WATCH: Policy questions loom as Pritzker announces ag investment, tax credits

By Jim Talamonti | The Center Square
The Center Square

(The Center Square) – Gov. J.B. Pritzker says a new fertilizer production facility in Douglas County is a major win for Illinois, but a Southern Illinois Republican says Pritzker has not been a friend to agriculture.

Speaking Tuesday at the Farm Progress Show in Decatur, the governor announced that Cronus Chemicals LLC’s $2 billion investment for the fertilizer plant in Tuscola would create 130 jobs.

Cronus first announced plans to build in Tuscola more than 10 years ago. Pritzker did not say when construction would begin, but officials said the project would take about 3.5 years to complete.

According to Pritzker and the Illinois Department of Commerce and Economic Opportunity, the new facility is expected to produce 950,000 short tons of ammonia annually. The ammonia production will include carbon capture and storage to trap and store carbon dioxide.

“This is a major win for our farmers, for our people, the people of Tuscola and, of course, our entire economy,” Pritzker said.

The governor said Illinois has been a leader in agricultural production for more than two centuries.

“It’s the bedrock of our economy, and farmers are the backbone of our communities,” Pritzker said.

Hardin County Republican Chairwoman Rhonda Belford said the governor has not been a friend to agriculture.

Belford pointed to high property taxes, estate taxes and layers of regulation.

“And the energy policies that have made electric and fuel and all of that more expensive have done nothing but hurt farmers who depend on affordable energy, those types of things,” Belford told The Center Square.

Hardin is one of 33 counties where voters approved nonbinding ballot measures to secede from Illinois.

“If you’re coming down through Southern Illinois, there are signs in many of these rural farmers’ yards or their farms that say, ‘Pritzker sucks.’ That’s how they feel. They feel like they’ve been forgotten,” Belford said.

Cronus’ deal with the state includes Economic Development for a Growing Economy tax credits.

According to the agreement, unless otherwise determined by the DCEO, the annual credit shall be equal to the lesser of: (1) the sum of (a) fifty percent (50%) of the Incremental Income Tax attributable to New Employees and (b) ten percent (10%) of the Training Costs of New Employees; or (2) one hundred percent (100%) of the Incremental Income Tax attributable to New Employees.

The governor said he worked hard to build a competitive incentive package.

“That is why business tax credits matter for our state. That’s why I have promoted them since I became in office, and I’m so proud that we’ve been able to attract great businesses like Cronus,” Pritzker said.

Belford said many people in agriculture and related businesses have left Southern Illinois.

“There have been plenty that have had to leave because we just don’t have the business. We just don’t have the funds, and many are having to pick up and leave,” Belford said.

Belford said many young people have left to find work opportunities elsewhere, but Belford said she has hope because many people have rallied together to fight for positive change in Illinois.