TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 15, 2017
COMMITTEE ON REAL ESTATE
Mr. David St. Pierre, Executive Director
Title
Authority to grant a 10-year, 40,684 ± sq. ft. non-exclusive easement to Peoples Gas Light and Coke Company to continue to construct, reconstruct, operate, maintain, repair and remove a natural gas metering station and access road on the western portion of District North Shore Channel Parcel 6.19 located at the southwest corner of McCormick Boulevard and Oakton Street in Skokie, Illinois. Consideration shall be an initial annual easement fee of $30,500.00
Body
Dear Sir:
On July 10, 1997, the District granted a ten (10) year, 40,684± sq. ft. non-exclusive easement to Peoples Gas Light and Coke Company (“Peoples Gas”) to construct, reconstruct, operate, maintain, repair and remove a natural gas regulating and metering station (“Station”) and access road on the western portion of North Shore Channel Parcel 6.19 located west of McCormick Boulevard and south of Oakton Street in Skokie, Illinois. The Station provides natural gas to the surrounding area, and the road provides Peoples Gas with access to the Station from Oakton Street. On June 21, 2007, the easement was extended for an additional 10 years. As extended, the easement expires July 9, 2017. Peoples Gas currently pays an annual easement fee of $13,800.00.
Peoples Gas has requested a new 10-year easement to continue to operate the Station and utilize the access road. Because the easement premises are located on land currently leased to the Skokie Park District, the easement is subject to Peoples Gas obtaining the written consent of the Skokie Park District. The District’s technical departments have reviewed Peoples Gas’ request for an easement and have no objections thereto. An initial annual easement fee of $30,500.00 is recommended, which represents 10% of the fair market value based upon a recent appraisal submitted by Peoples Gas.
It is requested that the Executive Director recommend to the Board of Commissioners that it grant a 10-year, 40,684 ± sq. ft. non-exclusive easement to Peoples Gas Light and Coke Company to continue to construct, reconstruct, operate, maintain, repair, and remove a natural gas metering station and access road on the western portion of District North Shore Channel Parcel 6.19 located at the southwest corner of McCormick Boulevard and Oakton Street in Skokie, Illinois. Consideration shall be an initial annual easement fee of $30,500.00.
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 said easement agreement on behalf of the District after it is approved by the Acting General Counsel as to form and legality.
Requested, Susan T. Morakalis, Acting General Counsel, STM:CMM:MM:vp
Recommended, David St. Pierre, Executive Director
Respectfully Submitted, David J. Walsh, 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 June 15, 2017
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