When companies decide where to make their next major investment, the stakes are enormous: Thousands of jobs, billions of dollars in capital and generational impacts on communities are on the line. In a rapidly changing economy, states across the country are competing fiercely to land these “megaprojects” — from semiconductor and electric vehicle plants, to quantum campuses, advanced logistics hubs and the clean-tech facilities powering the industries of tomorrow while creating equitable, well-paying careers today.
Recently, Illinois has developed significant economic development momentum by targeting projects in future-defining sectors while strengthening our established industries. Our unmatched infrastructure, diverse workforce, top-tier education, central location and coordinated strategy are helping fuel impactful growth and rewrite the narrative on our business climate. This turnaround is also a testament to the creativity and effectiveness of Gov. JB Pritzker and the General Assembly in creating incentives — such as the REV program, MICRO Act and AIM Credit, to name a few — that give CEOs the confidence to choose Illinois.
But in today’s marketplace, we need every tool available to continue winning. That’s exactly what a new bill, introduced by Rep. Jay Hoffman, assistant majority leader, would provide.
Currently before the Illinois General Assembly, this legislation would give qualifying megaprojects — those investing at least $100 million and committing to stay for 20 years or more — the ability to negotiate long-term, predictable property tax agreements with local governments. These agreements would provide companies with stable costs as they grow in Illinois, while schools and municipalities would gain a reliable revenue stream they can plan around with confidence.
This is not a one-sided incentive. Built into the legislation is the requirement that agreements must be reviewed and approved by representatives of school districts, park districts and other taxing bodies, ensuring accountability and guaranteeing that communities benefit alongside companies. If no agreement is reached, neither side is obligated to proceed, which builds collaboration and transparency directly into the process.
The proposed legislation would also ensure the jobs created by these projects are held by those affiliated with the local trades, guaranteeing that Illinois workers will be the ones bringing these transformative projects to life. Beyond construction, these projects have the potential to generate a wide range of career opportunities in our state’s workforce pipeline and strengthen local economies even further.
Crucially, there are no state dollars in play and no impact on our balanced budget. Instead, it gives control to local authorities and allows us to unlock investment that might not otherwise be possible.
Without this tool, Illinois is at serious risk of losing out to one of the 37 other states that already offer similar programs. In Ohio, New Albany granted Intel a 30-year, 100% property tax abatement to land a $20 billion semiconductor campus. In Texas, Samsung secured a package of long-term abatements for a massive chip plant. And in South Carolina, state leaders approved a 40-year tax abatement via the state’s FILOT (Fee in Lieu of Tax) Program to secure a new Scout Motors electric vehicle manufacturing plant.
We must level the playing field to remain competitive. In fiscal year 2025, more than 700 companies chose to expand or relocate here, generating nearly $26 billion in investment and creating 19,000 jobs. That’s a powerful signal that Illinois is moving in the right direction. But let’s be clear. We didn’t get here by sticking to the status quo on incentives. And the reality is that we won’t secure the next multibillion-dollar, job-rich research and development hub or advanced manufacturing facility by remaining stagnant.
The choice for Illinois is simple: Either stand still and watch investment flow elsewhere, or step up with a framework that helps keep us at the table. The future is being built right now. Let’s make sure it’s being built here, in Illinois.
John Atkinson is chairman and managing director at Marsh and chairman of the Illinois Economic Development Corp.