 | ||
|
 | |
 | ||
 | ||
| ||
 | ||
 | ||
 | ||
 | ||
 | ||
 | ||
| ||
|
| ||
|
|
|
|
|
|
The STAR Bond Act, called the "Worst Bill Ever" was amendatorily vetoed on August 28, 2009!
On August 28th, Gov. Quinn took a half step forward and amendatorily vetoed this proposal, Senate Bill 1909, to limit state support to 50% of any development's total cost. In explaining his action, Quinn said "There are other issues related to this bill that remain unresolved, including limiting the environmental impact of this initiative".
We will need to continue following this issue when the General Assembly convenes in October for its fall veto session, as there is a possibility that the developers will attempt to override the veto and restore full funding. Thanks to all of you who contacted Gov. Quinn this summer.
BACKGROUND
Illinois lawmakers have forgot the flooding lessons of the past (how about the flood of '93, or June 2008) and passed the STAR Bonds Financing Act--SB 1909--described variously as a “TIF on steroids” or the "Worst Bill Ever".
|
|
The STAR Bond Act gives money to private developers at Illinois state taxpayers’ expense to develop in the 100-year floodplain.
- The Illinois Department of Revenue says STAR bond districts could cost the state $15 million per project per year, as it authorizes certain municipalities and counties to issue sales tax and revenue (STAR) bonds for the financing of a STAR bond project.
- Eligible sites must be vacant and no less than 600 acres, of which at least 30 percent must be in the 100-year floodplain.
- STAR bonds encourage risky development as Illinois is one of the nation’s most flood-prone states, with flooding currently costing the State more than $250 million a year.
Defined by and containing several large river systems, multiple sites in the state could be eligible for a STAR Bond project. Such projects would be unwise anytime given the added potential for flooding, but especially so when the state already has an enormous deficit and faces severe budget cuts.