===== PDF PAGE 4 ===== CITY OF WEST CHICAGO ECONOMIC DEVELOPMENT COMMITTEE AGENDA ITEM SUMMARY ITEM TITLE: AGENDA ITEM NUMBER: 5 Business Support Program during Downtown MEETING DATE: October 27, 2026 Construction STAFF REVIEW: Kelley Chrisse, AICP, CEcD SIGNATURE __________________________ ITEM SUMMARY: As the City of West Chicago advances downtown infrastructure and streetscape improvements, con- struction activities along Main Street may affect business visibility, customer access, parking, pedes- trian circulation, and overall commercial activity. Although these improvements are intended to strengthen downtown's long-term economic vitality, a coordinated business-support effort may help businesses maintain customer activity and navigate temporary construction-related disruptions. The City has proposed $50,000 in the draft 2027 budget to support businesses during construction. Potential strategies include marketing assistance, direct construction impact grants, and annual busi- ness registration and license fee relief. These approaches differ in purpose, cost, eligibility require- ments, and implementation timelines. Because annual business registration and license renewals begin in November 2026, preliminary direction on potential fee relief is particularly time-sensitive. This memorandum seeks the Economic Development Commission's (EDC) input on which strategies should be prioritized, the geographic scope of assistance, and whether staff should develop a formal program proposal. No specific program structure or expenditure is proposed for approval at this stage. EXISTING DOWNTOWN BUSINESS ASSISTANCE PROGRAMS The City currently offers two grant programs within Downtown Tax Increment Financing (TIF) District. The Downtown Investment Program supports eligible interior and exterior property improvements, including façade renovations, awnings, qualifying signage, exterior lighting, window and door im- provements, and accessibility improvements. Business and property owners may use this program to improve storefront appearance, visibility, and customer access, subject to program eligibility and ap- proval requirements. The Downtown Retail & Restaurant Grant Program provides reimbursement for eligible business-de- velopment expenses, including consulting, website development, visual merchandising, and market- ing. Both programs offer opportunities for businesses to make improvements that support customer engagement and long-term growth. These programs could complement construction-season assistance, although certain temporary needs may fall outside existing eligibility requirements. Staff would coordinate assistance to avoid funding the same expense through multiple City programs. PLANNED CONSTRUCTION-SEASON BUSINESS SUPPORT In addition to potential financial assistance, the City anticipates coordinating activities to help busi- nesses remain visible and accessible during construction. ===== PDF PAGE 5 ===== 1. Coordinated Business Promotions: Staff will work with downtown businesses to encourage more consistent coordination of promotions, including shared advertising opportunities, sea- sonal campaigns, and participation in community events. These efforts would complement in- dividual business marketing and reinforce downtown as a destination throughout construction. 2. Temporary Wayfinding and Business Access Signage: The City anticipates coordinating with the construction team and contractors to provide temporary signage directing customers to open businesses, available parking, entrances, and pedestrian routes. Potential measures include consistent wayfinding signs and sidewalk decals, subject to applicable safety, accessi- bility, and right-of-way requirements. Staff will evaluate opportunities to incorporate these measures into the construction project or address them separately from the proposed busi- ness-support allocation. BUSINESS SUPPORT STRATEGIES FOR CONSIDERATION The following approaches could help businesses navigate construction-related impacts while sup- porting their continued success. The Commission may recommend one or more strategies based on anticipated needs, available funding, and administrative requirements. Marketing assistance and con- struction impact grants would be funded through the proposed $50,000 allocation, while fee relief would reduce City revenue. Businesses could potentially participate in multiple assistance programs, including existing City grant programs, provided eligibility requirements are met and the same ex- pense is not funded more than once. 1. Annual Business Registration and License Fee Assistance The City could consider reducing or waiving eligible annual business registration and license fees for qualifying downtown businesses during the 2027 construction period. Because the re- newal process begins in November 2026, timely direction is needed before renewal notices and payments are processed. Preliminary estimates indicate that waiving annual business registration fees would reduce City revenue by approximately $3,000, while waiving eligible specialty license fees, including liquor, tobacco, and video gaming licenses, would reduce revenue by approximately $26,000. The combined estimated revenue loss would be $29,000, separate from the proposed $50,000 business-support allocation. Businesses would remain responsible for completing required ap- plications and meeting applicable licensing requirements. Fee relief would provide immediate financial assistance without requiring a separate grant ap- plication. However, the benefit would vary considerably based on the licenses held rather than the level of construction impact, raising questions about equitable distribution. Implementation would also require staff coordination to establish eligibility, adjust renewal billing, and adminis- ter the waivers. The Commission could consider whether the benefits justify the estimated revenue loss and administrative requirements, which fees should be eligible, and whether assistance should ex- tend throughout the downtown B-1 District or be limited to businesses directly affected by con- struction. 2. Downtown Construction Marketing Assistance Program The City could establish a marketing assistance program to help businesses maintain visibility and attract customers during construction while strengthening their marketing capabilities for continued growth afterward. The City would contract with one or more qualified marketing firms to provide approved services directly to eligible businesses, up to an established maxi- mum amount per business. ===== PDF PAGE 6 ===== Participating businesses would work with selected providers to identify services that meet their needs, such as digital advertising, social media campaigns, photography, website improve- ments, and promotional materials. The City would pay providers directly, eliminating upfront costs and reimbursement applications for businesses. These services could also provide last- ing benefits through improved online visibility, reusable marketing materials, and strategies for future growth. Participation would require businesses to identify their needs, coordinate with providers, and review marketing materials. The City would be responsible for procurement, contracting, ser- vice authorization, and expenditure oversight. The Commission could consider geographic and business eligibility, maximum assistance per business, eligible services, overall funding allocation, and whether to engage one or multiple marketing providers. 3. Construction Impact Grant Program The City could establish a one-time grant program to provide direct financial assistance to eli- gible businesses experiencing documented construction impacts. Depending on adopted guidelines, eligible expenses could include rent, utilities, payroll, or other ongoing business ex- penses. The Village of Glen Ellyn's Central Business District Construction Impact Grant Program pro- vides a regional example of assistance to businesses within a defined construction impact area, including qualifying businesses and eligible operating expenses. Reference: Glen Ellyn Central Business District Construction Impact Grant Application Direct grants would provide flexibility to address eligible operating expenses based on individ- ual business needs. However, businesses would need to complete applications and provide financial documentation, potentially including evidence of construction-related impacts. The City would need to establish eligibility criteria, review applications and supporting documenta- tion, and administer grant payments. The Commission could consider maximum grant awards, eligible operating expenses, docu- mentation requirements, and whether assistance should be available throughout downtown or prioritized for businesses experiencing the greatest construction-related disruptions. ACTIONS PROPOSED: Staff requests the Commission's input on the following considerations: 1. Fee Assistance: Should the City pursue annual business registration and license fee relief for the 2027 renewal cycle, recognizing the November 2026 processing timeline and estimated $29,000 reduction in City revenue? 2. Program Priorities: Should the proposed $50,000 business-support allocation prioritize mar- keting assistance, construction impact grants, or a combination of both? 3. Geographic Scope: Should assistance be available throughout the downtown B-1 District, lim- ited to businesses directly affected by construction, or established separately for each assis- tance strategy? 4. Next Steps: Should staff develop detailed program guidelines, eligibility requirements, funding limits, and implementation procedures for further consideration? Commission feedback will help staff identify preferred approaches and coordinate any necessary budget, program, procurement, and City Council approvals before implementation.