Highland Park council directs staff to study five business‑development policy options for next strategic plan

Highland Park city staff on Sept. 8 asked the City Council’s Committee of the Whole to give policy direction on five proposed additions to the city’s business and economic development strategic plan for 2026–2030. Staff said they will return with detailed proposals and community engagement if the council wants the items included in the final plan.

Why it matters: The items under consideration—expanded small business incentives, changes to liquor licensing to encourage nightlife, stronger tools for vacant commercial properties, exploring redevelopment of city‑owned (Metra) lots, and occasional street closures in the central business district—affect downtown vibrancy, parking and traffic, property‑owner obligations, and potential public investment in land that could be reused for housing or commercial space.

Staff presentation and the five policy questions Jamie Elder, the city’s business development manager, and Aaron Jason, an assistant city manager, summarized outreach this year that included roundtables with property owners, retailers and service businesses and input from the Business and Economic Development Advisory Group (BDAG). Elder said staff used those sessions and peer‑community research to condense the plan around seven focus areas and to identify the five policy questions for council feedback.

1) Incentives for non‑sales‑tax businesses Staff proposed allowing limited matching grants for businesses that do not generate meaningful sales tax revenue (for example, service businesses), noting that the old exterior improvement grant occasionally covered such uses. The proposed structure discussed was a 50/50 matching grant with a possible cap of $5,000 and a focus on exterior improvements such as signage.

Council responses were mixed. Council member Bloomberg said she was “not comfortable contributing money to attract new businesses” and questioned whether the city would recover its investment; she added she supports modest facade grants but not broader giveaways. Council member Tapia and others said they would support a limited, exterior‑only 50/50 program with a $5,000 cap to help long‑standing local businesses. Several council members asked staff to research economic impacts (for example, pedestrian flow and spillover spending) before returning with specifics.

2) Revisiting liquor license classifications and nightlife Staff asked whether to study changes to liquor‑license classifications that would make certain entertainment or cocktail‑first establishments easier to operate without special‑use approvals. Supporters said revisiting classifications could increase evening activity and provide “in‑between” nighttime places that keep downtown active after early dinner hours. Concerns raised included potential public‑safety impacts and disruption to nearby residences. Council members asked staff to consider geographic limits (for example, restricting new classifications to the Central Business District), a phased or capped rollout, and how peer suburbs regulate similar uses.

3) Penalty‑focused programs for vacant commercial properties Staff presented two approaches: a vacant‑property registration ordinance (examples cited: Chicago, Waukegan, Danville) and a nuisance‑designation approach that would allow the city to order abatement for specific maintenance and management actions. The staff memo, authored with Corporation Counsel, warned a nuisance ordinance is likelier to survive legal challenge when it directs defined maintenance steps rather than only fines.

Council attention on this item was broad and strongly supportive of action. Member discussion favored a tiered approach (shorter notice/fees soon after vacancy; escalating fines and classifications such as “nuisance” and later “blighted” after longer vacancy). Staff cited sample fees in other communities (Danville $100; Chicago $250–$500) as background. Multiple council members urged aggressive but legally vetted tools, plus possible state advocacy to change incentives in property assessment law.

4) Exploring redevelopment of city‑owned Metra lots Staff asked whether to pursue study of redeveloping city‑owned Metra (commuter rail) parking lots to create housing, storefronts or mixed uses. Supporters said the lots could yield workforce housing and on‑site amenities; concerns included loss of surface parking, impacts on downtown access, and uncertainty whether Metra would permit redevelopment. Council asked staff to study options and to coordinate the effort with larger planning efforts (master plan, 10‑year capital planning) and survey current lot usage.

5) Temporary or partial closure of Central Avenue (First‑to‑Second block) Staff asked whether to investigate closing a portion of Central Avenue for programming—seasonally, weekends, or other limited uses—to create space for family activities, events and extended outdoor dining. Benefits included potential increased foot traffic and programming; considerations included lost on‑street parking, effects on deliveries and circulation, and the need for day‑and‑night programming capacity. Several council members suggested looking at a larger Central Business District strategy rather than making a decision focused on a single block.

What council asked staff to do next Council gave general direction—not formal votes—to include the five items in the draft 2026–29 strategic plan outreach and to return with proposed policy options, legal analysis and community engagement. For the vacancy item, members requested that staff evaluate a tiered registration/fines approach and the possibility of additional administrative limits on owners with multiple long‑term vacancies (for example, limits on participation in special service areas or TIF applications). For liquor licensing and incentives, members generally asked for targeted options, geographically defined limits and data on likely impacts.

Quotes and attributions “...we've tried the carrot many times in this community, and I...we've heard from this table, it's time for the stick,” Jamie Elder, business development manager, said when describing options including registration or nuisance tools. Council member Bloomberg said, “I'm not comfortable contributing money to attract new businesses,” when discussing incentives for non‑sales‑tax operations. Council member Andres said the plan should create more “in‑between spaces at night” and argued that some downtown areas are missing gathering points after movie showtimes or dinner.

Ending and next steps Staff will include these five policy items in the draft strategic plan and return to the council with requested research, draft ordinances or program designs, legal vetting from Corporation Counsel, and proposals for public and stakeholder engagement. Council members asked for staff to coordinate follow‑up with BDAG, property owners, and businesses before final recommendations are presented to the full council.