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A net of nearly 56,000 people and $6 billion in income left the state in 2023, according to IRS data.

By Bryce Hill | Illinois Policy Institute

Illinoisans who leave take a lot of money with them.

Federal tax returns show the state lost 55,609 people and $6 billion in adjusted gross income on net in 2023, the most recent IRS data available.

Most of those people were high-income. While people of all income levels left Illinois in 2023, the heaviest loss was among those making more than $100,000 a year. They made up 60% of the state’s net migration losses.

The economic impact of those departures is even greater: Filers making more than $100,000 took more than $5.5 billion with them — 90% of the state’s income loss.

Illinois lost residents to 38 states and the District of Columbia in 2023. By far the largest share of individuals and income was lost to Florida, which gained 10,583 residents and $2.4 billion in income from Illinois.

Texas was No. 2, adding 7,795 residents and $488 million in income from Illinois.

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Illinois’s governor has given at least $5 million to a group backing his lieutenant governor and upsetting the Congressional Black Caucus. | Eileen T. Meslar / Chicago Tribune/Zuma Press

By John McCormick | Wall Street Journal

CHICAGO—Illinois Gov. JB Pritzker’s deep financial involvement in his state’s U.S. Senate primary on Tuesday has angered potential allies for his possible 2028 presidential bid.

The billionaire is helping finance a multimillion-dollar barrage of ads to boost Juliana Stratton, his lieutenant governor, in a race that is also testing Pritzker’s political clout in a state where he has leveraged his wealth to dominate the Democratic Party.

The contest has turned sharply negative in its closing weeks, while revealing divisions within the party over how progressive the Democratic brand should be. It has also become a debate about the influence of outside money.

Pritzker’s involvement has especially angered the Congressional Black Caucus, an influential party group backing one of its own, Rep. Robin Kelly (D., Ill.). Both Stratton and Kelly are Black.

“His behavior in this race won’t soon be forgotten by any of us,” Rep. Yvette Clarke (D., N.Y.), the CBC’s leader, said in a statement also critical of the governor for trying to “tip the scales” in a primary.

Black voter support is critical in Democratic presidential primaries. Clarke declined an interview, while Pritzker recently told reporters he has a proven record of supporting nonwhite candidates.

“I would like a Black woman to represent us in the United States Senate. I just want the best person. She happens to be a Black woman,” he said. “I stand with communities of color across the state and with candidates who are running for public office.”

Illinois Lt. Gov. Juliana Stratton, taking a selfie, has stressed her progressive leanings. | Kamil Krzaczynski/AFP/Getty Images

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Gov. J.B. Pritzker wants more federal funding. A new program would provide donor money— but he must opt in.

By Mailee Smith | Illinois Policy Institute

Gov. J.B. Pritzker wants a bipartisan effort from Illinois lawmakers to demand more education money from the federal government.

Yet Pritzker himself hasn’t taken a simple step to get more funding for Illinois students.

If he wants to keep money in Illinois and away from the Trump administration, the answer is easy: Opt into the Federal Scholarship Tax Credit Program, which provides a tax credit to donors who give money that can go to public, private or homeschool students.

If the governor doesn’t opt in, that money will flow out of the state — exactly where he doesn’t want it to go.

Pritzker demands more money from the federal government

Pritzker didn’t mince words in his annual budget address last month. He blames the Trump administration for stripping Illinoisans of billions of dollars — and he wants it back.

“I want to say to anyone on either side of the aisle: If you want to talk about our (fiscal) 2027 budget, you must first demand the return of the money and resources this president has taken from the people of Illinois,” he said.

Two days later, the governor sent a letter to President Donald Trump demanding a refund of $1,700 for every Illinois family. The letter followed the U.S. Supreme Court’s decision striking down the presidents’ tariffs. Pritzker says the tariffs have cost Illinoisans over $8.6 billion.

But Pritzker has the means to keep at least some Illinois tax money from flowing to Washington. The Federal Scholarship Tax Credit Program would do exactly what he wants: keep money in the state while costing nothing.

To do that, he must opt into the program.

Pritzker could get more money for kids

The Federal Scholarship Tax Credit Program provides a dollar-for-dollar annual tax credit up to $1,700 for donors to scholarship-granting organizations. Those organizations then provide money to eligible public, private or homeschool children for tutoring, fees for dual enrollment, educational therapies for students with disabilities and other academic needs.

It’s a win-win-win: Students get much-needed education funding, donors get tax credits, and no money is diverted from public schools.

Pritzker must opt the state into the program for students to get the money. Donors will get the tax credit even if he doesn’t.

If Pritzker doesn’t act, that money will go out of Illinois — either to students in other states as education donations or to the federal government in the form of taxes.

To date, at least 28 states have indicated they will opt into the program.

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Screenshot via Facebook

“Rep. McLaughlin Hosts Press Conference with Northwest Suburban Mayors – February 26, 2026

Thank you to Mayors, Paula McCombie, Debby Sosine, Eleanor Sweet McDonnell, Dominick DiMaggio, Brian Cecola, and Richard Hayes”

The roughly sixteen minute recording can be found here.

Related:It’s just a bad idea’: Suburban officials oppose Pritzker’s plan to reduce local control over residential zoning

 

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Republican state Rep. Martin McLaughlin of Barrington Hills spoke out against Gov. JB Pritzker’s plan to reduce local control of residential zoning rules Thursday during a news conference in South Barrington. Flanking him are Algonquin Village President Debby Sosine, left, and South Barrington Mayor Paula McCombie. | Brian Hill/bhill@dailyherald.com

By Russell Lissau | Daily herald

Saying it will increase public safety and infrastructure costs and change the aesthetics of their communities, leaders of several Northwest suburbs gathered Thursday to oppose Gov. JB Pritzker’s plan to reduce local officials’ ability to control residential construction.

The proposed changes, which Pritzker unveiled during his recent State of the State address, address minimum lot sizes, residential density rules, parking requirements, inspections and other aspects of residential construction. They could increase development of apartments, condominiums, two-flats and other types of multifamily housing.

They also could allow homeowners to build additional, free-standing residential buildings on lots designed for single-family homes. Pritzker dubbed the plan Building Up Illinois Developments, or BUILD.

During a news conference Thursday, South Barrington Mayor Paula McCombie urged legislators to reject Gov. JB Pritzker’s proposed zoning reforms. Republican state Rep. Martin McLaughlin listens. | Brian Hill/bhill@dailyherald.com

In a news conference at her community’s village hall, South Barrington Mayor Paula McCombie urged state legislators to reject the package of bills that comprise Pritzker’s plan, some of which already have been introduced. Zoning regulations exist to support property owners, McCombie said, and these proposed changes would “strip away that local control.”

The minimum residential lot in nearby Barrington Hills — an upscale community where many residents keep horses on their properties — is five acres, and the land is full of riding trails. Forcing the village board to allow smaller lots or multifamily housing “will destroy our town,” Village President Brian Cecola said (Wow! He actually showed up!).

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Related:McLaughlin and Local Mayors to Discuss Pritzker’s Zoning Proposals Coming to Local Government Thursday

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Who: State Representatives Martin McLaughlin (R-Barrington Hills), Mayors and Administration from communities of South Barrington, North Barrington, & Lake Barrington (Not Barrington Hills??).

What: This press conference will address Governor Pritzker’s recently proposed efforts to drastically change zoning authority at the municipal level. The Representative and Mayors will discuss how these proposals directly impact the ability of municipalities to govern and plan for your communities.

When: Thursday, February 26, 2026 at 2PM

Where: Village of South Barrington Village Hall | 30 Barrington Rd., South Barrington, IL 60010

With questions, please call Mark Revis at 815-557-0252

Related:Pritzker to propose statewide zoning laws to spur homebuilding, limit local control

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Capitol News Illinois file photo by Andrew Adams

By Brenden Moore | Capitol News Illinois

SPRINGFIELD — Gov. JB Pritzker will propose a statewide zoning law in his State of the State address on Wednesday, drastically limiting the authority local governments have to control what types of housing structures can be built on land that’s zoned residential.

Pritzker’s office says the measure will call for relaxed restrictions on the development of multi-unit housing, allowing homeowners to build “granny flats” and cutting other forms of red tape that have slowed homebuilding in recent years.

He’s also asking lawmakers to approve $250 million in capital funding for infrastructure grants aimed at knocking out “below ground costs” at sites eyed for residential development, programs to build out “middle” housing and down payment assistance for first-time homebuyers.

Middle housing describes multi-unit buildings that fall between single-family homes and larger apartment complexes. They take various forms, such as two-flats, townhomes, fourplexes and courtyard buildings.

A study published last year by the University of Illinois found that the state is about 142,000 units of housing short and would need to build 227,000 over the next five years to keep up with demand. That equals about 45,000 new homes a year — nearly double the five-year average of about 19,000 built annually between 2019 and 2024.

As a result, home prices have spiked 37% over five years while active home listings decreased 64%. At the same time, new construction permits are down 13%.

Pritzker’s plan, dubbed Building Up Illinois Developments, or BUILD, comes as Democrats in Springfield turn their focus this election year to affordability.

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At least 49 tax hikes under Gov. J.B. Pritzker have driven state spending to record highs, even as Illinois’ economic growth has lagged the U.S.

By Ravi Mishra | Illinois Policy Institute

Illinois lawmakers frequently boast about economic growth and development, yet Illinois has posted one of the slowest gross domestic product growth rates in the nation while the budget has soared.

Illinois’ budget doesn’t reflect economic reality

Illinois’ budget has grown at an alarming rate during Gov. J.B. Pritzker’s tenure. While government spending is a component of GDP, rapid increases in public spending can crowd out private economic activity. Higher taxes used to finance this public spending can hurt consumption and private investment, a dynamic that seems to be playing out in Illinois.

Since 2018, Illinois’ economy has grown just 7.4% – among the slowest of any state. In that same time, the state budget has grown over 36%, nearly five times faster than the economy. The U.S. economy has grown 18%, 2.5 times faster than Illinois’.

If not the economy, what has driven the state’s budget surge?

Pritzker’s administration has enacted at least 49 tax hikes since 2019. Some of the most egregious examples include:

  • Doubling state gas taxes and tying annual increases to inflation thereafter, creating a $3.3 billion surplus in the state’s road fund.
  • Halting the repeal of the franchise tax, which had been agreed to in 2019.
  • Capping the retailers’ discounts – the portion of sales taxes retailers were allowed to keep as reimbursement for collecting the taxes – effectively raising sales taxes on brick-and-mortar businesses.

Not only have these hikes hit taxpayers and employers but have also weighed down Illinois’ economic performance. Illinois already has had among the highest corporate tax rates in the country, but recent changes have only made the system more complex and burdensome. The tax environment has led to the state losing businesses, and combined with high overall burden, has contributed to years of population decline.

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More people still moved out of Illinois than moved in during 2025, but the gap was smaller than it’s been for the past 16 years, according to Atlas Van Lines.

By Patrick Andriesen | Illinois Policy Institute

Illinois’ outbound migration crisis slowed after 16 years of losses, with new data from Atlas Van Lines showing a smaller gap between moves in and moves out of the state in 2025 than in any year since 2008.

While the Atlas report was an improvement, other moving companies reported bleaker results.

The new Atlas report found 54% of the company’s clients moved out of Illinois during 2025 while 46% moved into Illinois. The company considered that gap to be statistically even, but said a big factor behind the ratio could be “overall mobility remains low today, primarily due to affordability constraints such as the high cost of home ownership and limited inventory.”

Previous Atlas studies found Illinois lost residents every year between 2009 and 2024, with the trend peaking at 63% of movers leaving in 2023. The company has tracked client relocations every year dating back to at least 1993.

Other moving companies also produce similar surveys that show Illinois as a place to leave. Allied Van Lines shows a 58% outbound rate for 2025, ranking Illinois No. 1 for losing people. United Van Lines data is reported in January, and it last reported 60% of its moves in 2024 were out of Illinois, ranking No. 2 in the nation.

Atlas reported the U.S. states with the highest rates of individuals moving in were Arkansas followed by Idaho. Louisiana saw the highest rate of people leaving, followed by West Virginia.

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Illinois voters soundly rejected a progressive state income tax because it was a path to tax retirees. That isn’t stopping state lawmakers from trying again.

By Ravi Mishra | Illinois Policy Institute

Lawmakers introduced a new bill to end Illinois’ long-standing flat income tax and replace it with a progressive structure – a move that could impose taxes on retirees and others.

The move comes as Illinois tax revenues have reached record highs. Illinoisans face some of the nation’s biggest tax burdens.

This isn’t even the legislature’s first progressive tax attempt this year. And for a second time, former Illinois Gov. Pat Quinn is pushing the idea.

Voters statewide rejected a progressive tax because it hands state lawmakers power to set tax rates at whatever they want on whomever they want, including on retirees who are not taxed by the state on their retirement income. Calls for taxing “millionaires” are deceptive bids to go after the income brackets of family farms and small businesses – not penthouse residents.

Plus, after state lawmakers have the power to tax one income group, nothing stops them from adding another, and another, and another. Dividing and conquering avoids the political backlash of raising everyone’s flat tax.

Record revenues driven by tax hikes, not growth

Illinois has collected $54 billion in 2025, marking an 35% increase since 2020. The surge didn’t come from economic growth, but rather from at least 50 tax hikes imposed during Gov. J.B. Pritzker’s administration.

Despite record revenues, Illinois has had among the slowest economic growth in the nation. Since Pritzker’s first term, the state has ranked 45th nationally in economic growth and dead last in the Midwest. High taxes have been a primary driver of stagnation, through discouragement of investment, loss of population and lack of entrepreneurship.

Despite this, lawmakers keep looking towards progressive tax schemes to give themselves more to spend.

Read on here.

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