Over the past few months, we have covered the proposed “Megaprojects Bill” in Illinois. This was an effort to bring major construction efforts to the state by offering significant property tax deals. With Illinois having the highest property taxes of any state, and Cook County and Chicago being even higher than that, getting a deal on property taxes would be a major break for any large business looking to build in the area. With rising competition from the Rust Belt, Illinois has seen many businesses flee to Detroit, Gary, and Indianapolis in recent years.
However, the megaproject bill was not without its flaws and died in the Senate after passing the House. Despite pushing through another bill in the small hours of the morning, a second bill sent from the Senate to the House was not picked up, putting any possible legislation to bed as the session closed for the season. While the bill’s failure certainly has plenty of implications moving forward, the one consequence that has captured the most public attention is what the Chicago Bears will do, now that the best hope for an Illinois stadium appears to be dashed. In this article, we will go over why the bill failed and how the people of Illinois could be affected.
Megaproject Recap
While the Bears were the main point of focus, the megaprojects bill had the potential to shape commercial property across the state. The idea was to give large construction projects the ability to issue payments in lieu of taxes (PILOT), which would give the builder a steady bill to pay instead of the notoriously mercurial Illinois property taxes. Special districts would be built around large project sites, where the funds from PILOTs would be used to create property tax relief. 60% of the funds would be used locally, while another 40% would be used for statewide relief. The owners of the construction would also get tax breaks on construction materials to help encourage investment. In theory, the bill would encourage investment in Illinois and counter the rising influence of Indiana and Michigan.
Why the Bill Failed
The bill had many detractors, both in the political world and from the average taxpayer. One major criticism was that, while everything was laser-focused on the Bears, the bill could open the door for many other companies. This would give large companies an enormous leg up, allowing them advantages that other businesses could not hope to achieve. Another complaint, spearheaded by the Chicago Teachers Union (CTU), was that by allowing large businesses to essentially opt out of property taxes, government programs would find themselves underfunded. While property taxes in the special district would be frozen, the same would not apply to those just outside of it, leading to higher taxes being levied upon everyone else to make up the shortfall.
Many homeowners had already been footing the bill thanks to residential taxes being cranked up at the end of 2025, mostly thanks to declining commercial property values. There was a belief that the bill would also pass the buck on to homeowners, who had already seen an average increase of 16%. It was also believed that the bill was rushed and that unforeseen consequences could happen due to a lack of review. This linked the bill to numerous mistakes and scandals, including the botched “Edgar Ramp” meant to fix pensions, and the disastrous selling of parking meters in Chicago to private equity. All of these problems led to the bill failing to pass the Senate at the last minute.
Hail Mary Falls Incomplete
Once the megaprojects bill was dead in the water, a group of politicians made a last-ditch effort to back the construction of a new stadium for the Bears. Seeing that the PILOT plan was the sticking point, the Senate proposed that municipalities be granted the right to form stadium authorities. These would allow municipalities to enter into agreements with sports teams to construct stadiums. The team would fund the construction of the stadium, but it would be owned by the municipality. The team could then lease the stadium, which would allow the team to avoid paying any property taxes at all. This is how many stadiums are traditionally paid for.
The Senate managed to pass this bill, sending it to the House. However, due to it being last-minute, well into the morning on June 1, the House decided not to hear the bill, allowing the legislative session to expire. This leaves everything back at square one, with the fate of the Bears up in the air. This now leaves only two options for the Bears. One is to build in Arlington Heights without any guarantees, and the other is to move across the border to Indiana, where a stadium deal is already in place.
Future Implications
Beyond the issues with the Bears, the process demonstrates that numerous overhauls to the tax system in Illinois and Cook County are long overdue. Even with support from a popular governor, the legislation for the megaprojects bill was not able to pass. With the pressure to keep the Bears behind it as well, this could demonstrate that getting any meaningful property tax reform is a long way off. This means that values and taxes are set to rise in the future, and that Illinois could keep its dubious distinction of having the highest property taxes in the nation for years to come.
Tax Certainty
The Bears have generally had the same complaints as the average taxpayer in Illinois. There is no certainty, rhyme, or reason to property values or taxes. This has been especially true for Cook County and the surrounding area. With every reassessment, values for homes and businesses can go wildly off course. Currently, the southern and western suburbs of Cook County are being reassessed, with townships like Riverside and River Forest seeing the market value of homes skyrocket by over 20%. This is why the Bears focused on tax certainty when negotiating with Cook County, as even a multi-billion-dollar franchise was concerned about unpredictable tax bills.
Appeals can Bring Stability for Taxpayers
While the average homeowner or business cannot count on huge legislative efforts to give them tax certainty, they do have a few options to explore to help keep things fair and predictable. The No. 1 option for the people of Illinois is to use property tax appeals. These challenge the assessor’s values, allowing a homeowner or business the opportunity to pay only their fair share in taxes, as these values are used to calculate tax bills. If these values are never challenged, then a property owner has no idea if they are being overassessed, which can lead to years of high taxes. By appealing, the true value of a home or business can be established.
While most counties in Illinois only have one chance to appeal, the people of Cook County have two, with the first round of appeal windows now opening across the county. The assessor appeal is an official protest made to the Cook County Assessor’s Office (CCAO). The window for these appeals starts when a notice of reappraisal is published and lasts 30 business days. The first few townships are nearing their deadlines, and the second chance appeals with the Board of Review (BOR) will open later in the year. This is a golden opportunity for taxpayers looking to find some stability in an unpredictable situation.
O’Connor Helps Appeals by Gathering Evidence
No matter if it is with the BOR or the CCAO, a successful appeal requires strong evidence. This often means gathering sales records dating back over three years or assessments for properties that have the same characteristics as yours. It takes an experienced and critical eye to know what evidence is best and what comparable properties should be added to your portfolio of evidence. We at O’Connor are here to help in this regard and have over 50 years of experience when it comes to putting together strong evidence for appeals.
We utilize data-driven techniques to analyze your assessment and find any issues that need to be addressed. We then use our specialized databases to locate comparable properties and sales, which prove that you are being overassessed or unfairly assessed. Once we have all of the key evidence, we will coordinate an appeal with Kieta Law, a firm that focuses on property tax matters. With the perfect evidence on your side, you and your attorney will be poised to land a reduction. You will not pay for any of this information upfront, and you will only be charged a portion of your tax savings if you and your attorney can lower your taxes.
