TRANSMITTAL LETTER FOR BOARD MEETING OF JANUARY 21, 2021
COMMITTEE ON REAL ESTATE
Mr. Brian A. Perkovich, Executive Director
Title
Authority to issue a two (2) month permit extension to United Parcel Service, Inc. to continue to store and park trucks and trailers on 10 acres of District real estate located at the Cal-Sag Channel and Ridgeland Avenue in Alsip, Illinois and known as the Ridgeland Avenue Drying Facilities; Cal-Sag Channel Parcel 10.04 (portion). Consideration shall be $80,000.00
Body
Dear Sir:
On September 14, 2017, the Board of Commissioners (“Board”) authorized a permit to United Parcel Service, Inc. (“UPS”) for seasonal use of District Cal-Sag Channel Parcel 10.04 located at the Cal-Sag Channel and Ridgeland Avenue in Alsip, Illinois and known as the Ridgeland Avenue Drying Facilities (“Ridgeland Facilities”) for storing and parking trucks and trailers. The Board subsequently authorized a 10-month extension of UPS’s permit and an increase in the permit area to 24.5 acres. The existing permit expires on January 31, 2021.
UPS has submitted a request to extend this permit for (2) months due to its continued need for storing and parking trucks and trailers. Instead of the full 24.5 acres, UPS will use only 10 acres over this time period, which will expire on March 31, 2021. UPS will then continue its regular seasonal use of the site (September through January) starting on September 1, 2021 under the permit extension approved by the Board on December 17, 2021. The District’s technical departments have no objections to extending the current permit for two (2) months for such use by UPS.
While the site is not immediately needed for District use, a permit is recommended in this instance because the District may need the site for corporate use sometime over the next few years, such as for biosolids management and related activities. A permit allows the District to terminate the agreement with UPS, if necessary, to accommodate the District’s use of the site. UPS is aware of this provision in the permit agreement.
Christy Webber Landscapes (“Christy”) currently uses the western 12 acres of the Ridgeland Facilities under a District permit for mulching and storing leaves and for storing and parking trucks and trailers. The Ridgeland Facilities have sufficient acreage to allow both permits. Any permit issued to UPS will require UPS to coordinate its activities with Christy.
The recommended permit fee is $80,000.00, which is the same per-acre fee as the existing permit, and represents the pro-rata share of over 10% of the fair market value of the land based upon recent appraisals of nearby comparable sites.
It is requested that the Executive Director recommend to the Board of Commissioners that it authorize and approve the issuance of a two (2) month permit extension to United Parcel Service, Inc. to continue to store and park trucks and trailers on 10 acres of District real estate located at the Cal-Sag Channel and Ridgeland Avenue in Alsip, Illinois and known as the Ridgeland Avenue Drying Facilities; Cal-Sag Channel Parcel 10.04 (portion). Consideration shall be $80,000.00.
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 the permit extension agreement on behalf of the District after it is approved by the General Counsel as to form and legality.
Requested, Susan T. Morakalis, General Counsel, STM:EMA:BJD: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 January 21, 2021
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