TRANSMITTAL LETTER FOR BOARD MEETING OF FEBRUARY 4, 2016
COMMITTEE ON ENGINEERING
Mr. David St. Pierre, Executive Director
Title
Authorization to extend the pledge of a certificate of deposit in the amount of $27,900.00 to the Illinois Department of Natural Resources in connection with Contract 73-161-DH, McCook Reservoir Expanded Stage 2 Overburden Removal
Body
Dear Sir:
At the February 21, 2013 Board meeting, authorization was granted to make payment to the Illinois Department of Natural Resources (IDNR), in the amount of $10,100.00, for a Mining Permit for overburden removal from the Expanded Stage 2 portion of the McCook Reservoir, in connection with the captioned project. Authorization was also granted to pledge a certificate of deposit in the amount of $313,100.00 in lieu of the required performance bond for that project. The pledge was chosen since it provided a no cost option to the District for meeting the requirements. The pledge was intended to last for 1,000 days, which was the duration of the project.
Excavation of the overburden and restoration at the deposition site are complete and IDNR has agreed to release that area from the mining permit as complete; however, final stabilization of the side slopes of the Expanded Stage 2 portion of the reservoir has not been completed and IDNR requires that the District maintain a reduced portion of the certificate of deposit pledge until such work is complete. The design for the stabilization of the side slopes is currently underway and it is anticipated that a contract will be issued at the end of 2016, with work anticipated to occur in 2017. In the interim, IDNR requires that the District maintain a performance bond or pledge a certificate of deposit again, in an amount of $27,900.00 for the approximately 9 acres of land represented by the unstabilized portion of the Expanded Stage 2 site. All the interest earnings will be retained by the District.
It is requested that the Executive Director recommend to the Board of Commissioners that it authorize and approve the pledging of a $27,900.00 certificate of deposit in lieu of a performance bond to the IDNR.
It is further 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 any necessary documents in connection with the subject permit on behalf of the District after they are approved by the Director of Engineering as to technical matters and by the General Counsel as to form and legality.
Requested, Catherine A. O’Connor, Director of Engineering, WSS:KMF
Recommended, David St. Pierre, Executive Director
Respectfully Submitted, Frank Avila, Chairman Committee on Engineering
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for February 4, 2016