Incentives

 

Development Incentives

The City of West Chicago recognizes that business incentives are not “one size fits all” and seeks to assess the unique needs of the individual business with the goal of creating a mutually beneficial arrangement for the prospective business and the community. Creative, customized incentives based on need and current economic conditions are available.

The City strives to provide the smoothest experience for developers while maintaining conformance to all codes. It offers weekly meetings with interested developers from the pre-application to the plan review stages of a project, updated permit applications and guidelines, and clear, constant communication throughout the project. The following are some incentive options that may apply to your project:

 
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Electrical and Gas Utility Tax Rebate

Rebate program for sharing the City’s electrical and gas utility tax is available.

The rebate program is tailored to large volume users of electricity and/or, gas, whose operations provide ancillary economic benefits to the local economy.

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Water Use Charge Discount

Discount program is available for large volume users of the City’s municipal water. The discount is tailored to large volume users whose operations provide ancillary economic benefits to the local economy.

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Sales Tax Rebate

Rebate program for sharing sales tax revenues is available. The rebate program can be tailored to particular clients based on sales revenues and other economic factors that benefit the local economy.

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Property Tax Abatement

Property tax abatement is an incentive that may be offered to a business expanding an existing facility or locating a new facility within the jurisdiction. Abatement allows the subject business to keep a portion of the difference between the current property tax revenue from a building or site and the resulting property tax revenue after expansion, improvement, or new construction.

With cooperation from the principal taxing bodies such as the West Chicago School District #33, Community High School District #94, West Chicago Park District, West Chicago Fire Protection District, and West Chicago Public Library District such a program is made possible for large scale projects for a pre-determined/negotiated period of time.

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Building Permit Fee Waivers and Expediting

Building Permit Fee Waivers (for non-pass through costs) for City permit fees available; does not apply to third-party charges. Expedited three-day permit review option available; Standard ten-day review period for all projects.

 

Service Fee Considerations

WATER SERVICES

Provider: City of West Chicago

Applicable Fees:

Connection fee: Connection charge varies based on several factors such as: location of improvement, number of fixtures, and type of fixtures being installed.

Volumetric fee: Minimum bimonthly water service charge based on meter size and includes the first two thousand four hundred ninety-one (2,491) gallons of water used. The water usage rate is $3.88 per 1,000 gallons.

Capacity:

At this time, the City can produce a constant 4,400 GPM or 6.34 MGD (dedicating a constant 900 GPM to any one industry for 24 hours/day or dedicating a constant 1,500 GPM to any one industry for 18 hours/day). Current average system availability is between 2.74 and 3.98 million gallons per day. The City currently maintains 8 wells with a current pumping capacity of 5,402 GPM or 7.78 MGD, with a current usage of approximately 3.8 million gallons per day (5.04 MGD during summer dry weather conditions). The City is currenlty constructing a ninth well station that will produce an additional approximately 1,000 GPM or 1.44 MGD.

SANITARY SEWER SERVICE

Provider: City of West Chicago

Applicable Fees:

Connection fee: Connection charge varies depending on several factors such as: location of improvement, and type of connection i.e. connection to existing sanitary sewer system or the extension of said system. Charge is per fixture unit.

Capacity fee: Capacity charge is $805.00 per population equivalent (P.E.). A capacity charge per connection per P.E. is assessed to all users connecting to the system. The capacity charge is adjusted annually upward by three percent (3%) and rounded to up to the nearest five dollars to account for inflation.

Volumetric fee: Minimum bimonthly billing charge of $3.00 and basic sewer charge based upon metered consumption is $5.61 per 1,000 gallons.

Capacity:

The City’s wastewater treatment plant is a 7.64 MGD plant. The plant currently treats approximately 5.3 MGD based on current demand. 

ELECTRICAL SERVICE

Providers: Multiple (ComEd is sole distributor)

Applicable Fees:

The average industrial rate is about 6.35 ¢/kWh. Illinois offers customers a robust, competitive electric supply market with more than 40 certified suppliers. Competition helps keep electricity rates low. Illinois prices have averaged seven percent below the national average since the Illinois electric industry was deregulated in 1999, resulting in more than $31 billion in electricity cost savings for businesses, government, schools, hospitals and households. Illinois’ competitive energy rates compare favorably across the Midwest and country. Average electricity prices list Illinois at 5.73/kWh, which is the 6th lowest for industrial rates in the country.

Incentive:

Depends on provider and assessment of electrical needs.

GAS SERVICE

Provider: Nicor Gas

Applicable Fees:

Natural gas load requirements for projects needs to be defined to determine what infrastructure and/or system improvements would be required to serve a requested load. A cost will then be defined for these requirements. That cost is then compared to the projected revenues Nicor Gas will receive in serving the new facility. To the extent that Nicor Gas meets its tariffed rate-of-return (8.1%) there is no cost to the customer. In the event of shortfall, Nicor Gas will look to the customer to make up the difference.