Government Affairs Roundup
“Your Timely Roundup of Local, State, and Federal Updates”
Chamber members:
A number of items to cover this week starting with an update on federal government spending. We’re days away from yet another threat of a shutdown. See below for the latest. Staying with updates, see more for the latest on tariffs.
On the state side, information about online casino legislation, childcare & early education investment, homeschooling, and non-electric vehicles.
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House Narrowly Passes Stopgap Spending Bill, Senate Debate Looms
With just three days remaining before a government funding deadline, the House of Representatives passed a stopgap funding bill on Tuesday, largely along party lines. The bill, which would maintain government funding at current levels through September 30, now moves to the Senate, where Democrats are weighing their response ahead of the looming March 14 deadline.
Speaker Mike Johnson (R-La.) faced significant challenges in securing passage within his slim House majority. After weeks of negotiations, the measure passed by a narrow 217-213 vote. Only one Democrat, Rep. Jared Golden (D-Maine), broke ranks to support the bill, while Rep. Thomas Massie (R-Ky.) was the lone Republican to vote against it.
The stopgap funding measure became a key battleground in President Trump’s second term, particularly regarding the Department of Government Efficiency (DOGE), an agency overseen by Elon Musk. Republicans rallied behind the bill to ensure DOGE’s continued efforts to reduce the size of the federal government, while Democrats unsuccessfully pushed for provisions to limit its power.
The passage of the bill marks a major victory for Speaker Johnson and President Trump, who actively lobbied House GOP holdouts to secure votes. Following the vote, Johnson emphasized the party’s commitment to advancing their agenda. “President Trump and Republicans in Congress will stop at nothing to deliver on that agenda,” Johnson told reporters. “We will continue to work hard, stick together, and get this job done. It’s an essential one.”
As the bill heads to the Senate, Democratic lawmakers are divided over their approach. Some senators have voiced strong opposition, citing concerns over spending cuts and proposing a shorter stopgap to allow more time for bipartisan negotiations on full-year appropriations. Others, however, are reluctant to risk a government shutdown.
Sen. Mark Kelly (D-Ariz.) cautioned that a shutdown could play into Trump and Musk’s broader strategy of dismantling federal programs. Meanwhile, Sen. John Fetterman (D-Pa.) signaled his willingness to support the bill despite his reservations.
“I’ve been very clear—I’m not going to withhold my vote in a way that shuts down the government,” Fetterman said. “If Democrats think burning the village down will save it, that’s terrible optics and will have serious impacts on millions of people. I won’t vote for that kind of chaos.”
While some Senate Democrats weigh their options, House Democratic leaders are pressing their Senate counterparts to reject the bill, warning of its potential consequences for Americans nationwide.
With time running out before the March 14 deadline, the Senate’s next steps will determine whether the bill advances or if another round of negotiations is necessary to avoid a shutdown.
U.S. Steel and Aluminum Tariffs Take Effect, Raising Economic Concerns
Businesses across the country are grappling with uncertainty following President Trump’s announcement on Tuesday that tariffs on Canadian steel and aluminum would increase to 50%, while a 25% tariff would apply to other trading partners beginning March 12. The move escalated trade tensions with Canada, which had imposed an electricity surcharge on U.S. imports. However, later in the day, Ontario Premier Doug Ford walked back the surcharge, leading to expectations that tariffs on Canadian metals would return to 25%.
These steel- and aluminum-specific tariffs are layered on top of existing duties, meaning the actual tariff burden could be significantly higher depending on the country and product. The increased costs are expected to have widespread effects, from disrupting supply chains to raising prices for consumers and businesses alike.
With 41 million American jobs dependent on trade, business leaders continue to stress the importance of global market participation and expanded trade opportunities for economic growth. Traci Tapani, Vice-Chair of the U.S. Chamber’s Small Business Council and Co-President of Wyoming Machine in Minnesota, highlighted the impact on small manufacturers in a recent CNN interview.
“A disturbance could mean lower wages for people or less of a wage increase. It could be changes in benefits. It could be reduced hours for people. This is a competitive market. Manufacturers in the U.S. are competing globally, and we’re under a lot of price pressure,” Tapani explained.
As businesses brace for the effects of the tariff increases, concerns remain about potential retaliatory measures from trading partners and the broader implications for U.S. competitiveness in the global economy.
Illinois Lawmakers Revive Push for Online Casino Legalization
Illinois has joined a growing number of states considering the legalization of internet casino gaming, as lawmakers introduced companion bills in the General Assembly on Friday. This marks the second consecutive legislative session in which Sen. Cristina Castro and Rep. Edgar Gonzalez have attempted to bring iGaming to the state. However, their previous efforts failed to advance out of committee during the 2023-24 General Assembly.
Illinois presents a complex landscape for gaming expansion. Over the past five years, the state has added six brick-and-mortar casinos—four permanent and two temporary—while also maintaining the most extensive video gaming terminal (VGT) network in the country. With nearly 8,700 licensed VGT operators and over 48,700 terminals, VGTs have become the largest source of gaming tax revenue in Illinois.
In 2024, VGTs generated $884.2 million in state tax revenue and an additional $152.4 million for local municipalities. By comparison, Illinois’ 16 casinos contributed $345.2 million in state tax revenue, while sports betting receipts totaled $244.2 million through November. The state is also the second-largest sports betting market in the U.S., recently shifting from a flat 15% tax rate to a progressive system ranging from 20% to 40% at the start of Fiscal Year 2025.
The proposed bills—SB 1963 and HB 3080—include a significant change from last session: an increase in the tax rate from 15% to 25%. Additionally, the legislation maintains provisions allowing licensees to operate up to three individually branded internet gaming platforms, a contrast to the single-skin model imposed on sports wagering licensees.
A key provision carried over from the previous bills states that the Illinois Gaming Board cannot issue an internet gaming license to any operator that has reduced its workforce by 25% or more since February 28, 2020. However, the term “workforce” is not explicitly defined, a potential point of contention for opponents—particularly those representing VGT interests.
Chicago’s stance on online gaming could be a pivotal factor in determining the future of iCasino legalization. Bally’s is currently constructing a $1.8 billion permanent casino in the River West neighborhood, set to open in September 2026. Since September 2023, a temporary casino has been operating at Medinah Temple.
At the same time, the city is weighing the possibility of legalizing VGTs. Chicago Mayor Brandon Johnson supported lifting the city’s VGT ban during his 2023 campaign, and legislative efforts are underway that could influence this decision.
State Sen. Donald DeWitte has introduced SB 1342, which would prevent municipalities with populations over 1 million from banning VGTs. His proposal would direct 83% of VGT tax revenue in these areas to the Regional Transportation Authority, with the remaining 17% allocated to the city.
Several other bills related to gaming have also been filed, including HB 3473 by Rep. Kam Buckner, which seeks to amend the Video Gaming Act. This legislation would ensure that certain gaming devices are not considered illegal under the Criminal Code of 2012, allowing potential Chicago-based operators to obtain VGT licenses without facing penalties.
Despite these legislative efforts, public opinion remains a significant hurdle. A recent Tulchin Research poll of 800 registered Illinois voters found that 71% believe gambling on mobile devices is more addictive than gambling in casinos, bars, or other physical locations. The poll, conducted from February 11-17, has a margin of error of ±3.46 percentage points, indicating strong public skepticism about mobile gaming expansion.
As Illinois lawmakers consider the future of online gaming, a subject matter hearing on the issue is set to take place today. With both legislative and public resistance, the path forward for iGaming in Illinois remains uncertain.
Illinois Business Leaders Call for Increased Public Investment in Childcare and Early Education
A new statewide survey of Illinois business leaders underscores the critical role that childcare and early education play in maintaining a stable workforce and strengthening the future economy. The survey reveals overwhelming support for increased public investment in early childhood programs, with employers citing ongoing hiring challenges and the struggles employees face in securing reliable childcare.
As state and federal policy makers determine budget priorities, the survey of 400 executives highlights key findings:
- 91.5% of business leaders support “greater public investments in high-quality childcare and early childhood education,” with more than half strongly agreeing.
- 93.1% believe Illinois’ multiyear effort to strengthen birth-to-5 services—guided by a bipartisan commission—will positively impact the workforce.
“Employers and managers increasingly connect these important dots and want policymakers to do the same,” said Lisa Savegnago, a Carol Stream manufacturing executive. “Parents cannot work without reliable, affordable care for their kids, and early childhood programs help seed the skills-building that young children need to succeed in school—and later, in careers.”
Savegnago, an advisor and former president of Nameplate & Panel Technology, is a member of ReadyNation Illinois, a nonpartisan network of 270 business leaders advocating for research-backed investments in children’s learning and development. While ReadyNation does not provide direct early childhood services, it champions public policy solutions that support school- and community-based programs statewide.
The survey was commissioned by ReadyNation Illinois and conducted by Zogby Analytics, a national polling firm based in New Hartford, NY. The poll, conducted online over four weeks ending January 9, 2025, has a margin of error of ±4.9 percentage points. Respondents included executives from businesses with 100+ employees and annual revenues of at least $10 million, spanning industries such as finance, manufacturing, retail, and technology.
Workforce Challenges Linked to Child Care Access
The survey found that more than 80% of business leaders reported difficulties hiring workers with strong skills, while nearly 95% said their companies are spending more to recruit skilled employees than in previous years—19% noting significant increases.
Additionally, more than four out of five business leaders reported witnessing employees struggle with securing childcare, leading to:
- 66.4% saw lost work hours.
- 58.3% reporting reduced wages for affected employees.
- 37.3% citing job losses.
- 66.8% noting overall declines in business productivity.
- 63.3% dealing with costly employee turnover due to child care-related disruptions.
Given these challenges, 88.5% of business leaders agreed that access to high-quality childcare and early education is essential for helping working parents stay in the workforce. Furthermore, 86% stressed that early childhood programs lay a critical foundation for children’s long-term success, echoing findings from brain development research.
“Workforce and economic development conversations are incomplete without recognizing the vital role of early childhood services,” said Mike Murphy, President & CEO of the Greater Springfield Chamber of Commerce and a former state legislator.
Support for Policy Reforms and Investment in Early Childhood Services
ReadyNation Illinois members have long advocated for expanding investments in preschool, childcare, and early intervention services. Survey results indicate strong business community support for these efforts:
- 97.1% of respondents agreed that investing in early childhood teachers and support staff would strengthen Illinois’ economic development.
- 85.8% expressed confidence that consolidating birth-to-5 services under a single new state agency would improve access and program quality.
The Illinois Department of Early Childhood, approved by the General Assembly through a bipartisan vote, is currently undergoing a two-year planning process. Its creation follows recommendations from the Early Childhood Funding Commission (2019-2021), which called for long-term investment in early learning programs. Illinois has already taken steps in this direction through the Governor’s Smart Start initiative.
ReadyNation Illinois members applaud the Governor’s FY26 proposal for expanding childcare assistance for working families. They also urge policymakers to continue strengthening funding for preschool, Early Intervention therapies for infants and toddlers, and home-visiting programs that provide support for new and expectant parents.
At the federal level, ReadyNation is calling on policymakers to preserve and expand funding for Head Start and other early childhood programs, recognizing their importance to young children, families, and the broader economy.
“The well-being of our workforce, communities, and economy are interconnected, and our public investments should reflect that reality,” said Felicia Slaton-Young, Executive Director of the Greater Englewood Chamber of Commerce in Chicago. “High-quality early childhood programs make communities more attractive for businesses and employees alike.”
With strong support from the business community, the message is clear: Investing in early childhood education is not just a social issue, it’s an economic imperative for Illinois’ future.
Hundreds Rally at Illinois Capitol Against Homeschool Oversight Bill
Hundreds of homeschool families and advocates gathered at the Illinois Capitol last Thursday to protest a proposed bill that would introduce new oversight measures for homeschooling. The legislation, known as the Homeschool Act, would require families to notify their local school districts when opting to homeschool and, in cases of concern, provide teaching materials and completed student work to verify instruction.
Opponents of the bill argue that Illinois already has one of the least restrictive homeschooling policies in the nation and that additional regulations would place unnecessary burdens on families. Homeschoolers have successfully blocked previous legislative efforts through grassroots activism, including the Illinois Christian Home Educators’ Cherry Pie Day, where advocates traditionally visit lawmakers. This year, in addition to delivering cherry pies, homeschool supporters rallied on the Capitol lawn to voice their opposition.
Among those attending was Tia Noriega of Chicago, who homeschools her children rather than sending them to public school.
“It’s hard enough to raise a family in a big city, but as homeschoolers, we have a strong community and support system,” Noriega said. “I hope this bill doesn’t pass because I want to continue raising my children with like-minded people.”
The bill’s sponsor, Rep. Terra Costa Howard (D-Glen Ellyn), argues that the legislation does not seek to ban homeschooling but to ensure that children receive an education and are safe. Under the proposed law, parents would only be required to show evidence of schooling if authorities receive concerns of truancy.
However, several Republican lawmakers strongly oppose the measure, arguing that it unfairly targets homeschooling families. “Illinois has plenty of challenges, but homeschooling isn’t one of them,” said Rep. Travis Weaver during a news conference. “It’s actually a solution to many of the problems in our public schools. Over-regulating homeschool families will only make homeschooling look more and more like our struggling public school system.”
Currently, Illinois does not require homeschool families to register with local school districts or any state agency. There are no mandated curriculums, proficiency tests, or attendance tracking requirements. Parents do not need a high school diploma to homeschool their children. According to the Home School Legal Defense Association, Illinois has some of the most lenient homeschool laws in the country.
Advocates for increased oversight argue that a lack of regulation has led to gaps in accountability. A Capitol News Illinois and ProPublica investigation last year found that some parents claim to homeschool to avoid truancy penalties. Truancy officers noted that the absence of registration requirements makes it difficult to track missing students and hold parents accountable.
The proposed bill would also require the Regional Offices of Education to collect data on the number, grade level, and age of homeschooled children for the first time in Illinois. Currently, there is no official statewide count of homeschooled students.
The push for more oversight comes as Illinois experiences a significant decline in public school enrollment. According to a study by Advance Illinois, public school enrollment has dropped by 127,000 students since 2020, a rate that exceeds the state’s overall population decline. While some of this decrease is attributed to homeschooling, the exact number of homeschooled children remains unknown due to the lack of registration requirements.
As the debate over homeschooling regulations continues, the Homeschool Act faces an uncertain future in the General Assembly. Homeschool advocates have vowed to continue fighting the bill, while supporters argue that a basic level of oversight is necessary to protect children’s education and well-being.
Illinois Businesses Push Back Against Proposed Non-Electric Vehicle Ban
The Illinois Pollution Control Board is considering a proposal to ban most new non-electric vehicle sales by 2035, adopting California-style emissions standards. This would phase out gasoline and diesel-powered vehicles while imposing new testing and emissions regulations on heavy-duty trucks.
The National Federation of Independent Business Illinois (NFIB) strongly opposes the plan, citing major concerns for small businesses. NFIB Illinois Director Noah Finley said a recent survey found 99% of small business members oppose the mandates, fearing higher costs, driver shortages, and increased transportation expenses that would ultimately be passed on to consumers.
“Many of our members have indicated they would consider moving their businesses to neighboring states to avoid these mandates,” Finley warned.
Environmental groups, including Sierra Club Illinois, the Chicago Environmental Justice Network, and the Environmental Defense Fund, support stricter standards. Public comments submitted to the Illinois Pollution Control Board this week reflect a mix of opinions on the proposal.
A study commissioned by The Clean Freight Coalition estimates that freight and utility industries would need to invest nearly $1 trillion in charging infrastructure and grid upgrades for full commercial vehicle electrification. Additionally, a Ryder System, Inc. report suggests the costs of mandated electric vehicle adoption could add 0.5% to 1% to overall inflation.
A similar proposal failed in 2023, but the debate continues as Illinois weighs the economic and environmental impacts of the potential ban.
Illinois Arts Council’s Fiscal Year 2026 General Operating Support Grant Application is Now Open
The Illinois Arts Council (IAC) is pleased to announce the Fiscal Year 2026 (FY26) General Operating Support (GOS) Grant, which includes optional application questions for IAC’s Youth Employment in the Arts (YEA) Grant, is now open.
FY25 GOS grantees should complete a simplified “RETURNING General Operating Support—2026” in IAC’s online Salesforce grant portal: arts-illinois.my.site.com to apply for funding in FY2026. The FY26 GOS with optional YEA application deadline is Wednesday, March 19, 2025, at 11:59 pm.
Applicants that did not receive FY25 GOS support are welcomed and encouraged to complete a full application for FY26 GOS.
GOS Grants are offered to eligible not-for-profit organizations that provide arts programming to their defined communities in a manner that supports the mission of the organization. Successful applicants demonstrate ongoing arts programs and a strong commitment to making artistic programs accessible and relevant to a diverse range of participants.
YEA Grants provide up to $4,500 to GOS recipients to support youth employment opportunities in their organization throughout the year. Youth employees may be between the ages of 14 and 22. Organizations may request funds for up to 4 youth employees. Duties may be administrative or artistic in nature, or a combination of both.
Please review the GOS with YEA webpage for eligibility requirements and guidelines, which will provide full instructions. Pre-recorded webinars, with transcripts, are available on IAC’s Workshops and Webinars webpage that walk through the application process.
IAC will also host “Drop-In” sessions to answer any questions you may have. Drop-in sessions are one-hour sessions that have no agenda. Participants may ask questions of the participating Program Staff and get answers in real time. Drop-ins do not require pre-registration. Simply click the link at the time of the meeting to join the call via WebEx. Please visit IAC’s GOS with YEA webpage or Workshops and Webinars for dates and links.
Program Directors and the Regions they oversee are listed below:
● Danielle Heal, Program Director: Northern Region / Chicago Metro 1
● John Gawlik, Program Director, Southern Region / Chicago Metro 2
● Susan Dickson, Program Director: Eastern Region / Chicago Metro 3
● Jerome Grand, Program Director: Western Region / Chicago Metro 4
● Angelique Grandone, Program Director: Central Region / Chicago Metro 5
For further information, please contact your Program Director. If you are unsure of who your Program director is, please utilize the Find Your Program Director tool on the IAC website.
Stay well,
Mike Paone
Executive Vice President
Joliet Region Chamber of Commerce & Industry
[email protected]
815.727.5371 main
815.727.5373 direct