Peoria Standard

Deputy House Republican Leader State Rep. Ryan Spain (R-Peoria) is against a bill that would raise taxes on wealthy Illinoisans, fearing the plan would increase the already steady exodus of such residents from the state. 

“I really think it is very disappointing to hear the same type of ideas that have been rejected by voters and will be an absolute nonstarter for rebuilding the Illinois economy,” Spain told The Center Square. “Haven’t we realized that every state around us is increasing in population and they’re doing very well and it is because they make it a point to be a welcoming environment to attract businesses, employers, talented individuals and their families, and we have to be a state that is conducive to people arriving here and being successful, but what we keep doing is just repelling people away.”

The “wealth tax” would be based on the value of assets owned by rich Illinoisans. State Rep. Will Guzzardi (D-Chicago) said the tax could raise as much as $500 million per year, The Center Square reported.

The proposed tax comes as projected spending on healthcare for noncitizens for 2023 increases to nearly $1 billion. Spain was one of several Republicans to warn against the spending in the Medicai program dedicated to migrants. 

“Year after year, we saw the majority party continue to double down on these expansions, which are not eligible for federal matching funds,” Spain said at a press conference, according to Peoria Standard. “The Medicaid program in the State of Illinois is our biggest area of spending.”

Spain said the spending threatens the state’s fiscal stability. 

“This billion-dollar hole, which is just the beginning, requires the General Assembly to exercise fiscal responsibility in both the short-term and long-term to ensure state budget sustainability,” Spain said.

In part due to the high tax environment, Illinois has been experiencing steady outmigration. According to United Van Lines, in 2022, of the 50 states, Illinois lost the second most residents. 

“Illinois has had nine consecutive years of population loss – the second-longest streak in the nation, according to U.S. Census Bureau estimates,” Illinois Policy wrote. “The No. 1 reason United Van Lines was given for people leaving Illinois was jobs, with more than one-third of respondents listing it as a primary reason ahead of family and retirement. Housing and employment opportunities have both been made worse by poor public policy in Illinois.”