Title
Extend Leaseback of 1001 Clairpointe and 12400 East Jefferson, Detroit, MI from December 31, 2023 to December 31, 2024 to East Lake Baptist Church
Body
Agenda of: January 25, 2023
Item No.: 2023-014
Amount: $0
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Chief Executive Officer
Great Lakes Water Authority
DATE: January 20, 2023
RE: Extend Leaseback of 1001 Clairpointe and 12400 East Jefferson, Detroit, MI from December 31, 2023 to December 31, 2024 to East Lake Baptist Church
MOTION
Upon recommendation and opinion of Suzanne R. Coffey, P.E., Chief Executive Officer, and Randal M. Brown, General Counsel, the Board of Directors (Board) for the Great Lakes Water Authority (GLWA) approves the extension of the lease of 1001 Clairpointe and 12400 East Jefferson, Detroit, MI (the Properties) between GLWA and East Lake Baptist Church, changing the leaseback of the Properties to East Lake Baptist Church from December 31, 2023 to December 31, 2024 and month-to-month thereafter; and authorizes for the Chief Executive Officer to take such other action as may be necessary to accomplish the intent of this vote, including the execution of a Lease Agreement.
JUSTIFICATION
For replacing the existing Conner’s Creek Pump Station with a new pump station, GLWA needed to acquire land near the existing pump station. Through its consultants, GLWA identified land adjacent to the current pumping station as the best property acquisition options for the new pump station. With Board approval, GLWA acquired the Properties necessary for this purpose and agreed to a leaseback with East Lake Baptist Church through February 28, 2023. The Board later approved, extending the leaseback period from February 28, 2023 to December 31, 2023 to East Lake Baptist Church. East Lake Baptist Church seeks additional time to leaseback the Properties. Extending the leaseback period does not impact the ability to design and construct the new Conner’s Creek Pump Station.
BUDGET IMPACT
As a result of the leaseback, East Lake Baptist Church is responsible for all operations and maintenance costs and at no costs to GLWA.
COMMITTEE REVIEW
This matter was being presented to the Legal Committee at its meeting on January 25, 2023. The Legal Committee unanimously recommended that the GLWA Board adopt the resolution as presented.
SHARED SERVICES IMPACT
This request does not impact the Shared Services Agreement.