Pekin accepts $3 million IDOT grant for Court Street project, must cover roughly $1.3 million local share

The Pekin City Council on Oct. 28 approved a local public agency agreement with the Illinois Department of Transportation to accept $3 million in Surface Transportation Program urban grant funding for Court Street between 8th and 10th streets. City staff told council the full project is estimated at $4.3 million, leaving the city responsible for the remainder (about 30 percent of costs).

City staff said the state will advertise and pay contractors directly; the city will reimburse the state its share. Staff recommended putting the project out to bid in January 2025 provided all necessary land acquisitions can be completed on time. Council members asked how many property acquisitions remain; staff reported four small right-of-way acquisitions are still in negotiation, most with corporate landowners undergoing internal legal review.

Finance staff explained the $3 million grant is paid directly to the contractor by the state and does not pass through city cash accounts, though the city must book the grant on its records and budget its local match across fiscal years. Project engineering and a parallel Court Street section (10th to Stadium Drive) will be managed as separate state bid packages, which staff said increases coordination work but reduces engineering costs for the city.

Council voted to approve the agreement. The resolution authorizes staff to proceed with the grant acceptance and project coordination with IDOT; staff said they will return with updates as land acquisitions and bidding progress.