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New Illinois Laws Taking Effect July 1 Change Driving, Schools and Fuel Taxes

New Illinois Laws Taking Effect July 1 Change Driving, Schools and Fuel Taxes

New Illinois laws taking effect July 1 will change driver’s license renewals for older adults, broaden school cyberbullying rules and require permits for some school bus operators. The state will also pause its customary inflation-linked fuel tax increase.

The measures take effect on Wednesday, July 1, 2026. While several make technical changes to existing statutes, they could affect drivers, students, families and school transportation providers across Illinois.

New Illinois laws taking effect July 1: Driver’s license changes

House Bill 1226 requires Illinois residents age 79 or older to renew their driver’s licenses in person at a Secretary of State facility. Residents age 87 or older must take a driving test to keep their licenses.

The testing requirement also applies to people age 75 or older who are applying for or renewing a commercial driver’s license. Relatives may report concerns about a family member’s medical condition to the Secretary of State’s Office, but the agency cannot act on anonymous reports.

Cyberbullying and student record changes

House Bill 3851 expands Illinois’ definition of cyberbullying to include electronically posting or distributing unauthorized digital images or replicas. That provision will apply beginning with the 2026-27 school year.

Senate Bill 0408 allows a student’s permanent record to include a summary of performance in special education programs. Education officials may also share that information with the Illinois Department of Human Services when assessing Medicaid eligibility.

School bus permits and fuel tax pause

House Bill 2962 requires drivers of school buses or school activity buses capable of carrying up to 15 people to obtain a school bus driver permit.

Illinois will not impose its customary inflation-linked fuel tax increase on Wednesday, July 1, 2026. The annual adjustment was suspended under the fiscal year 2027 budget approved at the end of the spring legislative session.

The changes matter because they affect routine responsibilities involving license renewals, school records, student safety and transportation. Residents can review the complete list of July 1 measures through the Illinois General Assembly.

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