As Illinois continues its efforts to ensure every resident has access to fresh, affordable food, the Illinois Grocery Initiative is leading the way in revitalizing communities and combating food insecurity statewide.
Established in 2023, the program takes a multipronged approach to addressing food deserts – areas where residents face barriers to accessing fresh groceries – by supporting new store development and equipment upgrades for grocers.
In this Q&A, The Shelby Report of the Midwest speaks with Isabel C. Vélez Diez, deputy director, policy development, planning and research at the Illinois Department of Commerce and Economic Opportunity about the initiative’s progress, early successes and the path forward in strengthening local food systems from Chicago to Carlinville.
When was the Illinois Grocery Initiative officially launched, and what were the key steps in getting the program up and running?
The Illinois Grocery Initiative, authorized by Public Act 103-0561, is intended to address inadequate access to fresh foods, especially in “food deserts.” Food deserts are defined as census tracts meeting specific criteria related to poverty and access to fresh foods.
Established in 2023, the Illinois Grocery Initiative is a multipronged policy designed to address food deserts across Illinois. The initiative consists of two grant programs – the New Stores in Food Deserts Program and the Equipment Upgrades Grant Program.
How far along is the Initiative in its implementation – for example, how many funding rounds have been completed, and how many projects are currently underway?
The Illinois Grocery Initiative is still in its early stages. However, Illinois has made great strides in our efforts to combat food insecurity and eradicate food deserts across the state.
To date, DCEO has awarded a total of $18.1 million through the Illinois Grocery Initiative New Stores in Food Deserts Program ($16.5M) and Equipment Upgrades Grant Program ($1.6M) through two rounds of funding each per each program.
The recipients are in various stages of development. These recipients include a mixture of public/private and for-profit entities. Another $10 million remains for future rounds.
Could you share data or examples that illustrate how the Initiative has improved access to healthy, affordable food options?
This program is still in its early stages, so there isn’t any concrete data on its impact. However, the newly awarded grocery stores are designed to fill a critical gap in affordable food access within current food deserts.
How does DCEO track or evaluate success – for example, by store openings, job creation or changes in local food accessibility?
Grantees funded through these programs are required to submit, at least on a quarterly basis, a Periodic Performance Report and Periodic Financial Report electronically to their assigned grant manager.
Are there early indicators of economic or community revitalization linked to these grocery projects?
The program is still in its early stages, so there is no current economic data. However, with projects like the one in Venice, we anticipate major economic and community revitalization.
How do the challenges of attracting and sustaining grocery stores differ between rural communities and urban or metro areas?
The goal of this program is to combat food insecurity across the state, so we are targeting food deserts and food-insecure communities in both urban and rural areas.
While the challenges throughout areas may vary, limited access to capital, which this program aims to address, is the main challenge.
Are there differences in the types of support or incentives DCEO provides to rural versus metropolitan applicants?
No, all requirements for applicants are listed in the Notice of Funding Opportunity and do not differ based on location.
Could you share examples of funded projects in both rural and metro areas to illustrate how the program adapts to local needs?
Rural: Carlinville, Illinois, was awarded $2.4 million to support a full renovation and the establishment of new store – Our Market at the Plaza.
Metro: Forty Acres Fresh Market in Chicago’s Austin neighborhood received $750,000 for a new brick-and-mortar footprint for their existing mobile grocer.
The City of Venice, Illinois, was recently awarded $2.4 million this past spring, establishing a new grocery store for the city.
How does the Initiative ensure equity in resource distribution across the state – so that both small towns and urban neighborhoods benefit?
There are specific application requirements listed in the Notice of Funding Opportunity for each of the two programs. These requirements include:
- Must be located in a food desert;
- Must earn less than 30 percent of revenue from alcohol and tobacco sales;
- Must accept SNAP and WIC; and
- Must contribute to diversity of fresh foods available in community.
What lessons has DCEO learned since launching the Initiative that will guide future rounds of funding or program adjustments?
DCEO is always looking for ways to improve our programming and implementing best practices to ensure access to program information is seamless for current grantees and future applicants.
DCEO has partnered with Western Illinois University and Chicago State University to provide technical assistance to applicants and awardees. This support not only helps store owners navigate the grant process, but it also allows technical assistance providers to obtain and share feedback with DCEO, helping to strengthen the program.
Is there a timeline for when residents might see additional grocery openings or expansions as a result of current funding?
Many awardees are in various stages of development with one store already opened in Chicago’s Austin neighborhood – marking an early milestone.
How can communities still struggling with food access connect with DCEO or apply for support under the Initiative?
Potential applicants can visit DCEO’s website, dceo.illinois.gov/aboutdceo/grantopportunities/grants, to stay up to date with our available grant funding opportunities. Potential applicants can also follow us on @IllinoisDCEO on all social media platforms for updates.
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