Rockford City Council recap: Here’s what happened on 7 key measures
By Kevin Haas
Rock River Current
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ROCKFORD — If you liked Monday’s City Council agenda don’t worry, you’ll see a lot of those items again.
Four of the seven measures we previously highlighted from a busy first meeting of the year were delayed on Monday. A fifth stalled with no action.
It was the first committee and full council meetings of the year, and the combination stretched more than three hours.
Here’s a recap of what happened and didn’t happen with the biggest measures on the agenda.
News Tower Lofts delayed
Aldermen on the council’s Planning & Development Committee gave unanimous approval to a redevelopment deal with Urban Equity Properties for its planned $45.6 million revamp of the former Rockford Register Star News Tower, which is now the Iconic Energy Building.
The proposal was then delayed on the City Council floor under a rule that allows two aldermen to pause a vote for two weeks. Alderwoman Gina Meeks made that motion, which was seconded by Alderwoman Gabrielle Torina. It will come back before the council on Jan. 20.
The future redevelopment of 99 E. State St. will include 80 luxury loft apartments, a dozen retail spaces for a small business emporium, a riverfront restaurant space and a small publishing museum.
“The Rockford Register Star tower, it’s like an icon downtown. It cannot decay. Neither can our downtown,” said Alderman Tim Durkee, chairman of the committee that gave initial approval. “To see somebody stepping up to take on this project is outstanding. … You cannot have a building such as this decay downtown.”
The council is being asked to approve a $3 million subsidy structured as a forgivable loan. An additional $1 million would be provided as a cash advance from the tax increment finance district. That money would be repaid to the city at $50,000 annually for 20 years. The agreement would also allow UEP to obtain 100% of the funds generated from the tax increment finance district, which captures the property taxes the company pays above the property’s current value into a special fund for redevelopment and infrastructure.
“The residents are going to ask, ‘What do we get in return?'” Durkee said. “They get another piece of the puzzle to a vibrant downtown.”
Watch Factory redevelopment delayed
A redevelopment deal to restore the former Rockford Watch Co. factory and turn it into 24 apartments also received unanimous approval at the Planning & Development Committee before being delayed on the council floor. It was delayed in the same motion as the News Tower Lofts.
Oliver Emerson Development is asking for a new deal with the city after its anticipated redevelopment costs increased from $7.3 million to an anticipated $11.5 million since an initial agreement was approved in October 2023.
The father-and-son development team plans to purchase the three-story building, at 325 S. Madison St., from the city for $55,000 and transform it into 24 residential units. There would be solar-covered parking spaces.
City Council is considering subsidizing part of the costs by providing $2.7 million in three $900,000 installments. That would be structured as a forgivable loan. The developer would also receive 100% of the Oak and Madison TIF District revenue on a pay-as-you-go basis.
Cannabis grants stall
The council’s Planning and Development Committee decided not to act on a measure to allocate $500,000 in cannabis tax funds to its Regrow grant program.
The motion stalled on the committee floor with no action after it did not receive a second.
The proposal was to award two 2-year grants at $100,000 each, four 1-year grants at $50,000 each and 10 “quick-deployment grants” at $10,000 each to support short-term projects.
The money comes from the 3% local tax on recreational cannabis.
The cannabis fund has been contentious after City Council decided in a split vote to take $2.6 million in unspent marijuana tax money to close a budget deficit. Nearly half the council objected to the move, noting a 2021 ordinance that restricted the use of the funds to benefit communities affected by the war on drugs.
City staff will now work with aldermen to determine a new path forward for use of the revenue.
Senior Center delayed
Aldermen on the council’s Planning & Development Committee decided to delay a vote on funding for a proposed senior center for three weeks.
The council is being asked to consider providing $300,000 to help the Northwest Illinois Area Agency on Aging open a senior center in the former River Valley Community Church, which is at 5439 E. State St. on the southwest side of the State Street Square commercial plaza that contains Flow Supreme Air Sports.
The money would be provided at $100,000 per year, with the first payment coming when the center opens, to help cover operational costs.
The nonprofit council on aging says that the city money, in conjunction with $250,000 in state money secured by state Sen. Steve Stadelman, would allow it to lease and operate the building for the senior center.
Alderwoman Gina Meeks raised issue with the location, saying that the need for such a center may be more pronounced on the city’s west side. She also questioned whether it was wise for the council to commit this amount to the center given other needs in the city.
“Looking at where we are at the city in our budget, I just don’t feel comfortable right now – in this moment here at the beginning of the year – with a whole year ahead of us, knowing that there could be other opportunities that come before us,” Meeks said.
Zoning change for new duplexes
City Council gave approval to a request to rezone four parcels of land from limited commercial to two-family residential zoning.
The zoning switch would allow for duplexes to be built at 6783 and 6819 Fincham Drive and 886 and 891 White Chapel Lane, which are plots directly north of the existing neighborhood.
The request came from LAS Management, a local real estate company run by real estate investor Luke Salamone with backing from NBA star Fred VanVleet.
The council previously rejected a larger pitch from the company, which would have permitted approximately 180 units on additional land in the area.
This time, the group asked only for a zoning change rather than presenting a detailed look at the type of structures it would build.
Support for Rockford Brake’s restart delayed
The City Council is being asked to provide a $250,000 grant to support the restart of operations of Rockford Brake Manufacturing, the former Gunite Corp.
The money is intended to help provide the start-up company with the cash flow it needs to operate the factory at 302 Peoples Ave. after it closed under previous ownership in early 2025.
Meeks asked for the delay, saying she needed to learn more about how the company was handling environmental concerns with stormwater runoff before she felt comfortable supporting the grant. City Administrator Todd Cagnoni said staff was working with the company to make sure any concerns are addressed and would provide more details before the matter goes back before the committee in one week.
The factory closed a year ago amid bankruptcy proceedings of its parent company. It was purchased by four former employees, who formed a new company to resurrect the plant. The company, like its predecessor, manufactures Gunite brake drums.
Spider on Quinta wins approval
City Council gave approval Monday to a special-use permit and liquor license for Spider on Quinta, a new special-event space taking up the former Ellida Lodge at 1111-1115 Fifth Ave. in Midtown.
The special event space will be home to a multitude off different events ranging from educational workshops to fitness activities, brunches and other programs.
Half of the space would be dedicated to special events while the other portions would be taken up by offices and a showroom for Danny’s Roofing Exteriors.
This article is by Kevin Haas. Email him at [email protected] or follow him on X at @KevinMHaas or Instagram @thekevinhaas and Threads @thekevinhaas
