Illinois Administrative Code
Title 14 - COMMERCE
Part 550 - LOCAL TOURISM AND CONVENTION BUREAU PROGRAM
Section 550.40 - Certification Process

Universal Citation: 14 IL Admin Code ยง 550.40

Current through Register Vol. 48, No. 38, September 20, 2024

a) Notification. Each year, on or about January 1, the Department will publish three times within a 10-day period, in the official State newspaper, a notification that includes the following:

1) Availability of funds under the LTCB program as of July 1;

2) A statement directing applicants to contact the Department to obtain certification criteria and forms; and

3) Instructions directing applicants to submit their request for certification by March 31. The Director shall not waive this submittal deadline unless the Director finds that to do so would:
A) Allow the Department to further the purposes of the Program;

B) Allow the Department to consider funding of an applicant that is otherwise eligible under the Program; and

C) Prevent loss of representation and promotional services to a designated geographic area of the State. The Director's waiver must be in writing to be effective.

b) Eligibility Criteria for Previously Certified Applicants. Previously certified applicants must meet all of the following criteria to be re-certified as eligible to receive LTCB funds:

1) Be either a unit of local government or incorporated as a not-for-profit organization in good standing with applicable State authorities, including, but not limited to, the Illinois Secretary of State, Illinois Department of Revenue, Illinois Department of Labor, and the Office of the Illinois Attorney General;

2) Employ a full-time (minimum of 35 hours per week) paid professional Chief Executive Officer; and

3) Have been in legal existence for a minimum of two years, representing one county or contiguous counties or one or more municipalities, and receive hotel-motel tax receipts from one or more municipalities or counties in the applicant's proposed service area.

c) Eligibility Criteria for New Applicants. Applicants requesting certification for the first time must satisfy the criteria described in subsections (b)(1) and (b)(2), as well as the following criteria:

1) Have been in legal existence for a minimum of two years with paid full-time tourism staff whose sole purpose is to promote tourism in the designated service area;

2) Receive local hotel/motel tax receipts from multiple municipalities in the applicant's proposed service area; and

3) Represent more than one municipality or contiguous counties in the applicant's proposed service area.

d) Service Area for New Applicants. A new applicant will be certified to represent an area that is encompassed in an existing grantee's designated service area if:

1) Documentation has been provided showing that the proposed area has provided substantial financial support to the existing grantee and received unsatisfactory representation; or

2) The new applicant and the existing grantee provide a copy of a written mutual agreement supporting the new applicant's proposed service area and demonstrate support from the governing bodies of municipalities or counties in the proposed service area that it is in the best interest of the Program to create a new local tourism and convention bureau.

e) Required Documentation

1) Previously Certified Applicants. Previously certified applicants must submit the following materials to be re-certified:
A) A request for certification;

B) A copy of current by-laws and a listing of names of the members of the board of directors or other governing board;

C) A summary of tourism related experience and duties of the chief executive officer;

D) A statement listing the municipalities or counties included in the applicant's proposed service area, including a current letter from the governing bodies of each of these entities indicating that the applicant is recognized as their tourism promotion organization;

E) A statement by the applicant's fiscal officer, accountant, or treasurer of local funds specifying the local hotel/motel tax revenues and/or other funding received/projected by the bureau that can be used for matching funds.

2) New Applicants. Applicants that have not been previously certified must submit the following to be considered for certification:
A) A request for certification;

B) Documentation verifying the applicant is an Illinois not-for-profit entity and has been in good standing on the date of application with either the Illinois Secretary of State or the Office of the Illinois Attorney General for a minimum of two years, under the applicable incorporation laws, or if a unit of local government, a statement/resolution signed by the head of the unit of local government the applicant represents;

C) A copy of current by-laws and a list of board members or governing board representative of the applicant's proposed service area;

D) A description of efforts to further the growth of the State's travel industry as evidenced by previous promotional and marketing activities (e.g., copies of published advertisements, brochures or pamphlets used to promote tourism) used by the convention and visitors bureau during the two years prior to the request for certification;

E) A statement that it has demonstrated its commitment to tourism by operating a convention and visitors bureau with paid full-time staff dedicated solely to promoting tourism within the designated service area for a minimum of two years prior to requesting certification;

F) A statement that it employs a full-time professional paid chief executive officer;

G) A statement listing the municipalities or counties in its service area;

H) A complete listing of hotels/motels collecting the State's hotel/motel tax (including addresses and telephone numbers) within its service area and the number of rooms/units in each;

I) A statement certified by the applicant's fiscal officer, accountant, or treasurer specifying the local hotel/motel tax revenues and/or other government funding received/projected and/or expended by the bureau in the fiscal year prior to certification that can be used for match for the State grant; and

J) If the proposed area is currently served all or in part by a grantee, documentation must be provided demonstrating that the area has provided financial support to the grantee but received unsatisfactory representation, or the new applicant and grantee must provide a copy of a written agreement stating that it is in the best interest of tourism to create a new convention and visitors bureau.

f) Certification Determinations/Denials. Prior to May 31, the Department shall send notice to each applicant informing the applicant of its certification status.

1) When a single applicant seeks certification for a designated service area and has submitted all required documentation, and the documentation meets the approval of the Department, the applicant shall be certified by the Department. The Department shall send notification of certification that includes the amount of funds available and a request for application (RFA) for grant funds.

2) When more than one applicant seeks certification for an identical service area, with the exception of the City of Chicago, the Department shall send each applicant a request for proposal (RFP), which must be returned to the Department within 30 days and shall provide the following information:
A) Applicant's background, organization, experience and staff qualifications;

B) A detailed marketing plan that includes a description of activities contemplated by the applicant, objectives (long and short-term), methodology used to measure program effectiveness, intended audience, distribution targets for promotional materials, and a projected economic impact and benefit to tourism; and

C) Any marketing or feasibility studies in support of the plan.

3) Within 15 days after receipt of the RFPs, the Department shall notify in writing each applicant as follows:
A) The Department shall send written notification of certification, amount of funds available, and an RFA for grant funds to the certified bureau, and notify all other applicants that their applications have been denied.

B) Denied applicants shall have the right to appeal the Department's certification decision to the Director within 10 calendar days after the date of the denial notice. The request for review shall be submitted in writing to the Department and shall set forth the reasons for appeal and any additional tourism-related information the applicant chooses to submit in support of its appeal. The Director shall render a decision within 15 days after receipt.

4) A previously certified applicant found to be in substantial noncompliance with the terms and conditions of the grant agreements issued in the prior two years may be considered for certification only if the applicant has submitted a plan for corrective action, satisfactory to the Department, by the earlier of 45 days from notification by the Department of material noncompliance or March 31 (certification request deadline).

g) Denial of New Applicants. The Department shall reserve the right to deny certification to a new applicant if the Department determines that certification is not in the best interest of the Program. In making this determination, the Department shall consider: the size of the proposed service area and whether any portion of the proposed service area is currently serviced by another tourism entity.

h) Denial of Previously Certified Applicants.

1) The Department may deny certification to a previously certified applicant with a new service area if the Department determines that to certify the new service area is not in the best interest of the Program. In making this determination, the Department shall consider such factors as:
A) the size of the proposed service area;

B) the historic tourism promotional relationship between the applicant's previous service area and the new service area; and

C) whether any portion of the new service area is currently serviced by another bureau.

2) The Department may recertify an applicant's previous service area if the Department determines that the tourism objectives of the new service area are not consistent with the tourism objectives of the applicant's previous service area.

Disclaimer: These regulations may not be the most recent version. Illinois may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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