City announces new measures to help hospitality industry

Chicago is launching four initiatives designed to provide financial aid and resources to restaurants, bars and hospitality workers affected by the COVID-19 pandemic and the resulting indoor dining closures, Mayor Lori Lightfoot announced Thursday, Nov. 5.

The Chicago Hospitality Grant Program, a $10 million program financed by reallocating funds from the CARES Act from the Chicago Small Business Resiliency Fund, will provide emergency relief to bars and restaurants in the form of $10,000 grants. The funds are required to be used for operational costs, inventory and/or mortgage replenishment and rent and utilities payments.

Program grants will be distributed via a lottery system, and 60 percent of the grants will be reserved for businesses in low- and moderate-income community areas. Applications for these grants will open the week of Nov. 16, and the city plans to host several webinars in the coming weeks to help bars and restaurants apply.

Eligible establishments must be a bar or restaurant, earn less than $3 million in revenue annually and have experienced COVID-related economic loss and distress after March 1, 2020, amounting to at least 25 percent of annual net revenue. Businesses ineligible for grant funds include adult entertainment facilities and regional and national chains with more than two establishments.

Chicagoans who are in a financial position allowing them to support local bars and restaurants are encouraged to participate in the city’s new “Take Out Chicago” contest. Through this program, launched in conjunction with Choose Chicago, residents who order takeout from 10 unique restaurants and bars through Dec. 15 can enter a contest to win a VIP experience at city cultural institution, such as the Art Institute, Lincoln Park Zoo, Soldier Field and DuSable Museum. Residents can submit their entry at Chicago.gov/takeout, and the winners will be determined via lottery.

In an effort to aid hospitality workers who have lost their jobs and are no longer able to access the now-expired additional federal unemployment benefits, the city is working with the Chicago Cook Workforce Partnerships to create ChiServes.com, a portal designed to connect members of the hospitality industry with employment resources. A new text campaign, which involves texting “ChiServes” – Spanish speakers can text “ChiSirve” – to 474747, will allow registered recipients to receive information such as job listings, workshops and hiring events.

Lightfoot also announced she plans to partner with City Council members to pursue legislation that would temporarily place a cap on the fees third-party companies can charge bars and restaurants for delivery services.

“As we navigate the second surge of COVID-19, I am committed to using every available resource to its maximum potential to protect our residents and support our businesses,” Lightfoot said in a news release. “Our hospitality industry is at a crossroads and we each have a role to play in helping our bars and restaurants survive. This City relief package will help, but we still need all residents to wear a mask, social distance, avoid gathering in large groups and wash their hands. When we all do our part to bring cases down, we not only save lives but also ensure that our businesses can reopen quickly and safely.”