Illinois is rebuilding and modernizing its infrastructure thanks to Governor Pritzker’s bi-partisan ReBuild Illinois infrastructure investment program and President Biden’s Infrastructure Investment and Jobs Act, which also had bi-partisan support. As a result of these investments, Illinois’ aging and crumbling infrastructure is being modernized at a rapid rate to ensure we have clean air and water and safe and modern roads and bridges—all designed by the nation’s most innovative and forward-thinking engineering firms, located right here in Illinois.

To meet the needs of a modern, 21^st-century infrastructure, these engineering firms invest a great deal in research and development.  Over the years, this investment has yielded exciting new ways to expand electric vehicle infrastructure, new processes to treat wastewater, replace lead water lines and the development of materials that allow roads and bridges to last longer—saving taxpayers critical dollars while reducing commuter delays.

But now, the ability of these engineering firms to continue to engage in life-changing research is under threat due to a recent change in the federal tax code.

Recently, Congress changed how Research & Development investments are taxed; this action has dealt a significant blow to engineering firms and nearly every business focused on innovation. Companies can no longer deduct R&D expenses the year they occur and, instead, must spread those expenses over five years. While many in Congress may have viewed this as an insignificant change, these unintended consequences could potentially cripple innovation and job growth for engineering firms. The simple truth is this new requirement is forcing Illinois employers of all sizes—small firms to large firms-- to choose between investing in good jobs and game-changing technology or taking out loans to pay to the IRS.  That dilemma should concern all of us.

Just as IIJA was approved by Congress with bi-partisan support, we now need Congress to remove this hurdle and double-down on their commitment to innovation and modernization of our nation’s infrastructure.  Thankfully, Illinois House Members have demonstrated bi-partisan support for this critical fix, but time is running out for Congressional action. If we want to remain the world’s leader in innovation, Congress must act now.

Kevin Artl is the President and CEO of the American Council of Engineering Companies of Illinois