SR1753 99TH GENERAL ASSEMBLY

SR1753 LRB099 21427 GRL 47421 r

SENATE RESOLUTION

WHEREAS, Good jobs are the foundation of a strong economy and a thriving society where the American Dream is within reach, the dignity of work is honored, families are nurtured, and communities can flourish; and

WHEREAS, For many decades, the Nabisco plant (now owned by Mondelez International) on Chicago's Southwest Side has provided hundreds of jobs that have sustained working-class families and helped them to buy homes, educate their children, and give back to their communities, all while contributing to the success of its products and shareholders; and

WHEREAS, In recognition of the plant's importance to the Illinois economy, its then-owner, Nabisco Biscuit Company, was awarded State and city tax credits in 1993 in excess of $90 million as an incentive to stay in Chicago; as recently as 2013, Mondelez received a State EDGE tax credit conditional on the creation of 25 new jobs; and

WHEREAS, Mondelez applied its EDGE credit to its facility in Naperville in a move that was legal at the time but enabled its massive disinvestment in Chicago as it added just 25 jobs in Naperville while preparing to eliminate 600 jobs - half of the workforce - at the Southwest Side Oreo plant and relocate much of its production to Mexico; and

WHEREAS, Allowing EDGE beneficiaries to create or retain jobs at one Illinois location while moving many more positions out of the State from another location, thus avoiding their job creation and retention obligations, seriously undermined the core purpose of using public funds for economic development incentives; and

WHEREAS, Under Governor Bruce Rauner, the Department of Commerce and Economic Development has adopted a new policy whereby multiple facilities operated by EDGE recipients will no longer be considered separate entities, so corporations receiving tax credits cannot play a shell game with layoffs at taxpayer expense; therefore, be it

RESOLVED, BY THE SENATE OF THE NINETY-NINTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, that we commend the Rauner administration for closing the EDGE credit loophole and urge the Governor and the Department of Commerce and Economic Development to continue working with the General Assembly to tighten accountability in all corporate incentive programs, ensuring taxpayers dollars are used to create good-paying jobs that sustain families and communities for the long term; and be it further

RESOLVED, That we urge Mondelez International to reconsider its decision to move production lines out of Chicago and out of the United States, and instead to work fairly and in good faith with its loyal employees, the unions that represent them, and the State of Illinois in order to keep Oreos American-made and continue to invest in its human capital in a city that has supported its products' success for many decades; and be it further

RESOLVED, That suitable copies of this resolution be delivered to Governor Rauner, DCEO Acting Director Sean McCarthy, and Mondelez International Chief Executive Officer Irene Rosenfeld.