TRANSMITTAL LETTER FOR BOARD MEETING OF NOVEMBER 20, 2014
COMMITTEE ON REAL ESTATE
Mr. David St. Pierre, Executive Director
Title
Authority to issue a one (1) year permit extension to West Shore Pipe Line Company on approximately 22,050 sq. ft. of District real estate located on portions of Main Channel Parcels 28.01 and 32.03 in Willow Springs and Bedford Park, Illinois for construction staging. Consideration shall be $2,500.00
Body
Dear Sir:
On December 21, 2006, the Board of Commissioners ("Board") granted a non-exclusive easement to West Shore Pipe Line Company ("West Shore") across a 10.4-mile long and 15-foot wide corridor of District real estate between Lemont Township and Forest View, Illinois to maintain and operate one 10" and one 12" petroleum pipeline. The easement expires on September 30, 2045.
At its October 17, 2013, meeting, the Board authorized the issuance of a one-year permit to West Shore to use an approximate 252,350 sq. ft. area of District land outside West Shore's easement premises for several construction staging areas for the maintenance and repair of its 10" petroleum pipeline. The permit is set to expire on January 5, 2015.
West Shore has advised that it completed most of the pipeline maintenance work with the exception of nine (9) maintenance areas. West Shore has requested a one-year permit extension to complete the remaining maintenance work along its pipeline. The remaining areas comprise approximately 22,050 sq. ft. and are located on Main Channel Parcels 28.01 and 32.03. Parcel 28.01 is under lease to Rowell Chemical Corporation ("Rowell"), and Parcel 32.03 is under lease to Kinder Morgan ("Kinder"). The extension is, therefore, subject to West Shore obtaining the written consent of Rowell and Kinder. Additionally, the permit area will be amended from 252,350 sq. ft. to approximately 22,050 sq. ft.
The technical departments have no objection to West Shore's permit extension. It is recommended that an extension fee of $2,500.00 be assessed as it represents 10% of the fair market value of the reduced permit area.
It is requested that the Executive Director recommend to the Board of Commissioners that it authorize and approve the issuance of a one (1) year permit extension to West Shore Pipe Line Company on approximately 22,050 sq. ft. of District real estate located on portions of Main Channel Parcels 28.01 and 32.03 in Willow Springs and Bedford Park, Illinois for construction staging. Consideration shall be $2,500.00.
It is further requested that the Executive Director recommend to the Board of Commissioners that it authorize and direct the Chairman of the Committee on Finance and the Clerk to execute said permit extension agreement on behalf of the District once approved by the General Counsel as to form and legality.
Requested, Ronald M. Hill, General Counsel, RMH:STM:MM:ss
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 November 20, 2014
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