TRANSMITTAL LETTER FOR BOARD MEETING OF DECEMBER 19, 2019
COMMITTEE ON REAL ESTATE
Mr. Brian A. Perkovich, Executive Director
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Authority to pay final just compensation in the amount of $285,000.00 to acquire fee simple title to real estate commonly known as 1540 North 43rd Avenue in Stone Park, Illinois in order to settle the eminent domain lawsuit entitled The Metropolitan Water Reclamation District of Greater Chicago v. Miguel Jacome, et al., Case No. 19L050009 in the Circuit Court of Cook County, Illinois, and to pay relocation costs in an amount not to exceed $37,764.00, Account 501-50000-656010, Stormwater Management Fund
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Dear Sir:
On August 6, 2015, the Board of Commissioners (“Board”) adopted Ordinance No. R15-006 establishing the right-of-way for the construction, operation and maintenance of the Addison Creek Channel Improvement Project located in the municipalities of Northlake, Stone Park, Melrose Park, Bellwood, Westchester, and Broadview (Contract 11-187-3F) (“Project”). Ordinance R15-006 was subsequently amended by Ordinances R15-007, R18-003, and R19-002 to include additional right-of-way needed for the Project.
Said Ordinances authorized and directed the Executive Director to negotiate with the respective owners to acquire fee simple title or such lesser interests, as appropriate, in and to the real estate described in the Ordinances.
On September 6, 2018, the Board authorized the District to enter into intergovernmental agreements with the City of Northlake, Village of Stone Park, Village of Melrose Park, Village of Bellwood, Village of Westchester, and Village of Broadview for the Project. The proposed channel improvements are broken down into nine reaches along approximately 15,300 linear feet of Addison Creek beginning at Hirsch Street in the City of Northlake and continuing to Cermak Road in the Village of Broadview. The Addison Creek channel improvements, along with the proposed Addison Creek Reservoir, will provide flood reduction benefits to approximately 2,200 properties.
The Project requires the acquisition of several residential properties located in the right-of-way. One such parcel is owned by Mr. Miguel Jacome. The parcel is located at 1540 North 43rd Avenue in Stone Park, Illinois. The parcel comprises 3,660 square feet and is improved with an approximately 2,289 square-foot, two-unit residence.
After the District and the owner could not reach an agreement regarding the compensation for the property, the District filed an eminent domain lawsuit entitled The Metropolitan Water Reclamation District of Greater Chicago v. Miguel Jacome, et al., Case No. 19L050009 in the Circuit Court of Cook County, Illinois. Since filing the lawsuit on January 4, 2019, the District and the owner have reached an agreement to settle the matter in the amount of $285,000.00. It is the opinion of the General Counsel and Special Counsel, Neal & Leroy, LLC that this amount is within the range of value for the subject property based on the fair market value appraisals obtained by the District and the property owner. Settlement of this matter will also save the District substantial costs that would otherwise be required to proceed to a quick-take hearing and trial, including attorney’s fees and expert witness fees.
The residence is occupied by two tenants. The District’s relocation consultant, Urban Relocation Services, Inc., has determined that the tenants are eligible for relocation costs of approximately $32,764.00 ($21,086.00 for Unit 1 and $11,678.00 for Unit 2). The owner is also eligible for reasonable moving expenses to move his personal property from the residence, estimated not to exceed $5,000.00. These relocation costs are required to be paid by the District under the Federal Uniform Relocation Assistance and Real Property Acquisition Policies Act. This total amount for the tenants includes the maximum rental assistance payment and reasonable moving expenses. These amounts are subject to adjustment based upon the actual costs incurred.
Accordingly, it is requested that the Executive Director recommend to the Board of Commissioners that it adopt the following orders:
1. That payment of final just compensation in the amount of $285,000.00 be authorized to acquire fee simple title to real estate commonly known as 1540 North 43rd Avenue in Stone Park, Illinois in order to settle the eminent domain lawsuit;
2. That the General Counsel be authorized and directed to execute and deliver all other documents and take such other actions as may be necessary to effectuate said settlement and to attain possession of said property;
3. That the Executive Director be authorized to make intermittent payments to the tenants and the owner in an amount not to exceed $37,764.00, for eligible costs in connection with relocation, as provided for in the Uniform Relocation Assistance and Real Property Acquisition Policies Act.
Requested, Susan T. Morakalis, General Counsel and Catherine A. O’Connor, Director of Engineering; STM:CAO:EMA:BJD:CN:nm
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 December 19, 2019
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