Government Affairs Roundup
“Your Timely Roundup of Local, State, and Federal Updates”

Chamber members:

March has quickly arrived and we’re just two weeks away from the primary election. Over 150,000 vote-by-mail ballots have been returned out of 735,000 plus requested statewide. Nearly 33,000 have already voted early in-person throughout the state as well.

The Illinois Senate is back in town this week to do some legislative work prior to their March 13 committee deadline. The Senate will be in Springfield for the next two weeks without the House, meaning that there will be no House floor or committee action until after the March 17th primary elections.


*Government Affairs Roundup brought to you by CITGO*

Illinois Lawmakers Target Algorithmic Pricing Practices
As affordability remains a central theme this legislative session, Illinois lawmakers are advancing proposals aimed at regulating the use of consumers’ personal data in price setting.
Algorithmic pricing refers to the practice of using software and data inputs—such as browsing history, mouse movements, search activity, messages, geolocation, device information, and demographic profiles—to generate individualized prices for consumers. The practice is used across multiple sectors, including housing, airlines, online retail, fast food, and rideshare services.

The Legislative Proposals
Two bills have been introduced in the Illinois House:

  • HB 4248, sponsored by Rep. Kam Buckner and Rep. Maura Hirschauer, would require companies to disclose when they use algorithmic pricing and give consumers the option to opt out of personalized pricing.
  • HB 4544, sponsored by Rep. Eva Dina Delgado, would require disclosure but does not include an opt-out provision.

Both measures are awaiting committee hearings.

Under Delgado’s proposal, companies that use an individual’s personal data—defined as information that identifies or could reasonably be linked to a specific person, excluding location data—would have to clearly inform consumers that their price was determined using that data.

Buckner’s bill goes further. It would require disclosure that a price is personalized, identify the categories of data used, and explain how algorithmic pricing factors into the company’s pricing model. It would also prohibit the use of sensitive data—including race, religion, sexual orientation, immigration status, medical information, and criminal history—in price setting.

To qualify as compliant, companies would need to clearly state when a price is individualized and provide consumers with the opportunity to opt out.

Supporters: Transparency and Consumer Protection
Proponents argue that algorithmic pricing represents a modern version of traditional price coordination practices.

Erion Malasi, director of policy and research for Economic Security Illinois, described algorithmic pricing as a “modern tool for an age-old tactic” that can facilitate coordinated price increases without direct communication between competitors. “Back in the day, business leaders would have gotten in a smoke-filled room together,” Malasi said. “Now they can feed their information into an algorithm.”

Supporters contend that disclosure is a necessary first step toward understanding how widespread the practice has become. They argue that transparency would empower consumers to make informed purchasing decisions and discourage predatory pricing practices.

Delgado has emphasized that banning the use of personal data outright could interfere with loyalty programs and discounts. Instead, she views disclosure as a balanced approach that promotes transparency without eliminating legitimate pricing tools. Her bill also exempts insurers and financial institutions, citing their existing regulatory oversight.

Buckner similarly describes disclosure as a starting point, aligned with broader affordability goals this session. He argues that when consumers understand how prices are determined, they can “make decisions with their dollars.”

Antitrust Concerns and Legal Context
Concerns about algorithmic pricing are not purely theoretical. In January 2025, Illinois Attorney General Kwame Raoul joined a multistate civil antitrust lawsuit against RealPage Inc. and several landlord companies. The lawsuit alleged that landlords used RealPage’s pricing software to coordinate rental prices by sharing sensitive data.

The case, brought alongside nine other attorneys general and the U.S. Department of Justice, was settled in November 2025.

Critics of algorithmic pricing argue that such systems can remove competition by allowing companies to rely on shared data and software-driven recommendations rather than market forces.

Industry Response
Retailers and industry groups have pushed back on the proposed regulations. Illinois Retail Merchants Association argues that modern pricing systems often incorporate consumer-friendly features such as coupons, loyalty rewards, promotions, and discounts.

Alec Laird, senior vice president of government relations for the association, said retailers are focused on maintaining competitive and transparent pricing, noting that consumers can easily take their business elsewhere in today’s marketplace.
Industry representatives warn that overly restrictive regulation could inadvertently limit cost-lowering practices and reflect misunderstandings about how pricing systems function.

What’s Next
Both Delgado and Buckner have indicated that their bills are starting points and that they remain open to further discussion as the legislation moves forward.

With affordability as a stated priority for legislative leaders, the debate over algorithmic pricing is likely to remain part of broader conversations about consumer protection, competition, and the role of data in the modern economy.

Local Government Leaders Push Back on Proposed LGDF Reduction
Local government advocates are voicing strong opposition to Governor J.B. Pritzker’s proposal to reduce the state’s revenue-sharing rate with municipalities.

Under the governor’s budget plan, the Local Government Distributive Fund (LGDF) formula would decrease from 6.47% to 6.28% of individual income tax revenues. While the percentage shift may appear modest, local leaders warn it could have meaningful fiscal consequences.

Brad Cole, CEO of the Illinois Municipal League, said the change would effectively hold distributions flat for the upcoming fiscal year—assuming revenue projections are met.

“If the revenue projections don’t come in as an increase like they are suggesting, then it would see a dollar decrease, too,” Cole said, noting the proposal could ultimately result in less funding flowing to municipalities.

Romeoville Mayor John Noak, who also serves as chair of the Metropolitan Mayors Caucus, described the reduction as a serious concern for communities statewide. He said local leaders plan to raise their concerns with legislative leadership as budget negotiations continue.

Republican lawmakers have also criticized the proposal. House Republican Leader Tony McCombie argued the administration has already fallen short of historical funding levels for local governments and said further reductions would strain municipal budgets.

From 1993 to 2011, municipalities received 10% of state income tax revenues through the LGDF. Today’s rate—below 6.5%—represents nearly a 40% reduction from that historical benchmark. Critics argue that shrinking the local share over time has shifted more fiscal pressure onto property taxpayers.

McCombie warned that cutting the LGDF formula could force communities to rely more heavily on property taxes, potentially undermining broader affordability goals, including housing initiatives.

Cole echoed those concerns, arguing the state should be restoring the local share to its historical percentage rather than reducing it further. He emphasized that the LGDF formula provides a pro-rated distribution that benefits communities of all sizes.

The debate comes as overall state spending has grown significantly during Pritzker’s tenure—from approximately $39 billion in 2019 to a proposed $56 billion budget for fiscal year 2027. At the same time, the governor has pointed to federal funding reductions under the Trump administration as an added fiscal challenge for Illinois.

As budget negotiations continue, local officials are signaling that protecting revenue-sharing levels will remain a top priority.

Megaprojects Amendment Clears Committee
As regional competition around major development projects intensifies, Illinois lawmakers are advancing legislation designed to strengthen the state’s incentive toolkit.

Last week, the Indiana General Assembly concluded its regular session by passing Senate Bill 27. The measure creates the Northwest Indiana Stadium Authority, granting it broad financing, bonding, and purchasing powers to help secure a new professional sports stadium. Governor Mike Braun has already signed the legislation into law.

At the same time, Illinois officials have reportedly been negotiating with the Chicago Bears on a package of incentives and infrastructure tools to support construction of a new stadium in Illinois. Leaders in both the General Assembly and the Governor’s Office have signaled a renewed willingness to pursue legislative solutions for the team—momentum that was largely absent last year.

Against that backdrop, the House Revenue and Finance Committee considered HB 910 (Welch), Amendment #1 (Buckner), a broader “megaprojects” proposal aimed at attracting and retaining large-scale developments.

Key Provisions of the Amendment
The amendment includes several significant incentive mechanisms:

  • Sales Tax Exemption: Establishes a state and local sales tax exemption for building materials used in megaproject construction.
  • Property Tax Framework: Creates a new Division 23 under the Property Tax Code, titled the “Megaproject Assessment Freeze and Payment Law.”

Under the proposed property tax structure, qualifying projects could enter into an assessment freeze if they meet specified requirements, including:

  • Meeting minimum capital investment thresholds.
  • Executing an agreement with the host municipality.
  • Entering into a Project Labor Agreement (PLA) for demolition, construction, or renovation work.
  • Establishing a 20% contracting goal for minority-owned businesses.
  • Complying with additional criteria related to the duration of the incentive and preferential assessment terms.

The legislation also outlines standards for local incentive agreements, including special payment provisions and a requirement that the megaproject operates for at least 20 years.

Investment Thresholds
To qualify for many of the incentives under HB 910, a project would need to meet one of the following minimum benchmarks:

  • $500 million in capital investment;
  • $250 million in investment plus 50 new full-time employees; or
  • $100 million in investment plus 100 new full-time employees.

The proposal generated extensive discussion in committee, with members of both the Democratic and Republican caucuses raising questions about structure, safeguards, and long-term taxpayer impact. Lawmakers broadly expressed interest in ensuring any final package helps keep the Chicago Bears in Illinois while protecting state and local taxpayers.

Leader Buckner echoed many of those concerns and indicated a willingness to continue refining the legislation. There were also suggestions that an additional proposal—potentially addressing infrastructure and capital components—may be forthcoming.

The amendment was ultimately adopted and now advances for further consideration.

New Springfield Proposal Revisits Income Tax Structure
A newly proposed constitutional amendments filed in Springfield would revisit Illinois’ long-standing flat income tax requirement and, if approved, allow the state to adopt a graduated income tax structure.

Currently, the Illinois Constitution requires that any income tax be imposed at a single, non-graduated rate. Lawmakers may raise or lower that rate, but it must apply uniformly to all taxpayers.

Two measures introduced last year—SJRCA 4 and HJRCA 16—would repeal the constitutional requirement that income be taxed at one flat rate. Although neither proposal has been assigned to committee, both would provide the General Assembly with authority to establish multiple tax brackets with varying rates.

The last time a similar amendment advanced, lawmakers proposed six tax brackets ranging from 4.75% to 7.99%, with projections estimating approximately $3.7 billion in additional annual revenue.

A more recent proposal, HJRCA 21, takes a narrower approach. Rather than fully outlining a graduated structure, it would impose a 3% surcharge on income above $1 million. Like the earlier proposals, however, it would begin to modify the constitutional framework that currently mandates a flat rate.

If approved by lawmakers and ultimately by voters, eliminating the flat-tax requirement would give the General Assembly authority to create multiple tax brackets and apply different rates to different income levels.

It could also allow policymakers to treat various forms of income differently. For example, Illinois currently taxes capital gains and other income at the same flat rate as wages. Under a graduated system, lawmakers could establish separate rates or surcharges for specific income categories.

Illinois is one of a small number of states with a constitutional flat income tax requirement. In 2020, voters rejected a proposed constitutional amendment that would have authorized a graduated income tax system.

From a business perspective, changes to the state’s income tax structure could have implications for employers, pass-through entities, investors, and individuals with variable income streams.

Small business owners often report income through individual tax returns, meaning adjustments to individual income tax brackets could directly affect business earnings. Capital gains treatment is also relevant for entrepreneurs, farmers, and family-owned businesses planning ownership transitions.

Supporters of a graduated structure argue it would allow the state to generate additional revenue from higher-income households. Opponents raise concerns about long-term tax policy predictability and the potential impact on investment decisions and revenue stability.

Highly progressive income tax systems can generate more volatile revenues, particularly when they rely heavily on capital gains and higher-income earners whose income fluctuates with economic cycles. At the same time, proponents contend that a graduated structure can be designed to balance stability and equity.

Any constitutional amendment would require approval by a three-fifths majority in both legislative chambers before being placed on a statewide ballot for voter consideration.

At this stage, the proposals have not advanced to committee hearings. As discussions continue, business organizations and policymakers alike will be evaluating the potential fiscal, economic, and competitive impacts of altering Illinois’ income tax framework.

Speaker Welch Launches AI Working Group
House Speaker Emanuel Chris Welch announced last week the creation of a House Democratic Working Group focused on developing comprehensive public policy around artificial intelligence (AI).

In announcing the initiative, Welch highlighted AI’s potential to “transform our economy, remove barriers, and create opportunity,” while also cautioning lawmakers about concerns related to cost, data privacy, and the broader “functions of democracy.” He said the group’s work will be centered on crafting an AI policy framework rooted in affordability, opportunity, and safety.

The Speaker appointed Jennifer Gong-Gershowitz to chair the working group. Gong-Gershowitz has previously led legislative efforts addressing explicit, AI-generated “deepfake” images and related emerging technology issues.

A total of 23 members of the House Democratic Caucus have been selected to serve, with each legislator assigned to a specific subject-matter area within the AI policy landscape.

The announcement comes amid a significant increase in AI-related legislation. More than 20 bills have been filed this year alone that would impose new regulations on AI development, deployment, or consumer use.

At this time, the working group has not formally solicited input from outside stakeholders.

Unlike the House, the Senate does not typically utilize the working group model, and there has been no indication that it plans to adopt a similar approach this session.

IDOT – Chicago Street interchange at I-80 construction begins week of March 2
Project shifts into final phase, Des Plaines River bridges start this spring
Post Date: 02/27/2026 9:47 AM
CHICAGO – The Illinois Department of Transportation announced today that as part of ongoing efforts to rebuild Interstate 80 in Minooka, Joliet and New Lenox, construction on a new Chicago Street interchange (U.S. 52/Illinois 53) is scheduled to begin, weather permitting, the week of March 2. The start of the interchange’s reconstruction and the groundbreaking later this spring on the Des Plaines River bridges mark significant milestones for the $1.3 billion I-80 modernization, one of the cornerstone projects in Gov. JB Pritzker’s historic Rebuild Illinois capital program.

“We appreciate your continued patience as we enter the final stages of delivering a more modern, safer I-80,” said Illinois Transportation Secretary Gia Biagi. “The new Chicago Street interchange promises to be a vast improvement locally as well as for one of the state’s critical freight corridors. As always, when you approach any work zone, please slow down and give workers plenty of room to do their jobs.”

A gateway into downtown Joliet, the interchange is the last of six to be rebuilt along the project corridor. The work will be carried out in several stages but initially will require lane closures in both directions of Chicago Street between McDonough Street (U.S. 6/52) and Doris Avenue.

At least one lane in both directions will remain open for approximately one month while temporary pavement and other site needs are completed to accommodate traffic during the interchange’s reconstruction. Once the temporary pavement is complete, Chicago Street will return to two lanes in both directions while the interchange is rebuilt, with various lane shifts and occasional closures until the project is finished.

Starting in late March or early April, the following ramps will close:
· Westbound I-80 to northbound and southbound Chicago Street. The ramp is anticipated to reopen in 2028. A detour will direct traffic westbound on I-80 to the Larkin Avenue (Illinois 7) exit and entrance ramps to access Chicago Street via eastbound I-80.
· Chicago Street northbound and southbound to eastbound I-80. The ramp is anticipated to reopen in 2028. A detour will direct the westbound traffic on I-80 to the Larkin Avenue exit and entrance ramps to access eastbound I-80.

Additional ramp and lane closures for varying durations will be required at times. Schedules and impacts to traffic will be shared approaching the closure dates.

Likewise, pending final contract awards, construction is expected to begin later this spring on the Des Plaines River bridges, resulting in a reduction of I-80 to two lanes in both directions between Richards and Center streets with various impacts on nearby local streets. The new bridges will be built just north of the existing structures. Once completed, traffic will be shifted to the new bridges, westbound in early 2028 and eastbound by the end of 2028.

Since the overall I-80 project broke ground, the following elements have been finished: Bridges over I-80 at Shepley Road, River Road, Wheeler Avenue and Briggs Street to accommodate the wider interstate. New mainline pavement between Ridge Road to River Road was completed late last year. The Richards Street interchange and bridge over Hickory Creek also wrapped up in 2025. Bridges carrying I-80 over Hickory Creek, Richards Street and Rowell Avenue/Canadian National railroad were finished in 2024.

Extensive work will be completed by the end of this year along the corridor, including 12 miles from Ridge Road to Larkin Avenue and from Richards Street to U.S. 30. Newly rebuilt interchanges at I-55, Larkin Avenue and Briggs Street will be complete, including a new flyover ramp carrying southbound I-55 to eastbound I-80 and a third lane in each direction opening from Ridge Road to Larkin Avenue and from Richards Street to U.S. 30.

Most interchange ramps at Center Street/Meadow Avenue and Center Street over I-80 between Wheeler Avenue and Morgan Street were closed last year for reconstruction, with an anticipated reopening in late 2028. Detours are posted. The interchange ramp from eastbound Meadow Avenue to eastbound I-80 remains open but scheduled to close for reconstruction in late 2027.
As the I-80 project continues, the public should continue to expect lane shifts, overnight lane closures and significant delays, allowing extra time for trips through the area. Drivers are urged to pay close attention to flaggers and signs in the work zones, obey the posted speed limits and stay alert for workers and equipment.

The overall I-80 project is redesigning and rebuilding 16 miles from Ridge Road in Minooka to U.S. 30 in Joliet and New Lenox. Rebuilt and improved interchanges are planned for I-55, Larkin Avenue, Center Street, Chicago Street, Richards Street and Briggs Street, with a new flyover ramp linking southbound I-55 to eastbound I-80 to improve traffic flow and safety.

More than 30 bridges will be rehabilitated or replaced, including those over the Des Plaines River. The project is anticipated to be complete by the end of 2028, with landscaping, bridge demolition and miscellaneous work extending into 2029.

For more information, visit I80will.org, which features project information, photos and the ability to submit questions and comments to the project team.

# # #
Maria Castaneda
IDOT
maria.c.castaneda@illinois.gov
(312) 447-1919

Guy Tridgell
IDOT
guy.tridgell@illinois.gov
(312) 343-1731
Click here for more information

Stay well,

Mike Paone
Executive Vice President
Joliet Region Chamber of Commerce & Industry
mpaone@jolietchamber.com
815.727.5371 main
815.727.5373 direct