HomeMy WebLinkAbout10/27/1998 CS minutes
MAYOR
Gerald L. Farley
Phone:
Fax:
TOO:
{54?} 392-6000
{54?} 392-6022
{54?} 392-6064
TRUSTEES
George A. Clowes
Timothy J. Corcoran
Paul Wm. Hoefert
Richard M. Lohrstorfer
Daniel A. Nocchi
Irvana K. Wilks
VILLAGE MANAGER
Michael E. Janonis
VILLAGE CLERK
V.lm. W. Low. '!tiV ~
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Village of Mount Prospect
100 South Emerson Street Mount Prospect, Illinois 60056
MINUTES
CLOSED SESSION
OCTOBER 27, 1998
The Closed Session was called to order at 7:55 p.m., in the conference room of the Senior
Citizens' Center, 50 South Emerson Street, for the purpose of discussing Property
Acquisition. Present at the Closed Session were: Mayor Gerald Farley; Trustees Timothy
Corcoran, Paul Hoefert, Richard Lohrstorfer, Daniel Nocchi and Irvana Wilks. Absent from
the Closed Session was Trustee George Clowes. Also present were Assistant Village
Manager David Strahl and Community Development Director William Cooney.
Property Acquisition
Trustee Corcoran provided a summary of staff discussions and Trustee participation in
recent meetings with Northwest Electric. He stated that Northwest Electric presented one
set of com parables while Norwood presented lower comparables based on experience and
actual sales. He also stated that he suggested the Village Board float the idea of
legislation to allow for quick-take authority from the State in order to persuade the property
owners to get serious with the Village. He stated the current offer on the table to
Northwest Electric is $2.2 million in cash plus 50% Sales Tax rebate for the first ten years
only if they remain in the Village and allow for a tax free exchange of property. He stated
the projected land, building and moving costs make up approximately $200,000 of the
offer. He stated that these figures are based on a 200-unit building for land directly
attributable to location on the Northwest Electric property.
Trustee Hoefert stated that he was concerned that the plan would have to rely on eight
stories in order to make the numbers work on behalf of the Village.
Trustee Corcoran stated that Northwest Electric assumes a fully developed project price
and the comparable figures do not bear this out. Trustee Corcoran wanted to advise the
Board since the comparable numbers do not support the price demand by Northwest
Electric, the discussion may degrade into a political or emotional level discussion. He
stated that the quick-take option should be seriously considered because the
condemnation process may take up to four years. Also, if the Village is forced to go to
Court for condemnation, the sales tax option should be removed from the table.
"
Trustee Wilks requested details of quick-take legislation from staff.
Consensus of the Village Board was to consider Quick-Take authority as a possible
strategy option in negotiations with Northwest Electric, if necessary.
Bill Cooney provided an update to the Board concerning the third building development on
the Pontarelli property. He stated that the proposal to have a three-phase payout of
approximately $240,000 is being crafted for consideration by Norwood. He stated that one
portion of the payment would include a payment of one-third of the $100,000 liquidated
damages to be forwarded to Norwood if the foundation is in the ground and complete by
April 15, 1999. A payment of another third of the $100,000 would be projected for
September 15, 1999 along with a rebate of impact and permit fees if occupancy began on
that date or before. He stated the final payment would be on December 31, 1999 if the
building is fully occupied at that time.
Consensus of the Village Board was to consider this agreement once drafting is
completed at the Village Board meeting on November 4.
Mr. Cooney stated that the White Hen has now offered $500,000 for their building site
instead of the previous $400,000. He also stated that Fannie May appraisal has been set
at $410,000.
There was no other business transacted in Closed Session. The Closed Session was
adjourned by unanimous vote based on a Motion by Trustee Wilks and Seconded by
Trustee Nocchi at 8:26 p.m.
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Respectfully submitted,
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DAVID STRAHL
Assistant Village Manager
1:\WIN\OFFICE\CLSDSESS\102798 Closed Session Minutes.doc