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CITY OF WEST CHICAGO
DEVELOPMENT COMMITTEE
AGENDA ITEM SUMMARY
ITEM TITLE:
AGENDA ITEM NUMBER: 5.a.
Downtown Investment Program
FILE NUMBER:
Ordinance No. 24-0-0044
COMMITTEE AGENDA DATE: November 11, 2024
COUNCIL AGENDA DATE:
STAFF REVIEW: Kelley Chrisse, AICP, CEcD SIGNATURE lal Chur
APPROVED BY CITY ADMINISTRATOR: Michael
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 redevel-
opment, 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 Fagade 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, “dif-
ficult” approval processes, need for three different estimates, and lack of interest by multiple con-
tractors for small projects.
The proposed Downtown Investment Program combines the Facade 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:
e Increasing the maximum funding amount for projects to encourage greater private investment;
e Allowing projects to include interior and/or exterior improvements with consistent requirements
under a single program;
e Categorizing improvements with corresponding reimbursement amounts based on the ex-
pected long-term impact;
e Encouraging larger, more comprehensive projects but allowing funding for smaller, property
maintenance projects at a lower amount;
e Providing additional funding for historically significant properties that are making major and/or
minor improvements; and
e 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 re-
sponses provided on the application will determine what other questions need to be answered.

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This approach is intended to minimize unnecessary questions and avoid duplication between differ-
ent application processes.
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 down-
town. 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 appli-
cants in their efforts to obtain estimates, but the selection of a contractor would remain the appli-
cant’s responsibility.
The proposed Downtown Investment Program has been unanimously recommended by the Eco-
nomic Development Commission (EDC) at their October 22, 2024 meeting. Additionally, the EDC
has recommended a budget for FY 2025 of $125,000 to be funded from the Downtown TIF #2
Fund, supplemented with funds from the General Fund until such time as the TIF Fund has suffi-
cient increment to cover the approved budget for the Downtown Investment Program. This budget
request has been included in the draft budget for consideration. As the current Fagade Improve-
ment Grant Program is codified, the prepared ordinance repeals the applicable Article.
ACTIONS PROPOSED:
Consideration of Ordinance No. 24-O0-0044 to repeal the Fagade Program and approve the Down-
town Investment Program.
COMMITTEE RECOMMENDATION:

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ORDINANCE NO. 24-0-0044
AN ORDINANCE AMENDING THE CODE OF ORDINANCES
OF THE CITY OF WEST CHICAGO TO REPEAL THE FACADE PROGRAM IN
CHAPTER 4, BUILDINGS AND BUILDING REGULATIONS, AND ESTABLISH THE
DOWNTOWN INVESTMENT PROGRAM
WHEREAS, the City of West Chicago (“City”) has previously established the Turner
Junction Historic District (“District”); and
WHEREAS, the City established the Fagade Program on July 5, 1994 via Ordinance 2795
to provide funding assistance for certain exterior rehabilitation, repairs and/or improvements with
respect to property within the District; and
WHEREAS, the City has made subsequent revisions to the Program over the years,
including those in Ordinance 4301 approved on April 3, 2000 to expand the Facade Program to
areas outside the Turner Junction Historic District; and
WHEREAS, the City established a Retail & Restaurant Business Grant Program via
Resolution No. 2013-R-0006 on January 21, 2013 to provide financial assistance to strengthen
retail business activity within the downtown; and
WHEREAS, the City designated the City of West Chicago Downtown Tax Increment
Financing District No. 2 Redevelopment Project Area (“RPA”) via Ordinance 22-O-0007 on
March 7, 2022; and
WHEREAS, the City established the Downtown Tax Increment Financing District No. 2
via Ordinance 22-O-0008 on March 7, 2022; and
WHEREAS, the City is authorized through the Downtown TIF No. 2 RPA to provide
financial assistance that results in increased property tax revenues, increased sales tax revenues,
job creation, and other benefits within the RPA; and
WHEREAS, the Mayor and City Council of the City have found that it is in the best
interests of the City to repeal the Fagade Program and establish the Downtown Investment Program
to consolidate the Fagade Program and elements of the Retail & Restaurant Grant Programs and
further the purposes of the RPA.
NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COUNCIL
OF THE CITY OF WEST CHICAGO, DUPAGE COUNTY, ILLINOIS, AS FOLLOWS:
SECTION 1: Recitals. The recitals above shall be and are hereby incorporated in this
Section | as if restated herein.
SECTION 2: Amendment. Chapter 4, Article VI. Fagade Program is hereby amended by
deleting it in its entirety.
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SECTION 3: Approval. The Downtown Investment Program (“Program”) is hereby
approved as outlined in Exhibit A (attached).
SECTION 4: Implementation. The City Administrator, or designee, is hereby authorized
and directed to take all necessary and appropriate action to implement the Program, including
creating application form(s) that will allow for City staff to review and determine if submission
and eligibility requirements are met.
SECTION 5: Severability. That if any Section, paragraph or provision of this Ordinance
shall be held to be invalid or unenforceable for any reason, the invalidity or unenforceability of
such Section, paragraph or provision shall not affect any of the remaining provisions of this
Ordinance.
SECTION 6: Repeal. That all ordinances, resolutions, motions or parts thereof in conflict
with this Ordinance shall be and the same are hereby repealed.
SECTION 7: Effect. That this Ordinance shall be in full force and effect on January 1,
2025.
PASSED this 18" day of November 2024.
Alderman D. Beebe Alderman L. Chassee
Alderman J. Sheahan
Alderman A. Hallett
Alderman M. Birch-Ferguson
Alderman C. Swiatek
Alderman R. Stout
Alderman J. Banas
Alderman H. Brown
Alderman C. Dettmann
Alderman S. Dimas
Alderman J. Smith, Jr.
Alderman J. Short
Alderman J. Morano
LTT
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APPROVED as to form:
City Attorney
APPROVED this 18 day of November 2024.
Mayor Ruben Pineda
ATTEST:
Valeria Perez, Executive Office Manager
PUBLISHED: November 19, 2024
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Exhibit A
City of West Chicago
DOWNTOWN INVESTMENT PROGRAM
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 Il Redevelopment Plan including but not limited
to reducing or eliminating the recurrence of blighted conditions.
ll. GRANT ELIGIBLITY
1. Properties. For purposes
of this Program, the term
property refers to real
estate as identified by a
parcel identification number
(PIN). Commercial and
mixed-use properties
located within Downtown
TIF District No. 2 improved
with existing buildings are
eligible for participation in
this Program. Properties
and spaces used only for
residential purposes (e.g.
apartments) are not eligible
for grant funding.
2. Applicants.
A. Property and business
CITY OF WEST CHICAGO-
DOWNTOWN TIF 2
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- L
ess NG eens =
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f joo
owners of property specified in Sec. Il.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
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assessment owed to the City, County, or State as documented by the City or County
is ineligible until the outstanding tax, fine, fee or special assessment is paid.
Ill. 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.
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;
Improvements that do not comply with the approved Certificate of Appropriateness
(COA), building permit(s), and/or zoning regulations;
Improvements that increase non-conforming conditions;
Labor associated with work performed by an Applicant and/or the Property Owner are
not eligible to be monetized and reimbursed;
Work required to address code violations identified on a Notice To Appear (NTA); and
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).
Funding Maximums.
A. Funding awards are determined by the lowest of the three (3) estimates submitted 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.
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.
am OO
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IV. DESIGN GUIDELINES
All proposed exterior improvements within the Turner Junction Historic District shall be
compatible with the downtown area; specifically, these improvements should:
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.
1.
V. APPLICATION REVIEW PROCESS
Pre-Application Meeting. Interested parties should schedule a pre-application
meeting with staff at (630) 818-3331 or kchrisse@westchicago.org. The purpose of
the meeting is to discuss the Program details, proposed improvements, and Project
eligibility.
Request for Funding. The Applicant shall submit a formal application for funding,
which must be accompanied by the following items:
1.
A.
B
C.
D
E
xIqgm
Proof of property ownership;
. Acopy of the signed sales contract, current lease, and/or written consent from the
property owner, as applicable;
Proof of paid property taxes;
. Photos of the subject property to be improved;
. 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. 1).
Plans, drawings and/or visual depictions of the proposed improvements;
. Material and color sample(s) of exterior improvements, if requested;
. 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
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.
Accompanying Applications.
A.
B.
If the property is within the Turner Junction Historic District and the Project
includes exterior improvements, 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.
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.
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
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reviewed for eligibility and compliance with the terms of this Program.
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) An 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) An 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
. 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 shall not commence until the building permit has also
been issued.
Work in ROW. Improvements located in the right-of-way (ROW) may require Public
Works approval via ROW permit or a license agreement.
. 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.
. Compliance Required. Strict compliance with the Grant Agreement, COA, and
building permit is required throughout and upon completion of the Project.
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 in 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 or within
twelve months of the execution of the Grant Agreement, as applicable.
Vil. 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.
Partial Reimbursement. Reimbursements during the Project construction may be
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requested by the Applicant only if authorized in the Grant Agreement and in
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) Verification of project close-out, if a building permit was required;
2) Invoices for materials and equipment (when work is completed by the
Applicant);
3) Paid invoice from contractor(s);
4) Proof of payment (e.g. copies of canceled checks and/or credit card receipts);
5) Final waiver(s) of lien from each contractor; and
6) 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.
Vill. 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 two (2) years from the date of approval
unless the Project was not completed.
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Downtown Investment Program - Funding Categories
Maintenancettoms +d
Roofing repair or replacement that is part of the
historical fagade within the Turner Junction Historic
District
Installation of new accessible entrance
Tuckpointing
Exterior painting
Screening of unsightly utilities, including trash
enclosures
Major Improvements
Significant fagade renovation/enhancements, including
facade replacements
New or replacement signs (only includes under canopy,
window and projecting)
New or replacement awnings
New permanent under canopy/awning lighting
Repair or replacement of retaining walls on Turner Court
Facade cleaning and sealing
Restoration of brick
Repair of window frames, sills, and glazing
Gutter replacement
Repair of pitched roof and chimney or flue when it improves the
overall appearance of the building
Repair or replacement of roofs not visible from the public way
Restoration of original architectural features
Eligible Exterior
Improvement Expenses
New or replacement exterior doors and windows
Replacement or repair of exterior building materials or Incorporating permanent seating adjacent to the eligible
decorative elements
Adding permanent landscaped planters
and installing exterior art (not signage)
Installation or replacement of stairs, porch and handrails} Adding or replacing exterior lighting
Interior life safety improvements (e.g. fire walls,
sprinklers, egress, fire alarm, exit signs, automatic lights,
etc.)
New installation and replacement of commercial kitchen
fixtures (plumbing, hood and duct system, grease trap,
etc.) and associated utility work
Repair work to floors, walls, and ceilings
Building systems replacement or upgrades (e.g.
plumbing, electric, HVAC, etc.) and associated fixtures
Utility service line and equipment replacement,
including electric, gas, water, and sanitary
Installation of an elevator, chair lift, or ramp to access
another commercial space
Interior structural repairs & upgrades (e.g. load bearing
walls, roof beams, floor joists, ceiling repairs, etc.)
Retrofit of existing restrooms to meet accessibility
standards
Installation of new restrooms
Design fees related to the eligible improvements, as ap|
50% Reimbursement (or 65% of the material and
equipment expenses if applicant does the work
themselves, as applicable), up to $3,000
25% Reimbursement (or 65% of the material and equipment
expenses if applicant does work themselves, as applicable), up
to $5,000
35% Reimbursement, up to $30,000 (up to $50,000 for
buildings designated as landmarks or contributing to the
Turner Junction Historic District)
50% Reimbursement, up to $75,000 (up to $100,000 for
buildings designated as landmarks or contributing to the
Turner Junction Historic District)