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File #: 2021-367    Version: 1 Name:
Type: Resolution Status: Passed
File created: 9/13/2021 In control: Board of Directors
On agenda: 9/22/2021 Final action: 9/22/2021
Title: Amendment No. 1 to the Purchase of 1001 Clairpointe, Detroit, MI (East Lake Baptist Church)

Title

Amendment No. 1 to the Purchase of 1001 Clairpointe, Detroit, MI (East Lake Baptist Church)

 

Body

Agenda of:                      September 22, 2021

Item No.:                     2021-367

Amount:                     $1,380,000.00 plus brokerage fee ($27,600.00), real estate and closing costs

 

TO:                                          The Honorable

Board of Directors

Great Lakes Water Authority

 

FROM:                     Suzanne R. Coffey, P.E.

Interim Chief Executive Officer

Great Lakes Water Authority

                                          

DATE:                     September 13, 2021

 

RE:                     Amendment No. 1 to the Purchase of 1001 Clairpointe, Detroit, MI (East Lake Baptist Church)

                                          

MOTION

 

Upon recommendation and opinion of Suzanne R. Coffey, P.E., Interim Chief Executive Officer, and Randal M. Brown, General Counsel, the Board of Directors (Board) for the Great Lakes Water Authority (GLWA) approves Amendment No. 1 to the purchase of 1001 Clairpointe, Detroit, MI (the Property) between GLWA and East Lake Baptist Church, changing the leaseback of the property to East Lake Baptist Church from February 28, 2023 to December 31, 2023 and month-to-month thereafter and authorizes for the Interim Chief Executive Officer to take such other action as may be necessary to accomplish the intent of this vote, including the execution of the Purchase Agreement. 

 

 

 

JUSTIFICATION

For replacing the existing Conner’s Creek Pump Station with a new pump station, GLWA needs 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 option for the new pump station. The parties agreed to a purchase price of $1,380,000.00 for the Property. The address of the Property is 1001 Clairpointe, Detroit, MI. The Board previously approved the acquisition of this Property.

 

The parties have negotiated an amendment to the Purchase Agreement, extending the leaseback period from February 28, 2023 to December 31, 2023. The extension of the leaseback period does not impact the ability to design and construct the new Conner’s Creek Pump Station.

BUDGET IMPACT

There are sufficient funds allocated for the new Conner’s Creek Pump Station in the CIP to acquire the land.

COMMITTEE REVIEW

This matter was presented to the Legal Committee on September 15, 2021.  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.