Mayor Lightfoot Announces $10 Million Chicago Hospitality Grant Program As Part Of Emergency Relief Package For Restaurants, Bars And Their Employees

“As we navigate the second surge of COVID-19, I am committed to using every available resource to its maximum potential to protect our residents and support our businesses,” said Mayor Lightfoot. “Our hospitality industry is at a crossroads and we each have a role to play in helping our bars and restaurants survive. This City relief package will help, but we still need all residents to wear a mask, social distance, avoid gathering in large groups and wash their hands. When we all do our part to bring cases down, we not only save lives but also ensure that our businesses can reopen quickly and safely.”

In response to this rise in cases and hospitalizations, last week the State imposed new mitigation measures designed to minimize the spread of COVID-19. Effective Friday, October 30, Chicago entered Tier 1 of the State’s Resurgence Criteria, leading to the closure of indoor service at bars and restaurants and a new limit of 25% capacity or 25 people at events. In order to save the lives of countless Chicagoans and help reopen bars and restaurants, the City is calling on all Chicagoans to double down on the COVID-19 precautions that have been proven to work: wear face coverings, social distance, minimize gatherings and wash hands often.“We’re very concerned about the continued rise in COVID cases in the city but we all know what it takes to bend the curve – we did it once and we can do it again,” said Chicago Department of Public Health Commissioner Allison Arwady, M.D. “Until then, we all need to do what we can to support this industry and the vital jobs it provides.”The new Chicago Hospitality Grant Program has been designed to supplement existing federal and state financial programs by providing emergency relief to bars and restaurants that have been most affected by the COVID-19 crisis.

The $10 million program is funded through a reallocation of CARES Act funds from the Chicago Small Business Resiliency Fund. This reallocation was made to ensure that businesses most impacted by the recent state-imposed mitigation measures would have access to emergency grant funds at this critical time.The Chicago Hospitality Grant Program, which will be administered with the support of World Business Chicago and Accion Serving Illinois and Indiana, will provide businesses with grants of $10,000 each. To be eligible, establishments must be a bar or restaurant, as defined by City and State code, with annual revenue of under $3 million, and must have experienced economic distress and loss due to COVID-19 on or after March 1, 2020 totaling at least 25% of annual net revenue. Regional and/or national chain businesses with more than two total establishments are ineligible, as are adult entertainment facilities. Funds must be used to cover operational costs including payroll expenses, replenishment of inventory and/or mortgage, rent and utilities payments. Grants will be distributed via lottery to recipients throughout the city, with 60% of grants reserved for businesses in low- and moderate-income Community Areas.Applications will open the week of November 16; more details will be announced in the coming days.