TRANSMITTAL LETTER FOR BOARD MEETING OF JANUARY 24, 2019
COMMITTEE ON REAL ESTATE
Mr. Brian A. Perkovich, Executive Director
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Authority to grant to the Village of Oak Lawn: (1) a 4-year, 124,972± sq. ft. temporary construction easement and (2) a 50-year, 32,262± sq. ft. non-exclusive easement to construct, install, operate, maintain, repair and remove a 60-inch subterranean water main on and/or beneath Cal-Sag Channel Parcels 8.04 and 8.05 and the Cal-Sag Channel in Palos Heights, Illinois. Consideration shall be an initial annual fee of $5,000.00 for the temporary construction easement and an initial annual fee of $5,000.00 for the 50-year easement
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Dear Sir:
The Village of Oak Lawn (“Oak Lawn”) has requested: (1) a 4-year, 124,972± sq. ft. temporary construction easement and (2) a 50-year, 32,262± sq. ft. non-exclusive easement to construct, install, operate, maintain, repair and remove a 60-inch subterranean water main on and/or beneath Cal-Sag Channel Parcels 8.04 and 8.05 and the Cal-Sag Channel in Palos Heights, Illinois. The easements are requested to allow Oak Lawn to upgrade and expand its existing water distribution system servicing Oak Lawn and 12 other southwestern suburbs.
Parcel 8.04 is leased to the City of Palos Heights (“Palos Heights”) until July 14, 2038, and Parcel 8.05 is leased to the Commuter Rail Division of The Regional Transportation Authority (“Metra”) until November 30, 2039. The easements are therefore subject to the written consents of Palos Heights and Metra.
The District’s technical departments have reviewed Oak Lawn’s requests and have no objections thereto. It is recommended that an initial annual easement fee of $5,000.00 be assessed for the 4-year temporary construction easement and an initial annual easement fee of $5,000.00 be assessed for the 50-year easement, as 10% of the fair market value of each easement premises would yield a fee less than the District’s minimum easement fee of $5,000.00. Each fee is based upon the District’s policy to assess an annual fee based on fair market value when the easement is generating revenue. Because Oak Lawn will derive revenue from the water main, an initial annual easement fee of $5,000.00 for each easement is recommended.
It is requested that the Executive Director recommend to the Board of Commissioners that it grant to the Village of Oak Lawn: (1) a 4-year, 124,972± sq. ft. temporary construction easement and (2) a 50-year, 32,262± sq. ft. non-exclusive easement to construct, install, operate, maintain, repair, and remove a 60-inch subterranean water main on and/or beneath Cal-Sag Channel Parcels 8.04 and 8.05 and the Cal-Sag Channel in Palos Heights, Illinois. Consideration shall be an initial annual fee of $5,000.00 for the temporary construction easement and an initial annual fee of $5,000.00 for the 50-year easement.
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 agreements after they are approved by the General Counsel as to form and legality.
Requested, Susan T. Morakalis, General Counsel, STM:CMM:MLD:vp
Recommended, Brian A. Perkovich, Executive Director
Respectfully Submitted, Kari K. Steele, Vice-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 January 24, 2019
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