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Welcome to a special lame duck edition of the newsletter. With the 102nd General Assembly wrapping up last night, I wanted to get the newsletter out early this week to serve as a wrap up for tech related activities during the last few days of this GA.
I’ll be back next week with a host of legislation filed for the 103rd General Assembly which was sworn in today. With the new General Assembly in place all legislative matters from the 102nd are concluded (except for a few awaiting J.B.’s signature). From noon today forward, all legislative matters start anew.
DoIT Names New Secretary
This week Department of Innovation and Technology (DoIT) Secretary Jennifer Ricker stepped down from her post at the conclusion of Governor Pritzker’s first term. She will pursue private sector employment after a distinguished career as a public servant.
Assistant Secretary Brandon Ragle has been named the new Secretary. I had the pleasure of working with Brandon during my time at DoIT and look forward to continuing to work together.
Secretary Ricker and then Assistant Secretary Ragle were our keynote speakers at the last Tech Council meeting. I want to thank them for their work in modernizing Illinois’ digital infrastructure.
Illinois Receives $253.7 Million to Support Round 3 of Connect Illinois after U.S. Treasury Approves State’s Capital Projects Plan
On December 20, the U.S. Department of the Treasury announced that Illinois will receive $253.7 million from the Capital Projects Fund to invest in broadband infrastructure projects. The Illinois Office of Broadband estimates the funds will connect 87,163 households and businesses, representing an estimated 25% of locations still lacking high-speed internet access. Illinois’ award will fund Round 3 of the Connect Illinois Broadband Grant Program, the competitive grant program designed to deploy high-speed internet service to areas lacking access to at least 100/20 Mbps wireline service.
The Office of Broadband’s proposed rule was heard by the Joint Committee on Administrative Rules on Tuesday, January 10. Updates regarding the potential resumption of Round 3 will be available on the Connect Illinois website
New Data Center Rulemaking
The DEPARTMENT OF COMMERCE AND ECONOMIC OPPORTUNITY adopted a new Part titled Data Center Investment Program (14 IAC 521; 46 Ill Reg 5010) effective 12/22/22, implementing rules for companies seeking to participate in DCEO’s data center investment program. The program grants exemptions from local sales and use taxes, as well as State income tax credits, to qualifying new or existing computer data centers that have made, or plan to make, expansions or upgrades. A data center is defined as a facility whose primary services are storage, management, and processing of digital data and which houses computer or network systems; systems for monitoring and managing infrastructure performance; internet-related equipment and services; data communications connections; environmental controls; fire protection systems; or security systems and services.
A qualifying data center must be located in Illinois and must have made, or be committed to making, a capital investment of at least $250 million over 5 years. An existing data center may qualify based on a capital investment made in the 5 years preceding 1/1/20; new centers or existing centers undergoing expansion must make this investment in a 5-year period beginning on or after 1/1/20. During this 5-year period, a qualifying data center must create at least 20 new full-time or equivalent jobs that, in aggregate, pay at least 20% above the average full-time wage in the county where the data center is located. A qualifying data center must also certify to DCEO, within 90 days after beginning service, that it is carbon neutral or has attained certification as a green building under recognized national standards and must have a project labor agreement approved by DCEO. A qualifying data center may receive a State income tax credit equal to 20% of wages paid to employees of its construction contractor if the construction project is located in an economically distressed area. Tax exemptions are renewable every 5 years for a maximum of 20 years. The rules also outline the program application process, the required memoranda of understanding (MOU) between DCEO and participating businesses, consequences of noncompliance with an MOU, and the appeal process for participants appealing a DCEO finding of noncompliance. Those affected by this rulemaking include small municipalities in which data centers may be located and small businesses providing construction or other services to these centers. Questions/requests for copies: Bridget Schutt, DCEO, 555 W. Monroe St., Suite 1200, Chicago IL 60611, Bridget.Schutt2 @illinois.gov
BIPA Case Update- Walton v. Roosevelt
The Illinois Supreme Court has scheduled oral arguments for the BIPA Case, Walton v. Roosevelt for January 18th, 2023.
You may recall that the court earlier accepted the Illinois Chamber’s Amicus Brief in the BIPA case, Walton v. Roosevelt. In this case, the issue is whether the federal Labor Management Relations Act preempts BIPA. We argue that it does. You can read the full brief: HERE.
We are awaiting a number of BIPA rulings from the State’s top court.
Thoughts on Next Council Meeting?
I’m looking to schedule a council meeting in the first two months of 2023. I’d love to hear of topics/speakers of interest to you. No thought too small and any input is appreciated.
Articles of Interest
GM, Ford, Google partner to promote 'virtual' power plants
Madigan's trial is next year, but a 'preview' for it may start sooner
Pritzker, state officeholders sworn in
Caterpillar and Deere are squaring off with Google and Amazon in a fight for tech talent
FTC proposes ban on noncompete clauses
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