Illinois Sen. Pam Althoff files bill to replace EDGE tax credit program

State Sen. Pam Althoff and a Democratic lawmaker are making an attempt in the final days of session to revive the more important components of a state business tax credit program set to expire Dec. 31.

Althoff, R-McHenry, and Sen. Melinda Bush, D-Grayslake, filed legislation to preserve the EDGE tax credit program through a successor, the Transforming, Helping and Reviving Illinois' Versatile Economy, or THRIVE, Act.

The bill is Senate Bill 3459.

The program at its core does what EDGE did, namely awarding tax credits for job creation to companies that are actively considering relocating to another state.

“Employers are frequently being solicited to move across the border to Wisconsin,” Althoff said in a statement.

“We need to continue to provide them with incentives to stay, especially in a time when jobs are already leaving our state in record numbers.”

Under the provisions of the new bill, companies would receive credit for half of the Illinois withholding attributable to job creation, offsetting the corporate income tax for that year.

Companies to be eligible most create at least 50 jobs or jobs equal to 10 percent of its global workforce, whichever is less. They also must have a capital investment in Illinois of at least $2.5 million unless the company employs fewer than 100 people.

The EDGE program has faced controversy as several employers received credits and then let go of employees. The program was reformed to grant credits only for new jobs, not the promise of keeping existing jobs.