Here’s what I’m watching today:
Pensions – The conference committee’s report on Senate Bill 1 has been approved and filed here. As you’ll see it was signed, which means approved, by nine of the 10 members with Sen. Holmes not signing:
A conference committee hearing is set for subject matter on the report at 8:30 a.m. this morning in Room 212 of the Capitol: http://ilga.gov/senate/committees/hearing.asp?hearingid=11356&CommitteeID=1509
There will be no action by the conference committee then, as it’s already been approved. The report has been approved by the House Rules Committee and will be considered by the Senate Assignments Committee. This does not work like a normal bill process, as once the report clears the rules approval process it can be taken up directly on the floor in both chambers. I would expect caucus meetings after both chambers go into session this morning and then you’ll see the reports debated and voted on.
Speaker Madigan is carrying SB 1961, to clarify the process for handling any lawsuit over the funding guarantee included in the report: http://ilga.gov/legislation/BillStatus.asp?DocNum=1961&GAID=12&DocTypeID=SB&LegId=73544&SessionID=85&GA=98
I’ll coordinate to make sure Reps. Elaine Nekritz and Mike Zalewski and Sen. Daniel Biss have an opportunity to connect with you after the votes to talk in more detail, likely outside the chambers at the rail. If you need something specific, let me know.
Horse racing – Rep. Bob Rita got SB 66 out of House Executive Committee yesterday and the bill now is set for a House floor vote today, followed by likely Senate action. The bill is here and a fact sheet put together by the various horse industry groups is attached. Sen. Terry Link is the bill’s Senate sponsor. I’m glad to connect you with Bob for reaction.
Tax credits – Rep. Mike Zalewski is carrying SB 1227, which would combine several tax incentives for businesses looking to leave or locate to the state with a tax on satellite providers as the revenue source. Mike did not call the bill for a vote last night in the House Revenue Committee. The committee could reconvene to consider it today, or any amendments could be sent straight to the House floor. That decision is expected to be made after pension action today.
I’ve put below and attached some bullet points that explain the amendments and their fiscal impact. I’d be glad to connect you with Mike to talk more.
I’ll send out other updates today as necessary.
Senate Bill 1227 – tax credits:
The bill includes various amendments to tie a tax on direct broadcast satellite service providers in Illinois with tax incentives for several companies either considering leaving Illinois or locating here.
House Floor Amendment 2 – Satellite tax as funding for incentives for Office Max/Depot and Univar
House Floor Amendment 3 – Satellite tax as funding for incentives for ADM
House Floor Amendment 4 – Satellite tax as funding for incentives for Office Max/Depot, Univar and ADM
· 5 percent fee on satellite services to consumers in Illinois
· All revenue is deposited into the Education Assistance Fund supporting K-12 and higher education
· Generates $75 million in state revenue annually
· The two companies merged last month and now are considering between Naperville and Boca Raton, FL, to locate their combined headquarters
· Bill provides a state tax incentive worth $63 million over 10 years if the new company:
o Located and keeps its headquarters here
o Employs at least 2,050 full-time employees
o Creates at least 200 full-time jobs in Illinois
o Makes a $150 million capital investment at its new headquarters
· Has an agreement with DCEO from April to incentivize the company to relocate its headquarters from Redmond, Wash., to Downers Grove
· The company now has 208 jobs in Illinois and 100 are at risk of being relocated
· Bill provides an incentive worth $5 million over 10 years if the company:
o Creates 69 new jobs
o Keeps 100 full-time jobs
o Makes a capital investment of at least $9.3 million
· The Decatur-based company is looking for a new location for its front office and computer center
· Bill provides an incentive worth $24 million over 20 years if the company:
o Employs and keeps 200 full-time employees at a global corporate headquarters in Illinois
o Relocates at least 100 full-time positions from outside the state to Decatur within five years
o Hires at least 100 full-time employees each year for five years
o Creates an internal committee for five years to promote creating new jobs in Decatur
o Spends at least $20 million in capital and relocation expenses in Illinois