20-1, 19-2

As authorized by Public Act 103-0561, the Illinois Grocery Initiative will offer competitive grants to support establishment of new grocery stores and equipment upgrades for existing stores in food deserts. The Illinois Grocery Initiative Equipment Upgrades Program, authorized by Public Act 103-0561, will provide grants for new energy-efficient equipment upgrades for existing independently-owned for-profit grocery stores, cooperative grocery stores, or not-for-profit grocery stores.

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420-Department Of Commerce And Economic Opportunity

TBD

The initiative will result in the establishment of new grocery stores in areas of the state with inadequate access to fresh food, as well as equipment upgrades for stores in these areas. In so doing, the state endeavors to reduce the number of food deserts and the population living in food deserts. This program is intended to facilitate energy-efficient equipment investment and sustainability for stores located in food deserts, areas that could become food deserts, and other areas that are underserved to a lesser degree.

Yes

Grantees must offer or commit to offering SNAP and WIC benefits.

Nonprofit Organizations; For-Profit Organizations; Small Businesses; Individuals;

Entities operating grocery stores in food deserts and entities intending to launch new grocery store operations. The ultimate beneficiaries will be residents living in food deserts. Eligibility for the equipment upgrades program will be constrained by characteristics of prospective store ownership and the intended offerings of the store. 1. Grants will be limited to projects making energy-efficient investments in existing bricks- and-mortar operations in Illinois. 2. This grant opportunity will be limited to independently-owned grocers or cooperatives with fewer than 500 employees and no more than 4 grocery stores. 3. Grocery locations must be consistent with the following to be eligible: o The store Is or will be classified as a supermarket or other grocery retailer in the 2022 North American Industry Classification System under code 445110, a meat retailer under code 44524, a fruit and vegetable retailer under code 44523, or a fish and seafood retailer under 44525. o The store cannot derive more than 30% of its revenue from alcohol and tobacco sales. o The store must accept or will accept Supplemental Nutrition Assistance Program benefits and Special Supplemental Nutrition Program for Women, Infants, and Children benefits. o The store must contribute to diversity of fresh foods available in the community by selling fresh foods such as meats, fruits and vegetables that have not been processed in any manner.

Grantees and members of the community

Project Grants

Economic Development

Eligible Applicants include small, independent grocers (nonprofit or for-profit entities with less than 500 employees and less than three existing grocery locations) or local units of government. Eligible Projects must be: Located in food deserts per USDA map or applicant demonstrates that area will qualify based on new data Bricks & Mortar locations only Must sell “ample” fresh food <30% of revenue from alcohol and tobacco sales. For equipment upgrades, applicants must demonstrate that they qualify as independently-owned grocery store that will contribute to diversity of fresh foods available in the community per Admin Rules and NOFO.

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Standard submissions via the State Of Illinois Grant Management System'

Geographic diversity (by economic development region, by rural vs urban, and to avoid projects too close in proximity). Regional balance and serving underserved communities.

Merit review on rolling basis. Reimbursement based on quarterly reporting.

Rolling thru 6/30/25

30-45 days

The Merit Based Review process is subject to appeal. However, competitive grant appeals are limited to the evaluation process. Evaluation scores may not be protested. Only the evaluation process is subject to appeal. The appeal must be submitted in writing to the Department within 14 calendar days after the date that the grant award notice has been published. The written appeal shall include the name and address of the appealing party, the identification of the grant and a statement of reasons for the appeal. To file an appeal, applicants must submit the appeal in writing and in accordance with the Merit-Based Application Review Appeals Process listed on the Grant Opportunities page of the DCEO website: https://www2.illinois.gov/dceo/AboutDCEO/GrantOpportunities/Pages/MeritAppReview.aspx.

Extensions as needed

1:3 cash matching (25% of project cost)

Will vary by specific grant opportunity, but may include: Land acquisition and related Infrastructure New construction Renovations Equipment Site development Working capital for first-year operating expenses Please note mix of capital and non-capital expenditure categories. Most categories will be capital, but working capital during 1st year of operations (for utilities, wages, insurance, etc.) will be allowable. The following expenditures will be eligible for reimbursement under the equipment upgrades program, insofar the equipment will result in energy efficiency improvements: • Heating, ventilation and air conditioning (HVAC) equipment • Refrigeration units and freezers • Lighting systems

quarterly reporting using PPR and PFR'.

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419-42045-4900-0000

20,000,000.00 and $2.5M for equipment upgrades in FY25

$25,000 to $2.4 million, depending on specific grant opportunity. $25,000-$250,000 for equipment upgrades

# New start-up grocery stores, # equipment upgrade projects, startups open 1 year after project completion, # people living within 1/2 mile (urban) or 10 miles (rurlal) of new grocery store Project completion, store survival through 1, 2, & 3 years

N/A

TA provisions from WIU and CSU as indicated in NOFO

500 East Monroe Springfield, IL 62701 and 555 W Monroe St, 12th Floor Chicago, IL 60661

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New Stores in Food Deserts and Equipment Upgrades

Energy-efficient HVAC equipment, refrigeration equipment, lighting

FY 2024 : $20,000,000
FY 2025 : $13,500,000