===== PDF PAGE 1 ===== [Extraction: embedded PDF text] WHERE HISTORY & PROGRESS MEET Economic Development Commission Tuesday, July 23, 2024 - 10:30 a.m. West Chicago City Hall Committee Room B 475 Main Street, West Chicago, IL 60185 A G E N D A 1. Call to Order 2. Roll Call 3. Public Comment 4. Approval of the April 30, 2024 Meeting Minutes 5. Downtown Investment Program 6. Retail & Restaurant Grant Program 7. Economic Development Priorities – FY 2025 8. Staff Report 9. Commissioner Reports 10. Adjournment – Next Meeting Tuesday, October 22, 2024 at 10:30 a.m. 475 Main Street T 630.293.2200 Ruben Pineda MAYOR West Chicago, F 630.293.3028 Illinois westchicago.org MichaelCITY ADMINISTRATORL. Guttman 60185 ===== PDF PAGE 2 ===== [Extraction: embedded PDF text] DRAFT ECONOMIC DEVELOPMENT COMMISSION Special Meeting Minutes April 30, 2024 – 10:30 a.m. 1. Call to Order Chairperson Beles called the meeting to order at 10:31 a.m. 2. Roll Call Roll call found Chairperson Beles, and Commissioners Harms, Moran, Espinosa, Johnson (arrived at 11:52 a.m.), Sabathne, and Ventimiglia present. With six members present at the start of the meeting, a quorum was established. Aldermanic Liaison Hallett and the following staff were in attendance: Assistant Community Development Director/City Planner John Sterrett, Economic Development Coordinator Kelley Chrisse and Management Fellow Brady Fisher (left at 11:25 a.m.). 3. Public Comment None. 4. Approval of the January 23, 2024 Meeting Minutes Commissioner Moran made a motion to approve the January 23, 2024 Meeting Minutes, which was seconded by Commissioner Espinosa. The motion passed unanimously via voice vote (Commissioner Johnson had not yet arrived). 5. Façade Improvement Grant Program Proposed Revisions Ms. Chrisse provided an overview of the Façade Improvement Grant Program proposed revisions. Commissioner Ventimiglia suggested that proposed projects use visuals to convey the impact of the project (showing before and after) that can be used in marketing the program to others. There was a question as to how to protect the City from a property owner making improvements to a property using the Façade Grant and selling it. Discussion ensued regarding accountability and/or a claw back provision like a forgivable loan. There is an opportunity to require a maintenance period for any improvements made using the Façade Grant but the new owner would not be able to apply for more funding until after the wait/maintenance period. The consensus was that the sale of a property after improvements were made using the Façade Grant was not of concern due to the increased value of the property as a result of the improvements. Additionally, if a property owner did sell after making these improvements, staff would take that opportunity to invite that property owner to invest in a new property to make similar types of improvements. ===== PDF PAGE 3 ===== [Extraction: embedded PDF text] Commissioner Harms inquired about increasing the percentages for all categories of improvements. It was noted that if the allowable reimbursement for major façade improvements exceeded 50% of the cost of improvements, the amount of funding budgeted would be depleted quicker resulting in fewer projects that could be funded per year. As a result, the Commissioners agreed to increasing the reimbursement amounts for minor façade improvements to 35% and façade maintenance work to 25%. The new reimbursement percentages will provide additional funding for the type of work that is needed to maintain the properties in the downtown while still encouraging more transformative investments. 6. Retail & Restaurant Grant Program Discussion Ms. Chrisse described how the program has been in existence for more than a decade and only one grant has been awarded but not yet paid out. Ms. Chrisse provided an overview of the program and described staff concerns, which included the need for staff to review and “approve” a Business Plan as a criteria to receive funding and the maximum amount of funding per project. While there was consensus that new businesses should have a Business Plan, Commissioners agreed that staff should not be evaluating the viability of a business and questioned if the grant should be tied to a Business Plan at all. It was noted that businesses can craft a great business plan but they could still fail for a variety of reasons. Commissioners noted a concern about how reimbursing a business for marketing expenses if that business fails does not provide any lasting value to the community. However, it was agreed that interior improvements made to a property would not only increase the value of the property but would also make it more marketable for a future tenant, if the business applicant is not successful. There was discussion about three different types of interior improvements that could be subject to this funding: • Prospective restaurants have to make a significant investment to either build-out a new space that has no kitchen or to bring an existing kitchen up to code. As such, there was discussion about whether this amount should be increased to $20,000 or $30,000 for a restaurant build-out. • Potential retail space is less costly than a restaurant build-out but there are likely upgrades necessary to bring the space up to code and modernize the space. The current maximum reimbursement of $10,000 was determined to be adequate. • A new type of interior improvement was discussed, which is for the property owner to ready the space for a new tenant regardless of the intended use. This is likely to include work to improve the marketability of the space and could include upgrading HVAC, electrical, plumbing, fire alarm, sprinkler system, etc. It was agreed that there is no need to collect financials for three years after the business opens, as this information is provided to the City already. Discussion ensued regarding what else could be used as criteria for the grant if the Business Plan is not required or, at least, does not need to be approved as part of the grant approval. Commissioners also agreed that the branding and marketing expenses should be separated from the interior improvements. Economic Development Commission April 30, 2024 Draft Minutes Page 2 of 3 ===== PDF PAGE 4 ===== [Extraction: embedded PDF text] Without a Business Plan as criteria for approval, staff suggested that the process include three estimates to align with the process for the Façade Improvement Grant. There was some discussion about the need for three estimates for interior renovation work. Commissioner Johnson described how three estimates is industry standard to prevent fraud. Commissioners asked staff to evaluate programs in other communities to identify best practices and to determine comparability, especially since businesses may choose another community over West Chicago to locate if there is a better incentive. Staff will draft potential program revisions after reviewing successful programs in other communities for the Commission’s review at the next meeting. 7. Staff Report – Ms. Chrisse highlighted a few new businesses that have opened since the last meeting, which includes The Wrestling Room, Julio Garcia Enterprises and Muy Cool Party in the downtown. Additionally, The Whistle Stop has relocated to Main Street and Raised Bakery and Café has received a Certificate of Occupancy but does not plan to open until summer). Ms. Chrisse summarized the challenges identified by prospective developers when evaluating a mixed-use development in the downtown, which includes lack of maintenance, lack of private investment, and a number of commercial vacancies in addition to exorbitant requests for public assistance and low market rental rates that do not support current financing requirements. Staff reminded the Commission about this being National Small Business Week and to support small businesses in the community. 8. Commissioner Reports - None 9. Adjournment – Commissioner Espinosa made a motion to adjourn, which was seconded by Commissioner Moran. The motion passed unanimously by voice vote. The meeting was adjourned at 12:08 p.m. Respectfully Submitted, Kelley Chrisse, Economic Development Coordinator Economic Development Commission April 30, 2024 Draft Minutes Page 3 of 3 ===== PDF PAGE 5 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO ECONOMIC DEVELOPMENT COMMISSION AGENDA ITEM SUMMARY ITEM TITLE: AGENDA ITEM NUMBER: 5 Downtown Investment Program COMMISSION AGENDA DATE: 07/23/2024 STAFF REVIEW: Kelley Chrisse, AICP SIGNATURE ITEM SUMMARY: Private property investment improves the overall aesthetic, quality, and vitality of the downtown and the City as a whole. Renewed investment in the downtown increases the opportunity for redevelopment, whereas a lack of private investment can effectively hinder (re)development efforts. Unfortunately, there has been a lack of investment and in some cases general maintenance on private structures in the downtown. Additionally, there are still a number of commercial vacancies in the downtown resulting in less activity in the area. Despite the existing Façade Improvement and Retail & Restaurant Grant Programs having been around for many years, they are underutilized. Based on conversations with property and business owners, reasons they have not used the grant programs include lack of funding availability, amount of time required to obtain grant approval, “difficult” approval processes, need for three estimates, and lack of interest by multiple contractors for small projects. The proposed Downtown Investment Program combines the Façade Improvement and a portion of the Retail & Restaurant Grant programs related to physical property improvements to streamline the application process, provide flexibility in funding, and incentivize certain improvements/projects. As a way to overcome barriers to participation, the Downtown Investment Program includes: • Increasing the maximum funding amount for projects to encourage greater private investment; • Allowing projects to include interior and/or exterior improvements with consistent requirements as one grant program; • Categorizing improvements and corresponding reimbursement amounts based on the expected long-term impact; • Allowing funding for improvements that correct code violations and/or minimally address property maintenance but at a lower amount; • Providing additional funding for historically significant properties that are making major and/or minor improvements; and • Granting authority to the City Administrator, or designee, to approve maintenance items and streetscape improvements to reduce the approval timeline for smaller projects. In an effort to streamline the submittal process, Staff will combine the Downtown Investment Program and Certificate of Appropriateness (COA) applications, which will be available digitally. The responses provided on the application will determine what other questions need to be answered. This approach is intended to minimize unnecessary questions and avoid duplication between different application processes. ===== PDF PAGE 6 ===== [Extraction: embedded PDF text] To generate interest in these types of projects by the local businesses, Staff will be reaching out to contractors located within West Chicago and others that have done work on properties in the downtown. The contractors will be provided with an overview of the program and grant process, upon which interested contractors will be added to a participating contractor list that will be made available to potential applicants. This effort is intended to create a network of contractors and assist applicants in their efforts to obtain estimates, but the selection of a contractor would remain the applicant’s responsibility. The proposed Downtown Investment Program is attached for review and recommendation. As the Façade Improvement Grant Program is codified, the authorizing ordinance would need to be repealed and the chapter deleted in its entirety. A motion is requested to recommend the repeal of the existing program. ACTIONS PROPOSED: 1. Recommend approval to repeal Ordinance No. 4301 and delete Chapter 4, Article VI. Façade Program in its entirety. 2. Recommend approval of the proposed Downtown Investment Program. ===== PDF PAGE 7 ===== [Extraction: embedded PDF text] City of West Chicago DOWNTOWN INVESTMENT PROGRAM I. PROGRAM PURPOSE The Downtown Investment Program (“Program”) provides grant funding to promote revitalization and activation of downtown West Chicago that will spur future private development in the area. Reimbursement grants are provided to achieve the following: 1. Improve the overall image and increase property values within the downtown to strengthen the economy and quality of life in the City; 2. Remove and alleviate adverse conditions by encouraging private investment in the rehabilitation and maintenance of properties within the Downtown Tax Increment Financing (TIF) District No. 2; 3. Assist property and business owners with restoring, renovating, and modernizing existing structures, especially historically significant buildings, in the downtown to increase the marketability of commercial spaces and promote occupancy; and 4. Further the objectives of the Downtown TIF II Redevelopment Plan including but not limited to reducing or eliminating the recurrence of blighted conditions. II. GRANT ELIGIBLITY 1. Properties. Properties located within Downtown TIF District No. 2 are eligible for participation in this Program. Properties and spaces used only for residential purposes (e.g. apartments) are not eligible for grant funding. Properties with a current code violation are eligible for this Program provided that all violations are corrected as part of the proposed project. 2. Applicants. A. Property and business owners of property specified in Sec. II.1 are eligible to apply for funding under this Program. B. A lessee of an eligible property must have a remaining lease term of not less than five (5) years to apply for funding. C. Any Applicant who is delinquent in the payment of any tax, fine, fee, or special assessment owed to the City, County, or State as documented by the City or County Downtown Investment Program | Page 1 of 5 ===== PDF PAGE 8 ===== [Extraction: embedded PDF text] is ineligible until the outstanding tax, fine, fee or special assessment is paid. III. FUNDING QUALIFICATIONS 1. Eligible Expenses. The Program provides reimbursement for eligible interior & exterior improvements (“Project”) as categorized by the expected impact on property value and ability to extend the longevity of the property. A detailed list of eligible improvements and reimbursement maximums are listed in the Funding Categories (attached). The types of projects and expenses generally eligible for grant funding include: A. Major Improvements – represent a significant project (typically consisting of multiple elements) and investment resulting in a change to the structure that substantially changes the visual appearance, increases the value, and/or marketability of the property; B. Minor Improvements – consist of fewer improvements that generally lead to an incremental increase in value and/or marketability of the property while also improving the building’s aesthetic and functional use of the property; C. Maintenance Items – include any modifications that bring the building into code compliance and prevent deterioration of the property; D. Streetscape Improvements – consist of elements that require a smaller investment and are considered less permanent but make a noticeable improvement to the curb appeal of the property; and E. Design fees related to the eligible improvements. 2. Ineligible Expenses. Ineligible expenses include, but are not limited to: A. Improvements in progress or completed prior to approval and execution of a Grant Agreement, which establishes the approved scope of work and reimbursement amount, by and between the City and the Applicant; B. Improvements that do not comply with the approved Certificate of Appropriateness (COA), building permit(s), and/or zoning regulations; C. Improvements that increase non-conforming conditions; and D. Improvements not specifically listed as eligible, including but not limited to: 1) New or replacement wall signs; 2) Non-permanent interior improvements, including but not limited to interior design elements, interior finishes, (e.g. paint, tile, flooring, lighting and plumbing fixtures, etc.), moveable business furniture/equipment, and interior signage; 3) Interior improvements in a space used for residential purposes, unless required to preserve the integrity of the building infrastructure in a mixed-use structure; and 4) Media marketing and advertising (see Retail & Restaurant Grant Program). 3. Funding Maximums. A. Funding awards are determined by the lowest estimate for the Project scope in accordance with the maximum reimbursement listed by Funding Category (see attached). B. The maximum funding to be awarded for improvements to a single eligible property over the life of the Program is $100,000. C. The maximum funding available for any eligible Applicant over the life of the Program is $200,000 regardless of the number of eligible properties the Applicant owns or occupies. 4. Building Permit Fee Reduction. Building permit fees, with the exception of third-party review and inspection fees, for approved Projects will be reduced by fifty percent (50%). The building permit fee reduction is over and above the grant award and is discounted upon permit issuance. Downtown Investment Program | Page 2 of 5 ===== PDF PAGE 9 ===== [Extraction: embedded PDF text] IV. DESIGN GUIDELINES All proposed exterior improvements within the Turner Junction Historic District shall be compatible with the downtown area; specifically, these improvements should: 1. Focus on restorative construction; 2. Be compatible with the original building material and style; 3. Be compatible with predominant color schemes and window configurations; and 4. Be compatible with the general architectural theme of the historic district. V. APPLICATION REVIEW PROCESS 1. Pre-Application Meeting. Interested parties should schedule a pre-application meeting with Economic Development Coordinator at (630) 818-3331 or kchrisse@westchicago.org. The purpose of the meeting is to discuss the Program details, proposed improvements, and Project eligibility. 2. Request for Funding. The Applicant shall submit a formal application for funding, which must be accompanied by the following items: A. Proof of property ownership; B. A copy of the signed sales contract, current lease, and/or written consent from the property owner, as applicable; C. Proof of paid property taxes; D. Photos of the subject property to be improved; E. Narrative that incorporates: 1) Detailed description of the proposed scope of work; 2) Description of the use of the property and/or business; and 3) Identification of the merits of the project (i.e. how the Project achieves the Program Purpose in Sec. I). F. Plans, drawings and/or visual depictions of the proposed improvements; G. Material and color sample(s) of exterior improvements, if requested; H. Three (3) detailed, written estimates for the Project scope of work (alternatively, requests for material and equipment funding shall provide itemized quotes with applicable cut sheets); and I. Construction schedule for the Project with specific milestones identified for Projects not expected to be completed in twelve (12) months or for partial reimbursement requests. 3. Accompanying Applications. A. If the property is within the Turner Junction Historic District, the applicant shall concurrently file an application for a Certificate of Appropriateness (COA) with the Historical Preservation Commission (HPC). COA approval, if required, is a precondition to the City's consideration of the grant application. The HPC meets on the fourth Tuesday of each month, which could impact the timing of grant application processing. B. A building permit application, if required, is recommended to be submitted simultaneously to ensure that all code requirements are included in the Project scope, the estimates of which determines the grant award. When required by the Project scope of work, architectural drawings must be prepared by a designer (e.g. architect, structural engineer, etc.) licensed in Illinois. 4. Review and Approval. A. Any outstanding items required to complete the review and process the funding request will be coordinated with the Applicant. A complete application will be reviewed for eligibility and compliance with the terms of this Program. Downtown Investment Program | Page 3 of 5 ===== PDF PAGE 10 ===== [Extraction: embedded PDF text] B. The determination of Program eligibility (property, applicant, and scope of work) is at the discretion of the City. The City retains the right to approve an entire request, to approve portions of a request, suggest and/or ask for changes/additions to a request before approving, or to deny any request or a portion thereof. C. Upon issuance of a COA, the funding request will be processed for approval as follows: 1) The application for Major and/or Minor Improvements will be forwarded to the City Council, together with a recommendation, at the next available meeting (first and third Mondays of each month). The City Council shall determine whether, and the extent to which, the City will provide grant funding for the proposed project, subject to funding availability. If approved, the Mayor will execute the Grant Agreement on behalf of the City. 2) The application for Maintenance Items and Streetscape Improvements will be forwarded to the City Administrator, or designee, with a recommendation. The City Administrator, or designee, will determine if the Project meets the terms of the Program and, if so, authorize and execute the Grant Agreement with awards up to $5,000, subject to funding availability. D. The Applicant must execute the Grant Agreement before any portion of the Project may commence. VI. PROJECT COMMENCEMENT AND CONSTRUCTION 1. Building Permit. In addition to a fully executed Grant Agreement, a building permit may be required depending on the scope of work for the Project. If required, work on the Project subject to a permit may not commence until the building permit has also been issued. 2. Work in ROW. Improvements located in the right-of-way (ROW) may require Public Works approval via ROW permit or a license agreement. 3. Contractor Registration. The Applicant may use any contractor they wish but Projects requiring a building permit must be performed by registered contractor(s). Contractors subject to Contractor Registration requirements include general contractors as well as all sub-contractors. 4. Compliance Required. Strict compliance with the Grant Agreement, COA, and building permit is required throughout and upon completion of the Project. Code violations shall be corrected prior to closing out the Project. 5. Project Timeline. The Project must be started within ninety (90) days of grant approval and completed within twelve (12) months of the building permit issuance or grant approval, if no permit is required. An alternate timeline may be approved as part of the Grant Agreement, if requested as part of the proposed Construction Schedule. An extension may be granted by the City Council via an amendment to the Grant Agreement if requested in writing prior to the expiration of the building permit. VII. REIMBURSEMENT PROCESS 1. Reimbursement Amount. The Applicant shall be responsible for paying all expenses incurred for the Project and will only be reimbursed based on the actual amount paid in accordance with the Grant Agreement. 2. Partial Reimbursement. Reimbursements during the Project construction may be requested by the Applicant only if authorized in the Grant Agreement and in Downtown Investment Program | Page 4 of 5 ===== PDF PAGE 11 ===== [Extraction: embedded PDF text] accordance with specified milestones and funding amounts. A. The Applicant may request partial reimbursement by submitting the following: 1) Verification that a specific milestone has been met; 2) Invoices for materials and equipment (when work is completed by the Applicant); 3) Partially paid invoice from contractor(s); 4) Proof of partial payment (e.g. copies of canceled checks and/or credit card receipts); 5) Partial waiver(s) of lien from each contractor; and 6) IRS Form W-9. B. Upon receipt of all required documentation and verification of compliance with the terms of the Grant Agreement, the reimbursement request will be presented to the City Council for authorization at the next available meeting. 3. Full or Final Reimbursement. A. The Applicant must pass all inspections to close out the building permit, as applicable. A Certificate of Occupancy is not required to close out the building permit but could be used to demonstrate Project completion. B. To request reimbursement, the Applicant shall submit the following documents, as applicable, within sixty (60) days of project close-out: 1) Invoices for materials and equipment (when work is completed by the Applicant); 2) Paid invoice from contractor(s); 3) Proof of payment (e.g. copies of canceled checks and/or credit card receipts); 4) Final waiver(s) of lien from each contractor; and 5) IRS Form W-9, if not already provided. C. Upon receipt of all required documentation and verification of compliance with the terms of the Grant Agreement, the reimbursement request will be presented for City Council authorization at the next available meeting. VIII. MAINTENANCE 1. With the exception of Streetscape Improvements, the improvements made as part of the Project must be maintained for a period of five (5) years upon completion of the Project. 2. Upon entering into the Grant Agreement, the Applicant is not eligible to apply for a subsequent grant on the subject property for five (5) years from the date of approval unless the Project did not commence. Downtown Investment Program | Page 5 of 5 ===== PDF PAGE 12 ===== [Extraction: embedded PDF text] Downtown Investment Program - Funding Categories Major Improvements Minor Improvements Maintenance Items Streetscape Improvements Roofing repair or replacement that is part of the Repair or replacement of retaining walls on Turner Court Significant façade renovation/enhancements, including New or replacement signs (only includes under canopy, historical façade within the Turner Junction Historic façade replacements window and projecting) District Repair or replacement of roofs not visible from the public way Expenses related to addressing a property maintenance Restoration of original architectural features Installation of new accessible entrance New or replacement awnings Eligible Exterior violation not considered a major improvement Improvement Expenses Tuckpointing Repair of window frames, sills, and glazing New or replacement exterior doors and windows New permanent under canopy/awning lighting Exterior painting Gutter replacement Replacement or repair of exterior building materials or Screening of unsightly utilities, including trash Repair of pitched roof and chimney or flue when it improves the Incorporating permanent seating adjacent to the eligible decorative elements enclosures overall appearance of the building property Restoration of brick Adding permanent landscaped planters Installation or replacement of stairs, porch and handrails Adding or replacing exterior lighting Façade cleaning and sealing Creating and installing exterior art (not signage) New installation and replacement of commercial kitchen Interior life safety improvements (e.g. fire walls, Expenses related to addressing a code violation not otherwise fixtures (plumbing, hood and duct system, grease trap, sprinklers, egress, fire alarm, exit signs, automatic lights, listed etc.) and associated utility work etc.) Utility service line and equipment replacement, Building systems replacement or upgrades (e.g. Eligible Interior Repair work to floors, walls, and ceilings including electric, gas, water, and sanitary plumbing, electric, HVAC, etc.) and associated fixtures Improvement Expenses Interior structural repairs & upgrades (e.g. load bearing Installation of an elevator, chair lift, or ramp to access walls, roof beams, floor joists, ceiling repairs, etc.) another commercial space Retrofit of existing restrooms to meet accessibility Installation of new restrooms standards Other Eligible Expenses Design fees related to the eligible improvements, as applicable 50% Reimbursement, up to $75,000 (up to $100,000 for 35% Reimbursement, up to $30,000 (up to $50,000 for 25% Reimbursement, up to $5,000 or 50% reimbursement, up to $3,000 or Maximum buildings designated as landmarks or contributing to the buildings designated as landmarks or contributing to the 65% of the material and equipment expenses if applicant does 65% of the material and equipment expenses if applicant Reimbursement Turner Junction Historic District) Turner Junction Historic District) work themselves, as applicable does the work themselves, as applicable ===== PDF PAGE 13 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO ECONOMIC DEVELOPMENT COMMISSION AGENDA ITEM SUMMARY ITEM TITLE: AGENDA ITEM NUMBER: 6 Downtown Retail & Restaurant Business Grant Program Revisions COMMISSION AGENDA DATE: 07/23/2024 STAFF REVIEW: Kelley Chrisse, AICP SIGNATURE ITEM SUMMARY: The Downtown Retail & Restaurant Business Grant Program was adopted by the City Council in 2013 to strengthen retail business activity in the downtown. There has only been one grant awarded in the program’s history. The business subject to the grant has not yet opened so there has not been any reimbursement made for this program to date. With only one Applicant since the program was adopted, revisions are being proposed to attract interest and support new retailers and restaurants in the downtown. With expenses related to the build-out of retail and restaurant spaces being moved to the proposed Downtown Investment Program, the Retail & Restaurant Grant Program can now prioritize tools that will support the business’ success upon opening or expansion. Key revisions to the Retail & Restaurant Grant Program include: • Shift the improvements to build-out a retail or restaurant to the Downtown Investment Program to create consistency of requirements and prioritize these improvements; • Streamline the approval process by eliminating the Selection Committee, recognizing that Staff lacks the technical capacity to determine the viability of a business plan; • Recognizing the value of a business plan for new and expanding businesses, retain the need to provide a business plan as an application requirement and have the Applicant demonstrate how the Program funding will support the plan; and • Expand eligible expenses: • Retail consulting services; • Visual merchandising services; • Online sales platforms; and • Website development. Attached is the proposed policy for the Downtown Retail & Restaurant Grant Program. ACTION PROPOSED: Recommend approval of the proposed Retail & Restaurant Grant Program. ===== PDF PAGE 14 ===== [Extraction: embedded PDF text] City of West Chicago RETAIL AND RESTAURANT GRANT PROGRAM I. PROGRAM PURPOSE The Retail and Restaurant Grant Program (“Program”) provides grant funding to strengthen retail business activity in the Downtown by attracting new retail and restaurant businesses as well as assisting existing retailers and restaurants. II. GRANT ELIGIBLITY 1. Location. A. Businesses must be locating within Downtown TIF District No. 2 in order to apply for this Program. B. Existing businesses may apply if they are located within the district with plans to expand or are located outside the district with plans to open an additional location within the TIF District. C. All businesses applying for a grant under the Program must occupy a first-floor space on a public street to operate a retail or restaurant business. A lessee of an eligible property must have a remaining lease term of not less than three (3) years to apply for funding. 2. Operations. A. To be eligible for this Program, a business must offer merchandise and/or food to the public, the sale or providing of which is subject to sales tax (“Retail Sales”), and from which the revenue derived constitutes the majority of the revenue of the business. Professional and medical offices, salons and other service businesses are not eligible. Businesses that include Retail and/or Food & Beverage Sales as a complementary use to a primary use other than a Retail or Restaurant business may be considered for a grant under the Program, at the City’s discretion, if the Retail or Restaurant use is demonstrated to be a significant financial component of the overall business. B. All businesses applying for this Program must submit an application, obtain approval, and enter into a Grant Agreement prior to the opening or commencement of the retail Retail & Restaurant Grant Program | Page 1 of 3 ===== PDF PAGE 15 ===== [Extraction: embedded PDF text] or restaurant project. III. FUNDING QUALIFICATIONS 1. Eligible Expenses. The Program provides reimbursement for eligible expenses (“Project”), which includes: A. Retail consulting services; B. Visual merchandising services; C. Online sales platforms; D. Website development; and E. Marketing and advertising. 2. Ineligible Expenses. Ineligible expenses include, but are not limited to: A. Expenses incurred prior to approval and execution of a Grant Agreement, which establishes the approved grant award, by and between the City and the Applicant; B. Expenses not specifically listed as eligible, including but not limited to: 1) Physical improvements to the property (see Downtown Investment Program); 2) Rent; 3) Payroll; and 4) Inventory. 3. Grant Funding. A. Grants will be awarded for up to 50% of the Project cost with a maximum of $10,000. B. Only one grant will be awarded per business for each location and/or expansion project. IV. APPLICATION REVIEW PROCESS 1. Pre-Application Meeting. Interested parties should schedule a pre-application meeting with the Economic Development Coordinator at (630) 818-3331 or kchrisse@westchicago.org. The purpose of the meeting is to discuss the proposed business and discuss the Program details and eligibility. 2. Request for Funding. A formal application for funding is required, which must be accompanied by the following items: A. Business Plan; B. Copy of the lease that has a remaining term of at least three (3) years on a first- floor commercial space on a public street in the Downtown TIF No. 2; C. Narrative that describes: 1) The Project scope (intended use of the grant funding); and 2) How the business will contribute to or enhance the activity in the downtown, which may include: 1. Anticipated sales tax revenue; 2. Expected job creation; and 3. Overall business activity that will contribute to the mix of businesses in the downtown. 3. Review and Approval. A. Any outstanding items required to complete the review and process the funding request will be coordinated with the Applicant. A complete application will be reviewed for eligibility and compliance with the terms of this Program. B. The determination of Program eligibility is at the discretion of the City. The City retains the right to approve an entire request, to approve portions of a request, suggest and/or ask for changes/additions to a request before approving, or to deny any request or a portion thereof. Retail & Restaurant Grant Program | Page 2 of 3 ===== PDF PAGE 16 ===== [Extraction: embedded PDF text] C. The application will be forwarded to the City Council, together with a recommendation, at the next available meeting (first and third Mondays of each month). The City Council shall determine whether, and the extent to which, the City will provide grant funding for the proposed project, subject to funding availability. The City Council has the right to amend or waive program terms and conditions to accommodate special circumstances. If approved, the Mayor will execute the Grant Agreement on behalf of the City. D. The Applicant must execute the Grant Agreement before any portion of the Project may commence. V. PROJECT CONDITIONS 1. Project Timeline. All businesses approved for a grant must obtain occupancy, register the business, and open for business within six (6) months from the date of grant approval by the City. Exceptions may be considered at the time of approval if the Applicant is concurrently completing property improvements that would delay the opening. 2. Compliance Required. Strict compliance with the Grant Agreement is required throughout and upon completion of the Project. Failure to abide by the terms of the Grant Agreement will result in forfeiture of funding, at the discretion of the City. VI. REIMBURSEMENT PROCESS 1. Reimbursement Amount. The Applicant shall be responsible for paying all expenses for the Project and will only be reimbursed based on the actual costs incurred in accordance with the Grant Agreement. 2. Reimbursement Process. A. To request reimbursement, the Applicant shall submit the following documents, as applicable, within twelve (12) months of registering the business or grant approval, if the business is already registered: 1) Invoice itemizing service(s) provided; 2) Proof of payment (e.g. copies of canceled checks and/or credit card receipts); 3) Final waiver(s) of lien from each consultant/contractor, as applicable; and 4) IRS Form W-9. B. Upon receipt of all required documentation and verification of compliance with the terms of the Grant Agreement, the reimbursement request will be presented for City Council authorization at the next available meeting. Retail & Restaurant Grant Program | Page 3 of 3 ===== PDF PAGE 17 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO ECONOMIC DEVELOPMENT COMMISSION AGENDA ITEM SUMMARY ITEM TITLE: AGENDA ITEM NUMBER: 7 Economic Development Priorities – FY 2025 COMMISSION AGENDA DATE: 07/23/2024 STAFF REVIEW: Kelley Chrisse, AICP SIGNATURE ITEM SUMMARY: As a reminder, the roles of the Economic Development Commission is to: 1. Make recommendations to the City Council of the City of West Chicago for the fostering and cultivation of an environment in which commercial, cultural and community enterprises will flourish within the corporate limits of the City of West Chicago; 2. Provide input to the City Council on various matters to facilitate economic growth and business development within the City of West Chicago; 3. Collaborate with the City Council and staff to realize appropriate goals and objectives relating to sound business policies, an increased tax base and increased employment opportunities; and 4. Cooperate with the professional city staff to administer all commission programs and activities. To assist in developing a list of economic development priorities for the upcoming fiscal year, attached is a list of economic development priorities that have been previously identified in various planning documents. The direction provided by the Commission will assist staff in preparing a budget request for economic development activities in the coming year. ACTION PROPOSED: Staff is requesting feedback on FY 2025 Economic Development priorities. ===== PDF PAGE 18 ===== [Extraction: embedded PDF text] Planning Priorities/Big Ideas Document Elevate West Chicago's competitive position as one of the prominent commercial centers & Strategic Plan major employment hubs within DuPage County & the suburban Chicago region Invest in and launch a robust, proactive economic development program, led by the City, that partners with the business & real estate development community to promote West Strategic Plan Chicago as a place to invest in a range of commercial & industrial uses, & build an entrepreneurial spirit Establish targeted investment & economic development strategies for each area of the Strategic Plan City's five defined business districts, tailored to corridor & site-specific conditions Economic Development Embrace manufacturing as the predominant sector within the City Plan Economic Development Support businesses in emerging employment sectors Plan Economic Development Establish a formal Business Retention and Expansion (BRE) program Plan Enhance West Chicago's image within DuPage County & the suburban Chicago region Strategic Plan including elevating its distinct sense of place & community character Establish formal marketing plan that promotes West Chicago's unique attributes & elevates the City's image within DuPage County & the Chicago region as a railroad Strategic Plan "hometown" independent of recent suburbanization Continue & elevate ongoing efforts to track, monitor, & assess how West Chicago is presented in the regional Chicago media, while establishing a proactive Public Strategic Plan Information Officer (PIO) function to centralize a "Success Story Center" in the City & pursue earned media & press coverage opportunities Create a 10-year placemaking & infrastructure investment strategy that emphasizes Strategic Plan physical improvements that elevate the appearance & image of West Chicago Downtown: The Heart of West Chicago Comprehensive Plan Leverage partnerships around West Chicago’s cultural and arts programming to support a community cornerstone: the focused redevelopment of the 1869 Chicago & North Comprehensive Plan Western Depot Comprehensive Plan, Economic Development Increase and support residential housing Downtown, including transit-oriented Plan & Central-Main development Street Redevelopment Plan Enhance connections and wayfinding to open spaces and recreational areas for Comprehensive Plan pedestrians, bikers, drivers, and all others on the move Improve and expand support for current and potential businesses and owners to locate or Comprehensive Plan grow their businesses Downtown Inspire bold, creative, and fun placemaking ideas and special events for residents and Comprehensive Plan visitors ===== PDF PAGE 19 ===== [Extraction: embedded PDF text] Planning Priorities/Big Ideas Document Small Business Incubation and Support Comprehensive Plan Support existing and future small businesses and guide entrepreneurs to successfully Comprehensive Plan & bring their ideas to fruition, with a strong focus on Downtown and Latino- and minority- Central-Main Street owned businesses Redevelopment Plan Increase opportunities for small businesses to reach new audiences through pop-ups, Comprehensive Plan short-term leases, creative partnerships, and special events Ease regulations and permitting requirements for small businesses Comprehensive Plan Expand small business financial incentives and connect small businesses to financing Comprehensive Plan opportunities Identify opportunities for recreational or food and beverage businesses along the Prairie Comprehensive Plan Path, and explore partnerships to market those opportunities Economic Development Encourage small business incubator and accelerator space Plan & Strategic Plan