Development Counsellors International, or DCI, a New York-based
marketing firm, released a survey Monday of 322 company executives
who ranked the 50 states as either good or bad for business.
Illinois ranked as the third-worst state in the country, behind
California and New York, in bad business climates.
The executives who participated in the survey said the bottom
three states earned their rankings because of "taxes" and "too much
regulation."
But Illinois also earned a low ranking due to its "fiscal
problems and budget deficits," according to the survey
Mark Denzler, vice president for the Illinois Manufacturers'
Association, or IMA, which lobbies for hundreds of manufacturers
statewide, said it should come as no surprise that Illinois'
government problems are becoming a business problem.
"Companies want stability and predictability," Denzler said.
"They understand that in some states maybe the tax burden may be a
little higher in one state than another, or that workers’
compensation costs may be a bit lower. But they want stability and
predictability."
Denzler said Illinois has not had much of either over the past
eight years.
However, he is quick to say that few state government-created
problems exist in the top-ranked states. Texas ranked No. 1,
followed by North Carolina at No. 2 and South Carolina at No. 3.
State Rep. David Harris, R-Arlington Heights, said Illinois has
earned its bad-for-business reputation, referring to former Gov. Rod
Blagojevich's proposed gross receipts tax and the personal and
corporate income tax increases signed by Gov. Pat Quinn in January
as proof.
Illinois business groups, including IMA, and a number of Harris'
fellow Republicans said the tax tactics of Democrats have created an
environment that is not conducive for business.
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But he adds that Illinois is not permanently relegated to the
bottom.
"Illinois has great resources," Harris said. "We have great and
talented people. We have natural resources. We have a transportation
network that is the equal of any state in the nation."
Harris said Chicago, with its access to Lake Michigan as well as
the city's rail, air and interstate hubs, are evidence of what
Illinois has to offer.
But Harris said the state's policies have put Illinois into a
"terrible situation."
Kelly Jakubek, spokeswoman for the Illinois Department of
Commerce and Economic Opportunity, said Illinois is not that
terrible.
"Site Selection magazine ranked Chicago the No. 1 metro area and
Illinois the No. 8 state for corporate facility expansions in 2010,"
Jakubek said. "Illinois was also named one of 10 'business friendly'
states that are gaining businesses, by U.S. News & World Report."
Denzler admitted that Illinois is starting to turn the corner.
"I think (state leaders) have begun to realize it," Denzler said.
"I think that you've seen a (Democratic) governor and a
(Democratic-led) Legislature ... work to impose some new reforms of
workers' compensation that are going to save money, that you would
not have seen from (Democratic) leaders five years ago."
[Illinois
Statehouse News; By BENJAMIN YOUNT]
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