TRANSMITTAL LETTER FOR BOARD MEETING OF APRIL 16, 2020
COMMITTEE ON REAL ESTATE
Mr. Brian A. Perkovich, Executive Director
Title
Authority to enter into an Intergovernmental Agreement with the City of Markham to relocate a portion of the East Markham Force Main, provide any associated infrastructure and grant all necessary property interests in Markham, Illinois
Body
Dear Sir:
Authorization is requested to enter into an Intergovernmental Agreement (“IGA”) with the City of Markham (“Markham”) to relocate a portion of the East Markham Force Main, whereby Markham will provide any associated infrastructure and grant all necessary property interests in Markham, Illinois.
Since 1960, the District has owned and operated the East Markham Force Main, a pressurized sewer pipe which conveys combined sewage to District intercepting sewers and the District’s Calumet Water Reclamation Plant for treatment.
Markham is working with a private developer, Scannell Properties #420, LLC (“Scannell”), to develop a distribution center on 128± acres located south of 159th Street between l-294 and Dixie Highway in Markham (“Development”). Markham believes this Development will create several hundred new jobs.
A portion of the District’s East Markham Force Main runs under the proposed Development site. Scannell cannot construct the proposed Development with the East Markham Force Main in its current location. Markham proposes to relocate a portion of the East Markham Force Main to another location within the Development site, just north of its current location.
On February 6, 2020, the Board of Commissioners authorized the District to negotiate an IGA with Markham to relocate a portion of the East Markham Force Main, provide any associated infrastructure and grant all necessary property interests.
The District and Markham have agreed in principle to the terms of an IGA, which defines the responsibilities of both parties. Markham will design and construct the relocated force main subject to the review and approval of the District’s Director of Engineering. The IGA also requires Markham to grant a permanent easement to the District to operate and maintain the relocated force main. After the District accepts the relocated force main, Markham will abandon the corresponding portion of the existing East Markham Force Main and terminate the District’s easement for the abandoned portion. Other than a nominal $10.00 fee for the new permanent easement, the District will incur no cost for this project.
It is hereby requested that the Board of Commissioners authorize the District to enter into an Intergovernmental Agreement with the City of Markham to relocate a portion of the East Markham Force Main, provide any associated infrastructure and grant all necessary property interests in Markham, Illinois.
It is further requested that the Chairman of the Committee on Finance, Executive Director and Clerk be authorized to execute said agreement on behalf of the District as well as any documents necessary to effectuate the transaction and conveyance, upon approval by the Director of Engineering as to technical matters and by the General Counsel as to form and legality.
Requested, Susan T. Morakalis, General Counsel, STM:EMA:JAW:vp
Recommended, Brian A. Perkovich, Executive Director
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for April 16, 2020
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