Bipartisan Statewide Hearings on Enterprise Zones Announced

February 27, 2012
SPRINGFIELD, IL – On Monday, State Senators Pamela Althoff (R – McHenry) and Michael Frerichs (D – Champaign) were named co‐chairs of a newly created bipartisan Senate Special Committee on Enterprise Zone Extensions that will travel the state to gather input on proposed legislation to modernize and extend the Enterprise Zone Program.

The Enterprise Zone Program, established in 1982, is one of the state’s most proven and successful economic development tools. Beginning next year, these zones will start to expire and businesses statewide will lose access to the various incentives they offer.

“I think we have a tremendous opportunity to fine tune this great economic development tool to make sure it remains useful and productive for years to come. As a former mayor, I am keenly aware of how vital enterprise zones can be in spurring economic development and creating jobs. At the same time, I am also sensitive to the need to balance tax incentives with worthwhile results. I look forward to hearing from others about their experiences and ultimately producing and passing a meaningful enterprise zone reform package,” said Senator Althoff, who before joining the Senate was the mayor of McHenry, IL.

Frerichs stressed that the goal is to make sure this effective economic development program remains successful.

“We know enterprise zones have been creating jobs across Illinois for 30 years,” said Senator Frerichs. “A program this proven and successful deserves this kind of comprehensive approach, rather than piecemeal renewals. I look forward to hearing from business and community officials throughout the state on how we can keep this great program going and improve it for the future.”

The committee’s first hearing will be held Thursday, March 15 at Southern Illinois University’s Dunn‐Richmond Economic Development Center in Carbondale. Three additional hearings are planned for Peoria, Rockford, and Chicago. Exact dates and times are yet to be determined.

The new Senate Special Committee was created Monday at the direction of Senate President John J. Cullerton. The six‐member committee will have three members from each party to be chosen by President Cullerton and Republican Leader Christine Radogno.

Enterprise zones seek to stimulate economic growth by creating specified geographic regions that offer businesses within that zone state and local tax incentives and regulatory relief. In
2011 alone, the program is credited with creating 8,980 jobs and nearly $2.5 billion in investments.

“Enterprise zones are a crucial economic development tool in Illinois that have a real record of success. Nearly $50 billion in capital investment and more than 900,000 jobs have been
created or retained since their inception,” said Greg Baise, president & CEO of the Illinois Manufacturers’ Association, the oldest and largest manufacturing trade association in the
country. “We applaud the bipartisan effort to provide long‐term stability and foresight to economic development in Illinois.”

The Illinois Manufacturers’ Association is working with lawmakers to produce a comprehensive modernization and extension package regarding enterprise zones. That legislation (SB 3688) includes the following reforms:

  • Renews current enterprise zones for an additional 25 years, subject to approval of state and local officials
  • Allows up to 10 additional zones to be created over the next 10 years
  • Streamlines the available tax incentives to remove those that are not producing results
  • Requires maps of enterprise zones to be posted online

“Illinois enterprise zones have proven themselves to be a vital business retention and attraction tool. They are utilized by employers of all sizes and have added a measure of predictability for Illinois job creators and economic development professionals as we all compete for jobs and investment”, said Craig Coil, President of the Illinois Enterprise Zone Association. “Long term extension of enterprise zones is critical to the success of our economic development efforts in Illinois and I’m pleased that the Senate is focusing its attention on this important issue.”

The goal of the hearings is to gather input from local business and community leaders and enterprise zone officials. Legislators aim to pass a comprehensive enterprise zone package this spring.

Goals & Objectives for 2010

During the IEZA’s 2010 Annual Board Retreat, the Board approved the following Goals & Objectives for 2011:

GOAL I: Continue to improve communications with all individuals, governments, organizations and businesses related to the Illinois Enterprise Zone Program.

  • Objective: Produce electronic IEZA Newsletters.
  • Send congratulatory letter to all new legislators and include information about IEZA.
  • Objective: Utilize outside resources to continue the education of Zone Administrators.
  • Objective: Maintain and update IEZA Web Site.
  • Objective: Maintain centralized comprehensive mail and email lists for membership information, conferences and newsletters. Integrate with online IEZA Web Site.

GOAL II: Continue to broaden awareness of the Illinois Enterprise Zone Program through cooperative efforts with other Economic Development and related organizations.

  • Objective: Maintain IEZA web links to web sites of IEZA members, DCEO, IDC, ITIA, IML, Illinois State APA and other Enterprise Zone application-related sites (examples: AG Review, Gas Use Tax Exemption, etc.).

GOAL III: Add “Members Only” value content to the IEZA website.

  • Objective: Add content for “Members Only” section of IEZA website to include: Conference Presentations and PowerPoints, Administrator’s Handbook CDRom, Survey results, Incentive Calculator and Economic Impact Calculator.

GOAL IV: Continue to increase membership of Zone Administrators and other categories.

  • Objective: Maintain contact with each zone administrator by mail and electronic means.
  • Objective: Conduct ongoing retention and recruitment efforts. 
  • Objective: Contact certified businesses and professional member candidates.

2011 Goals & Objectives 25.14 Kb

20-year Extension Bill Advances out of Senate

Senate Bill 3659 has been passed by the Illinois Senate and has now moved to the House for consideration.  This bill is an agreed bill with bi-partisan support and provides for Illinois Enterprise Zones to have the ability to extend their termination dates by an additional 20 years.  The bill has also been given the firm promise in the Senate that no Prevailing Wage mandate will be attached.  The Officers and Board of IEZA have worked with both sides of the aisle in Springfield and others to bring this measure that preserves the viability of the Enterprise Zone Program for an additional 20 years.

Just below is the IEZA position paper.  A pdf of this document is at the bottom of this article.

ILLINOIS ENTERPRISE ZONE ASSOCIATION SUPPORTS SB-3659, AMENDMENT #2

11, March, 2010 – URGENT TO MEMBERS OF THE ILLINOIS GENERAL ASSEMBLY

The Illinois Enterprise Zone Association (IEZA) supports passage of Senate Bill-3659 which seeks to extend the term of the Illinois Enterprise Zone Program for an additional twenty (20) years. The Illinois Enterprise Zone Program is a proven economic development partnership between the State of Illinois and local units of government and has a documented history of making the difference for projects seeking to locate in Illinois. The incentives allowed under the Enterprise Zone Program have enabled both existing companies and new ventures alike to make decisions regarding job creation, job retention and capital investment resulting in a stronger Illinois economy.

SB-3659 would extend the Zone Program for twenty (20) years similar to what was done by the 91st General Assembly and signed by the Governor in 2000. As one of the bill’s leading proponents the IEZA Membership represents more than three-fourths (3/4ths) of the zone professionals in the State of Illinois including the overwhelming majority of the ninety-seven (97) zones themselves. The IEZA and its leadership believe the Illinois Enterprise Zone Program to be of particular importance in today’s highly competitive world of economic development. Recent negative impacts to Illinois resulting from a national and global economic crisis make it even more important to preserve and extend this program.

SB-3659 as amended by Amendment #2 is supported by IEZA. This bi-partisan bill Sponsored by Senator Michael Frerichs (D) of Champaign and Chief Co-Sponsor Senator Gary Dahl (R) of Peru is a good example of both sides of the aisle demonstrating support for economic development in Illinois. IEZA appreciates their cooperation and urges the rest of the General Assembly to support the bill. IEZA also values the efforts of other sister organizations from across the State of Illinois including the Illinois Municipal League, Illinois Chamber, Illinois Manufacturer’s Association, Illinois Development Council and others who have worked to bring this extension legislation to the 96th General Assembly.

SB-3659 preserves one of the few available Illinois’ incentive programs. Further, it does so using mechanisms that primarily result in a self-funding methodology that utilizes local property tax abatement with formulas voluntarily created and agreed to by local taxing districts; building material sales tax exemptions initiated jointly by the State of Illinois and the local jurisdictions; and various other investment and income tax credits to incent projects through business income tax credit allowances. All of these incentives are governed under a “but for” imperative in the Enterprise Program which only grants incentives if a project is undertaken by an existing company for new investment in Illinois or for a new company coming to an Illinois enterprise zone. It is a quid pro quo that results in no incentive if there is no investment made or jobs created.

The past ten (10) years’ DCEO annual reports to the General Assembly on Enterprise Zone job retention, creation and investment total as follows:

Jobs Retained: 188,031
Jobs Created: 159,235
Total Investment: $ 29.423 billion

This successful record of the Illinois Enterprise Zone Program speaks for itself. The past ten years of documented investments in buildings and capital equipment totaling nearly $30 billion have assured that nearly 350,000 Illinois citizens received or kept their jobs here in Illinois. These were only the direct jobs reported and do not include all of the untold spin off created by enterprise zone projects across the state. The Illinois Enterprise Zone Program enabled those investments and helped to retain and create those jobs. By extending this valuable program SB-3659 will strengthen Illinois, create investment, and retain and create jobs for Illinois citizens.

Unless the General Assembly acts to extend the Zone Program, enterprise zones will soon begin to expire all across Illinois. The time is now to enact this extension legislation. The time is now to send a message that Illinois is interested in and wants to support economic development and business investment here in our great state.

Why Support SB-3659, Amendment #2?

  • SB-3659 preserves enterprise zones as a premier economic development tool in Illinois’ tool box. What else is out there to create the kind of incentives zones bring?
  • Illinois Enterprise Zones have a proven record of stimulating investment and job creation for both existing Illinois companies and for helping those companies from outside our state to decide to come to Illinois.
  • SB-3659 would result in increased investment and job retention and creation resulting in stabilized and increased state revenues.
  • Ask yourself “Is now the time to send a positive message to the citizens of Illinois that the General Assembly is serious about helping to preserve Illinois jobs?

We sincerely and respectfully ask you to support Senate Bill-3659 without further amendment and to enact it this spring session of the 96th General Assembly.

Illinois Enterprise Zone Association
200 East Knox Street
Morrison, Illinois 61270

John R. Thompson, President
Lee County Ind. Dev. Assn.
(815) 284-3361 (217) 422-9520
dchamber@essex1.com

J. Craig Coil, Vice President
EDC of Decatur and Macon County
ccoil@decaturedc.com

Other Officers and Board Members:

Betty Steinert, Past President
Whiteside County Economic Development

Barb Koch, Secretary
Illinois Valley Area Chamber and Economic Development

Cathy Schluckebeir, Treasurer
City of Quincy

Brandi Stennett, Board Member
City of Mt. Carmel

Janice Kerin, Board Member
St. Clair County

Nora Fesco-Ballerine, Board Member
North Central Illinois Council of Governments

Tom Henderson
Illinois Tax Increment Association

 

PRINT DOCUMENT

Senate Bill 3659 position paper.pdf 63.11 Kb

Dixon’s UPM Raflata Receives Award

ieza-upmaward.jpgIllinois Chamber and Illinois Development Council Present “Edies” to Recognize those who Imagine, Design, Invest, Build and Bring Jobs, Growth and Prosperity to Illinois Communities.

Five Illinois Economic Development projects were presented with Edie Awards at the Illinois Chamber of Commerce’s annual meeting in Chicago June 25. Governor Pat Quinn, keynote speaker for the luncheon meeting, praised their accomplishments in creating jobs and investing in Illinois.

Edie Awards (E-D, for Economic Development) are given jointly by the Illinois Chamber of Commerce and the Illinois Development Council (IDC) to recognize economic development projects throughout Illinois that were completed last year. Winners were notified in May, and officials representing each winner were invited to receive their awards at the Chamber’s annual meeting at the Hilton Hotel. Dixon Mayor Jim Burke and LCIDA President John Thompson were in attendance to see representatives from UPM Raflatac, Inc. receive their Edie Award.

The company invested $109 million in a new pressure sensitive label stock manufacturing facility and distribution center in Dixon after a multi-state search covering 92 potential locations, including a final win against a site in Northwest Indiana. There are 115 employees working at the 287,000 square-foot plant.

The Edie Awards have up to fifteen categories based on geography (City of Chicago, Metropolitan Chicago or statewide projects) and development type: manufacturing, commercial, energy, technology and transportation/distribution. The Illinois Chamber and IDC asked for nominations from across the state for development projects completed in 2008 in any of those categories and had a joint awards committee review the nominees and determine the projects most worthy of an Edie Award.

Though the Illinois Chamber and IDC spend time and resources advocating policies to make Illinois a better place to do business, both organizations believe it’s also important to showcase recent accomplishments — especially when they translated into more jobs, tax base and economic vitality in our state.

The five winners of the 2009 Edie Award are as diverse as Illinois’ economy. To see the other winners or for more on this story, see the Illinois Chamber website, www.ilchamber.org.

2008 Fall Conference Presentations now online

presentation.jpgThe presentations for the 2008 Annual Fall Conference held September 10-12 at Stoney Creek Inn in East Peoria, Illinois have been made available for your convenience. 

An FYI — several of these presentations are very large in size.  Please note the file size next to the name of the presentation before downloading. 

 

Click on any image below to get a slideshow of each presentation cover. 

Designated Zone Organization (DZO) Process by Susan Schlupp, City of Peoria, ED

  pdf DZO Presentation 7.35 Mb

 

 1-schlupp-thumb.jpg

Riverway Business Park by Dennis Kief, Pekin City Administrator

pdf City of Pekin Presentation 11.78 Mb

 1-kief-thimb.jpg

East Peoria Downtown 2010 by Ty Livingston, City of East Peoria

pdf East Peoria Downtown Presentation 6.29 Mb

 1-livingston-thumb.jpg

Wind Turbines and How they Are Assessed by By: Wendy Ryerson and Ron Kane

pdf Wind Assessment Presentation 5.42 Mb

 1-ryerson-thumb.jpg

Competing States Taxes & Incentives by John Gremer, KPMG

pdf Competing States Tax Incentives Presentation 1.56 Mb

 1-gremer-thumb.jpg

City of Washington

pdf City of Washington Presentation 1.48 Mb

 1-washington-thumb.jpg

 

2008 Fall Conference Presentations

presentation.jpgThe presentations for the 2008 Annual Fall Conference held September 10-12 at Stoney Creek Inn in East Peoria, Illinois have been made available for your convenience. 

An FYI — several of these presentations are very large in size.  Please note the file size next to the name of the presentation before downloading. 

 

Designated Zone Organization (DZO) Process by Susan Schlupp, City of Peoria, ED

  pdf DZO Presentation 7.35 Mb

Riverway Business Park by Dennis Kief, Pekin City Administrator

pdf City of Pekin Presentation 11.78 Mb

East Peoria Downtown 2010 by Ty Livingston, City of East Peoria

pdf East Peoria Downtown Presentation 6.29 Mb

Wind Turbines and How hey Are Assessed by By: Wendy Ryerson and Ron Kane

pdf Wind Assessment Presentation 5.42 Mb

Competing States Taxes & Incentives by John Gremer, KPMG

pdf Competing States Tax Incentives Presentation 1.56 Mb

City of Washington

pdf City of Washington Presentation 1.48 Mb

Updated Zone Termination Dates

To: IEZA Membership
From: John Thompson:

Re: Termination dates

When the IEZA met at our Spring Conference in Bloomington, the Administrator’s Manual that was distributed on CD contained a list of Zone Termination Dates. Three zones were listed with termination dates occurring in the past. I requested a review by DCEO and am now providing the updated dates for those three zones who have all been certified by DCEO for their termination date 10-year extensions.

Please include these corrections in your records.

  • Calumet Region's termination date is December 31, 2017
  • Greenville/Smithboro's termination date is December 31, 2017
  • Mendota/LaSalle County's termination date is December 31, 2017

John R. Thompson
IOM, ACE President/CEO/Zone Administrator
Dixon Area Chamber of Commerce and Industry Lee County Industrial Development Association
Lee County Enterprise Zone Administrative Office
101 West Second Street, Suite 301
Dixon, Illinois 61021
Phone – 815.284.3361
Fax – 815.284.3675
E-mail – dchamber@essex1.com

April 2008 Conference Report

theatre-47.jpg What a great conference in Bloomington/Normal!

Normal’s Uptown revitalization project is really rolling along. With the renovation of some of the old buildings and the construction of the new buildings that look they are older buildings, it was really something to see. What a project and how the city, economic development, and businesses have worked together to make it all happen. I have and will continue to tell everyone that will listen about the Uptown Normal project and that they need to visit now and again once the projects are completed.

Twin Oaks (Horizon) Wind Farm tour was a great success also. I don’t know about the other attendees, but I couldn’t hear a thing standing right under a wind turbine and it was really a windy day. What a neat project to have in your backyard.

twin-groves1-36.jpg Thank you to all who made presentation and participated in the April training conference! We make a great group of professionals and represent our prospective communities and counties well. Here are some pictures you may enjoy from the conference.

Have a great summer and we will see you in East Peoria on September 10-12th.

 

Betty J. Steinert
IEZA President Whiteside County Enterprise Zone Administrator

 

 

Click below to see full size image slideshow.

bloomington42.jpg bloomington2-30.jpg twin-groves1-36-lg.jpgtwin-groves2-34.jpg twin-groves3-john.jpg

2008 Finalized IEZA By-Laws Published

As published in the 2008 Goals & Objectives, the By-laws of the Illinois Enterprise Zone Association has been published as follows:

By-laws in pdf format available at the end of this article.

BY-LAWS OF THE ILLINOIS ENTERPRISE ZONE ASSOCIATION

ARTICLE 1 – GENERAL

1.1 NAME. The name of the association shall be the ILLINOIS ENTERPRISE ZONE ASSOCIATION hereinafter referred to as "ASSOCIATION."

1.2 DEFINITION. The ASSOCIATION is a creative coalition of enterprise zone officials, economic development professionals and prominent business leaders organized to promote, strengthen and enhance the Illinois Enterprise Zone Program.

1.3 PURPOSE. The purpose of the ASSOCIATION is to provide a forum for Illinois Enterprise Zone representatives to coordinate, respond to and support the needs, efforts and concerns of individual enterprise zones in Illinois.

1.4 OFFICE OF ASSOCIATION. The office of the ASSOCIATION shall be the office designated by the President of the Board of Directors as the case may be from time to time.

1.5 FISCAL YEAR. The fiscal year of the ASSOCIATION shall begin on the first day of January and end on the thirty-first day of the succeeding December of each twelve-month period.

ARTICLE 2 – MEMBERSHIP

2.1 CATEGORIES OF MEMBERSHIP. The ASSOCIATION shall have two categories of members. The designation of each category and the qualifications of the members of each category shall be as follows:

A. VOTING MEMBERS. A voting Member shall consist of one (1) representative member from each Enterprise Zone where such Enterprise Zone has been created pursuant to the Illinois Enterprise Zone Act as approved by the State of Illinois. Each Enterprise Zone shall have one (1) voting member and one (1) vote.

B. NON-VOTING MEMBERS. A Non-voting Member shall consist of any individual, partnership, corporation or other entity which desires to foster the purpose of the ASSOCIATION. Each nonvoting member does not have any voting privileges on any business brought before the membership or Board of Directors.

2.2 ELECTION OF MEMBERS. Voting and Nonvoting Members shall be approved by a majority vote of the Board of Directors.

2.3 TERMINATION OF MEMBERSHIP. The Board of Directors by affirmative vote of twothirds (2/3) of all Board members present and voting at a regular or special meeting of the Board shall suspend or expel a member for cause after an appropriate hearing, and shall, by a majority vote of those present and voting at a regular or special meeting of the Board, terminate the membership of any member who becomes ineligible for membership, or suspend or expel any member who shall be in default in the payment of dues.

2.4 RESIGNATION. Any member may resign by filing a written resignation with the Secretary, but such resignation shall not relieve the member so resigning of the obligation to pay any dues, assessments or other charges theretofore accrued and unpaid.

2.5 REINSTATEMENT. Upon written request signed by a former member and filed with the Secretary, the Board of Directors may, by the affirmative vote of two-thirds (2/3) of the members of the Board, reinstate such former member to membership under such terms as the Board may deem appropriate.

2.6 DUES. Dues for voting members shall be determined by a majority vote of the Board of Directors and voting at a regular or special meeting. Dues for nonvoting members shall be by structured categories and shall be determined by a majority vote of the membership present and voting at a regular or special meeting. The Board of Directors shall make recommendations on dues changes to the membership prior to any vote by the membership. No voting member shall be entitled to vote or hold office until dues have been paid.

2.7 MEMBERSHIP LIST. It shall be the duty of the member to notify the President of any change in the member representing an enterprise zone in time for proper notice of meetings and events; otherwise, such notice is waived.

ARTICLE 3 – MEETINGS

3.1 REGULAR MEETINGS. Regular meetings of the membership of the ASSOCIATION shall be held on the third Friday of a designated month in each quarter of the fiscal year or as otherwise designated by the President.

3.2 SPECIAL MEETINGS. Special meetings of the membership of the ASSOCIATION for any purpose or purposes may be called by the President or by a majority of the Board of Directors and shall be called by the President or Board of Directors upon request of a majority of the membership of the ASSOCIATION. No business shall be transacted at any special meeting of the membership except as shall be set forth in the notice of the meeting.

3.3 ANNUAL MEETING. The annual meeting of the members of the ASSOCIATION shall be held on such date as set by the Board of Directors.

3.4 PLACES OF MEETINGS. Meetings will be held at the places designated by the President.

3.5 NOTICE OF MEETINGS. Written notice stating the place, day and hour of the meetings, and in the cases of a special meeting, the purpose or purposes for which the meeting is called, shall be delivered or mailed to each member at the last known mailing address of such member not less than ten (10) days prior to regular meetings or five (5) days prior to special meetings.

3.6 QUORUM. A majority of the voting members of the ASSOCIATION shall constitute a quorum. Enterprise Zones may appear and be counted toward the quorum either through their respective representative members or by the proxy of the representative member.

3.7 PROXIES. At all meetings of the membership, any voting member may vote and be counted toward a quorum by proxy executed in writing by the representative member or by his/her authorized attorney-in-fact. Such proxy shall be filed with the Secretary.

pdf IEZA-bylaws-final-as-amended-04-18-2008 25/04/2008,12:03 66.82 Kb

 

Goals & Objectives for 2008

During the IEZA’s 2007 Annual Board Retreat (October 30 – November 1, 2007), the Board approved the following Goals & Objectives for 2008:

GOAL I: Continue to improve communications and record keeping with all individuals, governments, organizations and businesses involved in the Illinois Enterprise Zone Program.

  • Objective: Approve and publish revised IEZA By-Laws.
  • Objective: Produce electronic IEZA Newsletters.
  • Objective: Utilize ISBE resource assistance to continue the education of Zone Administrators, educators and school board members on the relationship between enterprise zone abatement and the general state aid formula.
  • Objective: Maintain and update IEZA Web Site.
  • Objective: Maintain centralized comprehensive mailing lists for membership information, conferences and newsletters. Integrate with online IEZA Web Site.
  • Objective: Create web-based IEZA electronic information distribution system for rapid dissemination of critical zone related information.

GOAL II: Continue to broaden awareness of the Illinois Enterprise Zone Program through cooperative efforts with other Economic Development organizations.

  • Objective: Link IEZA web site to web sites of IEZA members, DCEO, IDC, ITIA and other Enterprise Zone application-related sites (examples: AG Review, Gas Use Tax Exemption, etc.).

GOAL III: Continue to increase membership of Zone Administrators and other business categories.

  • Objective: Maintain contact with each zone administrator by mail and electronic means.
  • Objective: Conduct ongoing retention and recruitment efforts.
  • Objective: Contact certified businesses and professional member candidates.

GOAL IV: Remain active in the enterprise zone legislative process.

  • Objective: Monitor and inform members of legislation affecting zones.
  • Objective: Analyze and track policies for impacts and effects on the Illinois Enterprise Zone Act and regulations.
  • Objective: Poll IEZA members to assist in determining if positions should be taken on specific legislation.
  • Objective: Contact legislators regarding IEZA’s positions on legislation and encourage members to make individual contacts.

GOAL V: Educate zone administrators.

  • Objective: Provide continuing education for members through workshops and conferences.
  • Objective: Conduct feasibility study for future implementation of a Certified Zone Administrator professional designation through IEZA.
  • Objective: Conduct survey(s) related to IEZA and member needs.

GOAL VI: Improve assessment of successful investment and job creation that utilizes Illinois Enterprise Zone incentives and programs.

  • Objective: Examine data collection methods and devise reporting methodologies to better reflect Illinois Enterprise Zone economic impacts at the local, regional and statewide levels.