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Caterpillar: Illinois “unpractical” for new plant

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Caterpillar Inc. will not be building its new North American plant anywhere in the state of Illinois, officials with the company told local leaders Tuesday, with part of the reason being continued concerns about the business climate in the state.

The company will instead focus on a location closer to its division headquarters in Cary, N.C., Peoria County officials were told in an email sent to them shortly after the close of business and later obtained by the Journal Star. The plant stood to bring with it from Japan roughly 1,000 jobs manufacturing track-type tractors and mini hydraulic excavators.

* Here’s Caterpillar’s letter to a local official explaining the company’s decision…

As you know, we have a site selection and business modeling team in place that has been reviewing a comprehensive set of criteria to determine the optimal location for this facility. These factors include logistics, port access, labor markets, supplier base, and governmental partnership opportunities. We have defined a very tight search area that is primarily being driven by logistics, port access, and proximity to our division headquarters in Cary, North Carolina.

As a result, we regret to inform you that your community is not a viable option for this particular project.

Please understand that even if your community had the right logistics for this project, Caterpillar’s previously documented concerns about the business climate and overall fiscal health of the state of Illinois still would have made it unpractical for us to select your community for this project.

Caterpillar intends to continue calling for long-term changes in Illinois and to offer help to the state as it works toward real and fundamental reforms that will position communities like yours to compete for future projects. While we understand this news is not positive for your community, it is our hope that you and your leaders will join us in our efforts to improve the business climate in Illinois.

Discuss.

* Meanwhile…

Sixteen companies have notified the state they have cut or plan to cut nearly 1,800 jobs by the end of March.

At the top of the list: Hull House Association, which closed its doors last month after years of financial struggles. The social services agency laid off a total of 295 employees in January, more than any other company on the list.

More info…

Also at the top of the list is TCF National Bank, which plans to eliminate more than 200 employees at two branches in the Chicago area.

Other companies, including Kraft Foods Inc., Dearborn Wholesale Grocers L.P., and Garden Fresh Market plan to eliminate jobs as well.

posted by Rich Miller
Wednesday, Feb 8, 12 @ 12:09 pm

Comments

- concerns about the business climate and overall fiscal health of the state of Illinois -

Is Cat daring Illinois to start making them actually pay income taxes?

Comment by Small Town Liberal Wednesday, Feb 8, 12 @ 12:15 pm
How many will we be gaining in the same period?With the recession over,new facilities should be able to balance that stat.

Comment by vera Wednesday, Feb 8, 12 @ 12:19 pm
In other corporatocracy news…

S&P just downgraded CME because of the MF Global fallout.

Comment by hisgirlfriday Wednesday, Feb 8, 12 @ 12:21 pm
=== How many will we be gaining in the same period?With the recession over,new facilities should be able to balance that stat. ===

Even if that were the case, we need net-plus jobs, not net-neutral.

Comment by Just Observing Wednesday, Feb 8, 12 @ 12:25 pm
Maybe in North Carolina they say things like “unpractical,” but here in Illinois we say “impractical.”

Seriously though, the swipe at the business climate is gratuitous, and, is not, as the article suggests, part of their decision.

The criteria are “logistics, port access, and proximity to our division headquarters in Cary, North Carolina,” and we don’t meet them.

This really should be a non-story.

Comment by Don't Worry, Be Happy Wednesday, Feb 8, 12 @ 12:28 pm
@Don’t Worry - You’re right. With those criteria, Illinois can’t compete. I wonder if those criteria were made clear up-front, or if Cat led the locals to believe they were “in the game.”

In any event, NC wins 1,000 jobs. IL doesn’t. Does anyone know if NC is an “open shop” state? Just curious.

Comment by Foxfire Wednesday, Feb 8, 12 @ 12:52 pm
Some tax policy web sites seem to view Illinois and North Carolina as almost identical. That aside, I had occasion to spend some time in that area of North Carolina a couple of years ago and, while I am perdisposed to dislike the south, it is impressive.

Comment by Bigtwich Wednesday, Feb 8, 12 @ 1:01 pm
==Please understand that even if your community had the right logistics for this project…==

In other words, we weren’t going to pick your community anyway, but we can’t let the opportunity to take a jab at Springfield politicians slide by.

Comment by Wensicia Wednesday, Feb 8, 12 @ 1:08 pm
Rich,
Time for you to find another report that says how good things are here in Illinois.

Comment by Fed up Wednesday, Feb 8, 12 @ 1:08 pm
During site searches, it is not typical of a company to respond directly to a community. The company typically remains anonymous until there are two or three finalist communities. If a company has concerns about a State’s business climate, typically they do not even begin to consider them for a new location. This may well be the case in this instance. It is interesting that no one from CAT actually signed the letter,

Comment by Stateline Wednesday, Feb 8, 12 @ 1:12 pm
Smack. Not necessary, but I think CAT is getting back with the propaganda program after their chairmen said all those things last year.

From the beginning on this new plant, CAT said they were concentrating on the Gulf and Atlantic coasts for export to Europe. You can do it from here, but that’s a significantadded cost.

Comment by wordslinger Wednesday, Feb 8, 12 @ 1:21 pm
I guess Cat’s world HQ and the U of I College of Engineering both being in Illinois isn’t enough.

Comment by Team Sleep Wednesday, Feb 8, 12 @ 1:24 pm
So, to recap:

Our decision to build outside of Illinois had absolutely nothing to do with Illinois policy, but we will continue to advocate for changes in Illinois policy.

Given that position, why should Illinois care what Caterpillar thinks?

Comment by Yellow Dog Democrat Wednesday, Feb 8, 12 @ 1:25 pm
One of our largest employer in Illinois has just told us that they expect some major changes in our business climate before this State would be considered for a new factory, or a major expansion. This would be true even if we meet all the logistics and other demands necessary to build here. Mississippi river and the Peoria industrial area for shipping over water? More train tracks than any other state of the Union? Highway system?

The wake up calls and alarms have been sounding for quite some time now on the “business climate” issue involving our Illinois. They have been ridiculed as being alarmist, anti-Illinois or holding the line and “not taking a step backwards.” We get gleeful when an employer stays or hires, and attack any detractors who see a long protracted downward spiral.

Ignoring the alarm and pulling the pillow tighter around your face and ears isn’t the healthiest or smartest thing to do under these circumstances.

But the questions NO ONE seems to be asking are: Was the State of Illinois aware of these plans? Did they come in and make a pitch? Or were we caught by surprise?

Comment by Louis G. Atsaves Wednesday, Feb 8, 12 @ 1:26 pm
Wonder who and what will Cat officials blame when they leave NC in a couple of decades or less.

Think it’s not too late for KMAC to help out?

Comment by Kasich Walker, Jr. Wednesday, Feb 8, 12 @ 1:27 pm
Caterpillar executives have a long history of right wing political alignments. I am not surprised at their actions. Transnational corporations seek profits by exploiting community resources, foreign and domestic, while they demand free access to markets worldwide. The costs of maintaining institutions that create these profitable markets are paid by somebody else. This time American taxpayers spent over $7 Trillion to bail out what passes for “Free Market Capitalism.” Unfortunately, the political elite in both parties believe the “little people” should shut-up and understand that they were “born to be fools.”

Comment by Louis Howe Wednesday, Feb 8, 12 @ 1:31 pm
For everyone who routinely comes to the Governor’s defense- DENIAL is not a river in Egypt/We are running out of runway to make changes required to return the State to fiscal health- Quinn’s leaked budget proposal isn’t the way to address what ails the State-Every new dollar from last year’s tax increase needs to go to paying down the debt-NOT NEW SPENDING ON WISHFUL SOCIAL PROGRAMS-like was promised

Comment by Sue Wednesday, Feb 8, 12 @ 1:44 pm
NC is a right to work state. CAT and UAW are long term adversaries. Seems like reason enough to me.

Comment by Chefjeff Wednesday, Feb 8, 12 @ 1:51 pm
1) I’m curious as to why the political language was in the Cat letter in the first place. If they’re going to write “We have defined a very tight search area that is primarily being driven by logistics, port access, and proximity to our division headquarters in Cary, North Carolina,” (emphasizing that we are no where near NC), why say, well even if you had the qualities that we said we’re using in the search, we wouldn’t have picked you for this reason. The fact seems (and this is all but explicitly stated in the letter) that they said no to IL because it wasn’t near NC and didn’t have appropriate access to a supply chain.

2) Let’s see how conservatives (who blast government spending) react when the Govt and govt funded organizations lay off employees. This must be Pat Quinn’s fault!

Comment by Two points Wednesday, Feb 8, 12 @ 1:57 pm
To see if Cat is expressing concern on behalf of its shareholders or is firing a partisan shot across the bow, let’s look at how the shareholders are doing.

Over the last ten years, Illinois-based Caterpillar stock is up an amazing 370%. For comparison, Illinois-based industrial company Deere is also up a strong 314%. Yet, the Dow Jones Industrial Average is up only 32% over that span.

I think the investors in Cat and Deere are thanking their lucky stars they bought stock in these two hugely successful Illinois-based companies. So it seems Cat is not going to let its record-breaking success get in the way of making partisan comments.

Comment by I Love Springfield Wednesday, Feb 8, 12 @ 2:02 pm
Everyone knows all Illinois needs to do now is raise taxes, thereby replacing that lost revenue.

See? No loss. The revenue balances out!

Wait, you mean it doesn’t work like that???

Comment by Shock & Awww(e) Wednesday, Feb 8, 12 @ 2:04 pm
CAT will go wherever they can get the most for the lowest cost. It’s a business decision.

In the process of choosing a site, a multi-national corporation is going to pit cities and states against each other in order to get a better deal. They may have a preferred location in mind, but will keep that location on edge in order to drive a better deal for the shareholders (and, thus, improve the executives’ pay).

The “swipe” at Illinois was meant to keep us on edge and prevent any move to increase their tax burden (even if it is low) or add regulations. We house their HQ and are a preferred location, but they do not want us to take that for granted. It’s all part of the game.

For better or worse, the days of the good corporate citizen are mostly gone in the name of maximizing short-term profits. A big corp. like CAT is always going to push for lower taxes, lower wages, fewer work rules, lower env. standards, etc. because that improves the bottom line.

Comment by Pot calling kettle Wednesday, Feb 8, 12 @ 2:07 pm
It is interesting to see so many comments that are defensive….in support of the position of the State of Illinois.

It would be more realistic and perhaps more likely to improve conditions in Illinois if people would simply accept the fact that Illinois must choose either to improve it’s business climate or else be willing to accept the logical choices of businesses like CAT.

It is a fact that we do not hear of most of the businesses that pass on opportunities to operate in Illinois……and that there are many entities that make the business decision to avoid the problems that are brought to those businesses who currently operate in this state.

Illinois deserves this punishment. It deserves to be subordinate to states which choose to be business-friendly. Although I am a resident of Illinois, I am also a business owner/operator in Illinois and I cannot deny that it gives me a certain amount of satisfaction to see JUSTICE that shines in this announcement by CAT.

Comment by JoeVerdeal Wednesday, Feb 8, 12 @ 2:10 pm
Maybe US atty gen Holder will file suit against Cat like he did against Boeing for moving assembly out of a union state to a non-union state. Appeal to DC for some big guns to prevent flight of jobs from Illinois.

Good idea, BTW, making disparaging remarks about a long time employer of Illinois residents. We should maybe create a boycott to teach them a lesson. As far as taxes they may pay, who created the tax code? Caterpillar? Who passed a huge business tax and then rolled it back for certain businesses, leaving others out? I wonder how all those small companies (the real job providers) feel about that? There is no plan here, just muddling along from one crisis to another. No vision.

Comment by dupage dan Wednesday, Feb 8, 12 @ 2:13 pm
@JoeVerdeal –

It isn’t a matter of “out-competing”. It’s about surrender & total takeover.

Comment by Kasich Walker, Jr. Wednesday, Feb 8, 12 @ 2:14 pm
Clearly the state of Illinois needs to construct a modern, 21st century port in Peoria.

– MrJM

Comment by MrJM Wednesday, Feb 8, 12 @ 2:20 pm
–As far as taxes they may pay, who created the tax code? Caterpillar? –

That’s a good question. Has anyone noticed whether Caterpillar has had some influence in the Illinois General Assembly in the last 85 years? Any lobbying on the tax code, or anything like that? And how much do they pay in state income tax every year?

Comment by wordslinger Wednesday, Feb 8, 12 @ 2:21 pm
Unfortunately, it’s not just businesses that are leaving Illinois. It’s people as well.

All of which reduces our tax base.

Comment by Shock & Awww(e) Wednesday, Feb 8, 12 @ 2:22 pm
OK all of you brilliant people badmouthing the state. What exactly is your solution? What exactly is “improving the business climate?” Let’s just eliminate taxes on all corporations. That seems like a good idea. On top of that let’s pay them to stay here or build here. Ya. We can sustain that. I’m tired of people constantly coming to the defense of business without saying what exactly is bad about what Illinois is doing. If you don’t want businesses to pay taxes, have any regulations, treat their employees however they want, then just say so. What is your solution?

Comment by Demoralized Wednesday, Feb 8, 12 @ 2:22 pm
“…. who created the tax code? Caterpillar? Who passed a huge business tax and then rolled it back for certain businesses, leaving others out?”
========
Who donates to political party leadership groups, political campaigns, funds conventions, etc. & has lobbyists write legislation and code?

Comment by Kasich Walker, Jr. Wednesday, Feb 8, 12 @ 2:24 pm
So, word, you’re saying Cat had influence over the tax code? Why is that? Are they doing anything illegal?

Comment by dupage dan Wednesday, Feb 8, 12 @ 2:44 pm
==Illinois deserves this punishment. It deserves to be subordinate to states which choose to be business-friendly.==

The question is how “business-friendly” do you think we should be? Another thread today reports on businesses trying to influence who will be the director of the IEPA. Should we let manufacturers pick the regulator?

The state needs to be citizen-friendly as well. It is the job of the State government to strike a balance between the two. The trend over the past few decades has been influenced by a strong push by businesses to lighten their “burden” and to suggest that we should bend over backwards to accommodate their needs. However, when the scale tips too much in favor of business, the health, safety, and welfare of the citizens suffers.

While we must take the needs of businesses into account, we must also protect the interests of the people.

Comment by Pot calling kettle Wednesday, Feb 8, 12 @ 2:49 pm
–As far as taxes they may pay, who created the tax code? Caterpillar?–

–So, word, you’re saying Cat had influence over the tax code? Why is that? Are they doing anything illegal?–

I think they legally did so, resulting in that they don’t pay much state income tax. I thought your first comment suggested that it was all serendipity.

CAT’s comment was pretty weak and minor. It keeps them on the Life Stinks bandwagon, but I don’t know what that gets you, even in the short term. How do you get anyone motivated about that?

Plus, it’s just a dumb thing to say. There are certain things you don’t do where you eat or in your cash register.

Comment by wordslinger Wednesday, Feb 8, 12 @ 3:43 pm
I wonder if Indiana was in the running and got a letter saying something like, “We based our decision primarily on logistics, port access, etc., but we highly commend you for greatly-improved business climate when you enacted right-to-work legislation…”

Comment by Anonymous Wednesday, Feb 8, 12 @ 3:52 pm
The thousands of people who are employed by Caterpillar pay a lot of taxes. Caterpillar pays a lot of taxes, if not the Illiois corporate income tax.

They are a net positive for the State of Illinois.

Caterpillar and other companies will continue to make decisions based on their economics. Illinois will either be in the running or they won’t. Getting angry at Caterpillar for not choosing Illinois is futile.

Comment by Old Milwaukee Wednesday, Feb 8, 12 @ 3:53 pm
Cat made clear that this siting decision was primarily about logistics.

Since Caterpillar has already said that their problems with the “business climate” in Illinois are not primarily about what they actually pay in state taxes, then their “climate” issues probably include regulation, labor, insurance costs, and politics.

Comment by mark walker Wednesday, Feb 8, 12 @ 4:07 pm
With most posts expressing RAGE towards big corporations, I figured this news would be celebrated by the capitol fax community.

Comment by WashingtonIrving Wednesday, Feb 8, 12 @ 4:09 pm
Rage toward corporations? I don’t feel rage toward corporations. In fact, I love reading about business growth in Illinois, and I think I can say the same for others.

Comment by Grandson of Man Wednesday, Feb 8, 12 @ 4:17 pm
Rankings according to the 2012 State Business Tax Climate Index. (Tax Foundation)
Illinois 28
North Carolina 44

How can Illinois be 16 spots ahead of that tax haven state North Carolina?

Comment by tired of politics Wednesday, Feb 8, 12 @ 4:27 pm
Everyone here is happy about CATs continued and incredibly successful run. From an Illinois base, it’s grown since 1925 to become one of the great corporations of the world, Fortune 58.

Hundreds of thousands of people in Illinois were and are a big part of that success. By the nature of the business, that’s literally some heavy lifting, all the way around

They do business all over the world, in some neighborhoods where the “business climate” is a little rougher than Illinois.

CATs successful here. Nothing wrong with that.

Comment by wordslinger Wednesday, Feb 8, 12 @ 4:29 pm
Bottom line—NC is getting good manufacturing jobs and Illinois is getting none. That is sad news. Instead of making excuses for it, the politicians need to get their collective head out of the sand and realize there is a problem here.

Comment by Pax Hominem Wednesday, Feb 8, 12 @ 4:34 pm
No, word, nothing in Illinois politics is serendipitous, least of all the tax code. Or Quinn’s love of patronage. It just seems as tho folk climb up the rear end of a successful business if they exercise their rights as part of a community (big company can throw around alot of weight) when previously they are being lauded for hiring some people. The public employee unions flex their muscle and are seen as fighting for the little guy - this despite the fact that some elite union royalty are then shown scamming the system. A perceived inequity.

Easy to tear down the big and powerful. Hard to figure out how to make things fair and equitable when so many competing political interests exist to muddy the waters.

Comment by dupage dan Wednesday, Feb 8, 12 @ 4:35 pm
@DuPage Dan “…Easy to tear down the big and powerful.”
======
No it isn’t. Just ask Independent candidates who have attempted to get ballot access in Illinois.

Comment by Kasich Walker, Jr. Wednesday, Feb 8, 12 @ 4:56 pm
They want change, let’s give it to them. Let’s reform the corporate tax system so it has no loopholes or deductions, not even for cost of goods, labor, normal & usual expenses, property taxes, nothing, nada. Tax gross corporate receipts, period. And the State gets to have their auditor’s check the corporate books every year.

At the same time, impose a State-wide moratorium on any kind of corporate give-away or credit at any local level; no property tax abatement, no enterprise zone, no TIF, nothing.

That would be a level playing field … might not be considered fair and probably isn’t what business would want, but it would be level. And it would be right thing to do because everyone would be mad at you …

Comment by Retired Non-Union Guy Wednesday, Feb 8, 12 @ 4:58 pm
One of the state’s big employers just chose to build a major facility someplace else and took the opportunity to point out the state’s government is a mess. Is that news? You can tear down their motives as many ways as you like but companies are in business. Having all this weirdness with no end in sight creates uncertainty and discourages investment. Some folks sound as if they would be happy if Cat left altogether. More fair that way, you know….

Comment by Excessively Rabid Wednesday, Feb 8, 12 @ 5:19 pm
Demoralized @ 2:22pm

I will give you a start and it doesn’t involve tax rates-

Illinois Workers Compensation rules are a (not so)hidden tax upon Illinois employers and it is at a significant cost. Reforming this system would be a great start to making us more competitive against our neighbors who have more fair systems. As an idea, how about we add a comparitive responsibility rule to injured workers who re-injure at a non-employment task? Right now these are added to existing work related injury cases. Our illustrious Trial Attorney Assoc in IL and the legislative lackeys they own would never go gor it. Our rules cost tens of thousands of dollars more in Work Comp premium for small employers than our neighboring states and are far more of a hassle to businesses. In the case of large employers, it can equal millions of dollars in increased premiums per employer. Think that isnt a tax? Hell even our own State employees scam the system.

Two Points @ 1:57 pm- The best thing that can happen is to start laying off state employees. Unfortunately when it happens, pink slips won’t go to the right ones. Even in my casual acquaintences here in So Il, IDOT professionals lament the additional patronage leeches that that are placed among their ranks. That is just one dept in one little town. How bad is it statewide?

Comment by The Southern Wednesday, Feb 8, 12 @ 5:36 pm
@Retired Non-Union Guy - Wednesday, Feb 8, 12 @ 4:58 pm:

What good is that going to do? You might be retired and your pension guaranteed by the Pension Guranty Corporation but what about all of the currently hard working people trying to support a family. Your nonsense is one reason we have seen a mass exodus of good manufacturing jobs from the midwest. We are in a global market and there is nothing wrong with reasonable economic incentives. Remember the saying half a loaf is better than none. Right now the Illinois bread cabinet is empty and you see where that is getting you. I guess all the skilled labor can just get a job at McDonalds or Walmart right?

Comment by Pax Hominem Wednesday, Feb 8, 12 @ 5:50 pm
–“…Easy to tear down the big and powerful.”==

I doubt it, otherwise, why would anyone want to be big and powerful?

But I don’t think anyone is trying to tear down CAT, anyway. I think they’re made of pretty stern stuff and can handle a little dialogue in the public arena. I mean, they were looking for a reaction.

Comment by wordslinger Wednesday, Feb 8, 12 @ 6:21 pm
I agree with points made by “The Southern” @5:36pm……….and would also add the thought that the idea of Illinois becoming a Right To Work state would also be very, very good for our economy.

Most would consider that to be politically impossible, of course. Without the influence of Chicago, it would be law.

Comment by JoeVerdeal Wednesday, Feb 8, 12 @ 6:58 pm
“I doubt it, otherwise, why would anyone want to be big and powerful?”

That’s why Da old boss spent hundreds of millions of public dollars on faster (by minutes) transit from O’Hare with little to show. Da new Mayor is doubling down with more millions. The contractors get highly profitable work and perform shoddy work.

Cash keeps rolling in to the coffers of the politicians campaigns and also into the pockets of their friends. Apparently it is worth it to someone.

Comment by Plutocrat03 Wednesday, Feb 8, 12 @ 7:09 pm
== Reforming this system would be a great start to making us more competitive against our neighbors who have more fair systems.==

Please. Everyone knows Indiana and Wisconsin are cleverly disguised forced labor camps. The last thing Illinois needs is to be a “Right to Starve” state…

Comment by Pico Wednesday, Feb 8, 12 @ 7:19 pm
Pax Hominem @ 5:50,

That was written with tongue firmly in cheek … just taking things to the opposite extreme.

Seriously, businesses all complain about the current system, even the ones getting the breaks under it. I think we all know that, under the current Illinois system, only a few businesses pay the lion’s share of the corporate tax; a lot of the big boys pay very little or nothing due to the breaks they have been given. It’s the smaller business that gets hit with the full freight. I know anything like a gross receipts tax and no deductions would be stupid, but sometimes you have to be ridiculous to get people’s attention so you can reach a compromise somewhere in the middle. (see Quinn, Gov … except he doesn’t stop in the middle)

What I would realistically expect is just the elimination of the corporate giveaways. So let’s rewrite the corporate tax structure with some reasonable changes by tweaking the current system. Make it apply relatively equally to every business. Keep the usual business deductions and tax only the net profit. With a broader base from eliminating industry specific breaks, the corporate rate can be lowered. There will be a few losers, mostly the big businesses that are getting the breaks now, and a lot of winners, mostly the smaller businesses. There will still be screaming and complaining over it … but it would be about as “fair” as you could get.

..

As far as the Illinois exodus of jobs, we could have a whole discussion about the race to the bottom that is happening, not only nationally but globally. The playing field isn’t level where some nations subsidize worker benefits and others don’t. Some nations also aren’t hamstrung by environmental regulations like most first world nations. In the long ago past, nations used to use tariffs to somewhat level the field. (They also used tariffs to protect their inefficient home industries, which wasn’t fair.) In global trade today, it might be free but it isn’t fair or level. As long as someone somewhere will cut a corner to build a cheaper product at a lower cost, it’s going to happen and the jobs will move there for some period of time. First it was Japan, then Taiwan, then Korea, now it’s China and in 20 years it may be some currently ignored third world county in Africa … just depends on who’s willing to trash their environment for the sake of jobs and perceived progress.

Comment by Retired Non-Union Guy Wednesday, Feb 8, 12 @ 7:39 pm
I agree with - Excessively Rabid. It sounds like many of the posts would like Cat to just get out of town. I simply don’t understand. I’ve been self employed in Illinois for over 40 years and have never seen this kind of business environment before. Wow.

Comment by Ted Wednesday, Feb 8, 12 @ 7:47 pm
Ted,
You are correct. Despite all the backtracking on here in the last three hours, some of the rabid commenters are clearly anti-Cat and other business. It is implied that they are tax cheats and poor corporate citizens because maybe they don’t pay the income tax.

Get used to it, but keep arguing against it. It’s a common theme with the Quinn Administration and from many commenters on this blog.

Comment by Old Milwaukee Wednesday, Feb 8, 12 @ 8:24 pm
Mr. Old Mil,
I still don’t get it, though. I’ve never been a ‘political’ person but just a guy who employes some folks and works a business. I’m passing it to my youngest kid but even he is worried about what’s going on. Why not just let him grow it and employ more folks? Those people would then be paying taxes. This whole thing just doesn’t make sense sir. I wish I could understand the other side of this fight but I guess I’m blinded by too many years of being independent and out of the political loop.

Comment by Ted Wednesday, Feb 8, 12 @ 8:48 pm
Illinois is a state that can’t close down a couple of outdated mental health facilities without major trauma. How can it ever hope to make the necessary changes to its pension and health care systems to restore fiscal sanity? It can’t.

Comment by wishbone Wednesday, Feb 8, 12 @ 8:56 pm
One additional note and I’ll go back to lurking mode. I was referred to this site by a friend in Chicago as a place where I could get the State’s point of view on what they do. I enjoy reading the comments on Mr. Miller’s posts because, unlike what I expected, it seems that not everyone who posts here is a pro-government person. However, I do like reading what the ‘other side’ of my belief system thinks. Now…back to lurking. Thanks for letting me have a little say.

Comment by Ted Wednesday, Feb 8, 12 @ 9:23 pm
Ted,

It’s more a political junkie and insider point of view and covers all the political spectrum … although it does seem to have a bit more of one side than the other

What most of us have in common is that a lot of the active commentators are either still in government or used to be there. There is a wealth of experience … and maybe just as much cynicism.

Politics is a great spectator sport … and there are very few places that play politics at the same level as Illinois. I’ll leave it to the reader to decide if that level is major league baseball or T ball … but this forum lets you sit down in the dugout during the game.

Comment by Retired Non-Union Guy Wednesday, Feb 8, 12 @ 10:17 pm
=== Unfortunately, it’s not just businesses that are leaving Illinois. It’s people as well. ===

LOL.

Yeah, fortunately though, more businesses and people are coming us well. And they outnumber those that are leaving.

It cracks me up to hear “capitalists” go on and on about how we should let the markets pick the winners and losers, and then cry for government intervention over one letter written by one company about one plant opening.

Last time I checked — and I’ll admit its been awhile — Illinois was near the top of the country in new plant openings.

So, the “business climate” isn’t good enough for Caterpillar. Sorry, Caterpillar, but it was good enough for Chrysler.

Maybe you guys just aren’t tough enough for this business climate. We should buy your execs all parasols or something.

Maybe you should stop making heavy moving equipment and start making scooters if you guys just don’t do tough anymore.

Comment by Yellow Dog Democrat Wednesday, Feb 8, 12 @ 11:30 pm
No surprise to me. The south is much more factory-friendly, and Caterpillar spent amost a decade slowly closing down its factories in the Peoria area; they aren’t about to waste all that careful planning and re-open one of them or even build a new one.

Comment by Just Me Wednesday, Feb 8, 12 @ 11:56 pm
==So, the “business climate” isn’t good enough for Caterpillar. Sorry, Caterpillar, but it was good enough for Chrysler.==

Wasn’t Chrysler given 55 million plus of incentives for those jobs? It’s a shame that people have to be taxed to pay for someone else to have a job…but that’s the Illinois way

Comment by Informer Thursday, Feb 9, 12 @ 2:13 am
Interview w/Cat CEO from early Jan 2012….Watch for his points on business climate in Illinois and Workers’ Comp ….

http://www.thepeorian.com/episodes/258-episode-16-cat-going-strong-a-conversation-with-doug-oberhelman

Comment by JoePeoria Thursday, Feb 9, 12 @ 5:23 am
For all the vague “business climate” commenters, who apparently have no facts or google at hand, here’s a little help.

CAT had a record-breaking year in 2011 and announced plans to invest $640 million in new production in Illinois.

They want some more changes in workman’s comp and are playing politics. No problem. But don’t believe the hype.

http://www.pjstar.com/news/x870490704/Caterpillar-has-record-breaking-year-in-2011

http://articles.chicagotribune.com/2011-11-11/business/chi-caterpillar-to-add-300-jobs-in-decatur-east-peoria-20111111_1_track-type-east-peoria-caterpillar-chairman

Comment by wordslinger Thursday, Feb 9, 12 @ 7:37 am
–Maybe US atty gen Holder will file suit against Cat like he did against Boeing for moving assembly out of a union state to a non-union state. Appeal to DC for some big guns to prevent flight of jobs from Illinois.–

You’re misreading your Fox News National Talking Points memo, DD. The NLRB, an independent body, filed suit against Boeing. Holder is leading the “Fast and Furious” guns to Mexico conspiracy.

Their relationship to Illinois and CATs gratuitous remark is duly noted, though. And what jobs did they say they were moving from Illinois?

Comment by wordslinger Thursday, Feb 9, 12 @ 8:04 am
Ted, See YDD’s comments above to prove the point. Keep your head in the sand, YDD.

Comment by Old Milwaukee Thursday, Feb 9, 12 @ 8:18 am
Old Mil, you draw an awful lot of conclusions without referencing any facts. I agree that’s a lot easier, but not nearly as persuasive.

Comment by wordslinger Thursday, Feb 9, 12 @ 8:25 am
Right wing propoganda on how to fix a broken state

http://www.nytimes.com/2012/02/09/us/surplus-surprises-michigan-but-is-it-safe-to-spend-again.html?_r=1&partner=MYWAY&ei=5065

Comment by WashingtonIrving Thursday, Feb 9, 12 @ 8:43 am
For the record, Cat is bringing these 1,000+ jobs back from Japan. The new facility will build small track-type tractors and compact equipment.

Comment by JoePeoria Friday, Feb 10, 12 @ 6:11 am