City Council approves multiple development agreements, rezoning and event permits; rejects hydro pump bid

Kankakee City Council voted on a slate of ordinances, development agreements and resolutions during its Feb. 3 meeting, approving multiple downtown rehabilitation incentives, rezoning parcels from industrial to residential, permitting a June cycling event and rejecting a single bid for an electrical pump at the hydroelectric plant.

The council approved development agreements that together commit city capital incentives to small-business and downtown building rehabs, passed an ordinance to rezone multiple parcels on East Chestnut Street and North Cottage Avenue from industrial to residential, and authorized acceptance of an engineering proposal for work at the Brookmont Boulevard underpass. Council members also approved the city’s regular bills and the Environmental Services Utility bills. Separately, the council voted to reject the lone bid received to replace a hydroelectric plant pump and approved a recommendation to hire Pigash Engineering for design and survey work on the Brookmont Boulevard underpass.

The actions were carried by roll call votes largely unanimous. Highlights of votes and outcomes appear below.

Votes at a glance

- PB 20-24-444 (amend and restate conditional use permit) — Passed (roll call recorded as 14 ayes, 0 nays). The ordinance corrected the legal description to include Lot 24 of the subject property for a 24-hour convenience store and fuel sales at the northwest corner of Route 4552 and Riverstone Parkway; council suspended the rules to permit passage the same night.

- PB 20-25-1-1 (rezoning) — Passed (14 ayes, 0 nays). The ordinance rezoned several addresses at 1550 East Chestnut Street and multiple North Cottage Avenue addresses from industrial to residential (R-2); council suspended rules and placed the ordinance on final reading the same night.

- Event permit: South Chicago Wheelmen — Passed (14 ayes, 0 nays). Council approved a criterium bicycle race for Sunday, June 9, 2025, 9 a.m.–5 p.m.

- Development agreement: Safari Cafe, LLC (150 N. Schuyler, Suite 105; downtown Majestic Building) — Passed (13 ayes, 0 nays, 1 abstention). The city agreed to a $10,000 capital incentive from general operating funds to assist a downtown coffeehouse rehabilitation; funds disbursed upon meeting business-licensing occupancy requirements.

- Development agreement: JT Desk LLC (416 N. Schuyler / Anderson Building) — Passed (14 ayes, 0 nays). The council approved a $48,000 incentive (split: $23,000 on signature; $25,000 on completion and clearance by building, fire, planning and business licensing) for a $578,000 total rehab to create seven small commercial/warehouse lease spaces.

- Development agreement: Duncan Holmes, Inc. (402 N. Schuyler) — Passed (14 ayes, 0 nays). Council approved a $10,000 capital incentive to support a roughly $50,000 facade and interior rehabilitation tied to a new tenant (a tamale restaurant); the developer has secured additional financing to cover increased foundation costs.

- Ordinance codifying the Economic and Community Development Agency into the municipal code — Passed (14 ayes, 0 nays). The ordinance updates an older Community Development Agency ordinance, clarifies department name and authorities for HUD and audit purposes, and standardizes accounting/administrative references.

- Resolution rejecting the single bid for hydroelectric plant pump replacement ($455,191) — Passed (13 ayes, 0 nays, 1 abstention). City staff said the lone bid was roughly double the engineer’s estimate and recommended rejecting it to revisit design and procurement options.

- Resolution authorizing Pigash Engineering proposal (Brookmont Boulevard underpass design & survey) — Passed (14 ayes, 0 nays). Council authorized paying $98,326 now (part of a $196,060 engineering proposal) from capital funds to complete survey and preliminary engineering; construction is currently estimated to cost roughly $800,000–$900,000 pending bids.

- City bills and Environmental Services Utility bills — Passed (14 ayes, 0 nays). Council approved the city’s bills of $506,044.88 and ESU bills of $352,636.78; several members abstained from specific checks to avoid conflicts of interest where noted and recorded in roll calls.

What the votes mean

Most of the development incentives are small, capital grants drawn from the city’s general fund (not TIF) and are conditioned on meeting building, fire and business-licensing clearances. The Brookmont Boulevard engineering authorization initiates survey and design work for sidewalk reconstruction, retaining-wall and railing repair, lighting, and repaving under the Brookmont underpass; staff said the structure itself is sound but adjacent retaining walls and sidewalks need repair. The hydroelectric pump replacement will be re-scoped after staff revisits design and cost estimates.

Next steps and timelines

- Developers receiving incentives must complete inspections and secure occupancy/business license clearance before receiving final payments. - Brookmont Boulevard preliminary engineering work will proceed under the Pigash contract; construction timing depends on final bids and funding and could realistically occur in 2026, according to staff. - The hydroelectric pump item will return after staff refines the approach; rejecting the bid preserves the city’s ability to rebid or revise scope.

For more detail on specific ordinance or resolution language, see the minutes and staff attachments posted by the City Clerk.