cover
TO: Mayor Thomas J. Weisner
FROM: Bill Wiet, Chief Development Services Officer
DATE: April 9, 2015
SUBJECT:
To request amendments to Resolution R11-233, which approved the City's sale of the former quarry east of Rt. 25 and south of I-88 to Heartland Recycling LLC for use as a Clean Construction and Debris Disposal Facility (CCDD).
PURPOSE:
There has been much activity at the site during the past 2 years of operation. Circumstances have changed over the years that has necessitated amendments to the original agreement, some of which are more fully explained in Heartland Recycling's Qualifying Statement (attached).
BACKGROUND:
Heartland Recycling LLC, as part of a Request for Proposal process by the City, was approved in 2011 for the purchase of the City's 51 acre former stone quarry for use as a CCDD facility, which is now operational and has been a valuable regional source for the construction industry for the disposal of clean construction debris. Other fiscal benefits above the acquisition price have proven valuable to the City as well. As stated in the RFP, once the quarry is brought up to surrounding grades, it will be marketed for ORI purposes. The City at its option would be deeded back 15 acres of the quarry for development purposes.
DISCUSSION:
Some of the requested modifications to the original agreement include the following, which is more fully explained in the Qualifying Statement:
In June of 2014, the entity that was the original party to the Agreement, Heartland Recycling, L.L.C., was sold. Heartland Recycling - Aurora CCDD, LLC ("Heartland Aurora"), which has always owned the Site and been the permitted operator, was not part of the sale. Heartland Aurora is requesting that the City amend the Agreement, so that it is the developer under the Agreement, assuming all rights and obligations of the developer.
Under the original Agreement, the City requested personal guarantees from the developer to secure the performance of the environmental remedial work. Since the scope and cost of the remediation work has now been quantified, Heartland Aurora is requesting that a completion bond be substituted for the personal guarantees. Corporate guarantees from Heartland Aurora will be provided in addition to the completion bond.
Heartland Aurora would like to offer additional recycling services to area contractors while filling operations are active. In addition to crushing concrete and screening topsoil, Heartland Aurora is requesting authorization to recycle general construction and demolition debris at the Site, and to receive and process yard waste for transport to compost facilities and/or farms.
The Developer is seeking modifications to the existing approved grading plan to accommodate the City's proposed potable water treatment plant sludge injection system and to create a more uniform buildable landform for future development.
IMPACT STATEMENT:
The proposed changes to the agreement will benefit the community by continuing to allow for the City to dispose of its excavation spoils at no cost, further the environmental remediation at the site, provide flexibility in the hours of operation for use by the City's contractors and continuing to accommodate the City's proposed water treatment plant sludge lime injection system.
RECOMMENDATIONS:
It is requested the Amended and Restated Agreement be approved.
cc: Alderman O'Connor, Chairman
Alderman Mervine
Alderman Bohman
Alderman Peters, Alternate
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
title
A Resolution Approving an Amended and Restated Agreement Between the City of Aurora and Heartland Recycling - Aurora CCDD LLC, in Regards to the Development of the Land Surface for the Former Stone Quarry Located East of Illinois Rt. 25 and South of I-88/Mettel Road, Aurora, Illinois
body
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, Pursuant to Resolution R11-233, passed by the City Council on August 23, 2011, the City entered into an agreement with Heartland Recycling, LLC ("Developer") regarding the acquisition and development of the land surface for the former stone quarry located east of Illinois Rt. 25 and south of I-88/Mettel Road for a Clean Construction and Debris Disposal Facility (CCDD) or other potential uses; and
WHEREAS, Developer has submitted an Amended and Restated Agreement for consideration by the City that amends the terms and conditions of the original agreement which includes but is not limited to the modification of developer name, the replacement of their personal guarantee for a completion bond, modifications to the City's use of the site, among others, which terms and conditions are further set forth in the Amended and Restated Agreement attached hereto and made a part thereof as EXHIBIT 1; and
WHEREAS, the Corporate Authorities of the City of Aurora have determined that it is in the best interests of said City of Aurora that said Amended and Restated Agreement be entered into by the City of Aurora.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows:
Section 1. That this Mayor and City Council of the City of Aurora hereby find it is in the best interests of the City of Aurora and its residents that the aforesaid "Amended and Restated Agreement Between the City of Aurora and Heartland Recycling - Aurora CCDD LLC" be entered into and executed by the City of Aurora with said Amended and Restated Agreement to be substantially in the form attached hereto and made a part thereof as EXHIBIT 1.
Section 2. That the Mayor and City Clerk of the City of Aurora, Kane, DuPage , Kendall and Will Counties, Illinois, are hereby authorized to execute for and behalf of said City of Aurora, the aforesaid Amended and Restated Agreement.
Section 3. That this Resolution shall take effect from and after its passage and approval as required by law.