Council approves $250,000 Growth Alliance addendum after heated debate over minority-focused subcommittee

The Springfield City Council on April 15 approved Addendum 7 to its contract with the Springfield Sangamon County Growth Alliance, extending the city’s annual payment by $250,000 for a one-year period and adding a clause directing $50,000 of that amount toward a new Minority Business and Community Advancement working council.

The addendum passed on final vote 10-0 after nearly two hours of discussion and an amendment offered by Alderman Sean Gregory to require the Growth Alliance to create a working council focused on small-business support, East Side and downtown outreach, and minority contracting. Gregory moved the amendment; Alderman Williams seconded it. Corporate counsel told the council the Growth Alliance’s board must also approve the contract amendment before the city’s payment obligation is final.

Why it matters: The Growth Alliance is the public–private economic development organization the city funds to attract and retain employers, market the region and support business retention. Council members said they want a portion of city funding used for targeted outreach to historically underinvested neighborhoods and for direct assistance to minority- and women-owned firms as Springfield pursues several large redevelopment projects.

Growth Alliance president Ryan McCrady opened the council discussion with a brief report on 2024 economic-development work in Springfield and the region, including job growth, a marketing site at ymidillinois.org, site‑readiness work, and projects such as the Shield sports complex and the Pillsbury Mills remediation. “We had another clean audit done,” McCrady told the council, and he described the Alliance’s marketing, business‑retention and workforce efforts.

Alderman Gregory said the amendment was necessary to ensure some city funds explicitly support historically neglected neighborhoods and emerging minority businesses. “We can’t let $50,000 go out the door without us making sure that we direct it to our most priority need areas,” Gregory said during debate.

Council members pressed several themes: (1) the Growth Alliance’s board composition and whether the organization has sufficient representation of people of color; (2) how much money the amendment would subtract from the Alliance’s operating budget versus how much would be available for on‑the‑ground programming; and (3) limits on what the Growth Alliance can disclose about confidential developer prospects. Ryan McCrady said the Alliance’s public‑private model is standard for economic-development organizations and that confidential project discussions often require non‑disclosure until a developer is ready to reveal details.

Corporation counsel Gregory Mordock explained the approval path: the council’s vote amends the city contract, but the Alliance must vote to accept the change. "Once we send it over, the growth alliance will have to vote on it," Mordock said; he told the council the city would not be obligated to pay if the Alliance rejected the amended terms.

The amendment requires the Alliance to create the Minority Business and Community Advancement working council, directs up to $50,000 of the $250,000 addendum to part‑time support and operating costs for that council, and asks the Alliance to report back to the council. The council’s final vote approved the addendum as amended. McCrady said he would bring the amendment to the Alliance’s board; the contract will only take effect if the Alliance accepts the new language.

Council members said they expect the working council to track inclusion goals, help small and minority-owned businesses access state and federal programs, and coordinate with city staff and the Office of Planning and Economic Development. Several aldermen emphasized enforcement and measurable local hiring and contracting goals tied to city incentives.

Next steps: The city will transmit the amended addendum to the Growth Alliance for board consideration; the Alliance’s acceptance will finalize the contract and release of funds. The council asked the Alliance to provide periodic written updates on the working council’s membership, work plan, and measurable outcomes.