Government Affairs Roundup
“Your Timely Roundup of Local, State, and Federal Updates”
Chamber members:
Thanks to those that were able to join us yesterday for our 110-year anniversary celebration. It was nice to see so many familiar faces and great supporters of our chamber. Next week we have another exciting luncheon to celebrate once again. We’ll be honoring Kelly Rohder-Tonelli with our annual ATHENA Award on Wednesday, September 18th. Here is the link to the full details and registration: https://members.jolietchamber.com/events/details/2024-athena-award-luncheon-6915
Today, we begin countdowns. First, we again are looking at the annual possibility of a government shutdown or a more likely continuing resolution over federal funding. Second, election day is right around the corner on Tuesday, November 5th. Finally, here in Illinois we’re about two months away from the six-day fall veto session. This is when lawmakers take up new bills and whatever the governor has vetoed from the spring session. It will begin on November 12th.
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Government Shutdown Looms
With the threat of a government shutdown looming, Congress faces a critical funding battle, as both parties dig in their heels. The deadline to avert the shutdown is set for September 30, and the countdown has begun as lawmakers return to Washington. Despite the upcoming elections, which some believe could reduce the chances of a funding lapse, House Republicans are gearing up for a showdown with the Democrat-controlled Senate. The debate could stretch for weeks, focusing on contentious issues such as voting requirements and spending priorities.
House GOP leadership introduced a plan that combines a six-month stopgap measure—known as a continuing resolution (CR)—with legislation backed by former President Trump and hard-line conservatives. This proposal seeks to impose stricter proof-of-citizenship requirements for voter registration.
“House Republicans are taking a vital step to ensure both the federal government remains funded and our election processes are secure,” Speaker Mike Johnson (R-La.) said after the bill’s unveiling. “It’s our responsibility to ensure that only American citizens determine the outcome of American elections.”
In recent months, conservative voices have called for a stopgap measure extending beyond December, anticipating a possible Trump return to the White House in January. This would also help avoid a large end-of-year spending bill negotiated by leadership in both chambers. House Republicans are expected to move swiftly on the proposal, although Johnson has faced skepticism about the plan’s prospects.
Some GOP members have expressed caution, urging against assumptions about the upcoming elections’ outcomes. One House Republican told The Hill last week that leaving a complex appropriations process for a new Congress could be risky.
Democrats have strongly opposed the partisan CR plan. White House Office of Management and Budget Director Shalanda Young criticized the proposal, saying, “There is a clear, bipartisan path to responsibly fund the government, but Congressional Republicans are wasting time.” She further noted that the six-month CR fails to address critical needs that impact national defense, veterans, and local communities. “We urge Congress to pass a bill that keeps the government open and provides emergency disaster funding, as they have done many times before in a bipartisan manner,” Young added.
Adding to the urgency, both parties are concerned about a $3 billion budget shortfall facing the Department of Veterans Affairs (VA), which presents yet another obstacle for Congress to resolve in the coming weeks.
Push to Delay Corporate Transparency Act’s Filing Deadline
A coalition of organizations representing millions of small businesses has expressed strong support for H.R. 9278, a bill aimed at delaying the Corporate Transparency Act’s (CTA) year-end compliance deadline. The proposed legislation offers a practical, bipartisan solution to an impending regulatory challenge that, if not addressed, could burden countless small business owners and employees with severe fines and even potential jail time.
The CTA requires companies to disclose and routinely update detailed beneficial ownership information to the Financial Crimes Enforcement Network (FinCEN). This law imposes complex and unclear reporting requirements on covered entities and their “beneficial owners,” while also risking exposure of their sensitive personal information. Failure to comply with the CTA can lead to penalties of over $590 per day, alongside potential felony charges and up to two years in prison.
The Act is especially burdensome for small businesses. Exemptions are granted to entities with revenue exceeding $5 million and more than 20 full-time employees. This leaves the vast majority of small businesses—those that fall below these thresholds—subject to the law’s requirements. FinCEN estimates that over 32 million small businesses will be affected by the new law this year alone, with an additional 6 million impacted annually as new businesses are formed.
Despite the fact that the CTA’s filing period began earlier this year, FinCEN has only received around 10% of the required submissions. This low compliance rate is attributed to a general lack of awareness within the small business community about the new regulations. Given this significant knowledge gap, there is a clear need for more time to allow regulators and other stakeholders to educate affected businesses.
Recent legal developments have further complicated matters. Earlier this year, the Northern District of Alabama ruled that the CTA exceeded the federal government’s constitutional powers, deeming it unconstitutional. The case is now under appeal, with an appellate court set to review it next month. However, FinCEN continues to enforce the CTA against all small businesses not named in the lawsuit, creating an unfair scenario where approximately 60,000 businesses are exempt, while tens of millions remain subject to the law.
Moreover, delaying the year-end filing deadline aligns with the original intent of Congress. When lawmakers passed the CTA, they called for a reporting deadline “not later than two years after the effective date of the regulations” for existing entities. This timeline was meant to provide businesses with ample opportunity to learn about, understand, and comply with the new reporting requirements. However, FinCEN imposed a much shorter one-year deadline, leaving little time for proper outreach and education.
The one-year delay proposed by Congressman Zach Nunn seeks to address these challenges. It has garnered bipartisan support and mirrors similar legislation (H.R. 5119), which passed the House with overwhelming approval last year. Therefore, we are urging the House to bring H.R. 9278 to a vote and stand ready to work towards the bill’s enactment to protect small businesses from unnecessary regulatory burdens.
Illinois Financial Outlook to New Fiscal Year
Illinois’ finances are performing largely as expected through the first two months of fiscal year 2025, aligning with projections made by lawmakers when they approved the budget.
According to the legislature’s fiscal forecasting agency, the August report showed that state revenues for the month remained nearly flat compared to the previous year. The slight dip was partially attributed to August having one fewer weekday than the previous year, leading to lower returns.
Despite this, Illinois’ general revenues are still outpacing last year by approximately 6.4 percent, or $437 million. However, it’s important to note that the most impactful months for state revenues, typically coinciding with tax-filing season, are still ahead.
The report raised a cautionary note regarding sales tax receipts, which declined by 3.1 percent compared to the previous year. Sales taxes historically account for about 22 percent of the state’s general revenues, making the decline notable.
“One fewer receipting day likely contributed to this year-over-year decline,” wrote Eric Noggle, revenue manager at the Commission on Government Forecasting and Accountability (COGFA). “However, the lack of growth in recent months is becoming a concern and will be monitored closely in the months ahead.”
Corporate income taxes have also decreased year-over-year but saw a slight improvement in August compared to the previous year. This revenue stream, accounting for roughly 12 percent of state general revenues, typically experiences its largest collections closer to tax season.
Overall, while Illinois is slightly ahead of last year’s pace, several key revenue streams remain under observation as the most critical months for state finances approach.
Governor Pritzker Announces $25.5 Million in Grant Funding for CEJA Equitable Energy Future Grant Program
Governor JB Pritzker and the Illinois Department of Commerce and Economic Opportunity (DCEO) today announced $25.5 million in funding for the Equitable Energy Future Grant Program to grow and diversify Illinois’ clean energy ecosystem. This grant funding will provide seed funding and pre-development funding opportunities to equity eligible contractors to work on renewable energy projects in low-income and historically disadvantaged communities. Grantees will be selected through a competitive Notice of Funding Opportunity (NOFO) process.
“In Illinois, we’re building an equitable clean energy future where everyone can thrive,” said Governor JB Pritzker. “Thanks to the transformative implementation of CEJA and the Equitable Energy Future Grant Program, we are leaning into that future by training a diverse and skilled workforce that will power our growing clean energy ecosystem. I highly encourage all eligible entities to apply to this grant.”
The Equitable Energy Future Grant Program is part of a larger strategy to equitably grow the clean energy workforce in Illinois through the historic Climate and Equitable Jobs Act (CEJA). The goal of the Equitable Energy Future Grant Program is to help remove barriers to projects, community, and business development in communities that have been historically left behind due to lack of available capital.
“The Equitable Energy Future Grant Program is key to advancing clean energy projects in every corner of our state,” said Lt. Governor Juliana Stratton. “By offering this essential support, we’re advancing both equity and sustainability.”
Through the second round of this program, the grant funding will be used to support a wide array of pre-development projects to support the development of renewable energy and energy efficiency projects to benefit historically disadvantaged communities. This includes planning and project development, application, purchasing and leasing land, and more. Funding will be distributed in two phases, with applicants having the flexibility to apply for either one or both phases.
“The Equitable Energy Future Grant Program is essential to creating a greener future and economy in Illinois while continuing to prioritize equity,” said DCEO Director Kristin Richards. “This funding will provide Illinoisans from all corners of the state the opportunity to engage in renewable energy projects that benefit communities that have historically been left behind.”
Qualified entities include equity eligible contractors and independent contractors, non-profits, co-operatives that are majority-owned by equity eligible persons, and businesses or non-profits with a proposed project that meets equity building criteria. Equity eligible contractors are businesses or non-profits that are majority-owned by equity eligible persons, including participants in CEJA workforce programs, Illinoisans who are in the foster care system or who were formerly in the foster care system, people who were formerly incarcerated, and Illinoisans who live in an R3 zone or environmental justice community.
Through a competitive Notice of Funding Opportunity (NOFO) qualified entities can apply for grants from $250,000 to $1 million. Applications will be accepted until December 31, 2024, at 5:00 p.m. To view 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. To help applicants prepare to apply for funding, DCEO will be holding a technical assistance webinar from 12-1 p.m. on September 19, 2024.
The Equitable Energy Future Program is one of several contractor, workforce, and community support programs established by the landmark CEJA legislation intended to move Illinois to a 100% carbon-free future. Under CEJA, DCEO will administer $180 million per year in workforce and community support programs designed to build Illinois’ clean energy economy and prepare the state’s workforce and communities for the jobs of the future.
CEJA training, contractor & community investment programs administered by DCEO include:
• Clean Energy Contractor Incubator Program (20 ILCS 730/5-45)
• Clean Energy Primes Contractor Accelerator Program (20 ILCS 730/5-55)
• Clean Jobs Workforce Network Program (“Clean Jobs Hubs”) (20 ILCS 730/5-20)
• Coal to Solar and Energy Storage Initiative Fund (20 ILCS 3855/1-75)
• Energy Transition Barrier Reduction Program (20 ILCS 730/5-30)
• Energy Transition Community Support Grants (20 ILCS 730/10-20)
• Energy Transition Navigators Program (20 ILCS 730/5-35)
• Illinois Climate Works Pre-apprenticeship Program (20 ILCS 730/5-40)
• Jobs and Environmental Justice Grant Program (20 ILCS 730/5-60)
• Returning Residents Clean Jobs Training Program (20 ILCS 730/5-50)
Will County Kicks Off Safety Action Plan
Will County, in partnership with local leaders and the Chicago Metropolitan Agency for Planning (CMAP), has launched the Will County Safety Action Plan. This initiative is designed to improve road safety, reduce crash severity, and ultimately save lives throughout the county.
“Ensuring safe roads in Will County is a top priority,” said Will County Executive Jennifer Bertino-Tarrant. “This plan will help reduce traffic fatalities and injuries, creating a safer transportation network for all. I encourage residents to share their thoughts on how we can make ‘safe travel for all’ a reality.”
Will County Public Works and Transportation Chair Joe VanDuyne emphasized the progress already made in recent years to improve road safety through collaboration with state and local partners. “Public engagement is key to a successful plan,” VanDuyne said. “I urge our community to actively participate in this important process.”
The Will County Safety Action Plan is being developed with input from a broad range of stakeholders, including representatives from schools, fire departments, hospitals, community organizations, and law enforcement agencies. The steering committee members will ensure that the plan addresses the diverse needs of those who live, work, and travel throughout the county. Using community feedback and data-driven analysis, the plan will outline strategies and recommendations to enhance road safety for all users.
Anyone who travels in Will County is strongly encouraged to actively participate in this plan by attending community events and providing feedback online. Engagement opportunities will include the following:
- Community Open House: Mark your calendars for Tuesday, September 24, 2024, from 4:30 to 6:30 p.m. Join the project team at The Ovation Center in Romeoville at 349 S. Weber Rd., Romeoville, IL 60446, to learn more about the plan and share your input. Please complete the event registration form on the project website in advance to ensure accessibility needs are accommodated.
- Safety Hotspots Map: Visit the project website and use the interactive Safety Hotspots Map to drop a pin where safety improvements are needed, highlight challenges, and offer recommendations.
- Take the Online Survey: Shape the safety action plan for Will County by taking a few minutes to fill out the online survey.
As part of the regionwide “Safe Travel for All” initiative, the Will County Safety Action Plan will focus on identifying practical actions, innovative solutions, and policy proposals aimed at improving roadway safety for all users, particularly pedestrians, cyclists, and individuals using mobility devices. Completing this plan is a key step that will enable the Will County Division of Transportation, along with other local agencies, to access additional federal funding for transportation safety enhancements. The plan is set to be finalized in 2025.
Over the past five years, Will County has seen a steady rise in traffic fatalities and injuries, impacting the community significantly. Notably, 61 percent of fatal and serious crashes have occurred on just 8 percent of the county’s roadways. Crashes involving vulnerable road users, such as pedestrians, bicyclists, and motorcyclists, tend to have the most severe outcomes.
The “Safe Travel for All” initiative is being implemented across six counties by the Chicago Metropolitan Agency for Planning (CMAP). The program is supported by a $4 million federal Safe Streets and Roads for All grant, along with additional funding from the Illinois Department of Transportation and local county contributions.
For more information on the Will County Safety Action Plan and ways to get involved, please visit the project website at engage.cmap.illinois.gov/will.
Stay well,
Mike Paone
Executive Vice President
Joliet Region Chamber of Commerce & Industry
mpaone@jolietchamber.com
815.727.5371 main
815.727.5373 direct