Economic Development Policies in Peoria

BizPAC Calls for Clear Economic Development Policies in Peoria

BizPAC supports thoughtful economic development policies that strengthen Peoria’s business environment and encourage investment. Tools such as Business Development Districts (BDDs), Special Service Areas (SSAs), and Tax Increment Financing (TIF) districts can play a role in revitalizing commercial areas and attracting development when used appropriately. However, these mechanisms involve additional taxes on consumers or the use of public resources to support private development. Because of this, BizPAC believes they should be used carefully and within a clearly defined policy framework that ensures consistency, transparency, and accountability.
Currently, the City of Peoria does not have a comprehensive policy outlining when and how these economic development tools should be used. Without guiding principles, decisions involving BDDs, SSAs, TIFs, or direct land and building acquisitions risk being evaluated on an inconsistent, ad-hoc, and potentially unfair basis. BizPAC believes the City should adopt a formal framework defining eligibility criteria, appropriate uses of funds, transparency requirements, and clear expectations for how these initiatives benefit Peoria taxpayers and the local business community. Establishing consistent policies would provide clarity for developers, businesses, and residents while ensuring that public incentives are used strategically and responsibly.

BizPAC Advocacy and Recent Council Actions
BizPAC has been outspoken since the establishment of the Portillos SSA in 2017 about the need to establish a clear and consistent policy for economic development tools. In September 2025, BizPAC engaged with members of the Peoria City Council regarding the creation of a new Business Development District at Glen Hollow Shopping Center. BizPAC generated a policy brief outlining key questions and best-practice considerations for council members as they evaluated the proposal. The brief raised issues such as eligibility standards, appropriate uses of BDD funds, transparency regarding how funds would be spent, and the precedent such decisions could set for other shopping centers across Peoria. The City Council ultimately voted 7–2 to approve the Glen Hollow BDD.
Now, the Council is evaluating increasing a Special Service Area tax at Westlake Shopping Center from 0.75% to 1%. This is being considered despite an absence of a broader policy framework governing when these tools should be used or how similar requests will be evaluated in the future. BizPAC believes these decisions highlight the need for clear guidelines so that similar requests across the city can be reviewed consistently and fairly.

Broader Concerns About City-Led Development
BizPAC also believes Peoria should develop clear policies governing the City’s recent involvement in purchasing buildings and land for redevelopment purposes. In late 2024, the City purchased the PNC Bank Building in downtown Peoria and in September 2025, the City acquired the Expo Gardens property, a 70-acre site formerly used as a fairgrounds, with the goal of facilitating future redevelopment.
While the intent behind these acquisitions may be to encourage economic development, BizPAC believes the private sector is typically better equipped to lead redevelopment projects. Private developers bring specialized expertise and assume the financial risks associated with development, protecting taxpayers from potential losses. When the City becomes the owner and developer of property, those risks shift to the public. For this reason, BizPAC believes the City should establish clear criteria and guiding principles before pursuing similar acquisitions in the future. At present, it is unclear why these two recent purchases by the City were necessary and which properties might be eligible for City purchase in the future.

BizPAC’s Position Going Forward
Until the City of Peoria adopts a comprehensive policy framework governing the use of BDDs, SSAs, TIF districts, and City-led land or building acquisitions for development, BizPAC will be critical of future votes approving these types of actions. BizPAC believes that major economic development decisions involving public incentives or taxpayer risk should be guided by clear, transparent policies that ensure fairness, accountability, and consistency.
In addition, BizPAC’s City Council Scorecard, which tracks and reports council votes on issues affecting Peoria’s business climate, will reflect these votes accordingly. Our goal is not to oppose economic development tools, but rather to encourage the City to adopt thoughtful policies that guide how and when they should be used.
BizPAC will continue working constructively with city leaders to develop responsible economic development policies that promote private investment, protect taxpayers, and support long-term growth for Peoria’s business community.

Our objective remains simple: robust growth, responsible governance, and a thriving local economy for the entire Peoria region.