By Cole Lauterbach/Illinois Radio Network
SPRINGFIELD – Parts of a potential budget agreement in Springfield include a number of pro-business incentives, but business advocates say they’re no consolation for massive tax hikes.
A series of bills waiting to be voted on in the Illinois Senate are being promoted by leadership as the grand compromise that will break Illinois’ two-year long budget stalemate between Gov. Bruce Rauner and the Democrat-controlled General Assembly. The proposed plan rakes in billions by raising the state’s income tax to almost five percent along with other taxes. They also included a two-year property tax freeze and minor reforms to pensions and workers compensation laws in an effort to court business support.
But Technology and Manufacturers Association of Illinois President and former state Sen. Steve Rauschenberger says token reforms are no justification for a massive tax increase. “An increase in revenue is not a good deal for minor changes to the workers’ compensation program,” he said.
“Springfield seems to be only listening to its constituents that are asking for more tax revenue. What they haven’t done in the last three years is listen to what the families of Illinois and the businesses of Illinois need. We need to be competitive with Indiana, with Wisconsin, with Missouri. The businesses in my organization need to compete with businesses in Mexico, China, India and Eastern Europe. You don’t get there by raising taxes.”
Rauschenberger, who served in the state Senate from 1993 to 2007, says more taxes are the last thing Illinois families need. “Piling more bricks on the load that we already have to carry by increasing taxes without fundamentally reforming the way they’re spending in Springfield makes this a zero-sum game that doesn’t end well for Illinois.”
The bills are scheduled to be heard in committee Tuesday. Several Illinois state senators have said the bills are fluid, but Senate Minority Leader Christine Radogno, R-Lemont, has told multiple outlets the bills will come for a vote on Wednesday.
