Pierce Brown wrote, Home isn’t where you’re from, it’s where you find light when all grows dark. For 115,000 Illinoisans in the past year, the light is no longer in the Land of Lincoln. 115,000 Illinois residents left our state according to the US Census Bureau between July 2016 and July 2017. Furthermore, Illinois has lost over 642,000 residents since 2010.
This is especially true of Illinois rural counties. The Illinois News Network reports that rural Illinois has been losing more population in recent years, while suburban Chicago has grown. Crains Chicago Business indicates that Chicagoland has done more than increase population, it has created jobs, saying, Federal data shows that just 20 counties nationwide accounted for half of new businesses created in the US between 2010 and 2014 Cook was the only county in the Midwest to land on that top 20 list.
Even considering the growth in Chicagos economy, the Illinois economy continues to struggle. Our first budget in two years is currently running a 1.7 billion dollar deficit, even after passing permanent corporate and individual income tax increases. Internal Revenue Service data tells us that Illinois has lost $3.4 billion in adjusted gross income (AGI) to neighboring states between 2010 and 2015.
The legacy of the status quo is declining rural population, lagging employment, punitive tax increases, and wasteful state spending. Contrary to what others have written, I am not against increasing state revenues. I am against increasing your tax burden. The average family of four pays more in taxes in Illinois than in any other state in the country. We are taxed enough already. So lets put the myth that higher taxes will save our states economy to rest.
Here is what I do stand for. I believe we should pursue the right course to expand our tax base. That is how we increase revenue. To do that, we need to make Illinois a destination state, for families and businesses.
Before the recent tax hike, it was small businesses driving job growth in Illinois. Businesses with fewer than 50 employees created 75 percent of the net new jobs in 2016, and from 2011 to 2016, businesses with fewer than 500 jobs created 79 percent of net new jobs, according to the Bureau of Economic Analysis. We need to cut the red tape and drain the swamp of regulations that suffocate small businesses. It is time to make it just a little bit easier for entrepreneurs to move our economy forward and create jobs.
The laundry list of incentives for businesses to start or expand in Chicagoland is long, and lets face it, probably a little soiled. If we are going to grow ALL of Illinois, we need better incentives to expand the rural tax base and grow our economy. We need to expand Enterprise Zones in rural communities. We need to increase incentives for regional planning and economic development in rural communities.
A good start would be passing the Lincoln-Douglas Historical Tax credit (HB3096) which I filed last year. This legislation would extend the Rivers Edge Tax credit to all seven of the Lincoln-Douglas debate sites in order to help spur development in those communities.
Another excellent step to improving our competitiveness and increasing our tax base seems simple. We need to make sure any business interested in incentives to expand or start-up is not required to obtain a competing incentive package from a neighboring state my bill (HB3105). It is counterproductive to offer an incentive and then require the business to apply for an incentive package from a neighboring state.
I believe in Illinois. I believe in our work force. I believe in our students. I believe in our families. I believe in our small business community. I believe we have what it takes to climb from the bottom of state rankings to the top.
We do not need more new taxes to do it. We do not need more regulations to do it. We need to expand our tax base and grow our economy. We need better incentives for rural communities like the ones I have outlined. It was Bunker Roy who said, Strengthen the rural areas and you will find less people migrating to urban areas.
We also need to reform our education system. We need to cut the red tape that bleeds our businesses dry. And we need to focus on incentivizing small businesses because they are the people who create most of the jobs anyway. That is the recipe for success. That is how we start attracting families and businesses to grow in Illinois. I look forward to the 2018 General Assembly session which begins next week.
If you have any additional thoughts or ideas for making Illinois better, you can reach me or Sally at 815-232-0774, or visit my website at www.repbrianstewart.com and use the form to send me an e-mail.
As Senate Republicans, our goal is to encourage job growth by developing an efficient, transparent, ethical state government with less regulation and lower taxes. We must leave a legacy of responsible government that will last for generations.