ADMINISTRATIVE CODE

TITLE 14: COMMERCE
SUBTITLE C: ECONOMIC DEVELOPMENT
CHAPTER I: DEPARTMENT OF COMMERCE AND ECONOMIC OPPORTUNITY
PART 515 REGIONAL TOURISM DEVELOPMENT ORGANIZATION PROGRAM

Section 515.10 Purpose

Section 515.20 Definitions

Section 515.30 Eligible Applicants

Section 515.40 Eligible Use of Grant Funds

Section 515.50 Form of Certification and Application

Section 515.60 Certification and Application Process

Section 515.70 Allocation of Appropriations

Section 515.80 Funding Limitation

Section 515.90 Grant Agreement

Section 515.100 Computation of Time

Section 515.110 Severability

Section 515.120 Administrative Requirements

TITLE 14: COMMERCE
SUBTITLE C: ECONOMIC DEVELOPMENT
CHAPTER I: DEPARTMENT OF COMMERCE AND ECONOMIC OPPORTUNITY
PART 515 REGIONAL TOURISM DEVELOPMENT ORGANIZATION PROGRAM
SECTION 515.10 PURPOSE

Section 515.10 Purpose

Section 605-710 of the Civil Administrative Code of Illinois authorizes the Department of Commerce and Community Affairs to make grants to not-for-profit regional tourism development organizations that assist the Department in developing tourism throughout a multi-county geographical area designated by the Department.

TITLE 14: COMMERCE
SUBTITLE C: ECONOMIC DEVELOPMENT
CHAPTER I: DEPARTMENT OF COMMERCE AND ECONOMIC OPPORTUNITY
PART 515 REGIONAL TOURISM DEVELOPMENT ORGANIZATION PROGRAM
SECTION 515.20 DEFINITIONS

Section 515.20 Definitions

The following definitions are applicable to this Part:

"Act": means Section 605-710 of the Civil Administrative Code of Illinois [20 ILCS 605/605-710].

"Agreement": means a written document executed between the Grantee and the Department defining the rights and obligations with respect to the Project.

"Applicant": means a not-for-profit entity submitting a written request for certification and funds appropriated under the Act.

"Application": means a written request for program funds containing the required information and attachments.

"Bureau of Tourism": means the division of the Department that has the delegated authority to perform all administrative functions relating to the Act.

"Department": means the Department of Commerce and Community Affairs of the State of Illinois.

"Department Logo": means a form of recognition as stipulated and supplied by the Department to identify a Promotional Project/Product as being produced in whole or in part through grant funds from the Department.

"Director": means the Director of the Department of Commerce and Community Affairs.

"Economic Impact": means the direct financial result of visitor spending at a tourism destination, attraction or event.

"Eligible Project": means administrative and promotional activities that are approved and funded by the Department.

"Fiscal Year": means July 1 through June 30, the Fiscal Year of the State of Illinois.

"Fiscal Year Work Plan": means the Regional Tourism Development Organization's 12 month work plan including a description of specific goals, objectives, strategies, and anticipated results.

"Grant Amount": means an amount that the Department shall pay to a Grantee for its use on the Eligible Project.

"Grantee": means a certified Regional Tourism Development Organization that has been awarded a grant in accordance with the Act.

"Ineligible Project": means a project that is ineligible for funding as defined in Section 515.40.

"Program": means the Regional Tourism Development Organization Program described in this Part.

"Project": means the activities described by the Applicant in the Fiscal Year Work Plan and approved by the Department.

"Project Budget": means an itemized list of costs associated with the activities described in the Fiscal Year Work Plan.

"Promotional Projects": means activities that are designed to encourage overnight visits or visitors to travel to and through Illinois or encourage attendance at local events in accordance with Section 515.40(a).

"Regional Service Area": means a multi-county geographical area designated by the Department for the development and promotion of tourism products.

"Regional Tourism Development Organization (RTDO)": means a not-for-profit entity that meets the certification criteria and is designated by the Department to receive funds under the Act.

"Tourism": means travel 50 miles or more one-way, or an overnight trip outside of a person's normal routine.

"Tourism Attraction": means fishing and hunting areas, State parks, historical/cultural sites, areas of historic or scenic interest, museums, recreation areas, botanical gardens, theme/amusement parks, interpretive programs and other facilities or businesses that attract or serve visitors that are open to the public for a minimum of 100 days per year (if the tourism attraction is entirely event driven, then it shall be open for a minimum of 200 hours per year), and are marketed and promoted to visitors from more than 50 miles away.

"Travel/Trade Show": means an exhibit/marketplace of travel related products and/or services.

TITLE 14: COMMERCE
SUBTITLE C: ECONOMIC DEVELOPMENT
CHAPTER I: DEPARTMENT OF COMMERCE AND ECONOMIC OPPORTUNITY
PART 515 REGIONAL TOURISM DEVELOPMENT ORGANIZATION PROGRAM
SECTION 515.30 ELIGIBLE APPLICANTS

Section 515.30 Eligible Applicants

Illinois Regional Tourism Development Organizations (RTDO) recognized by the Department as certified are eligible to receive grant funds.

Section 515.40 Eligible Use of Grant Funds

a) Examples of eligible Promotional Projects include, but are not limited to:

1) Production and printing of travel related brochures that are primarily used as fulfillment for advertising placed 50 miles outside of the regional service area;

2) Advertising primarily directed toward areas 50 miles outside of the regional service area being promoted;

3) Rental of billboard space and artwork, design and production of billboard advertising to promote a regional service area;

4) Web site development for the regional service area;

5) Marketing research for the regional service area;

6) Travel/trade show booth space rental and expenses (i.e., electric, furniture rental, cleaning, etc.), and travel/trade show registration fees for domestic marketing that represents the regional service area;

7) 1-800 number telephone expenses for regional service area visitor inquiries; and

8) Purchase and use of mailing lists for direct mail promotions.

b) Examples of projects eligible for grant administrative funding include, but are not limited to:

1) Photocopies;

2) All postage, distribution and shipping expenses;

3) Insurance;

4) Audits;

5) Accounting services;

6) Phone;

7) Rent;

8) Supplies;

9) Maintenance fees associated with a website;

10) Travel expenses (transportation, lodging, per diem) in accordance with the latest State of Illinois Department of Central Management Services Travel Regulations;

11) Salaries;

12) Membership dues for travel related associations or organizations; and

13) Equipment leasing/rental.

c) Activities ineligible for funding include, but are not limited to:

1) Purchase of equipment;

2) Purchase of any alcoholic beverages;

3) Penalties, fines, late payment fees, service or interest charges; and

4) Any project that receives funding through the Tourism Marketing Partnership Program, Tourism Attraction Development Grant Program, or Tourism Private Sector Grant Program.

Section 515.50 Form of Certification and Application

All communications relating to the certification and Application procedures defined in Section 515.60 shall be sent to the RTDO Program Manager, Department of Commerce and Community Affairs, Bureau of Tourism, 620 East Adams Street, Springfield, IL 62701. The certification and Application shall:

a) Be typed or computer generated using the current approved format provided by the Department to Applicants upon request;

b) Contain on original and three copies; and

c) Include supporting documents and attachments under a single cover.

Section 515.60 Certification and Application Process

The certification and Application process shall be as follows:

a) Any Applicant seeking certification as a Regional Tourism Development Organization shall be certified annually by the Department.

1) An Applicant must meet the following eligibility criteria in order to be considered for certification:

A) Be a not-for-profit entity governed by a board of directors 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 Office of the Illinois Attorney General, prior to submitting a request for certification.

B) Have the ability to represent a multi-county regional service area as designated by the Department;

C) Employ one full time professional executive director that devotes a minimum of 35 hours per week to the development and marketing of tourism within the regional service area;

D) Possess the qualifications/experience to serve as a resource center for the counties not served by the jurisdiction of a certified Convention and Visitors Bureau, hereafter referred to as uncovered areas;

E) Have the ability to assist the Department with the development and marketing of tourism projects of the entire regional service area; and

F) Possess the ability and the equipment necessary to maintain the DCCA/Bureau of Tourism product database information.

2) To be considered for certification, Applicants shall submit, on or before March 31 of each Fiscal Year, the following material:

A) A request for certification;

B) Documentation to verify the Applicant is an Illinois not-for-profit entity governed by a board of directors and a listing of current Board Members, officers, directors, or trustees;

C) A statement that the organization will employ one professional executive director that will devote a minimum of 35 hours per week to the development and marketing of tourism within the organization's regional service area prior to receiving State grant funds;

D) A statement listing the organization executive director's training and experience in tourism development, marketing, collecting research data and reporting project measurements, and other aspects of the tourism industry;

E) A statement listing the organization's office address within the regional service area and its ability to maintain a staffed office accessible to the public between the hours of 8:30 a.m. to 5:00 p.m., Monday-Friday, except for designated State holidays;

F) An outline of the current challenges, opportunities, weaknesses and needs of the regional service area;

G) A Fiscal Year Work Plan, with monthly timelines, describing all activities to be initiated and funded through the RTDO grant;

H) A Project Budget, based upon the allocation of funding using the RTDO grant budget form, itemizing the expenses required to complete the project as described in the Fiscal Year Work Plan; and

I) Name, title and sample signatures for those persons who will be required to authorize all account transfers, with two signatures required.

b) Within 60 days after receipt of requests for certification, the Department shall send a notice to each Applicant seeking certification, informing the Applicant of its status.

1) When a single RTDO for a designated regional service area seeks certification and has submitted all documentation, and that documentation meets the approval of the Department, the RTDO shall be certified by the Department and the Department shall send notice of the grant award and the amount of funds available.

2) When more than one RTDO for a designated regional service area seeks certification for the same regional service area, the Department's internal review committee shall conduct an evaluation of each Application in order to determine certification.

A) The evaluation criteria includes, but is not limited to, the following:

i) Does the Applicant employ an executive director that has experience and training in tourism development, marketing and other aspects of the tourism industry?

ii) Does the Applicant have an office accessible to the public, the qualifications/experience to serve as a resource center for the uncovered areas and the ability to assist with the development and marketing of tourism projects in the regional service area?

iii) Does the Applicant possess the ability and the equipment necessary to maintain the DCCA/Bureau of Tourism product database information?

iv) Does the Applicant have experience in collecting research data and developing and reporting project measurements?

v) Does the Applicant have experience in coordinating regional meetings?

vi) Does the Applicant have the capability to meet the current challenges, opportunities and needs of the regional service area included in the Fiscal Year Work Plan?

vii) Are timelines and terms of measurement identified for the Fiscal Year Work Plan?

viii) Does the Project Budget demonstrate the personnel, office location and resources necessary to complete the tasks outlined in the Application?

B) The Department's internal review committee shall evaluate the criteria using a point system with ratings of 1 through 10, using the following guidelines:

i) A rating of 1 means that the Application meets the criteria at the minimum level;

ii) A rating of 3 means that the Application meets the criteria at a below average level;

iii) A rating of 5 means that the Application meets the criteria at an average level;

iv) A rating of 7 means that the Application meets the criteria at an above average level; and

v) A rating of 10 means that the Application meets the criteria at an exceptional level.

C) The scores of the Department's internal review committee are averaged to obtain the Application's total score. An Application must receive a minimum of 40 points to be considered certified for funding. The internal review committee shall forward all eligible Applications, together with its recommendations, to the Director for final determination. During the final review process, the Director will determine which RTDO is certified to receive the grant.

3) An RTDO that is not certified shall have the right to appeal the Department's certification decision to the Director within 10 calendar days after receipt of that notice. The request for review shall be submitted in writing to the Department and shall contain the reasons for appeal and any additional tourism related information the Applicant chooses to submit in support of the appeal. The Director shall render a decision no later than 30 calendar days after receipt of the request. The Director shall make a determination based upon a review of the information and any additional material submitted by the Applicant with the appeal.

Section 515.70 Allocation of Appropriations

Annual appropriation made by the General Assembly to the Department for the purpose of making grants under this Program may be used by the Department in any region of the State.

Section 515.80 Funding Limitation

The maximum grant amount for any one Grantee is subject to the appropriations approved by the General Assembly for any given fiscal year.

Section 515.90 Grant Agreement

a) When a grant has been awarded, the Grantee and the Department shall execute an Agreement. The Agreement shall be executed by the Grantee and the Director of the Department or the Director's designee on behalf of the Department.

b) The Agreement shall contain substantive provisions including, but not limited to, the following:

1) A recitation of legal authority under which the Agreement is made;

2) An identification of the Project scope and schedule, and the work or services to be performed or conducted by the Grantee;

3) An identification of the grant amount;

4) The conditions by and manner in which the Department shall pay the grant amount subject at all times to annual appropriation by the General Assembly;

5) A promise by the Grantee not to assign or transfer any of the rights, duties or obligations of the Grantee without the written consent of the Department;

6) A promise by the Grantee not to amend the Agreement without the written consent of the Department. Failure to do so will result in a cost disallowance. The Project must be completed by the completion date on the notice of grant award unless a written request for an extension is submitted no later than 30 days prior to the award completion date;

7) A covenant that the Grantee shall expend the grant amount and any accrued interest only for the purposes of the Project as stated in the Grant Agreement and approved by the Department; and

8) A covenant that the Grantee shall refrain from entering into any written or oral agreement or understanding with any party that might be construed as an obligation of the State of Illinois or the Department for the payment of any funds under the Program.

Section 515.100 Computation of Time

Computation of any period of time prescribed by this Part shall begin with the first business day following the day on which the act, event or development initiating that period of time occurs, and shall run until the end of the last day or the next business day if the last day is a Saturday, Sunday or federal or State holiday. When the period of time is 5 days or less, Saturday, Sunday and federal or State holidays shall be excluded in the computation of time. Timeliness shall be determined by the date of postmark or the date of hand delivery.

TITLE 14: COMMERCE
SUBTITLE C: ECONOMIC DEVELOPMENT
CHAPTER I: DEPARTMENT OF COMMERCE AND ECONOMIC OPPORTUNITY
PART 515 REGIONAL TOURISM DEVELOPMENT ORGANIZATION PROGRAM
SECTION 515.110 SEVERABILITY

Section 515.110 Severability

If any Section, subsection, subdivision, paragraph, sentence, clause or phrase in this Part or any portion thereof is for any reason held to be unconstitutional or invalid or ineffective by any forum of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this Part or any portion thereof.

Section 515.120 Administrative Requirements

a) Termination of Grant – Grants shall be terminated for the following reasons:

1) Termination Due to Loss of Funding – In the absence of State funding for a fiscal year, all grants for that year will be terminated in full. In the event of a partial loss of State funding, the Department will make proportionate cuts to all Grantees. In the event the Department suffers such a loss of funding in full or part, the Department will give the Grantee written notice setting forth the effective date of full or partial termination, or if a change in funding is required, setting forth the change in funding and changes in the approved budget.

2) Termination for Cause

A) If the Department determines that the Grantee has failed to comply with the terms and conditions of the grant, the Department shall terminate the grant in whole, or in part, at any time before the date of completion. Circumstances that will result in the termination of a grant include, but are not necessarily limited to, the following: consistent failure to submit required reports; failure to maintain required records; evidence of fraud and abuse; and consistent failure to meet performance standards. These circumstances are explained in the Grant Agreement.

B) The Department shall notify the Grantee in writing, within 10 working days after the determination to terminate, of the reasons for the termination and the effective date of the termination. Payments made to the Grantee or recoveries by the Department shall be made in accordance with legal rights and liabilities specified in the Grant Agreement.

3) Termination by Agreement – The Department and the Grantee shall terminate the grant in whole, or in part, when the Department and the Grantee agree that the continuation of the program objectives would not produce beneficial results commensurate with the future expenditure of funds. The Department and the Grantee shall agree on termination conditions, including the effective date and, in the case of partial termination, the portion to be terminated. The Grantee shall not incur new obligations for the terminated portion after the effective date and shall cancel as many outstanding obligations as possible. The Department shall allow full credit to the Grantee for the Department's share of the noncancelable obligations properly incurred by the Grantee prior to termination.

b) Interest on Grant Funds – In accordance with Section 10 of the Illinois Grant Funds Recovery Act [30 ILCS 705/10], all interest earned on funds held by the Grantee under the grant shall become part of the grant when earned, as long as this amount does not exceed the maximum allowable grant award. Any interest earned under the grant, and not expended as grant principal during the term of the grant, shall be returned to the Department.

c) Grant Close-out – In accordance with Section 4 of the Illinois Grant Funds Recovery Act [30 ILCS 705/4], all funds, including any interest, remaining at the end of the grant period or at the expiration of the period of time grant funds are available for expenditure or obligation by the Grantee, shall be returned to the Department within 45 days after the end of the relevant period. The Grantee agrees to repay the Department for any funds that are determined by the Department to have been spent in violation of the Grant Agreement.

d) Audits – A Grantee shall be responsible for securing a compliance audit for any grant award exceeding $300,000. Additionally, an audit may be required when certain risk conditions exist, including, but not limited to, a negative compliance history and disclosure of previous material audit findings. The audit shall be performed by an independent certified public accountant, licensed by authority of the State of Illinois pursuant to the Illinois Public Accounting Act [225 ILCS 450]. The audit shall be conducted in accordance with generally accepted auditing standards contained in the publication entitled AICPA Professional Standards, American Institute of Certified Public Accountants, Harborside Financial Center, 201 Plaza 3, Jersey City, New Jersey 07311 (June 2000, no later editions are incorporated).

e) Special Audits – The Department reserves the right to conduct special audits, including but not limited to an agency-wide audit, at any time during normal working hours, of the funds expended under Department grants.

f) Monitoring and Evaluation – Grantee shall permit any agent authorized by the Department, upon presentation of identification, in accordance with the constitutional limitation on administrative searches, to have full access to and the right to examine any documents, papers, and records of the Grantee involving transactions related to a grant from the Department. Once the Department has concluded its monitoring activities, the Grantee will be notified of the Department's findings. If a determination of noncompliance has been made by the Department, the Grantee will be allowed an opportunity to cure any and all noncompliance issues. If any noncompliance issues cannot be resolved, the Department will issue a notice requesting that the Grantee repay any funds that are determined by the Department to have been spent in violation of the Agreement. If the Grantee fails to comply with the Department's notice, the Department shall issue a final notice providing the Grantee the opportunity to request an administrative hearing pursuant to the Department's Administrative Hearing Rules found at 56 Ill. Adm. Code 2605.

g) Complaint Process – An administrative hearing is initiated by a party serving a Petition for Hearing on the Department, or by the Department serving a Notice of Charges on the Grantee. In either case, the Department and the Grantee shall follow the Administrative Hearing Rules set forth in 56 Ill. Adm. Code 2605.

h) Certifications – The Grantee shall certify that it has not been barred from contracting with a unit of State or local government as a result of a violation of 720 ILCS 5/33E-3 and 33E-4 (Bid-rigging and Bid rotating).

i) Reports – Grantee shall submit, as required by the Department, reports on the financial status of the Project and reports on outcomes and results of the Project.