90th General Assembly
Summary of HB2107
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House Sponsors:
PHELPS-WOOLARD-GRANBERG-JONES,JOHN.

Senate Sponsors:
REA

Short description: 
RURAL MANUFACTURE INCENTIVE AC                                             

Synopsis of Bill as introduced:
        Creates the Rural  Manufacturing  Incentives  Program.   Provides      
   that  an  eligible    company  may apply for incentives, including tax      
   credits, as part of an economic development project  in  a  county  in      
   Illinois  whose  average  unemployment rate is higher than the State's      
   unemployment rate  for  the  past  5  consecutive  years  through  the      
   Department   of   Commerce  and  Community  Affairs.   Authorizes  the      
   Department to  enter  into  financing  agreements  with  the  eligible      
   company  it  selects  to  undertake  an  economic development project.      
   Provides that an approved company may    require  that  each  employee      
   agree  to  pay  a job assessment fee equal to 4% of the gross wages of      
   each employee whose job was  created  as  a  result  of  the  economic      
   development  project for the purpose of paying debt service.  Provides      
   that the  Department shall work with the Illinois Development  Finance      
   Authority if the issuance of bonds is necessary for the implementation      
   of  the  economic development project.  Amends the Illinois Income Tax      
   Act. Creates tax credits for approved companies in an amount equal  to      
   100%  of  the  debt  service  of the  company plus any job development      
   assessment fees.  Provides that the  credits  are  available  for  tax      
   years  ending  on  or  after  December  31,  1997.   Provides that the      
   credits shall be available for the period of the financing  agreement,      
   but in no case for more than 15 years. Effective immediately.               
        HOUSE AMENDMENT NO. 1.                                                 
          Deletes reference to:                                                
          35 ILCS 5/701                                                        
          35 ILCS 5/703                                                        
        Deletes everything.  Reinserts provisions of bill as  introduced.      
   Deletes  all  references  to  job  assessment fees and credits for job      
   assessment fees.  Provides that the income tax credit may  be  carried      
   forward  for  up to 3 years following the termination of the financing      
   agreement (now for the term of  the  financing  agreement).   Requires      
   that the required 15 new jobs must be for at least 35 hours per week.       
          FISCAL NOTE, AMENDED (Dept. of Revenue)                              
          HB 2107 causes an indeterminable fiscal loss to the State.           
          STATE MANDATES FISCAL NOTE, H-AM 1                                   
          HB2107, with H-am 1, fails to create a State mandate.                
        HOUSE AMENDMENT NO. 2.                                                 
        Makes technical corrections.                                           
 
Last action on Bill: SESSION SINE DIE

   Last action date: 99-01-12

           Location: House

 Amendments to Bill: AMENDMENTS ADOPTED: HOUSE -   2     SENATE -   0


   END OF INQUIRY 



 Full Text  Bill Status