The Tourism Private Sector Grant Program, administered by the Illinois Department of Commerce and Economic Opportunity, is designed to support the attraction and hosting of tourism events within Illinois. This initiative aims to increase visitation and overnight stays in the state, fostering economic growth through tourism-driven activities. The program provides funding to eligible entities that can secure matching contributions from private sector sources, ensuring that investments in tourism-related events are bolstered by non-governmental support.

Eligible applicants for this grant include Illinois-based nonprofit organizations, for-profit entities, counties, municipalities, and local promotion groups. To qualify, these organizations must demonstrate good standing with relevant state authorities, such as the Illinois Secretary of State and the Illinois Department of Revenue. The program is structured as a competitive grant, meaning applications are assessed and scored by an internal review committee, with awards granted to the highest-scoring proposals until available funding is exhausted.

Grant funds are distributed in the form of project grants, with financial awards ranging from $10,000 to $50,000. A key requirement of the program is that all grant funds must be matched dollar-for-dollar by private sector contributions. Up to 25% of the required match may be provided in the form of in-kind contributions, such as hotel and transportation services. However, other government funds, operational expenses, and funds used to match other grants are not considered eligible matching sources.

Applicants must complete a standard application package, which includes a Uniform Grant Application, a Uniform Capital Budget, a Conflict of Interest Disclosure, Mandatory Disclosures, and a Program-Specific Application/Narrative. The grant applications are evaluated based on three primary criteria: capacity, quality, and need. A minimum score of 60 out of 100 points is required for an application to be considered for funding.

The program follows a merit-based review process, and decisions on approval or disapproval are typically made within 30 to 60 business days. Appeals are allowed but are limited to procedural concerns rather than evaluation scores. The appeal must be submitted in writing within 14 calendar days of the award notice publication. The grants are non-renewable, and new applications must be submitted for each funding cycle.

Recipients of the grant are required to submit quarterly performance and financial reports using designated reporting formats. The most recent funding allocations indicate significant increases in available funds, with $4.6 million allocated for FY 2024 and $600,000 for FY 2025. The program has previously supported organizations such as the Mexican American Chamber of Commerce of Illinois, which received a $450,000 grant for an event spanning from January 2024 to June 2025.