Chicago City Wire

Reforms aimed at improving social mobility for low-income residents in Illinois have been proposed by experts from various institutes. The report suggests seven key solutions that could help the state rank among the top 10 for social mobility, offering better opportunities for residents to improve their quality of life.

The recommendations include revising the state's occupational licensing requirements. "The state should be regularly reviewing and removing licensing requirements, particularly on professions that shouldn’t require an occupational license such as community association manager or cemetery customer service employee," the report states. It also suggests enacting universal license recognition to reduce barriers for minorities and low-income individuals.

Another proposal is to reduce the instances of restrictive language in Illinois' administrative code. Currently, there are 282,000 instances compared to a national average of 135,000. Lowering these restrictions could facilitate business operations and individual innovation.

Adjusting the property tax rate is another recommendation. The current rate stands at 1.95%, which is significantly higher than the national average of 0.72%. Similarly, replacing the corporate tax with a state gross receipts tax is suggested as a way to eliminate special privileges benefiting politically connected firms.

The report also calls for reforms in civil asset forfeiture policies, highlighting that law enforcement agencies can keep up to 90% of seized assets. This practice has been criticized for disproportionately affecting low-income and minority communities.

Improving returns on investment in higher education is another focus area. The report notes that Illinois students experience a negative return on their college degrees compared to neighboring states.

Finally, promoting what is termed as the "success sequence"—getting an education, finding full-time work, marrying before having children—is recommended as a proven path to enhance social mobility and strengthen families.

Josh Bandoch from the Illinois Policy Institute commented on these issues: “Many of the problems contributing to Illinois’ inequitable lack of opportunity are man-made, which means they have man-made policy solutions.” He emphasized reducing government regulations and taxes to improve living conditions for low-income residents.

Justin Callais from the Archbridge Institute added: “Illinoisans deserve a state government that does not hand its residents overly-burdensome regulations... The American Dream can exist in Illinois if the state takes its issues with corruption, poor legal policies and overregulation seriously.”

Additional suggestions include reforming zoning and permitting processes and reintroducing school choice options for low-income families. These measures aim to elevate Illinois into at least the top-25 states for social mobility.

Further details on this report can be accessed at illin.is/ILmobility.