IVCA Provides Updates for State Legislative Issues – 05/17/2023
Illinois Venture Capital Association Illinois Legislative Report
David Stricklin / Stricklin & Associates
Wednesday, May 17, 2023
IVCA PARTNERSHIP BILL NEARS FINISH LINE
Barring an unexpected detour, we expect the long-awaited agreement on defining an investment partnership to be included in an omnibus bill which will pass the Illinois General Assembly this week. Working under the determined guidance of the IVCA executive directors and with the expertise of many members of the IVCA and their legal and tax experts, we have an approach which should go a long way to resolving the question of what constitutes an investment partnership. The legislature is scheduled to adjourn Friday, May 19.
PENSION COSTS
When the state trimmed retirement benefits for those hired on or after Jan. 1, 2011, known as Tier 2 workers, it included a cost-of-living escalator clause that has not kept pace with increases in Social Security benefits. That leaves the funds potentially open to legal challenge on grounds that the benefits no longer meet the minimum Social Security level to be considered a “safe harbor” plan under federal law.
PUZZLE PIECES
Each session has its corner pieces, the things which are widely agreed to and must be done. It’s those middle pieces with odd shapes and which are a single color that make concluding a session a challenge. This year one of those pieces is how to deal with a program to provide health care coverage for undocumented residents:
HOT BUTTON ISSUES
Waiting resolution are bills on firearms, abortion clinics, private education tax credits, but not the Chicago Bears potential move to Arlington Heights. The sponsor of the Bears bill has put his measure on hold for the time being.
In the wake of the stunning convictions of the “ComEd 4” in a federal corruption trial, there’s plenty of discussion, likely not much action, on new reforms or improvements to existing ethics statutes.
FINANCIAL REPORT
We like to pass along the snapshots of the Illinois economy provided by the Commission on Government Forecasting and Accountability. The legislators and policy makers in the Capitol who work on the budget and fiscal issues pay attention thus so do we: