Chicago – Governor JB Pritzker and the Illinois Department of Commerce and Economic Opportunity (DCEO) unveiled a new state‑wide Grocery Rescue Program on Thursday. The initiative earmarks $4.5 million in grant funding to help independent grocery owners reopen stores that have closed within the past year.
How the program works
Eligible applicants are independent grocers or cooperatives with fewer than 500 employees and no more than four locations. Grants can reach up to $1.5 million per applicant, but owners of the closed property itself are not eligible. The program is part of the broader Illinois Grocery Initiative, which Pritzker launched in 2024 to combat food deserts and strengthen local economies.
Targeting food‑desert communities
The state defines a “low‑access” area as one where at least 33 percent of residents—or at least 500 people—live more than half a mile from a grocery store in an urban census tract, or more than 10 miles away in a rural tract. By focusing grant money on these neighborhoods, the program seeks to keep fresh, affordable food within reach of Illinois families.
Recent closures and city response
The announcement follows the high‑profile shutdown of seven Save A Lot stores on Chicago’s South and West Sides. Despite $26 million in city funding that helped some locations reopen, the chain ended its agreement with operator Yellow Banana in July, citing significant financial headwinds.
Mayor Brandon Johnson’s administration has responded with its own Neighborhood Market Grant Program and a partnership with Lyft to provide free rides to grocery stores for seniors affected by the closures.
Additional support for new stores
Alongside the Rescue Program, the Illinois Grocery Initiative includes the New Stores in Food Deserts Program, which offers grants ranging from $500,000 to $5.2 million for building new grocery outlets in underserved areas. Recent examples include a $750,000 grant to Austin’s Forty Acres Fresh Market for a new brick‑and‑mortar store.
That program also encourages proposals that incorporate a pharmacy, addressing the growing “pharmacy desert” problem after recent Walgreens closures in neighborhoods such as Chatham, Bronzeville, and Little Village. In June, Governor Pritzker announced $25 million to support 434 Illinois pharmacies at risk of closure in rural and low‑income communities.
Application details
Applications for the Grocery Rescue Program are due by 5 p.m. on June 30. The DCEO will host a technical assistance webinar on September 16 at 2 p.m. to guide prospective applicants through the process. The deadline for the New Stores in Food Deserts Program is 5 p.m. on December 19, with a webinar scheduled for September 15.
Both initiatives reflect a commitment to preserving the backbone of local neighborhoods—small grocery businesses that keep families fed, support local jobs, and foster thriving communities.
Original reporting: Block Club Chicago — read the source article.
