Illinois 2023-2024 Regular Session

Illinois Senate Bill SB2857

Introduced
1/19/24  
Refer
1/19/24  

Caption

REVENUE-MEGAPROJECTS

Impact

The bill proposes an assessment freeze and potential tax abatements for qualified megaproject properties. Companies that operate these projects would be required to enter into agreements with local municipalities and taxing districts, ensuring they make special payments that may aid local funding. Furthermore, the legislation aims to stimulate job creation, mandating that qualifying companies hire a minimum number of full-time employees directly linked to the megaproject. The anticipation is that such measures would attract significant investments, ultimately leading to enhanced economic growth and local employment opportunities.

Summary

SB2857 aims to stimulate economic development in Illinois by providing specific tax incentives for megaprojects. A 'megaproject' is defined as a large-scale project that meets certain investment thresholds and creates a specified number of jobs. The bill amends the Property Tax Code, establishing a framework that allows properties associated with these megaprojects to be certified as eligible for an assessment freeze. This could significantly reduce property tax burdens for companies engaging in large developments, such as manufacturing facilities or high-tech installations, effective from June 1, 2024.

Contention

Notably, SB2857 may face contention regarding its implications for local government revenue. Critics argue that such tax incentives could disproportionately benefit large corporations at the expense of local funds needed for community services and infrastructure. There's also concern about whether the investment requirements are stringent enough to ensure that the projects deliver expected local economic benefits. Lastly, the exclusion of sports stadiums and projects located in tax increment financing districts from these benefits may prompt discussions on equitable economic policy across different community needs and sectors.

Companion Bills

No companion bills found.

Previously Filed As

IL HB2403

REVENUE-MEGAPROJECTS

IL HB4058

REVENUE-MEGAPROJECTS

IL SB1514

REVENUE-MEGAPROJECT

IL HB6435

Transportation Megaprojects Accountability and Oversight Act

IL H7031

Internal Revenue Code

IL HB604

Relating To Tax Revenues.

IL HB2329

Relating To Conformity To The Internal Revenue Code.

IL HB604

Relating To Tax Revenues.

IL A2796

Caps State use portion of energy tax revenues and ensures balance of such revenues are paid annually as municipal aid.

IL HB977

Tax laws of the Commonwealth; conformity to the Internal Revenue Code.

Similar Bills

IL HB0910

STATE GOVERNMENT-TECH

IL HB2403

REVENUE-MEGAPROJECTS

IL SB1514

REVENUE-MEGAPROJECT

IL HB4058

REVENUE-MEGAPROJECTS

IL HB5556

STATEWIDE INNOVATION-PILOT

IL SB4017

STATEWIDE INNOVATION-PILOT

OH SB325

Authorize CAT exclusion for contractor payments to subcontractors