TRANSMITTAL LETTER FOR BOARD MEETING OF SEPTEMBER 18, 2014
COMMITTEE ON REAL ESTATE
Mr. David St. Pierre, Executive Director
Title
Authority to issue a 1-year permit to Equilon Enterprises LLC d/b/a Shell Oil Products US on 3.287± acres of District real estate located at the Gloria Alitto Majewski Reservoir site for use as a construction staging area for its pipeline relocation project. Consideration shall be $64,441.00
Body
Dear Sir:
Equilon Enterprises LLC d/b/a Shell Oil Products US ("Shell Oil") must relocate its jet fuel pipelines that service O'Hare Airport as a result of the Illinois State Toll Highway Authority's ("ISTHA") I-90 Elgin O'Hare expansion project. Shell Oil's pipelines are currently located within ISTHA and IDOT rights-of-way along I-90 and Elmhurst Road. The proposed relocation is located within the District's Gloria Alitto Majewski Reservoir site ("Majewski Reservoir Site").
Shell Oil has requested a 1-year permit on 3.287± acres of District real estate located within the Majewski Reservoir Site for use as a construction staging area for its pipeline relocation project. A companion transmittal letter seeking authority to grant Shell Oil a 25-year easement on a 0.773± acre parcel of District real estate within the Majewski Reservoir Site to construct, operate, maintain, repair and remove two (2) 6-inch pipelines is also being presented at today's meeting.
The District's technical departments have reviewed Shell Oil's request for a construction staging permit and have no objections thereto.
The proposed permit premises are located within a 50-acre area under lease to the Mount Prospect Park District ("Mount Prospect") for recreational purposes until 2050. Mount Prospect has indicated that it has no objection to the issuance of the subject permit; however, the permit will be subject to the express written consent of Mount Prospect.
An annual permit fee of $64,441.00 is recommended, as such amount represents 10% of the appraised fair market value of the permit premises.
It is requested that the Executive Director recommend to the Board of Commissioners that it authorize the issuance of a 1-year permit to Equilon Enterprises LLC d/b/a Shell Oil Products US on 3.287± acres of District real estate located at the Gloria Alitto Majewski Reservoir site for use as a construction staging area for its pipeline relocation project. Consideration shall be $64,441.00.
It is also requested that the Executive Director recommend to the Board of Commissioners that the Chairman of the Committee on Finance and the Clerk be authorized and directed to execute said permit agreement after it is approved by the General Counsel as to form and legality.
Requested, Ronald M. Hill, General Counsel, RMH:STM:NPE:vp
Recommended, David St. Pierre, Executive Director
Respectfully Submitted, Mariyana T. Spyropoulos, Chairman Committee on Real Estate Development
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for September 18, 2014
Attachment