R2001-231 AUTHORIZING AGREEMENT - Laserfiche WebLink

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, Page 2 Some years ago, the Park 101 Development Company ceased to exist and its obligations were assumed by Duke Realty Investments, Inc. In 1999, Cardwell Companies purchased Park 101 from Duke Realty. For reasons that have not been determined, the sale of Park 101 to Cardwell Companies did not transfer the obligation for the crossing maintenance. It is the desire of the Illinois Central Railroad that either an agreement be put in place that will provide for the ongoing maintenance of the crossings or that the crossings be closed. The City recently approached the Illinois Central Railroad desiring to enter into an agreement for the installation of a traffic signal interconnect at this crossing as part of the Hubbard Avenue / Rea's Bridge Road Connector project. The Railroad has insisted that the ongoing maintenance of these crossings be addressed by agreement prior to or in conjunction with the requested traffic signal interconnect agreement. The interconnect agreement is an important component to the Hubbard Avenue/Rea's Bridge Road Connector agreement to follow. To this end, City staff has negotiated an agreement with the Illinois Central Railroad to provide ongoing maintenance at the public crossings in the Park 101 development at a 50 - 50 cost split between the City and the Illinois Central Railroad. In essence, the City and the Illinois Central Railroad will each assume an equal portion of the developer's share of the ongoing maintenance costs as originally agreed to in the 1975 agreement. As an additional item, the Illinois Central Railroad is concerned that the 25+ year old crossings will need to be replaced within the next few years. This agreement will require the City to reimburse the Illinois Central Railroad for 100% of the initial crossing replacement cost at the time that the City and the Illinois Central Railroad agree that the work should be done, after which the cost split for major improvements will be 50 - 50. City staff believes it to be in the City's best interest to resolve the ongoing maintenance issues attached to the highway - rail crossings in the Park 101 development. Additionally, this agreement must be in place before the Illinois Central Railroad will authorize an agreement with the City on the proposed traffic signal interconnect at Hubbard / Rt. 48 to be completed in conjunction with the Hubbard/Rea's Bridge Road Connector project. Failure to enter into either of these agreements will push back the proposed construction of the connector. POTENTIAL OBJECTION: There are no known objections. INPUT FROM OTHER SOURCES: Canadian Northern/Illinois Central Railroad STAFF REFERENCE: Matt Newell, City Engineer at 424-2747 The City Engineer, Matt Newell, will be in attendance at the City Council meeting to answer any questions of the Council on this item.