State Farm, the nationally-known insurance chain headquartered in Bloomington, Illinois, has apparently had its fill of “The Land of Lincoln’s” confiscatory taxes. The 800 million dollar company is reported to have purchased “substantial workspace” in the Dallas, Texas area. The giant insurance firm’s workers are being kept in the dark reportedly to avoid “alarming them”; but is it their workers or the State of Illinois they would like to keep in the dark about this move? If this doesn’t signal State Farm’s coming dash out of Illinois’s clutches, what could it mean?
A knowledgeable Dallas real estate insider has called this impending move “a major business relocation” of record-breaking proportions. The numbers involved are approximately 2.5 million square feet of workspace and thousands of workers. No company in Dallas’ history has made a move this large.
Texas isn’t the only state State Farm is running to. There has also been a report that it has leased office space in Atlanta. The combined amount of both new locations roughly equals the 3.5 million square feet it has in Bloomington.
These moves should come as no surprise to anyone. In spite of (or maybe because of) raising its corporate and personal income tax rate by 67% in 2010, Illinois has seen its credit rating fall and its deficit raise. A review of the tax structure in Georgia shows the personal and corporate income tax is 4% as compared to Illinois’ 6.25%.
Texas has no personal or corporate income tax.
Add to this the fact that the gasoline tax in Illinois is 60.9 cents per gallon (while Texas collects just 38.4 cents per gallon and Georgia charges 47 cents tax on a gallon of gas), and it is easy to see why any company or individual would want to move.
The worst thing about the coming loss of jobs in Bloomington is that both the town’s state senator and Assembly representative are Republicans who did not vote for the policies that have destroyed their state and local economies.
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GO State Farm, leave the Gangster Sate in the Dust.
I live in Illinois and I certainly understand State Farm decision on moving. To the Governor and the majority of the Illinois voters I say; “You reap what you sow.”
I apologize to the Good People in Illinois in my above post.
Please don’t apologize… the vast majority are Liberals and the very, very few who are conservative understand and agrees, Illinois should get what she deserves.
Go for the gusto state farm, states will have to learn how the retain businesses all over again. I live in New York and they are doing the same thing, chasing away jobs. This whole house of cards will fall someday and then we will get to do it all over again.
State Farm moves to either of those States or both and I certainly will switch my insurance to them to support them. even willing to pay a little higher premium if need be to support their move. Illinois and particularly Chicago has been a thorn in the side of America for far to long. Its right up there with DC and California.
I worked for State Farm for over 15 yrs and I hate them with a passion. Personal reasons.But I am here to give them kudos and thank them for sticking it to Illinois. Illinois has screwed over the people for so many years and have such a corrupt gang of politicians, they deserve to lose all their big business. They are on their way to being Detroit anyway. Crooked politicians in bed with gangster unions. What has gone around is coming around.
Yes, I am a Texan and yes, we will welcome State Farm into our family. I will be honest with you and let you know off hand that I do not intend changing my insurance carrier that I have had for many years. I am glad to see this move. It is payback time for what the Idiot Mayor of Chicago did to Meigs Field a few years back. What goes ’round comes ’round. We pilots in all states hated that illegal move he made.
The same thing has and still is happening in California. Some people (states) just don’t get it. The biggest problem in our country is “no common sense”!
The biggest problem in America is most people / voters don’t care as long as every thing seems to be going OK in their life’s and they trust The Big, Bad, behemoth, Bloated, Bankrupt Gimme-mint and think they are concerned about their well being. Most people have been “Dumbed Down” from listening to the Manure Spreading propaganda Non-News networks and are to lazy to think or find out a little more info to help them see what is going “Down”. Just my opinion.
Pure speculation with little or no basis. The total square footage investment in Texas by State Farm is a mere fraction of their facilities in the Bloomingto-Normal area. Personally, I think this is irresponsible rumor mongering (no, I’m not a SF employee). If you really want to speculate about State Farm or any other MUTUAL insurer based in Illinois, here’s the fact you need to consider. In 1994, Illinois was the first state to pass legislation providing a means for MUTUAL companies to de-mutualize, thus allowing them to sell stock to raise capital, become publicly traded, etc. Interesting that Illinois was/is also home to the largest MUTUAL insurance company in the US. Speculate on that, while you’re speculating on the move to Texas.
Frapha
Try again troll, the squre footage for State Farm Illinois is 2 million http://www.google.com/url?sa=t&rct=j&q=&esrc=s&frm=1&source=web&cd=1&sqi=2&ved=0CDAQFjAA&url=http%3A%2F%2Fwww.energystar.gov%2Findex.cfm%3Ffuseaction%3Dlabeled_buildings.showProfile%26profile_id%3D1009562&ei=C5IrUYqmIpTo8wSihoHYDw&usg=AFQjCNFViMyLjFJsAw5h7NlijabEDz08hA I guess you can’t hand the truth
Saying that State Farm’s renting this much space in a state that is business friendly means nothing is foolish.
“Coach” – On top of the building referenced in that article, State Farm has two other complexes in Bloomington and numerous smaller facilities in the area. Its Corporate South complex adds an additional 1.8 million square feet, and it’s downtown building adds several hundred thousand more. This article was pure speculation and mostly incorrect.
WHO cares Fruit Cake.