After just his first few weeks in Springfield, state Rep. Dan Ugaste (R-Geneva) says there's misconception among Democrats as to why residents are leaving the state.
“Democrats seem of the opinion all the people leaving this state are doing so because of the weather,” he told the Kane County Reporter. “We are definitely of a different opinion. From what I hear, it’s all about raising taxes. To believe it’s due to any other reason would be a strong misconception.”
Ugaste points to Moody’s Investors Services recent report stated that more residents may move from the state if Gov. J.B. Pritzker enacts a long-touted progressive tax.
In a report released on Feb. 5, the full-scale credit rating agency said a progressive tax should only be sought if new revenues address the pension liabilities and other economic impacts are minimal.
According to Illinois Policy Institute, the state already faces a “conundrum,” where fixed costs are exceeding generated revenues and the prospect of new or higher taxes would only figure to exacerbate the situation.
“Moody’s agrees with Republicans that more taxes will only lead to more outmigration,” said Ugaste, who won his seat in the 65th District in November’s general election with 52 percent of the vote. “We need to be devising a plan that grows the state’s businesses and population.”
When Pritzker takes to the stage to present his first budget address on Wednesday, Feb. 20, the state will be handcuffed by a $2.8 billion budget deficit, $133 billion in pension debt and a $7.8 billion backlog of unpaid bills.
Ugaste said there can be only one way out.
“I hope he lays out a plan for solving the state’s pension problems and issues like workmen’s compensation,” he said. “I hope he focuses on a plan that will bring people and businesses back to the state and keeps the ones we have at home.”
The 65th House District includes Batavia, Burlington, Dundee, Elgin, Geneva, Grafton, Hampshire, Plato, Rutland and St. Charles.
Alerts Sign-up