It's the start of a new year and there are game-changing events on the horizon for the local economy.
You read the headlines as 2023 came to a close:
“Belvidere assembly plant will be reopened”
“Thousands of jobs saved and created”
“Nearly $5 billion invested in Belvidere-Rockford region”
A team effort by state and local leaders – coupled with the courage and solidarity of the plant's working men and women – paid off with Stellantis' decision to reopen and expand operations in Belvidere. The good news includes production of new midsize trucks, a new battery manufacturing facility and a new “mega hub” for parts distribution.
We are proud to have sponsored and passed the Reimagining Energy and Vehicles (REV) in Illinois Act, which provided state financial incentives and laid the foundation for securing the plant's future in a historic contract agreement between the automaker and the UAW.
The deal will result in thousands of good jobs that will benefit families in Boone and Winnebago counties. Local businesses that supply the plant and support its workers will also see a big boost.
State and local politicians worked together for two years on a package of tax and cash incentives to revive the auto plant. In addition to the state's REV law, local governments have committed to reducing property taxes.
Another key component in closing the deal was that the state worked with the Northern Illinois Land Bank to secure an option to purchase land near the assembly plant to gain the space needed to expand operations. State lawmakers also passed a law that created a $400 million “completion” fund to allow Illinois to compete with other states and further persuade Stellantis to invest in Belvidere.
Finally, during its “stand-up” strike, the UAW made reopening the Belvidere plant a key negotiating point.
The result of these efforts is the best outcome any of us could have imagined, especially when the plant's future was in doubt following its shutdown earlier this year.
The reopening comes after this summer's announcement that Metra would begin passenger rail service between Rockford, Belvidere and Chicago. Rail passenger transport – another focus of ours – will make our region an even more attractive place to live and work and at the same time provide the skilled workers needed for the major plant expansion.
Another point deserves mention. Belvidere's success story belies the political rhetoric that Illinois is not good at retaining or attracting business. Our legislation to encourage production of electric vehicles and parts in Illinois will attract even more manufacturers and jobs in the coming years.
Alright, enough of the negativity. We are on track for 2024 and beyond.
State Sen. Steve Stadelman, D-Loves Park, and state Rep. Dave Vella, D-Rockford, represent the Rockford region in Springfield.
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