HB4973 104TH GENERAL ASSEMBLY

LRB104 17417 HLH 30842 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB4973

Introduced , by Rep. Dave Vella

SYNOPSIS AS INTRODUCED:

20 ILCS 665/8a	from Ch. 127, par. 200-28a
30 ILCS 105/5.1038 new
30 ILCS 105/6z-149 new

Amends the Illinois Promotion Act. Provides that the Department of Commerce and Economic Opportunity may issue competitive grants with initial terms of 10 years for the purpose of administering an incentive program that will attract or retain conventions, meetings, sporting events, and trade shows in Illinois with the goal of increasing business or leisure travel to and within the State. Amends the State Finance Act. Establishes the Tourism Incentive Grant Program Fund as a special fund in the State treasury. Provides that, on July 1, 2026, and every July 1 thereafter, or as soon thereafter as practical, the State Comptroller shall direct and the State Treasurer shall transfer the sum of $5,000,000 from the General Revenue Fund to the Tourism Incentive Grant Program Fund. Effective immediately.

A BILL FOR

AN ACT concerning State government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Illinois Promotion Act is amended by changing Section 8a as follows:

(20 ILCS 665/8a) (from Ch. 127, par. 200-28a)

Sec. 8a. Tourism grants and loans.

(1) The Department is authorized to make grants and loans, subject to appropriations by the General Assembly for this purpose from the Tourism Promotion Fund, to counties, municipalities, other units of local government, local promotion groups, not-for-profit organizations, or for-profit businesses for the development or improvement of tourism attractions in Illinois. Individual grants and loans shall not exceed $1,000,000 and shall not exceed 50% of the entire amount of the actual expenditures for the development or improvement of a tourist attraction. Agreements for loans made by the Department pursuant to this subsection may contain provisions regarding term, interest rate, security as may be required by the Department and any other provisions the Department may require to protect the State's interest.

(2) From appropriations to the Department from the State CURE fund for this purpose, the Department shall establish Tourism Attraction grants for purposes outlined in subsection (1). Grants under this subsection shall not exceed $1,000,000 but may exceed 50% of the entire amount of the actual expenditure for the development or improvement of a tourist attraction, including, but not limited to, festivals. Expenditures of such funds shall be in accordance with the permitted purposes under Section 9901 of the American Rescue Plan Act of 2021 and all related federal guidance.

(3) Subject to appropriation, the Department is authorized to issue competitive grants with initial terms of up to 5 years for the purpose of administering an incentive program that will attract or retain conventions, meetings, sporting events, and trade shows in Illinois with the goal of increasing business or leisure travel.

(4) Beginning July 1, 2026, subject to appropriation, the Department is authorized to issue competitive grants with initial terms of 10 years for the purpose of administering an incentive program that will attract or retain conventions, meetings, sporting events, and trade shows in Illinois with the goal of increasing business or leisure travel to and within the State. The Department shall provide for a new grant award of available funds under this item (4) once every 3 years. An event shall not be considered ineligible for grant funding under this item (4) if multiple Illinois destinations are in competition for the same event. Room night credits that are actualized, contracted, revenue-generating group room nights directly sourced by the grantee must exceed 200 for outside of the City of Chicago and 5,000 within the City of Chicago. The maximum amount awarded to entities outside the City of Chicago is $1,000,000 in each grant award cycle. To be eligible for grant funding under this item (4), an applicant must be a certified convention and visitors bureau, a unit of local government, a local promotion group, a not-for-profit organization, a for-profit organization, or a convention center authority. If applicants are in a service area covered by a certified convention and visitors bureau, the application must include a letter of support from the certified convention and visitors bureau. Grant funding under this item (4) may be awarded to a joint effort between a certified convention and visitors bureau and another eligible entity. If the applicant intends to implement its program jointly with the certified convention and visitors bureau, the application should submit a letter of intent from the bureau providing details of the joint effort.

(Source: P.A. 102-16, eff. 6-17-21; 102-287, eff. 8-6-21; 102-813, eff. 5-13-22; 103-8, eff. 6-7-23.)

Section 10. The State Finance Act is amended by adding Sections 5.1038 and 6z-149 as follows:

(30 ILCS 105/5.1038 new)

Sec. 5.1038. The Tourism Incentive Grant Program Fund.

(30 ILCS 105/6z-149 new)

Sec. 6z-149. Tourism Incentive Grant Program Fund; creation.

(a) The Tourism Incentive Grant Program Fund is created as a special fund in the State treasury. Money in the Tourism Incentive Grant Program Fund shall be used, subject to appropriation, for grants as provided in item (4) of Section 8a of the Illinois Promotion Act.

(b) On July 1, 2026, and every July 1 thereafter, or as soon thereafter as practical, the State Comptroller shall direct and the State Treasurer shall transfer the sum of $5,000,000 from the General Revenue Fund to the Tourism Incentive Grant Program Fund.

Section 99. Effective date. This Act takes effect upon becoming law.