Government Affairs Roundup
“Your Timely Roundup of Local, State, and Federal Updates”
Chamber members:
Welcome back to the roundup after a little bit of a break for two weeks to enjoy a vacation and our trip to Springfield last week. Last Wednesday we were able to attend the Illinois Chamber lobby day, schedule meetings with our local elected state officials, and attend a reception with the Will County Governmental League. Our meetings included Deputy Majority Leader Natalie Manley, House Minority Leader Tony McCombie, Senator Rachel Ventura, Senator Meg Loughran Cappel, Representative Larry Walsh, Jr., and Representative Harry Benton.
Please make sure to check your calendars and see if you can join us for our April member breakfast on Tuesday, April 30th. We’re changing things up a little this month and hosting a breakfast rather than a luncheon. Our featured speaker will be A.J. Wilhelmi, President/CEO of the Illinois Health & Hospital Association. A.J. will be giving a “State of Healthcare” update focusing on a number of topics. We’re happy to have him back with us at the chamber as he was a former chamber board chair and Illinois State Senator! Here is the information and rsvp link:
https://members.jolietchamber.com/events/details/2024-member-breakfast-april-30-state-of-healthcare-with-a-j-wilhelmi-6949
*Government Affairs Roundup brought to you by CITGO*
Biometric Information Privacy Act (BIPA) Changes Move Forward
Over a year has passed since the Illinois Supreme Court advised state lawmakers to clarify a law responsible for numerous multi-million-dollar settlements with tech firms over the gathering of Illinois residents’ biometric data.
On Thursday, a bipartisan majority in the Illinois Senate heeded this advice by approving the first significant alteration to Illinois’ Biometric Information Privacy Act since its inception in 2008. State Senator Bill Cunningham of Chicago remarked on the court’s prompting, following a February decision that found White Castle in violation of BIPA due to its employees’ fingerprint usage.
The legislation, known as Senate Bill 2979, passed with a vote of 46-13. It revises BIPA’s violation assessment so that each initial biometric data collection event counts as one violation, rather than each individual scan triggering a separate violation. Illinois uniquely allows residents to sue businesses for mishandling biometric data, whether as employees or customers. Violations can stem from failure to obtain written consent, lack of a data storage policy, or inadequate data protection.
In recent years, business groups have urged BIPA amendments due to the surge in lawsuits since around 2018, culminating in high-profile settlements like Facebook’s $650 million payout in 2020. However, it was two state Supreme Court rulings last year that catalyzed efforts to amend the law further. The court extended the statute of limitations and ruled that each improper biometric data collection constituted a separate violation.
Originally conceived over 15 years ago to address futuristic technology concerns, BIPA’s application has expanded alongside the rise in biometric identification usage. While some business groups fully support Cunningham’s proposal, others remain opposed. Senate Minority Leader John Curran, for instance, ultimately voted for the bill, aligning with industry groups in favor.
Concerns persist among industry groups regarding the bill’s scope, particularly its lack of retroactive application and potential implications for data centers. Despite these concerns, Cunningham remains open to addressing industry feedback through potential future amendments in the House, confident that the core aspects of the bill will endure and anticipate the governor’s signature in the coming months.
Proposal for “Guaranteed Income”
Discussions are underway in the Illinois state legislature regarding a proposal to establish a task force to explore the implementation of monthly guaranteed taxpayer-funded “unrestricted cash” subsidies for specific individuals in the state.
State Senator Ram Villivalam of Chicago presented Senate Bill 3462 to an Illinois Senate appropriations committee. The bill aims to create the Illinois Guaranteed Income Law, instituting a board within the Department of Human Services to assess the effectiveness of the program, propose statewide policies, and ensure oversight. The board would analyze the availability of cash support for low-income residents and identify groups with limited access to such assistance.
According to the original bill, once the board is dissolved by the end of 2027, the Department of Human Services would administer the program, providing monthly cash payments to Illinois residents, irrespective of immigration status. Eligible recipients would include caregivers of children or dependents, recent parents or adoptive guardians, and individuals enrolled in educational or vocational programs. However, during a subject matter hearing in Chicago, Villivalam proposed an amendment focusing solely on establishing the task force without specifying the payment amount, citing the need for further discussions with committee members and colleagues to determine an appropriate starting point at the state level. The committee did not act on the amendment.
Mike Buehler, the Chairman of the McHenry County Board, opposed the original bill, criticizing the lack of clarity regarding its potential cost to taxpayers. Buehler expressed concerns about the broad eligibility criteria and the potential financial burden, emphasizing the need for responsible fiscal planning.
While ongoing pilot guaranteed income programs in Chicago and the Metro East St. Louis areas have incurred significant costs to taxpayers, proponents like Ameya Pawar from the Economic Security Project argue that such initiatives have shown positive outcomes, including economic stimulation and increased stability for households.
However, opponents like Buehler warn of unintended consequences, such as decreased work productivity and a potential influx of migrants seeking benefits. They argue that unrestricted cash subsidies could undermine existing taxpayer-funded safety net programs designed for specific needs, such as food assistance, housing, and family support.
The fate of the proposal remains uncertain as it continues to undergo committee review without action on the proposed amendment.
Gov. Pritzker Announces New Illinois Grocery Initiative Grant Opportunity
Governor JB Pritzker and Lieutenant Governor Juliana Stratton joined food justice advocates and local stakeholders to announce a new grant program from the Illinois Grocery Initiative. The New Stores in Food Deserts Program will offer competitive grants to encourage the establishment of new grocery stores in USDA-defined food deserts. Paired with the Equipment Upgrades Program, the initiatives are a $20 million effort to address food deserts and prevent grocery store closures in Illinois.
“The truth is: too many people live in food deserts, and it’s contributing to an ongoing public health crisis. As we celebrate the launch of our second Illinois Grocery Initiative grant program today, we aim to support local entrepreneurs and communities as they open new grocery stores in food deserts.” said Governor JB Pritzker. “This is a first-of-its-kind state government investment — and it will have a significant impact on under-served rural towns and urban neighborhoods dealing firsthand with the struggles of food access.”
Awards can range between $160K to $2.4M, with a 1:3 match requirement from businesses.
Requirements for grocery locations include:
- Must be located in a food desert,
- Must earn less than 30% of revenue from alcohol and tobacco sales,
- Must accept SNAP and WIC, and
- Must contribute to the diversity of fresh foods available in the community.
Qualified entities include units of local government and independent grocers or cooperatives with fewer than 500 employees and no more than four grocery locations. New Stores in Food Deserts grants will fund construction and renovation costs for new stores, as well as many first-year operations costs, such as employee wages, utility costs, initial inventory of food, and more.
“The Equipment Upgrades Program and New Stores in Food Deserts Program are perfect examples of the good government can do. Every community—urban and rural—deserves access to fresh, nutrient-dense, and culturally relevant food,” said Lt. Governor Juliana Stratton. “1 in 4 Illinoisans live in a food desert, many crossing county or even state lines to reach the nearest grocery store. Incentivizing local, independent grocers is a way to help eliminate food deserts and that is a win-win for everyone.”
In August, Governor Pritzker signed Senate Bill 850, establishing the Illinois Grocery Initiative to address food deserts across the state with a $20 million pilot program. Through support for existing grocers and incentives for new stores to open in underserved communities, the legislation aims to ensure Illinois residents and families have access to affordable and nutritious food options.
“The State of Illinois is working to combat food insecurity rolling out essential programs such as New Stores in Food Deserts through the Illinois Grocery Initiative,” said DCEO Director Kristin Richards. “Illinoisans deserve to have access to fresh, nutritious food, and this grant program will increase access while bolstering local economies and creating new jobs in historically underserved areas.”
The first grant program, the previously announced Equipment Upgrades Program, provides grants for energy-efficient equipment upgrades in grocery stores to prevent closures. In order to support businesses most in need, $3.5M in grant funding will be awarded to chosen applicants: eligible independent-owned grocers with fewer than 500 employees and no more than four grocery stores. Locations in food deserts (defined by USDA) will be given priority. Applications for the first round of this funding are now closed and in review.
To offset rising energy costs for small community grocers, grants will fund:
- Heating, ventilation, and air conditioning (HVAC) equipment,
- Refrigeration units and freezers,
- Lighting systems, and
- Other systems providing significant energy savings.
To view the competitive Notice of Funding Opportunity (NOFO) and apply for the grant, please visit the DCEO website. Interested parties are encouraged to reach out to CEO.GrantHelp@illinois.gov for application assistance.
Additional efforts towards equitable food access include $10M for the Illinois Grocery Initiative in the Governor’s recent proposed FY25 budget, as well as the Governor’s proposal to permanently eliminate the state grocery tax.
State Legislative Agenda / Springfield Trip Report
As mentioned above, a group of Government Affairs committee members traveled to Springfield last week to meet with elected officials. During those meetings with talked about numerous potential legislation and budget proposals. Below is a listing of topics that we are actively monitoring.
- Pension Reform – changes to Tier 2 benefits
- Yearly allocation of funds from DCEO for small business
- Workforce inclusion for returning citizens and those with disabilities to assist in workforce development
- Re-examining the Invest in Kids act
- Working with the Federal government on Enforcement of Illegal Immigration and advocating for the expansion of Legal Immigration to assist in workforce development
- Investment in and support of Early Childhood Care and Preschool
- Retention of road funds
- Small Business Property Tax relief
- Universal licensing
- Paid Leave for All Workers – PT cut out
- Safer Communities and Small Business act
- Small Business Job Creation Tax Credit
- Early Learning Tax Credit
- Physical Therapy Telehealth
- I55 Managed Toll Lanes
- Grocery Tax Elimination
- Pharmacy Benefit Manager regulation
- Economic Incentives for Small Business
- Business Improvement Districts
- Tip Credit / Sub-minimum wage
- BIPA Reform
- Budget Tax Increase Proposals – Sports wagering, retail tax collection, individual tax deduction adjustment, and cap on net operating loss deductions
- Carbon Capture
- California Emissions Standards
- Regional combination of CTA, RTA, and PACE
- Small Business Savings Accounts
- Property Tax grants
- Sales Tax “Level of Playing Field”
- Health Care legislation
- Tech legislation
- And a long list of Employment Law bills that is too long to list
Stay well,
Mike Paone
Executive Vice President
Joliet Region Chamber of Commerce & Industry
mpaone@jolietchamber.com
815.727.5371 main
815.727.5373 direct