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TO: Mayor Richard C. Irvin
FROM: Tim Weidner, P.E., Engineering Division
Marissa Spencer, Law Department
DATE: November 9, 2021
SUBJECT:
A Resolution authorizing the City of Aurora to enter into an revised lease agreement with BNSF Railway Company for the lease of the property at the Aurora Transit Center.
PURPOSE:
To enter into a revised lease with BNSF for the property at the Aurora Transit Center.
BACKGROUND:
The ATC Commuter Station and surrounding parking areas, including the ATC East Parking Lot, are located on property owned by the BNSF Railway Company. The City and BNSF entered into an Original Lease Agreement on October 10, 1984. That lease has been extended/amended multiple times and is currently set to expire on October 9, 2039.
The City has been moving forward with the ATC East Platform Parking Lot Enhancement project since 2018, located west of the Railroad tracks and north of Spring Street and west of Lincoln Avenue parking lot. The City was successful in obtaining Regional Transportation Authority (RTA) and Congestion Mitigation and Air Quality (CMAQ) Federal Funds for this project. This project has been allocated a total of $99,520 of RTA funds and $796,227 of federal funds.
DISCUSSION:
A condition of using the federal funds by the Illinois Department of Transportation (IDOT) is that a lease or other type of agreement with BNSF Railroad for a minimum of twenty (20) years must be executed prior to the letting. The existing lease agreement with BNSF expires in 2039 and does not meet the minimum 20-year requirement. This amended lease will be for a term of twenty-five (25) years which will comply with the terms of the RTA and CMAQ grant.
IMPACT STATEMENT:
The execution of this amended lease will allow the city to continue to lease and maintain the land at the Aurora Transit Center for an additional twenty-five years, and will also allow the city to continue to qualify for the RTA and CMAQ grant funds.
RECOMMENDATIONS:
Staff recommends that the city approve this resolution.
cc: Rules, Administration, and Procedure Committee
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
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A Resolution authorizing the City of Aurora to enter into an Revised Lease Agreement with BNSF Railway Company for Property at the Aurora Transit Center Commuter Station.
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WHEREAS, the City of Aurora has a population of more than 25,000 persons and is, therefore, a home rule unit under subsection (a) of Section 6 of Article VII of the Illinois Constitution of 1970; and
WHEREAS, subject to said Section, a home rule unit may exercise any power and perform any function pertaining to its government and affairs for the protection of the public health, safety, morals, and welfare; and
WHEREAS, The City of Aurora, lessee, and BNSF Railway Company, as lessor, are interested in entering a revised lease agreement for the property commonly known as the Aurora Transit Center Commuter Station, Aurora, Illinois 60505; and
WHEREAS, it is in the best interests of the City of Aurora and its residents to complete the lease agreement of the property described above; and
WHEREAS, it is in the best interest of the City of Aurora and its residents to lease the property from BNSF Railway Company for a price of ONE DOLLAR per year.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows: that the Lease contemplated by this Resolution and attached to hereto as 'Exhibit 1' shall be and hereby is approved; and further
BE IT RESOLVED, that the Mayor and City Clerk shall be and hereby are authorized and directed to execute said Lease on behalf of the City.