TRANSMITTAL LETTER FOR BOARD MEETING OF SEPTEMBER 3, 2026
COMMITTEE ON REAL ESTATE
Mr. John P. Murray, Executive Director
Title
Authority to amend easement agreement dated July 12, 2018, between the District and the Village of Crestwood on approximately 17,594 sq. ft. of District real estate located west of Cicero Avenue and south of the Cal-Sag Channel in Crestwood, Illinois; Cal-Sag Channel Parcel 11.04
Body
Dear Sir:
The Village of Crestwood (“Village”) operates and maintains a 10-inch subterranean water main pursuant to a non-exclusive 60-year easement agreement dated July 12, 2018. The easement premises consists of approximately 17,594 sq. ft. of District real estate located west of Cicero Avenue and south of the Cal-Sag Channel (“CSC”) in Crestwood, Illinois. The agreement commenced August 1, 2018, and expiries July 31, 2078. The current annual easement fee is $19,511.04.
The easement premises traverses three District parcels that are now leased by the Village of Crestwood. One parcel is leased for public recreational use, and therefore the Village paid a one-time fee of $10.00. However, the other two parcels are commercial leases that were awarded to the Village through competitive bidding. As a result, the Village now pays fair market value rent to the District under those two leases, in addition to the annual easement fee.
This overlap between the easement and lease premises is unique because the Village is both the local municipality that constructed the water main and the commercial tenant. To avoid the duplicative payments, it is recommended that the easement fee be reduced for the portions where the Village is already paying fair market value rent under its two commercial leases. This would result in a reduction of the annual easement fee from $19,511.04 to $7,201.13. If the Village’s commercial leases are ever terminated or assigned, then the annual easement fee will revert back to the original fee structure based on the entire easement premises.
It is requested that the Executive Director recommend to the Board of Commissioners to authorize an amendment to the easement agreement dated July 12, 2018, between the District and the Village of Crestwood on approximately 17,594 sq. ft. of District real estate located west of Cicero Avenue and south of the Cal-Sag Channel in Crestwood, Illinois; Cal-Sag Channel Parcel 11.04.
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 amendment after it is approved by the General Counsel as to form and legality.
Requested, Susan T. Morakalis, General Counsel, STM:BJD:MSZ:vp
Recommended, John P. Murray, Executive Director
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for September 3, 2026
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