Government Affairs Roundup
“Your Timely Roundup of Local, State, and Federal Updates”
Chamber members:
In case you missed some “old” news from last week, the Supreme Court blocked the OSHA mandate on vaccines for employers of 100+, but upheld for those accepting Medicare or Medicaid. More below on this topic.
Also, take a look at some state announcements and some funding sources opening and closing.
*Government Affairs Roundup brought to you by CITGO & Silver Cross Hospital*
Supreme Court Blocks OSHA ETS on Vaccine Mandates
The Supreme Court issued their much-anticipated decision on OSHA’s (Occupational Safety and Health Administration) ‘vaccine or test’ Emergency Temporary Standard (ETS). By a 6-3 majority, the Court reinstated the stay that had been dissolved by the Sixth Circuit panel.
Key points of the decision:
• OSHA exceeded its authority by trying to regulate a hazard that is not specific to the workplace; OSHA does not have authority to regulate public health.
• To allow this regulation to remain in place would significantly expand OSHA’s authority with no limiting principle.
• Congress has not given OSHA specific enough authority to regulate such a broad hazard.
The case will now go back to the Sixth Circuit for further consideration on the merits of the challenge consistent with the Supreme Court’s decision. Therefore, while blocked from going into effect, the ETS is not yet invalidated.
The court’s decision on the requirements for large employers was a relief for some businesses, especially those that have said imposing a mandate would make it harder for them to compete for and keep workers. Other businesses already have adopted mandates for their workers on their own or because of local rules, for example in New York City.
The high court, however, did give the administration more latitude in the healthcare industry, allowing it to impose a vaccine mandate for more than 10 million healthcare workers whose facilities participate in Medicare and Medicaid, a holding that leaves one part of the president’s Covid-19 playbook in place.
That mandate, which doesn’t include a testing alternative, was issued by the Centers for Medicare and Medicaid Services, which said facilities that accept money from those programs must comply. Because of conflicting lower court rulings, that mandate had been in effect in only half of the states.
The high court, again in an unsigned opinion, said the secretary of health and human services held broad authority to ensure that the healthcare providers who care for Medicare and Medicaid patients protect their patients’ health and safety.
“COVID–19 is a highly contagious, dangerous, and—especially for Medicare and Medicaid patients—deadly disease,” the majority wrote, noting that healthcare workers and public-health organizations overwhelmingly supported the mandate.
“Indeed, their support suggests that a vaccination requirement under these circumstances is a straightforward and predictable example of the health and safety regulations that Congress has authorized the Secretary to impose,” the court said.
Aurora Mayor Richard Irvin Jumps into GOP primary for Governor
Richard Irvin officially launched his bid to be the Republican nominee for Illinois governor on Monday. The mayor of Aurora will run with 95th State Rep. Avery Bourne of Morrisonville as lieutenant governor.
Irvin, 51, jumps into a race that already features State Sen. Darren Bailey of Xenia and former State Sen. Paul Schimpf of Waterloo, and businessmen Gary Rabine of Woodstock and Petersburg native and equity investor Jesse Sullivan.
Irvin’s campaign has been linked to hedge fund billionaire Ken Griffin, who has promised to back a candidate to beat Gov. JB Pritzker in the general election. The founder of Citadel financial group Griffin spent just over $53.7 million in the 2020 campaign against a proposed constitutional amendment backed by Pritzker to allow the state to implement a graduated income tax.
Irvin was elected the first Black mayor of Aurora, Illinois’ second-largest city, in 2017 and was reelected in 2021. If Irvin emerges from the June 28 primary, he would be the first Black gubernatorial nominee from either major party in the state’s history.
Bourne has been in the Illinois General Assembly since 2015 when she took Wayne Rosenthal’s 95th district seat after Rosenthal was named to the top spot of the Illinois Department of Natural Resources. Bourne then won reelection in 2016.
Many in the Illinois GOP consider the conservative Bourne a rising star in the party. She appeared with Irvin in a three-minute launch video Monday. Don Tracy, chairman of the Illinois Republican Party, said Irvin is joining an already robust primary and there is chatter that field could still grow. “It’s going to be a very competitive primary and I think we’re going to come out with a really good nominee to take on (Gov.) JB Pritzker,” Tracy said.
In his launch video, Irvin said “(former Illinois Speaker of the House Michael) Madigan and his ilk, Gov. Pritzker, they’ve done so much damage.” Irvin said he wanted Illinois to be free of “oppressive taxes and regulations.” De-funding the police “is dumb, dangerous and it costs lives,” said the former prosecutor.
The Democratic Party of Illinois pounced on the announcement quickly, tying Irvin to Griffin as well as former GOP Gov. Bruce Rauner, whom Pritzker beat in 2018. “Illinoisans will not be fooled by the Rauner Reboot slate and they will not stand idly by while Ken Griffin and Bruce Rauner try to drag our state backwards with their anti-working family agenda,” said Abby Witt, executive director of the Democratic Party of Illinois in a statement. “Simply put, Illinois voters will not tolerate a slate of candidates whose only goal is to return us to the Rauner years of budget impasses, credit downgrades, draconian service cuts and governmental crisis.”
GOV. PRITZKER ANNOUNCES NEARLY $10 MILLION INVESTMENT TO SUPPORT PRE-APPRENTICESHIP PROGRAMS AND INCREASE DIVERSITY IN CONSTRUCTION TRADES
Governor JB Pritzker and the Illinois Department of Commerce and Economic Opportunity (DCEO) announced $9.6 million in grant funding to support construction pre-apprenticeship programs, which will help create a qualified talent pipeline of diverse candidates as part of the groundbreaking Illinois Works initiative. This grant is being awarded to 23 organizations that will provide pre-apprenticeship training and wraparound supportive services to more than 1,000 participants, the vast majority of whom are underrepresented in the construction industry.
Comprehensive pre-apprenticeship programs can help participants gain admission to apprenticeship programs, which provide a greater opportunity to obtain employment in the construction trades. According to a 2020 report from the Illinois Department of Labor, only four percent of Illinois apprentices are women and only 29 percent are people of color. By supporting pre-apprenticeship training programs that primarily serve these groups – while also providing the needed wraparound supports for participants to succeed – these grants will help participants break barriers to enter into apprenticeships while simultaneously creating a sustainable pipeline of qualified, diverse candidates for the future economy.
“My administration is committed to supporting workforce training programs that are equitable and accessible for all Illinois residents, regardless of their background or what neighborhood they call home,” said Governor JB Pritzker. “This $9.6 million investment in the Illinois Works program will support nearly 1,000 pre-apprenticeships, giving participants the skills, they need to earn family-sustaining wages and succeed in the jobs of tomorrow.”
The program is funded by the Illinois Works Jobs Program Act as part of Rebuild Illinois which is working to grant more Illinois residents access to jobs created by State capital projects. The program aims to open doors to career opportunities in the construction and building trades, including those who have been historically underrepresented in this industry. Through this innovative model, the grantees will offer structured pathways to help graduates transition from the pre-apprenticeship program to a full apprenticeship program in construction and building trades.
“Under Governor Pritzker’s leadership, DCEO is more committed than ever to growing a diverse workforce that will boost local economies while creating sustainable career paths for all Illinoisans,” said Sylvia I. Garcia, Acting Director of DCEO. “Women and people of color face significant barriers to good-paying construction jobs and we’re proud to invest in pre-apprenticeship programs that will create a more dynamic and inclusive workforce.”
The average grant size awarded is $417,000, with all projects focused on supporting workforce priorities, such as equity and inclusion, and creating a qualified talent pipeline in construction and the trades. Recipients include non-profits, community-based organizations, industry associations, community colleges, and more.
In addition to delivering technical instruction and industry-recognized certifications, these programs include transition services to help participants enroll in Department of Labor (DOL) registered-apprenticeship programs. All programs also include stipends for participants in the program and workplace experience that provides them with hands-on exposure to construction job sites.
U.S. Will Spend $27 Billion to Repair Bridges
The Biden administration on Friday announced more than $27 billion in spending over the next five years to repair dilapidated bridges across the country, including full funding for structures that aren’t part of the federal highway system. The work will be funded under the roughly $1 trillion infrastructure bill that passed Congress with bipartisan support and was signed by President Biden in November.
State and local governments generally have to kick in up to 20% of the costs of bridge work to win federal funding. Administration officials said Thursday they are removing that requirement for bridges not connected to the federal highway system.
That will serve as an incentive for state and local governments to take on projects that might not normally give priority to, administration officials said. If states want to use the federal money for bridges that are part of the federal highway system, they will still have to kick in 20% of the cost of those projects, officials said.
“The bridge formula program that we’re launching today is the largest dedicated highway bridge investment since the construction of the interstate highway system itself,” Transportation Secretary Pete Buttigieg said Friday at an event near a bridge over the Schuylkill River in Philadelphia. The state-owned, steel-frame bridge on Martin Luther King Jr. Drive is so deteriorated that it had to be closed for safety, impacting 25,000 drivers a day, Mr. Buttigieg said.
The White House estimates the five-year funding could improve 15,000 highway bridges across the country. Under the funding plan, states and tribal governments will be awarded $5.4 billion in the current fiscal year, administration officials said.
There are more than 45,000 bridges in poor condition nationwide, according to the Transportation Department’s 2020 National Bridge Inventory. Any bridge on the inventory is eligible for part of the $27 billion, officials said.
To help states plan ahead, the administration is detailing how much money each will get for the bridge program over the next five years. States will begin receiving their first-year funding next week, Mr. Buttigieg said. California, which had more than 1,500 bridges in poor condition according to the inventory, is set to receive the most, about $4.2 billion.
The administration has in recent days stepped up its efforts to highlight the $1 trillion infrastructure funding President Biden signed into law 60 days ago. His infrastructure czar, former New Orleans Mayor Mitch Landrieu, this week urged congressional Democrats to start talking more about infrastructure.
In a letter to governors last week, Mr. Landrieu said the federal government had already gotten more than $65 billion “out the door,” the majority of it for roads and bridges. The Federal Aviation Administration announced a $3 billion program to modernize more than 3,000 airports, and the Transportation Department awarded $230 million in grants to modernize more than 30 ports.
Child Tax Payments End
Millions of families this past weekend stopped receiving monthly child tax payments for the first time in months after Congress failed to pass an extension of the expanded credit. As lawmakers struggle to revive talks to renew the expansion, more than 30 million families that have been receiving the monthly payments since July will not see another round.
Democrats temporarily expanded the child tax credit in early 2021 as part of a sweeping coronavirus relief package enacted under President Biden. Under the expansion, Democrats removed work requirements for the credit, raised the maximum credit amount and allowed those eligible to access half of the credit amount through monthly payments.
Many Democrats and advocates have called for the expanded credit to be made permanent, touting it as significant contributor to reducing child poverty by allowing those in the lowest-income households to access the full amount, as well as a means to help provide relief to middle-income families.
Democratic leadership aimed to pass the extension as part of a larger social and climate spending plan known as the Build Back Better Act, a cornerstone of Biden’s economic agenda. But those efforts hit a roadblock amid opposition from Sen. Joe Manchin (D-W.Va.), a key holdout who has expressed concerns about the expanded credit in addition to the overall package in its current form. Manchin has cited rising inflation as one of his reasons.
“I cannot vote to continue with this piece of legislation. I just can’t. I tried everything humanly possible. I can’t get there,” Manchin declared on “Fox News Sunday” in December. “This is a ‘no’ on this legislation.”
Democrats have expressed hope that the tax credit and larger talks can be revived and expect negotiations to pick up in the weeks ahead. Senate Majority Leader Charles Schumer (D-N.Y.) also expressed hope earlier this month that the bill would eventually be brought to the floor.
Democrats are using a process known as budget reconciliation to pass the bill, which will allow them to approve the package in the 50-50 Senate with a simple majority. But to pass the plan, Democrats need all of their party’s senators to back it.
Rep. John Yarmuth (D-Ky.), chairman of the House Budget Committee, told reporters earlier this week that he is hopeful the expanded child tax credit is one of the major policies that will be able to remain in the final version of the plan. “I think one element of BBB that people would actually feel is the child tax credit before the midterms. The rest of it, they won’t feel,” Yarmuth said, though he acknowledged that Manchin, who has criticized the benefit’s structure, is “not big on that one.”
While most Republicans are opposed to the design of the expanded child tax credit Biden signed off on last year, some have signaled interest in reaching a bipartisan agreement on a path forward for the tax credit. But they’ve said the benefit would likely look much different from the Democratic-backed expansion.
“Unfortunately, that went to very high-income people. It was unlinked to work, and I would prefer we went back to the original formulation,” Sen. Susan Collins (R-Maine) previously told The Hill.
Advocates and experts say returning to previous versions of the credit, which included work requirements and a credit that was not fully refundable, would hurt those most vulnerable.
Election Reform Pushes Forward
The Senate returns today, on what was slated to be a recess week, to take action on the Democrats’ efforts to enact federal elections reform and restore key oversight protections from the Voting Rights Act, a move that is sure to lead to a showdown over the chamber’s 60-vote filibuster threshold.
Senate Democrats will gather in-person tonight for a special caucus meeting ahead of this week’s risky action for the caucus, which still is not unified on altering the chamber’s filibuster rules in order to pass the elections and voting rights legislation.
Senate Majority Leader Chuck Schumer (D-N.Y.) will file cloture on the elections and voting bill today with a vote to end debate on the House-passed package expected as soon as Wednesday. That will require 60 votes and is expected to come up short. That will pave the way for a vote on changing the Senate’s rules. It is still not clear what form that will take – there are not enough votes for eliminating the filibuster outright – but multiple options for tweaking the process have been on the table in recent weeks
All eyes, once again, will be on Sens. Joe Manchin (D-W.Va.) and Kyrsten Sinema (D-Ariz.), who last week reiterated their stance against axing the filibuster. But there are other Democrats waiting for details of filibuster changes before they’ll commit.
Democrats in both chambers are struggling to frame what seems to their base like a repeat of the struggles they faced with the $1.7 trillion party-line social spending plan: pitting Democrats against each other instead of a unified message and enough votes to pass legislation backed by their base. Rank-and-file House members are shifting from criticizing Manchin and Sinema less to training their ire on Republicans. But they’re also starting to ding their own leaders for overpromising and underdelivering.
IDOT Virtual Workshops
The Illinois Department of Transportation will be offering several free, virtual workshops that will be hosted in January that may be of interest to some of our members. These workshops, entitled Building Blocks of Success, are designed for firms interested in participating in the Disadvantaged Business Enterprise (DBE) program and will focus on building skills to bid on state construction projects.
These workshops offer an opportunity for eligible small businesses in Will County to learn about the process for bidding on state construction projects. This is especially timely, as the ongoing Rebuild Illinois program is bringing millions of dollars’ worth of construction projects to Will County.
Administered by IDOT, the DBE program provides minorities, women and other eligible small businesses opportunities to participate in highway, transit and airport contracts that are federally and state funded.
The workshop dates and topics are:
• Jan. 25, 10 a.m. to noon: QuickBooks: Setting Up your Company
• Jan. 26, 10 a.m. to noon: QuickBooks: Performing Day-to-Day Tasks
• Jan. 27, 10 a.m. to noon: QuickBooks: Reporting
Use this link for more information and to register for each event: https://www.eventbrite.com/o/idot-supportive-services-15629822218
Future topics covered include financing, additional QuickBooks training, estimating and bidding, insurance, management, steps needed to be certified as a DBE firm and more. Questions can be directed to IDOT’s DBE Resource Center at (312) 939-1100. Businesses can find more information on being about a certified DBE at www.idot.illinois.gov/dbe.
Stay well,
Mike Paone
Executive Vice President
Joliet Region Chamber of Commerce & Industry
mpaone@jolietchamber.com
815.727.5371 main
815.727.5373 direct