HB5023 Enrolled LRB093 16668 MKM 42319 b

1     AN ACT concerning economic development.
2     Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4     Section 5. The Department of Commerce and Economic
5 Opportunity Law of the Civil Administrative Code of Illinois is
6 amended by adding Section 605-523 as follows:
7     (20 ILCS 605/605-523 new)
8     Sec. 605-523. Downtown development and improvement
9 revolving loan and grant program. As used in this Section,
10 "downtown" means the traditional center business district of a
11 municipality that (i) has served as the center for
12 socio-economic interaction in the municipality, (ii) is
13 characterized by a cohesive core of commercial and mixed use
14 buildings that may be interspersed with civic, religious, and
15 residential buildings and public spaces, and (iii) is typically
16 arranged along a main street and intersecting side streets and
17 served by public infrastructure.
18     (a) The Department may administer the Downtown Development
19 and Improvement Fund, a special fund in the State treasury, to
20 make revolving loans and grants, subject to appropriation, to
21 municipalities seeking financial assistance with the
22 development and improvement of commercial or residential
23 property in the downtown area of a municipality.
24     (b) The Department shall grant or loan the funds only for
25 projects that are part of a downtown revitalization plan
26 approved by the corporate authorities of the municipality and
27 that meet guidelines established by the Department by rule. In
28 establishing those guidelines, the Department shall consult
29 recognized standards and guidelines for the development of
30 downtown areas, including standards and guidelines for the
31 development of historically significant buildings and
32 property.



HB5023 Enrolled - 2 - LRB093 16668 MKM 42319 b

1     (c) The funds shall be used for the following purposes:
2         (1) facade improvements;
3         (2) leasehold improvements, including: (i) interior
4     demolition; (ii) stripping and paint removal; (iii) waste
5     removal; (iv) cleaning; (v) window repair; (vi) building
6     and security improvements; and (vii) any other
7     improvements required by the Department by rule; and
8         (3) upper floor improvement for commercial or
9     residential occupancy.
10     (d) Recipients may not use loan or grant funds for
11 reimbursements for work they have completed themselves.
12     (e) Grants or loans made under this Section must not exceed
13 the following amounts:
14         (1) For grants or loans for facade improvement
15     projects, $20,000 per project, or 40% of the project cost.
16         (2) For grants or loans for leasehold improvement
17     projects, $10,000 per project.
18         (3) For grants or loans for upper floor improvement
19     projects for residential use, $5,000 for a one-bedroom
20     residential unit, $7,500 for a two-bedroom residential
21     unit, or 60% of the proposed residential unit cost.
22         (4) For grants or loans for upper floor improvement
23     projects for commercial use, the lesser of $2 per square
24     foot of leasable office space, or 60% of the project cost.
25     At no time shall the amount of a grant or loan exceed
26 $50,000 per project.
27     (f) The term of a grant or loan made under this Section may
28 not exceed:
29         (1) For grants or loans for facade improvement
30     projects, 20 years.
31         (2) For grants or loans for leasehold improvement
32     projects, 5 years.
33     (g) The Department may adopt any rules necessary to
34 implement and operate this program.
35     Section 10. The State Finance Act is amended by adding



HB5023 Enrolled - 3 - LRB093 16668 MKM 42319 b

1 Section 5.625 as follows:
2     (30 ILCS 105/5.625 new)
3     Sec. 5.625. The Downtown Development and Improvement Fund.
4     Section 99. Effective date. This Act takes effect January
5 1, 2005.