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Lake Forest approves $250,000 business disruption grant for Deerpath and Bank Lane construction
Summary
City staff outlined progress and closures for the Deerpath Streetscape and Bank Lane projects and the council approved a $250,000 grant program to help eligible downtown businesses affected by prolonged closures and reduced foot traffic.
The Lake Forest City Council on July 7 approved a $250,000 business disruption grant program to assist businesses directly affected by the Deerpath Streetscape and Bank Lane construction projects, which have caused extended street closures and constrained pedestrian and vehicle access.
Why it matters: City staff said the Deerpath and Bank Lane projects involve substantial daytime and limited nighttime construction phases and closures that together will amount to nearly a year of construction-related disruption. City staff emphasized that the projects are on track for an overall completion in October and that the city is trying to limit long-term business impacts while finishing improvements.
What staff reported: Superintendent of Engineering Byron Coutts provided the monthly construction update, describing sequential work on irrigation, masonry walls and decorative sidewalks on Deerpath and concrete and utility relocations on Bank Lane. Coutts said closures for certain crosswalk and storm sewer work were tentatively scheduled for Aug. 7–24, and Oakwood closures may be scheduled in September to allow storm sewer and water-main repairs identified during work. Coutts also said the city will notify residents in advance of closures and that AT&T planned nighttime conduit relocations in the near term.
The business grant program: Assistant to the City Manager Carrie Cope described the recommended program, which would allocate up to $250,000 total with estimated eligibility for roughly 22 businesses. To qualify, a business must have street frontage or primary access on the closed portion of Deerpath or Bank Lane and must report taxable sales to the Lake Forest location code. Grants would pay up to 50% of lost sales between Jan. 1 and Oct. 31, 2025, compared with the same period in 2024, capped at $11,650 per business. Businesses opening after Jan. 1, 2024, would be eligible for the greater of 50% of sales or a $5,000 minimum; payment requests can be monthly and the program would accept requests through Dec. 31, 2025. Cope said current project budget savings are expected to be sufficient to fund the program without an additional appropriation.
Council and community response: Council members praised staff for designing a narrowly targeted, time-limited program that avoids creating a standing precedent for all capital projects. Several council members and the chamber of commerce urged residents to “shop local” to support affected businesses. The council voted unanimously to approve the program (7–0).
Operational context and requests: City staff and the mayor urged property owners leasing to affected businesses to consider temporary rent abatements to help tenants weather the construction. The chamber and business representatives asked the city to retain flexibility to allocate unused program funds proportionally if fewer businesses apply than anticipated.
Quotes: “We realize that we can’t make you whole, but we’d like to do what we reasonably can to keep you in place until things are better,” Mayor Tack said in introducing the staff proposal. Assistant to the City Manager Carrie Cope said the program’s cap and eligibility rules were designed to limit exposure while providing targeted help to the most-impacted businesses.
What to watch: Staff expects to implement an application and payment process this summer and accept claims through Dec. 31, 2025. The city will report back to council on program uptake and remaining balances as payments are made.
