Public Act 094-0966
 		





SB2885 Enrolled
LRB094 19130 JAM 54654 b






    AN ACT concerning business incentives.

 
    Be it enacted by the People of the State of Illinois,
 
represented in the General Assembly:

 
    Section 1. Short title. This Act may be cited as the 
Business Location Efficiency Incentive Act.
 
    Section 5. Definitions. In this Act:
    "Location efficient" means a project that maximizes the use 
of existing investments in infrastructure, avoids or minimizes 
additional government expenditures for new infrastructure, and 
has nearby housing affordable to the permanent workforce of the 
project or has accessible and affordable mass transit or its 
equivalent or some combination of both.
    "Location efficiency report" means a report that is 
prepared by an applicant for increased State economic 
development assistance under Section 10 and follows this Act 
and any related Department guidelines, and that describes the 
existence of (i) affordable workforce housing or (ii) 
accessible and affordable mass transit or its equivalent.
    "Employee housing or transportation remediation plan" 
means a plan to increase affordable housing or transportation 
options, or both, for employees earning up to the median annual 
salary of the workforce at the project. The plan may include, 
but is not limited to, an employer-financed or assisted housing 
program that can be supplemented by State or federal grants, 
shuttle services between the place of employment and existing 
transit stops or other reasonably accessible places, 
facilitation of employee carpooling, or similar services.
     "Accessible and affordable mass transit" means access to 
transit stops with regular and frequent service within one  mile 
from the project site and pedestrian access to transit stops.
    "Affordable workforce housing" means owner-occupied or 
rental housing that costs, based on current census data for the  
municipality where the project is located or any municipality 
within 3 miles of the municipality where the project is 
located,  no more than  35% of the median  salary at the project 
site, exclusive of the highest 10% of the site's salaries.  If 
the project is  located in an unincorporated area, "affordable 
workforce housing" means no more than 35% of the median  salary 
at the project site, excluding the highest 10% of the site's 
salaries, based on the median cost of rental or of 
owner-occupied  housing in the county where the unincorporated 
area is located.
    "Department" means the Department of Commerce and Economic 
Opportunity (DCEO) or its successor agency. 
    "Applicant" means a company or its representative that 
negotiates or applies for economic development assistance from 
DCEO.
    "Economic development assistance" means State tax credits 
and tax exemptions given as an incentive to an eligible company 
after certification by DCEO under the Economic Development for 
a Growing Economy Tax Credit Act (EDGE).
    "Existence of infrastructure" means the existence within 
1,500 feet of the proposed site of roads, sewers, sidewalks, 
and other utilities and a description of the investments or 
improvements, if any, that an applicant expects State or local 
government to make to that infrastructure.
 
    Section 10. Economic development assistance awards. 
    (a) An applicant that also wants to be considered for 
increased economic development assistance under this Act shall 
submit a location efficiency report.
    (b) DCEO may give an applicant an increased tax credit or 
extension  if the applicant's location efficiency report 
demonstrates that the applicant is seeking assistance for a 
project to be located in an area that satisfies this Act's 
standards for affordable workforce housing  or affordable and 
accessible mass transit. If  the Department determines from the 
location efficiency report that the applicant is seeking 
assistance in an area that is not location efficient, the 
Department may award an increase in State economic development 
assistance if an applicant (i) submits, and the Department 
accepts, an applicant's employee  housing and transportation 
remediation plan or (ii) creates jobs in a labor surplus area 
as defined by the Department of Employment Security at the end 
of each calendar year.
    (c)  Applicants locating  or expanding at location-efficient 
sites, with approved location efficiency plans, or creating 
jobs in labor surplus areas may receive (i) up to 10% more than 
the maximum allowable tax credits for which they are eligible 
under the Economic Development for a Growing Economy Tax Credit 
Act (EDGE), but not to equal or exceed 100% of the applicant's 
tax liability, or (ii) such other adjustment of those tax 
credits, including but not limited to extensions, as the 
Department deems appropriate.
    (d) The Department may provide technical assistance to 
employers requesting assistance in developing an appropriate 
employee housing or transportation plan.
 
    Section 15. Summaries; progress reports. 
    (a) DCEO shall include summaries of the initial employee 
housing or transportation plans for each assisted project in 
the annual compilation and publication of project progress 
reports required under subsection (d) of Section 20 of the 
Corporate Accountability for Tax Expenditures Act. Companies 
that fail to do so or that make inadequate progress shall have 
their increased tax credit or extension eliminated. Applicants 
and submitted data are subject to all disclosure, reporting, 
and recapture provisions set forth in Public Act 93-552.
    (b) By June 1, 2008 and by June 1 of each year thereafter 
through 2011, the Department shall include, when appropriate, 
data on the outcomes or status of approved employee housing or 
transportation plans in the project progress reports required 
under the Corporate Accountability for Tax Expenditure Act.

 
    Section 20. Duration of incentives; report to General 
Assembly. 
    (a) Any multi-year incentive awarded under this Act shall 
continue for the time period called for in the agreement with 
the Department and shall not be altered by the repeal of this 
Act.
    (b)  By January 1, 2011, the Department shall submit to the 
Speaker of the House of Representatives and the President of 
the Senate, for assignment to the appropriate committees, a 
report on the incentives awarded under this Act and the 
Department's activities, findings, and recommendations with 
respect to this Act and its extension, amendment, or repeal.  
The report, when acted upon by those committees, shall be 
distributed to each member of the General Assembly.
 
    Section 25. Repeal. This Act is repealed on December 31, 
2011.
 

    Section 99. Effective date. This Act takes effect January 
1, 2007.