TRANSMITTAL LETTER FOR BOARD MEETING OF AUGUST 8, 2024
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Authorization to accept annual rental bid for Contract 24-360-11 Proposal for a Permit on 19.67± acres of District real estate located north of I-294 and south of LaGrange Road, between the Des Plaines River and the Chicago Sanitary & Ship Canal in Willow Springs, Illinois, known as Main Channel Parcel 31.01, for a five (5) year term from AAA Lease, LLC, in the amount of $797,500.00
Body
Dear Sir:
At its meeting of April 4, 2024, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise Contract 24-360-11 Proposal for a Permit on 19.67± acres of District real estate located north of I-294 and south of LaGrange Road, between the Des Plaines River and the Chicago Sanitary & Ship Canal in Willow Springs, Illinois, known as Main Channel Parcel 31.01, for a five (5) year term. The minimum acceptable annual rental bid was established at $493,000.00 (10% of the appraised fair market value).
Three bids were received for the subject proposal and were opened on May 21, 2024. The lowest of the three bids was received from LDM Illinois, LLC Series 1 with an annual rental bid of $600,000.00 (12.170% of the appraised fair market value). The second lowest of the three bids was received from WS Truck Parking & Storage LLC with an annual rental bid of $600,100.00 (12.172% of the appraised fair market value). The highest of the three bids was received from AAA Lease, LLC (“AAA”), with an annual rental bid of $797,500.00 (16.176% of the appraised fair market value). AAA proposes to lease the site for truck and trailer parking associated with its transportation company.
The Finance Department has reviewed AAA’s financial and company background information and has reported that it demonstrates the ability to meet its financial obligations under the new proposed lease.
It is requested that the Executive Director recommend to the Board of Commissioners that it accept the annual rental bid for Contract 24-360-11 Proposal for a Permit on 19.67± acres of District real estate located north of I-294 and south of LaGrange Road, between the Des Plaines River and the Chicago Sanitary & Ship Canal in Willow Springs, Illinois, known as Main Channel Parcel 31.01, for a five (5) year term from AAA Lease, LLC, in the amount of $797,500.00.
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 agreement after it has been approved by the General Counsel as to form and legality.
Requested, Susan T. Morakalis, General Counsel, STM:BJD:KHY
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
Respectfully Submitted, Marcelino Garcia, Chairman, Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for August 8, 2024
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