30-06-2025
Oswego trustees look at criteria for downtown grant program
Oswego trustees as a committee of the whole recently discussed the eligibility criteria for the Economic Development Incentive Award grant program in the village.
The program has undergone revisions from involving facade improvement grants to include various other upgrades over the years. The grant program was last updated in 2018 to permit additional types of improvements. So far this year, $100,000 in grants have been awarded.
'The overall intent is to enhance downtown real estate,' Oswego Economic Development Director Kevin Leighty said in a report to trustees.
The program essentially awards grants to businesses as an incentive for exterior improvements to enhance the village's downtown but also permits some interior renovation projects.
Eligible applicants can qualify for up to a $40,000 match-based award for a new or existing business within Oswego's downtown TIF district, village officials said.
Based on the eligibility and program criteria, applicants must 'contribute to and enhance Oswego's dynamic downtown' by identifying 'real property improvements that are permanently affixed to the property,' Leighty said.
There's a list of downtown preferred uses, such as eating and drinking establishments, specialty food establishments, general retail and commercial services, he said.
There's another list of preferred projects that include exterior improvements to buildings that would enhance Oswego's downtown appearance as well as basic functional improvements.
The Village Board earlier this year began to discuss the eligibility and criteria for the program before authorizing a second round of grants.
Functional-related building improvement grants were awarded but the village began to receive requests for maintenance-related projects such as improving parking lots and painting a building, village officials said.
'There was some misunderstanding from applicants as to why those types of improvements were not allowed,' Leighty said.
Staff initially presented the current eligibility criteria to the village's Economic Development Commission to provide some feedback to the Village Board as to whether parking lots and painting projects should be included for funding through the grant program.
The commission 'understood the most important part of the program is to enhance the quality of real estate, but some consideration should be given to general beautification including some maintenance items,' Leighty told trustees.
While the group did advocate for parking lot and painting projects to be included in the grant program, commissioners suggested the village consider placing a cap on that component, he said.
The commission further suggested the village provide a list of examples for eligible and ineligible expenses to ensure that prospective applicants in the future have an understanding of how much funding they may qualify for.
Commission members were not advocates for roof replacements which currently is a permissible expense under the program, Leighty said.
Staff was looking for direction as to whether the Village Board would be supportive of having a list of partially eligible projects – mainly landscaping, masonry work, exterior painting, parking lot improvements and window/door repair or replacements. Staff has suggested a $5,000 cap on partially eligible projects.
Trustees said they thought masonry, exterior painting and window/door repair or replacements should be moved under the eligible list of projects, while roof repairs would be listed under a partially eligible list.
'Those things were allowed under the original facade grant program. It makes sense to put those back in there,' Oswego Village Administrator Dan Di Santo said.
'When this first started, it was more about old Main Street and how the village could help keep the older buildings looking good and last for a long time,' Di Santo said.
As for need, the village does require a detailed project budget and quotes from contractors plus a detailed project timeline, Leighty said.
'We don't allow them to start the work until they have received grant approval. There is some component of need,' Leighty said.
Businesses also have to submit paid invoices before the village remits payment, he said.
Trustee Karin McCarthy-Lange noted there weren't a whole lot of applications when the program focused on building facade improvements.
'Even when we opened the program beyond building facades in 2018, we still had years where no one applied,' Di Santo said.
Di Santo praised staff for 'selling the program to prospective business owners and existing business owners.'
'It's a more recent thing that people are applying,' Di Santo said.
