(The Center Square) – Chicago plans to spend up to $500,000 on a new grant program for neighborhood markets, as the city’s mayor indicated a shift away from earlier plans for a city-owned grocery store.
The Neighborhood Market Grant Program is funded through the American Rescue Plan Act and the nonprofit Allies for Community Business, with one-time grants of $10,000 offered to support small food business owners and farmers market operators.
Chicago Department of Business Affairs and Consumer Protection Commissioner Ivan Capifali said not every neighborhood has the same access to fresh food.
“This program is designed to help address the inequity by directing resources toward businesses and markets,” Capifali said during an announcement in the East Garfield Park neighborhood on Friday.
Mayor Brandon Johnson said the goal is to attract small, local retailers as well as larger chains.
“This is just the approach that I believe is so critical in this moment, that businesses recognize that my administration is committed to not just incentivizing fresh grocery to participate in our economy, but to put some skin in the game,” the mayor said.
Earlier in the week, Johnson said the city might use its remaining ARPA funds to close its budget deficit for the current fiscal year.
In September 2023, Johnson announced a partnership with the Economic Security Project, with the intention of opening a city-owned grocery store.
A reporter asked the mayor about those plans on Friday.
“The brick and mortar standup was one, yes, that we did contemplate, but after further review and spending time in the community, there are a number of people who are already doing this work,” Johnson said.
The mayor said the grant program offers a broader approach.
“It reaches more people when we can invest in the entrepreneur spirit,” Johnson said.
The grants will be provided to “small retail food businesses operating a physical storefront in priority geographies.”
The deadline to apply for the grants is Sept. 25, 2027.
