Welcome to May! Here are some highlights and updates on what is happening from a government affairs perspective that could influence your decisions and impact your business.
Local – Challenges Await New Naperville City Council
On Sunday, May 4th, the new city council was sworn in. In addition to incumbents Ian Holzhauer and Benny White starting new terms, new members Mary Gibson and Ashfaq Syed began their service.
Several issues will demand their attention immediately, not the least of which is how the city can handle the loss of revenue that resulted when Governor Pritzker eliminated the sales tax on groceries.
Another important issue we are following is that a group from the Urban Land Institute (ULI) will participate in the city council meeting beginning at 7:00 PM on May 6th.
According to the city, Naperville is seeking the ULI panel’s input on the following questions pertaining to the 5th Avenue Study Area:
- What is the most effective way to move forward with a redevelopment strategy for the non-transit uses on the site? For example, should parcels be offered separately or as one master lease/sale? Is the City recommended to sell or lease and is there a recommended order for redevelopment to occur?
- Other than new housing opportunities, what are the highest and best uses of the study area, or each sub portion of the study area?
- How can new development on the site address Naperville’s known housing gaps, including missing middle, attainable and affordable housing, while meeting private development interests?
- What amenities and design features should be incorporated into the new development to maintain and enhance the neighborhood’s unique character, and how can the study area provide additional or improved community amenities, including gathering spaces and event spaces?
- How can the study area be redeveloped to function as a Transit Oriented Development and what are the best practices for developing around transit centers? How can this redevelopment encourage regular transit users to occupy any new residential units, thereby decreasing overall on-site parking demand?
State – Legislative updates
The House and Senate return to Springfield this week for what should be the final month of the spring legislative session. Adjournment is scheduled for May 31. This week marks an important procedural step, as Friday, May 9th is the second committee deadline. This means house bills need to clear senate committees and senate bills need to clear house committee (except in special cases when additional time is granted).
The State Chamber continues to work on priority legislation. They are supporting bills that will have a positive effect on business, and attempting to amend or defeat bills that will create negative consequences.
Of particular interest, details should be coming soon on legislation impacting two important areas that been the subject of various working groups throughout the legislative session. We expect at least one omnibus bill regarding energy-related issues to emerge before adjournment. Also, a legislative package to deal with the fiscal cliff faced by the mass transit systems in Illinois is likely in May.
NACC Government Affairs will continue to monitor all business-related legislation, and will keep you apprised of potential threats and opportunities.
Federal – Taxes and Tariffs.
Efforts remain on track for a permanent extension for the pro-growth provisions of the 2017 Tax Cuts and Jobs Act (TCJA). Failure to do so would result in the largest year-over-year tax increase in American history, and would have a chilling effect on the ability of businesses across the country to be able to hire, raise wages, expand operations, innovate, or invest in operations, equipment, and people.
Additionally, NACC has joined the US Chamber in their support for maintaining the “B-SALT” deduction (deduction for State and Local business taxes) as part of the tax package. Obviously, in a high-tax state like Illinois, it is vitally important to preserve the ability to offset taxes paid at the local and state level. Watch for this to be a component of negotiations as the reconciliation process evolves.
Finally, the tariff issue remains of high interest to seemingly everyone. Unfortunately, discussions (and the resulting press coverage) are yielding a lot more heat than light. The situation remains fluid, with policymakers divided as to their wisdom and usefulness. We remain committed to keeping you informed and engaged on how these changes may affect your business. Stay tuned for more updates and insights.