EDGE/THRIVE End of Session Recap – August 2017
House Bill 162 has now passed both chambers after approval by the Senate on August 13, 2017, and was headed to the Governor with indications that the Governor will sign the bill into law. It is also expected that the Governor will request further negotiations regarding the transferability of credits.
See our End of Session Recap for more information and the details of most recent version of the bill.
Tax Credit Legislation Overview – February 17, 2017
Comprehensive incentive package options, with the anchor issue being THRIVE/EDGE incentives
- SB2071/HB3556 (THRIVE Act) or HB2834 (EDGE extension) or HB2744/SB1766 (new/retained wages credits)
- In addition to some combination of:
- SB606/SB2080 (historic/downtown building rehabs),
- HB2468 (state building/property rehabs),
- HB818/SB1744 (data centers),
- HB3290/HB2859 (job training),
- HB398 (regional revitalization grants),
- HB713/SB1415 (redevelopment cost calculation),
- HB2359/SB2023 (enterprise zones),
- HB3331/HB3527/SB2088 (angel investment tax credits), and
- HB2438 (research & development tax credit)
IEDA Staff Meets with Key Stakeholders – February 8, 2017
Over the last couple of weeks, IEDA Staff has discussed the future of the EDGE Credit with key legislators, the House Revenue Committee Chair, as well as representatives of DCEO. We wanted to ensure that the policy makers heard the voice of economic developers when discussing the future of business tax credits in Illinois. Some of our recent discussion points have included:
- Transferability of credits;
- Remove or reduce documentation requirements regarding out-of-state options;
- Streamline the process for receiving tax credit commitments from the state;
- Incentives for job retention;
- Accounting for in-state shifts (i.e. increasing jobs in one sector/region and decreasing in another);
- Increased cap on credits;
- Credits related to training;
As always, the IEDA will keep you informed as to any future developments in this area.
DCEO Notice for IEDA Members – January 25, 2017
Good Afternoon DCEO Stakeholders and Partners –
It is with excitement to inform you that late last week Governor Rauner signed legislation to extend the EDGE Tax Credit Program through April.
As you are aware, the EDGE Program provides tax credits to companies who invest and create jobs in Illinois equal to the amount of state income tax withheld from new employee salaries. This incentive is a critical, local economic development tool that communities use to recruit new businesses and jobs within their areas.
With this extension, I want to share some important dates and information as the Department reopens the program.
- This legislation extends the program to April 30th, 2017. This is the final date the Department can execute new agreements.
- All EDGE applications need to be submitted to the Department no later than March 31st, 2017.
I want to remind everyone that while the program expires on April 30th, 2017, the Department of Commerce and Economic Opportunity will honor all agreements signed by April 30th, 2017.
DCEO will continue to issue annual tax credit certificates to those companies who meet their investment and job performance standards, as established in their agreements.
Thank you for continuing to be a valued partner of the Department. Please let me know if there is anything we can do to help.
IEDA Member Alert – January 21, 2017
Friday, Governor Rauner signed Senate Bill 513, the EDGE Tax Credit Extension, into law. Although the EDGE Program is considered an imperfect solution by many, it was the opinion of the IEDA that it was a useful tool for many communities throughout Illinois when attempting to attract new businesses. We requested that the Governor sign the April 30th extension but then work with the IEDA & business communities over the next few months to develop an even more comprehensive incentive program in Illinois.
The new Public Act took effect immediately upon signing and can be seen here.
IEDA Member Alert – January 11, 2017
Yesterday saw the end of the 99th Illinois General Assembly, but a possible rescue of the EDGECredit. An amendment was introduced on Friday, making Senate Bill 513 a last-minute extension of the much-debated EDGE program. While many within the IEDA believed that there is room for improvement with the program, we ultimately supported the April 30th extension with the intent to work with legislators and others in the industry for a more comprehensive, long-term solution.
The bill passed the House 101 to 12, the Senate by a vote of 48 to 7, and is now on its way to the Governor’s desk. The IEDA will be actively engaged in the upcoming months and will be sure to keep its members informed of any significant developments.
IEDA Member Alert – January 9, 2017
House Amendment 3 to Senate Bill 513 is a temporary extension of the EDGE Credit, giving groups and legislators until April 30th, 2017 to find a more permanent solution. The IEDA board has been closing following this situation and had conversations with key legislators in this matter.
The IEDA board has suggested that members who wish to contact their legislators or slip in support of this bill may do so, as the amendment is being heard this morning. The IEDA will be working with legislators in the upcoming months to find a more long-term solution to this problem and we will be sure to bring our members the latest news.
To file witness slips in SUPPORT of House Amendment 3 to Senate Bill 513:
- CLICK HERE to begin the process.
- Go to SB513 – HCA3 and move cursor to “create witness slip” and click
- Complete the form, use the drop down by description to select “HCA 3” and select “proponent” and “record of appearance only”