Mayor Estimates $8-9M Loss In Revenue

ARLINGTON HEIGHTS, IL — On the first Saturday of every May, sports fans get excited to watch the annual Run for the Roses, better known as the Kentucky Derby. Arlington International Racecourse typically syncs up its first weekend of spring/summer live racing with it and Arlington Heights embraces the influx of horse racing fans coming into the village. Due to COVID-19, these are anything but typical times.

As a result of the coronavirus, the Kentucky Derby was postponed until September and Arlington didn't open on May 1. This news comes on the heels of the announcement Frontier Days has been postponed. Though Arlington Heights is not unique in its necessity to face the various obstacles coronavirus presents on a daily basis, the municipality does have specific challenges of its own.

"I've been meeting with other mayors, not just in the area, but in the whole state. I'm aware of what's going on in other municipalities," Arlington Heights Mayor Thomas Hayes told Patch. "We're all pretty much in the same boat, depending on the size of your community."

Hayes estimates that Arlington Heights, one of the 15 largest municipalities in the state, will lose between $8-9 million in revenue due to COVID-19, based on the latest projections. The revenue is usually generated from sales, tax revenues and other fees.

"Everyone is feeling the economic impact. We were fortunate enough to be in a strong financial position going into this," Hayes said. "It's not to say we won't have to look at cutting costs in the year ahead and we've already started to do that. [Cuts will] not necessarily be in terms of layoffs, but cutting out any extraneous expenses."

As local government is considered an essential business, critical infrastructure services on the village level like road repair, sidewalk replacement, water and sewer work, are not affected by the stay-at-home order, which is in effect through May 30. Hayes stressed that all public employees are following social distancing guidelines when at work.

"It's an inconvenience for them, but it's work that has to get done," Hayes said.

While essential projects have not been affected or delayed, the events calendar in Arlington Heights has been decimated. As of press time, here are a few that have been affected:

• Memorial Day parade and ceremony canceled
• Arlington International Racecourse spring/summer season delayed
• Sounds of Summer concerts (Thursdays and Friday) postponed through the month of June
• Frontier Days (Fourth of July) canceled

"A lot of the fun family activities have taken the brunt of the cancellations," Hayes said.

Though Hayes hasn't heard of any businesses closing around town, he does know many, especially restaurants, are seeing a significant decrease in revenue.

"Restaurants are such a big part of downtown Arlington Heights. We've heard stories of some losing 90 percent of their revenue even though they're doing take-out and delivery," Hayes said. "They're doing all they can and I know the federal and state governments are doing all they can to help them out."

The Village is looking to help as well by inquiring about a financial assistance packages for loan programs, deferral of costs and fees for liquor licenses, among other things.

Meanwhile, an opening date for Arlington International Racecourse has not been determined. Hayes admits not having live horse racing in Arlington Heights this summer will hurt revenue across the board, including tourism, but also understands the inherent dangers such a public gathering could wreak.

"It's such a big part of our community. There are a lot of complex issues involved in terms of health with a lot of people in close proximity. It's not just the spectators, but the horsemen, trainers and all of the people in the backstretch," Hayes said. "We are certainly supportive of the racetrack and want to see them open as soon as possible."