EDAC

City of Pekin REGULAR ECONOMIC DEVELOPMENT ADVISORY COMMITTEE MEETING MONDAY, JULY 14, 2025 12:00 PM 1. Call to Order 2. Approve Agenda 3. Approval of Minutes 3.1. Minutes of the Regular EDAC Meeting on Monday, June 9, 2025 4. Public Input 5. Reports 5.1. Monthly Staff Report 5.2. Greater Peoria EDC Report 5.3. Quarterly Strategic Plan Scorecard 6. Unfinished Business 6.1. Branding Initiative: Logo Concepts 7. New Business 7.1. Recommendation for Continued Financial Support of Greater Peoria Economic Development Council 7.2. Recommendation for Project Priorities: Commercial Building Improvement Program 8. Any Other Business to Come Before the Commission 9. Adjourn Page 1 of 13 Page 2 of 13 Page 3 of 13  REQUEST FOR COUNCIL ACTION Agenda Date: July 14, 2025 To: Members of the Economic Development Advisory Committee From: AGENDA ITEM: Monthly Staff Report DESCRIPTION: Commercial • Five Below held their ribbon cutting and grand opening. Marshall's expects to open by August 1, and Ross us still projected to open this fall. Construction is ongoing. Cullinan is starting to work on leasing the smaller spaces. • The Bob Evans property renovation is near completion for its new restaurant tenant. • Retail Strategies visited Pekin on June 30 to tour the community, identify potential sites and assets, and begin designing our full market analysis. They plan to target 5-8 prime sites. Industrial • Epic Medical continues to plan their site and buildings. • Ambient Fuels continues to plan their site and buildings. Residential • Staff has scheduled site visit with a confidential developer who may be interested in building up to 3,000 homes ranging from $200k to over $500,000. We are discussing the Lutticken property and other potential sites. They are also interested in building out commercial areas along Veterans Drive. • Staff met with a local developer to discuss downtown apartments. Their investors will be visiting the City soon. City Projects / Initiatives • The Court Street reconstruction is ongoing with no major changes thus far. • McDaniels Marketing is making progress on the marketing plan execution. An update on the branding portion is on the EDAC's agenda today. Page 4 of 13  REQUEST FOR COUNCIL ACTION Agenda Date: July 14, 2025 To: Members of the Economic Development Advisory Committee From: AGENDA ITEM: Greater Peoria EDC Report DESCRIPTION: Greater Peoria EDC Weekend Update, June 13, 2025 Greater Peoria EDC Weekend Update, June 20, 2025 Greater Peoria EDC Weekend Update, July 3, 2025 Page 5 of 13  Plan ID Objective Baseline Goal / Deliverable Target Date Status G2 S3 O3 Finish reorganization of Riverway Business Park regulations. Land covenants in place Record covenant removal Q1 2025 Complete G1 S2 O1 Identify target industries. None Industry list Q2 2025 None G1 S2 O2 Fund at least $40,000 annually for multi-year economic development marketing plan. - $40,000 in budget Q2 2025 Complete G1 S2 O4 Identify and perform retention visits with top 10 employers and top 10 tax revenue generating businesses. - All visits complete Q2 2025 Businesses identified Pekin Chamber; GPEDC, Chamber, GPEDC, GPEDC on Council G2 S1 O1 Maintain memberships with regional and national economic development organizations. Q2 2025 PACVB PACVB, IEDA, APA agenda for approval Court St reconstruction G2 S2 O3 Spend at least $5 million annually for infrastructure improvements. - End of FY Review Q2 2025 underway Pages for incentives, G3 S1 O3 Create user-friendly website for available properties, incentives, and workforce info. Website live Q2 2025 Webiste to go live 8/30 RWBP, and Lutticken 2025 G2 S1 O4 Stand-up cooperative with neighboring cities and taxing bodies regarding the Lutticken Property development. None First meeting report Q3 2025 None Webpage with list of Webpage with list of G3 S1 O1 Publish small business resource webpage. Final webpage live Q3 2025 resource links resource links Vacanies in engineering Vacanies in engineering G3 S3 O2 Full staff development related positions. All positions filled Q3 2025 and building and building G1 S1 O6 Create multiyear tourism strategy. None Strategy adoption Q4 2025 Complete G1 S2 O2 Attend 2 regional or national trade shows per year. - 2+ shows/events Q4 2025 0 G2 S3 O1 Maintain building code updated to one of most recent two code cycles. 2015 ed. 2021 ed. Q4 2025 2015 ed. G3 S1 O2 Host town hall regarding business / development topics. - Townhall event Q4 2025 none G3 S3 O1 Send development staff to professional development training at least annually. - Training completion Q4 2025 Complete for 2025 Engineering RFQ to be G3 S3 O3 Retain outsourced engineering and law firms to handle spikes in development activity. Law firm retained Agreements approved Q4 2025 published G2 S2 O4 Identify opportunities for improvements to railroad, airport, and river transportation systems. - Opportunity list Q1 2026 - G1 S1 O5 Create entrepreneurship program. Sponsor to SmartStart Program kick-off Q4 2026 Sponsor to SmartStart G2 S2 O2 Complete proactive engineering studies for available sites of 10+ acres. None All studies complete Q4 2026 None 2026 G3 S2 O1 Publish commercial/residential development guides to create centralized sources for development regulations. - Guides published Q4 2026 - G3 S2 O2 Consolidate permitting and licensing systems. Three separate systems System launch Q4 2026 Three separate systems 2028 2027 G2 S2 O1 Complete a new comprehensive land use plan. - Plan adoption Q4 2027 - G2 S3 O2 Perform holistic review of zoning code and make recommendations for changes to modern regulations. - ZBA recommendation Q4 2028 - G1 S1 O1 Net 100 additional homes including 20 multifamily units. - 100 Q4 2030 5 G1 S1 O2 Net $18 million increase in industrial EAV. $12,078,077 $30,078,077 Q4 2030 reported annually 2023 G1 S1 O3 Reduce retail trade gap by 20%. $51,560,963 $41,248,770 Q4 2030 reported annually G1 S1 O4 Net 100 additional jobs. 10,729 10,829 Q4 2030 reported annually ongoing G2 S1 O2 Participate in creation of Comprehensive Economic Development Strategy with Greater Peoria EDC - CEDS update ongoing Attended June mtg G2 S1 O3 Attend regional economic development meetings or events at least monthly. - Event report ongoing 2 Page 6 of 13  REQUEST FOR COUNCIL ACTION Agenda Date: July 14, 2025 To: Members of the Economic Development Advisory Committee From: Joshua Wray, Economic Development Director AGENDA ITEM: Recommendation for Continued Financial Support of Greater Peoria Economic Development Council DESCRIPTION: Background on GPEDC The Greater Peoria Economic Development Council (GPEDC) is a regional economic development and planning organization serving five counties in Central Illinois: Logan, Mason, Peoria, Tazewell, and Woodford. The Greater Peoria EDC promotes economic development in the region through its six core programs, including Business Attraction, Business Assistance, Workforce Solutions, Innovation and Startups, Rural Development, and the Greater Peoria Manufacturing Network. Guided by our nationally recognized comprehensive economic development strategy, the Greater Peoria EDC is committed to advancing the region’s economy by supporting business and talent development and attraction. Background on agenda item The City for over 10 years has partnered with Greater Peoria Economic Development Council for large-scale economic development activities. GPEDC is again seeking the City's support in the amount of $25,000. GPEDC plays an important role in the City's economic development activities, including the following from the last fiscal year: • Sent Pekin 16 leads for potential industrial/corporate businesses • Submitted 7 detailed RFI to Intersect Illinois for Pekin, including significant communication with the utility companies for information • Participated heavily in the recruitment of Epic Medical through one of those Intersect Illinois RFIs • Completed property submittals to the State's Vetted Sites Program • Participated in our submittal and visit day with CN Railway for their vetted sites program • Held monthly Technical Working Group meetings for economic development professionals in the area • Held quarterly AgTech Connect professional development meetings to connect government staff, developers, and agetech businesses • Held quarterly Strategic Manufacturing Group meetings to connect government staff, educators, and manufacturers • Held annual economic development forum attended by City staff and officials • Attended monthly EDAC meetings in Pekin (7 of 9) • Assisted City staff and Chamber of Commerce in the preparation of a State grant application for downtown improvements • Assisted City staff in the preparation of a State grant application for industrial site readiness studies Page 7 of 13  • Assisted the City and Alto in the application for funding to build a river port • Participated in the visit day for Project Bamboo • Invited the City for a retention visit with DCX-CHOL • Represented Pekin at the Site Selectors Guild Conference, the Area Development Consultants Forum, and the International Economic Development Council Conference City staff relies on GPEDC's expertise and connections in the region, state, and nation, especially when related to workforce development and industrial site selection. Action Requested Motion to recommend $25,000 support for GPEDC in FY2026. Page 8 of 13  REQUEST FOR COUNCIL ACTION Agenda Date: July 14, 2025 To: Members of the Economic Development Advisory Committee From: Joshua Wray, Economic Development Director AGENDA ITEM: Recommendation for Project Priorities: Commercial Building Improvement Program DESCRIPTION: Background: In May, the City Council approved a $100,000 in funding for the TIF commercial building improvement program for grants up to 50% of eligible expenses (capped at $50,000 per grant) for commercial building improvements in any TIF. That program guide is attached. Staff posted a call for projects for the month of June, and we received 5 applications. A summary sheet of these applications is attached, and the actual applications will be made available to the Committee members before the meeting. The general goal of the program is to select the most impactful projects for funding. Based on the criteria stated in the program, staff recommends the order of priority shown on the summary sheet, which would result in funding three projects in this grant cycle if approved by City Council. Action Needed: Staff requests the Committee's review of applications and staff recommendation as well as a Committee recommendation to City Council. Page 9 of 13  City of Pekin 111 S Capitol Street, Pekin, IL 61554 Phone: 309-477-2300 ▪ www.ci.pekin.il.us TIF BUILDING IMPROVEMENT PROGRAM Purpose The TIF Building Improvement Program promotes the revitalization of the commercial areas in TIF districts. The program will provide financial assistance for improvements to help property owners/lessees rehabilitate and/or expand buildings in eligible areas of the City. Eligibility • Applicants: o Applicants shall be either the owner or lessee of a building within a City of Pekin TIF district (may include “residential” TIF districts). A lessee's eligibility is subject to written consent of the building owner for all proposed improvements. o The building must be primarily used for commercial purposes. o Property must be current on all tax payments and must have no current liens. o The owner and lessee must be in good standing with the City (i.e., no unpaid fines or taxes, no open code violations, etc.). • Eligible Improvements: o Costs of studies, surveys, development of plans and specifications (e.g., architectural, engineering, or surveying fees) o Demolition and site preparation o Rehab, reconstruction, repair of existing structures o Upgrade or extension of utilities o Construction or reconstruction of public improvements (e.g., sidewalk) Project Terms The terms of the program are as follows: a) Project costs may be reimbursed up to 50% of verified eligible expenses. b) The project must meet all applicable requirements of law including permitting and zoning. c) Each eligible improvement will be funded only once. d) The property owner and/or lessee will be responsible for maintaining the improvements and staying open for business for a period of not less than 5 years after completion. e) Qualified applicants may serve as their own contractor, but in such case, labor costs will be highly scrutinized and will require comparable quotes. f) Improvements must be completed within one year from the date of the grant approval. g) Upon completion of the work, the owner must submit to the Director of Economic Development copies of all invoices, contractor's statements, and proof of payment as evidence that the owner or lessee has paid the expenses. Payment of the approved grant Page 10 of 13  amount will be authorized only upon completion of all work items as originally approved. h) Changes in project improvements from the previously approved plan must be approved by the City Council. i) Failure to abide by the terms and conditions of this Program will result in forfeiture of program funding. j) Grant funding may be subject to income taxes. The City advises grantees to consult a tax professional in regards to their award. Additional terms may be added to the TIF agreement on a case-by-case basis. Application Checklist An application for the Facade Improvement Program must include the following: • Completed TIF application • IRS Form W-9 Optional documentation to enhance the application package are as follows: • Competitive quotes for planned improvements (getting at least two is highly encouraged) • Current and historical photographs of the property • Drawings/renderings of the proposed improvements. Drawings do not have to be professional but should be to scale. • Financial estimates and new business plan if applicable Evaluation Criteria Every project will be evaluated for the functional and aesthetic improvement to the property with the following criteria: • Capacity (20%) o Completeness and strength of application o Applicant’s history of capacity to adhere to a grant program o Adherence to the program requirements and procedures • Improvements (40%) o Condition of the building and need for improvements o Extent to which the proposed improvements restore, maintain, or enhance the character of the building and surrounding area o Historical and/or architectural significance of the building o Prior City funding for improvements to the property • Economic Impact (40%) o Expected return on investment to the City via tax revenue o Number of jobs created or retained o Amount of activity generated by the business (e.g., more foot traffic to area) Page 11 of 13 Application Process 1. Preliminary Review: An applicant is encouraged to first meet with the Chief Building Official and the Director of Economic Development prior to completing the application to determine if the property/building and the proposed improvements are eligible for the program and to review the building and zoning code regulations for the planned work. The applicant then submits a completed application and required supplemental materials to the Director of Economic Development. 2. Committee Review: All applications received will be sent to the Economic Development Advisory Committee (EDAC) for review, prioritization, and recommendations of funding during a public EDAC meeting. 3. Council Approval: The City Council will review the applications and recommendation from the EDAC during a public Council meeting and will vote on the TIF agreements for those projects recommended for funding. The Council will see all applications and will have the opportunity to fund differently than recommended by EDAC. Project Changes In the event changes in project improvements or costs from the previously approved plan are being considered, the grantee must obtain City Council approval to have these changes funded via an amendment to the TIF agreement. Unapproved changes are not eligible for reimbursement. Reimbursement Process To receive reimbursement, the funding grantee must submit the following to the Director of Economic Development: • Completed Request for Reimbursement (included in TIF Agreement) • Final inspection approval for all improvements under a building permit • Invoices and proof of payment for eligible expenses The Finance Department will reimburse via mailed check to the party and address from the previously submitted IRS Form W-9. Disclaimer Any program terms, requirement, and procedures may be modified by the City at its discretion. The City reserves the right to provide any level of funding, including none, for any or all projects submitted. Contact Information Josh Wray Director of Economic Development 111 S Capitol St. Pekin, IL 61554 (309) 478-5355 JLWray@ci.pekin.il.us Page 12 of 13 2025 TIF Building Improvement Application Scoresheet Staff Review - Josh Wray Scoring Business Location Project Total TIF-Eligilble Exp. Max Grant Capacity Improvement Impact Weighted Total Sangalli's Court Street Stakehouse 2217 Court $ 75,977.47 $ 75,977.47 $ 37,988.74 4 3 4 18 Pottsies Place 301 Margaret $ 91,170.00 $ 91,170.00 $ 45,585.00 4 4 2 16 Phat Jax Custom Cycle 313 Margaret $ 62,100.00 $ 60,000.00 $ 30,000.00 3 2 3 13 Tadoughs 815 N. 8th $ 34,500.00 $ 34,500.00 $ 17,250.00 3 2 2 11 Pekin Moose Lodge 2605 Broadway $ 177,320.00 $ 177,320.00 $ 50,000.00 4 1 1 8 TCRC 33 S. 4th $ 50,000.00 $ 50,000.00 $ 25,000.00 3 1 1 7 Grants if awarded based on these scores: Sangalli's Court Street Stakehouse $ 37,988.74 Pottsies Place $ 45,585.00 Phat Jax Custom Cycle $ 16,426.27 Total $ 100,000.00 Page 13 of 13