St. Charles looking at boosting base business improvement grants to $15K

St. Charles businesses my be able to receive up to $30,000 in grant funding from the city this year for various building projects and ADA improvements through the city’s Business Improvement Grant (BIG) program.

Through the BIG program, the city of St. Charles annually awards several grants at a 50/50 match up to $25,000 to help new and existing businesses fund projects that improve their space, ADA accessibility or help them grow.

City Council members were in favor of increasing the grant amounts awarded through the BIG program during a discussion at the Jan. 27 special City Council meeting.

This fiscal year the BIGs award up to to $10,000 to individual businesses, with an additional $15,000 in grant funding available to select business criteria for specific ADA improvements.

Economic Development Director Derek Conley presented a recommendation to increase the BIG amount from $10,000 to $15,000 to council members at the Jan. 27 meeting.

The program offers 50/50 fund matching for structural modifications, plumbing and electrical repairs, and safety upgrades like fire alarms and sprinkler systems.

The incentives are available to several types of businesses, including art studios, cultural facilities, indoor recreation and amusements, dining and entertainment, hotels and motels, retail shops and more.

For businesses to be eligible, the property must be located along the Route 64, Route 38 or Randall Road corridors, or zoned for commercial business.

To be eligible for the additional $15,000, businesses must use the funds to update code deficiencies and ADA improvements, must have been vacant for more than six months, or have other needs considered on a case by case basis.

Conley said the total budget for the program has increased in recent years to keep up with inflation. The city awarded a total of $50,000 in grant funds to five businesses in 2022, $90,000 to six businesses in 2024 and staff is now proposing the budget be increased to $120,000 for FY2025-26.

If approved, the base grant amount would increase from $10,000 to $15,000, for a maximum of $30,000 of total funding per business. The amendment would also increase the reimbursement for ADA improvements from 50% to 75%, with a maximum of $10,000.

The proposed changes are expected to come back before City Council for possible approval in February. If approved, the changes would go into effect at the start of the next fiscal year in M.

For a full list of grant guidelines, or to fill out the grant application form, visit the city’s website or call the Community & Economic Development Department at 630-377-4443.