TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 15, 2017
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Authorization to accept initial annual rental bid for Contract 17-363-12 (RE-BID) Proposal to Lease for 60-years 7 acres of District real estate located south of the Cal-Sag Channel and west of Cicero Avenue in Crestwood, Illinois; Cal-Sag Channel Parcel 11.04 (eastern Portion) from the Village of Crestwood in the amount of $158,000.00
Body
Dear Sir:
At its meeting of January 5, 2017, the Board of Commissioners (“Board”) authorized the advertisement of Contract 17-363-11 for public tender of bids a 60-year lease on 7 acres of District real estate located south of the Cal-Sag Channel and west of Cicero Avenue in Crestwood, Illinois, and known as Cal-Sag Channel Parcel 11.04 (eastern Portion) for an minimum initial annual rental bid of $260,000.00. The minimum bid represented 10% of the highest of the three appraised values, pursuant to Board policy. The bid opening was on February 28, 2017 and no bids were received. As no bids were received, the Board, on April 20, 2017, authorized the Director of Procurement and Materials Management to re-advertise the subject Contract as 17-363-12 (RE-BID) for a minimum acceptable initial annual rental bid of $156,000.00 (6% of the appraised fair market value).
One bid was received for the subject proposal and was opened on May 23, 2017. The bid was received from the Village of Crestwood (“Crestwood”) for an initial annual rental amount of $158,000.00 (6.077% of the appraised fair market value). Crestwood proposes to develop the site for commercial and retail purposes.
The Finance Department has reviewed Crestwood’s financial and company background information and has reported that it demonstrates the ability to meet its financial obligations under the new lease.
It is requested that the Executive Director recommend to the Board of Commissioners that it accept the initial annual rental bid for Contract 17-363-12 (RE-BID) Proposal to Lease for 60-years 7 acres of District real estate located south of the Cal-Sag Channel and west of Cicero Avenue in Crestwood, Illinois; Cal-Sag Channel Parcel 11.04 (eastern Portion) from the Village of Crestwood in the amount of $158,000.00.
It is also 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 the lease agreement after it has been approved by the Acting General Counsel as to form and legality.
Requested, Susan T. Morakalis, Acting General Counsel, STM:CMM:vp
Recommended, Darlene LoCascio, Director of Procurement and Materials Management
Recommended, David St. Pierre, Executive Director
Respectfully Submitted, Barbara J. McGowan, Chairman Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for June 15, 2017
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