Government Affairs Roundup
“Your Timely Roundup of Local, State, and Federal Updates”
Chamber members:
Today’s roundup will be the second to last of 2024. I hope that you’ve all found the information to be relative and informative. With that being said, here are updates on the City of Joliet budget as promised, new laws for Illinois in 2025, and of course the usual end of year threat of a government shutdown. In January, the state legislature will be back for a lame duck session ahead of the January 8 swearing in of a new General Assembly, although exact dates have not yet been announced.
*Government Affairs Roundup brought to you by CITGO*
City of Joliet Budget
The Joliet City Council is on their way to approving a $662 million budget for 2025, a significant increase from the current year budget of $643 million. The budget features a few items that will impact the city’s financial future, with proposed increases in property tax levies and fuel taxes.
The 2025 budget boosts the city’s general fund from $221 million in 2024 to $236 million in 2025. This increase will support daily operations, facilitate hiring new employees, and fund infrastructure projects. Central to the budget is a proposal to increase the property tax levy by 6.5%, generating an additional $3 million in revenue.
Out of that 6.5% increase, only 1% of the levy increase would be covered by existing property owners, resulting in modest annual increases of $4 for a $100,000 home, $8 for a $200,000 home, and $12 for a $300,000 home. The remaining 5.5% would be financed through new developments.
In addition to property tax changes, the council is set to vote in December on raising the local fuel tax. The proposal suggests increasing the gasoline tax for passenger vehicles from 4 cents to 5 cents per gallon and the diesel fuel tax from 4 cents to 11 cents, aligning with nearby Channahon’s diesel tax rate of 10 cents.
The budget allocates $101 million to the city’s water and sewer fund, with $30 million designated for replacing aging water mains as part of a transition to Lake Michigan water by 2030. An additional $22.7 million is earmarked for this transition, alongside $28.7 million for engineering costs.
The budget also outlines plans to add nearly 30 new positions within the City of Joliet. These include 14 additional police officers, 3 firefighter/paramedics, 3 firefighter lieutenants, 1 fire captain, and a community paramedic funded through a grant. The city also intends to hire 3 information and technology specialists, a bilingual staff member for the City Hall front desk, a new office manager for Public Works, and a development coordinator for community development.
Congress Faces Tight Deadline to Avoid Government Shutdown
With just 9 days remaining until the December 20 government shutdown deadline, Congress is racing to secure a deal to keep federal operations running through the holidays. Despite the looming cutoff, many lawmakers are optimistic that a resolution will be reached, though the path to avoiding a shutdown remains uncertain as negotiators work through critical funding issues.
A major sticking point in the negotiations is disaster relief funding. Lawmakers are evaluating President Biden’s request for more than $100 billion in disaster aid, intended to address the damages caused by hurricanes Helene and Milton. House Appropriations Chair Tom Cole (R-Okla.) called the request “robust” and expressed support for significant disaster funding. However, he criticized additional funding requests for unrelated programs, such as those under the State Department, the Department of Education, and the Environmental Protection Agency, which were included in the proposal.
Democrats, led by Rep. Rosa DeLauro (Conn.), the ranking member of the House Appropriations Committee, highlighted the absence of a finalized top-line agreement as a barrier to progress. DeLauro emphasized that securing an overarching funding framework is a prerequisite for moving forward with detailed discussions.
The need for disaster relief has gained bipartisan support, especially in the aftermath of the destruction caused by recent hurricanes. While some lawmakers have suggested addressing disaster aid as a standalone measure, Cole noted that leadership favors including it in a broader continuing resolution (CR), which would serve as a stopgap funding measure.
As negotiations continue, other funding priorities are also emerging. IRS operations, Social Security Administration programs, and concerns about federal agency budgets are expected to become focal points. Lawmakers are also debating the duration of the stopgap measure, with leadership considering an extension through March. However, some Republicans advocate for a shorter-term CR to accelerate the completion of fiscal year 2025 appropriations.
In addition to immediate funding concerns, Congress faces broader fiscal challenges, including addressing the national debt, now exceeding $36 trillion. While a repeat of last year’s partisan standoff over the debt ceiling is unlikely with a Republican-controlled Congress, fiscal conservatives are wary of further delays that could necessitate across-the-board cuts next spring if spending bills fall behind schedule.
As the deadline approaches, lawmakers are under increasing pressure to navigate these complex issues and avert a shutdown. The coming days will be crucial in determining whether Congress can broker a deal to maintain government operations and address urgent funding needs.
New Illinois Laws Taking Effect on January 1, 2025
As the new year begins, several laws passed by the Illinois General Assembly and signed by Governor JB Pritzker are set to go into effect. Here’s a breakdown of some of the most notable changes:
Minimum Wage Increases
- The Illinois minimum wage will rise to $15 per hour, marking the final scheduled increase under a 2019 law.
- Tipped workers will see their minimum wage increase from $8.40 to $9 per hour, in line with the requirement that tipped workers earn at least 60% of the state’s minimum wage.
- Youth workers under 18, working fewer than 650 hours annually, will have their minimum wage raised from $12 to $13 per hour.
Dignity in Pay Act
The subminimum wage for disabled workers will be eliminated, allowing individuals with disabilities to earn at least the minimum wage. This move ends Illinois’ use of the 14(c) certificate program.
Pay Transparency
A new amendment to the Equal Pay Act of 2003 requires employers with 15 or more employees to include pay scales and benefits in all job postings, both internal and external.
- Applies to positions performed in Illinois, including remote roles.
- Employers must comply by January 14, 2025, or face a $500 fine.
Worker Freedom of Speech Act
Employees can now skip mandatory workplace meetings where employers discuss political or religious matters without fear of retaliation. Employers are prohibited from disciplining, firing, or otherwise penalizing employees who choose not to attend. Violators face a $1,000 penalty per offense.
Restrictions on E-Verify
Employers in Illinois are prohibited from voluntarily enrolling in E-Verify, an electronic employment verification system, unless mandated by federal or state law.
Limits on Predictive AI in Hiring
Employers are banned from using artificial intelligence tools that consider an applicant’s race or zip code when making hiring or firing decisions. Such practices are classified as civil rights violations under Illinois law.
Digital Driver’s Licenses
Illinois will allow residents to use digital versions of driver’s licenses or IDs on their smartphones. However, physical credentials must still be presented upon request by law enforcement. A digital ID app registration fee will not exceed $6.
Extended Driver’s License Validity
Eligible Illinois residents can apply for an eight-year driver’s license instead of the current four-year term. The Secretary of State will establish program rules by January 1, 2027.
Yielding to Emergency Vehicles
Drivers must change lanes to give the right of way to emergency scenes, stopped emergency vehicles, or construction zones, if possible. If changing lanes isn’t feasible, drivers must reduce their speed.
Ban on Single-Use Plastic Bottles in Hotels
Hotels with 50 rooms or more are prohibited from providing single-use plastic bottles to guests. Smaller hotels will face the same restrictions starting in 2026.
Child Abuse Awareness Signs
Certain businesses, including schools, hospitals, and daycare centers, must post signs explaining what constitutes physical and sexual abuse and how children can report it.
Property Tax System Study
The Illinois Department of Revenue will conduct a comprehensive study of the state’s property tax system. The evaluation will assess the fairness of current tax levies, assessments, appeals, and collections, and may propose improvements. Illinois homeowners currently pay some of the highest property tax rates in the nation.
Stay well,
Mike Paone
Executive Vice President
Joliet Region Chamber of Commerce & Industry
[email protected]
815.727.5371 main
815.727.5373 direct