Item Coversheet
Public Works

DATE:

2/24/2021

MEMO:

2021-23

TO:

Honorable Mayor Julie Moore Wolfe and City Council Members

FROM:
Scot Wrighton, City Manager
Matthew C. Newell, P.E., Public Works Director
 

SUBJECT:  Resolution Authorizing the Purchase of Property Owned by Archer Daniels Midland Company for the Improvement of Brush College Road over Faries Parkway and the Norfolk Southern Railroad Tracks,
City Project 2009-33
Section 09-00933-01-BR
 
SUMMARY RECOMMENDATION:  

It is recommended that the City Council approve the attached Resolution authorizing the Mayor, City Manager, or an authorized designee, to sign the documents related to the purchase of property from the Archer Daniels Midland Company for $368,600 with some identified relocation costs of up to $30,000 for a total authorized expenditure of $398,600.  It is expected that the City will be reimbursed up to $318,880 (80%) from the Illinois Competitive Freight Program. The remaining 20% will be paid with State Motor Fuel Tax funds.  

 
BACKGROUND:  

On January 21, 2020, the City Council approved Amendment #1 to an agreement with the State of Illinois that allocated Freight Grant funding for the purchase of right of way for the Brush College / Faries Parkway Grade Separation Project.  

 

The City is very close to having the necessary documents signed by ADM and desires to proceed with the purchase immediately upon ADM’s approval.  The proposed expenditure is for a total of $398,600 which includes $318,880 in Federal funds from the $25 million grant awarded to the City through the Illinois Competitive Freight Program.  The balance of the required funds, estimated to be $79,720, will be paid from the City’s allocation of State Motor Fuel Tax funds.  ADM is in agreement with the proposal to purchase all parcels at the appraised value of $368,600.

 

It is anticipated that the purchase of Parcel 32f will enable the City to annex the acquired parcel and allow adjacent properties to the immediate west to be contiguous for a likely condemnation request anticipated for the March 15 City Council meeting.

 

Parcel

Total Compensation

32a

$27,100

32b

$163,000

32c

$600

32d

$115,500

32e

$1,700

32f

$59,900

32g

$800

Total

$368,600

 
PRIOR COUNCIL ACTION:  

See Appendix A for prior Council action on this item. 

 
POTENTIAL OBJECTIONS:  There are no known objections. 
INPUT FROM OTHER SOURCES:  

Crawford, Murphy & Tilly, Inc.

 

LEGAL REVIEW:  The agreements are standard IDOT documents.

 
STAFF REFERENCE:  Matt Newell, Public Works Director can be contacted to address any questions you may have, in advance of the meeting. Matt will also attend the City Council meeting to answer any questions on this item. 
BUDGET/TIME IMPLICATIONS:  

Budget Impact:  The resolution authorizes the expenditure of $398,600 for the purchase of property from ADM with an expected reimbursement of up to $318,880 from the Illinois Competitive Freight Program and the balance ($79,720) being paid from the City’s allocation of State Motor Fuel Tax Funds.

 

Staffing Impact:  Staff time is allocated to manage this project.

 

SCHEDULE, DESIGN AND CONSTRUCTION: This purchase will be executed upon approval by the Council and ADM.  Construction for the Brush College improvement is planned to begin in 2021. 

 
COPY:  Crawford, Murphy & Tilly, Inc. 
ATTACHMENTS:
DescriptionType
Resolution Authorizing the Purchase of Property Owned by Archer Daniels Midland Company for the Improvement of Brush College Road over Faries Parkway and the Norfolk Southern Railroad TracksResolution Letter
Appendix ABackup Material
Location MapBackup Material