TRANSMITTAL LETTER FOR BOARD MEETING OF OCTOBER 6, 2016
COMMITTEE ON REAL ESTATE
Mr. David St. Pierre, Executive Director
Title
Authority to grant a 30-month, non-exclusive easement to ACBL across Main Channel Parcel 16.04, the District’s CSSC Controlling Works area and the District’s temporary low water crossing in unincorporated Lockport, Will County, Illinois. Consideration shall be a nominal fee of $10.00
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Dear Sir:
ACBL leases approximately 16.77± acres of District real estate located at 18500 West 9th Street in Unincorporated Lockport, Will County, Illinois, and known as Main Channel Parcels 15.02 and 15.04 to construct and operate a barge loading and petroleum storage facility. The lease commenced June 1, 2015 and expires May 31, 2054. ACBL’s current annual rent is $147,200.00.
Access to ACBL’s leasehold is through the 9th Street Bridge. The 9th Street Bridge is owned and operated by the City of Lockport (“Lockport”). In 2014, Lockport placed an 8 ton load limit on the bridge and is currently scheduled to commence rehabilitation work thereon in 2018. Currently, the only route accommodating weight limits over 8 tons is a temporary low water crossing constructed by the Corps of Engineers (“Corps”) in 2015 on portions of District real estate known as Main Channel 16.04 and the CSSC Controlling Works area. The Corps built the low water crossing to accommodate heavy trucks accessing its Forebay Wall Project at the Lockport Powerhouse and along Main Channel Parcel 15.05. District employees and contractors also require use of the low water crossing to reach the Lockport Powerhouse, as well as emergency vehicles.
Once the Forebay Wall Project was completed in 2016, the District requested that the Corps leave temporary low water crossing in place so that vehicles over 8 tons would be able to access the Lockport Powerhouse, the CSSC Controlling Works and other District parcels accessed by the 9th Street Bridge. The Corps agreed, provided that the District obtained the necessary permit required from the Illinois Department of Natural Resources (“IDNR”) and that the District assumed all future maintenance and liability, including removal, of the crossing. Accordingly, on June 16, 2016, the Board of Commissioners authorized the acceptance of IDNR Permit No. NE2016020 for use of the temporary low water crossing. The District’s IDNR Permit expires March 31, 2019.
As much of its construction vehicles and equipment exceed 8 tons, ACBL has requested a non-exclusive easement to traverse Main Channel Parcel 16.04, the CSSC Controlling Works area and the temporary low water crossing to reach its leasehold. The term of the easement will be for the remaining 30 months of the District’s IDNR Permit.
The District’s technical departments have no objections to the requested easement. A nominal fee of $10.00 is recommended as the easement allows ACBL its only ingress and egress to and from its leasehold. A waiver of the minimum $5,000.00 fee is therefore recommended.
It is requested that the Executive Director recommend to the Board of Commissioners that it authorize the grant of a 30-month, non-exclusive easement to ACBL across Main Channel Parcel 16.04, the District’s CSSC Controlling Works area and the District’s temporary low water crossing in unincorporated Lockport, Will County, Illinois. Consideration shall be a nominal fee of $10.00.
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 easement agreement after it is approved by the General Counsel as to form and legality.
Requested, Ronald M. Hill, General Counsel, RMH:STM:npe
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 October 6, 2016
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