023

  • DHS-DDD released three possible scenarios for the new rate calculator.
  • All three scenarios still cut up to 2.5 million hours.
  • The provider community warned that cutting hours while trying to expand community services for individuals with I/DD was contradictory.

January 2024

  • After a year of advocacy, DHS-DDD introduced Scenario 4, which included an adjustment factor that:
  • Preserved all DSP hours
  • Redistributed hours to individuals with higher support needs
  • Providers accepted this solution, and Scenario 4 was implemented in 2024.

February 2025

  • Governor J.B. Pritzker released his FY26 budget proposal.
  • While highlighting investments in DSP wages, his budget also included a 50% rollback of the adjustment factor from Scenario 4.
  • This meant: 900,000 DSP service hours eliminated – the equivalent of 430 full-time DSP positions lost
  • Providers were not consulted and once again had to rally to preserve hours.

May 2025

  • The General Assembly passed the FY26 budget on June 16.
  • Thanks to advocacy, the rollback was reduced from 50% to 35% and the effective date was delayed until January 2026.
  • However, the money “saved” from cutting these hours was used to fund a $0.80/hour DSP wage increase.
  • While wage increases are critical, cutting service hours to fund them is counterproductive—it shrinks the very workforce we are trying to stabilize.

Going Forward ➡️

For nearly two years, individuals with I/DD have been at risk of losing the services they rely on.

  • 16,000+ individuals with I/DD remain on the state waitlist.
  • 50,000+ Illinoisans with I/DD receive home-based care from caregivers over age 60.
  • Many individuals in State Operated Developmental Centers (SODCs) are waiting to transition into community settings—but providers lack capacity.

The biggest barrier to an expansion of community services is a shortage of DSPs. Cutting hours only pushes the system further backward.

  • Clearbrook alone is projected to lose approximately $1.5 million from these cuts.
  • Expansion of services will stall, leaving fewer options for individuals and families.

Our Commitment 🤝

Clearbrook—and providers across Illinois—remain firmly opposed to any cuts to DSP service hours.

We will:

  • Continue advocating for full preservation of the I/DD community service system.
  • Push for restoration of all hours set to be cut in January 2026.
  • Engage our community in advocacy leading up to the legislative Veto Session in October.

👉 Learn more about our advocacy efforts and become a champion for individuals with I/DD: https://advocacy.clearbrook.org/

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