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PROPOSED LICENSE REQUEST
Request: Requesting authorization for the Forest Preserves of Cook County (the “Forest Preserves”), as Licensor to grant a License to Northern Illinois Gas Company dba Nicor Gas Company ("Nicor"), Grantee, to locate, operate and maintain 7,368 linear feet of 36-inch and 24-inch natural gas pipelines along the north edge of the Busse North Forest Preserve and Nature Preserve. The two (2) pipelines will replace the existing pipelines granted under License Nos. 313 and 313A, in 1958 and 1970, respectively. The license agreements for the existing pipelines will be terminated. The existing pipelines currently cut through the Nature Preserve. The new pipelines will be relocated to run along and parallel with the south edge of the I-90 right of way. Nicor desires to replace the pipelines to facilitate required inspections by using an in-line inspection tool, which electronically inspects the pipeline from the inside. Since the existing pipelines are nonstandard size (License 313) and change from 36-inch to 42-inch (License 313A), Nicor is unable to maintain its inspection schedule due to limited availability of the inspection tool. Nicor requests a 66-foot-wide license area for the construction, maintenance, safety, and inspection of the pipelines. Nicor will obtain Construction Access Permits for temporary staging and workspace areas. Six hundred thirty-five (635) trees are proposed for removal.
Term: Ten (10) Years
License Fee: $892,448.81
(after credit for remaining nine (9) years on Licenses 313 and 313A)
License Application Fee: $1,500.00
License Review Fee: $46,000.00
YELAR Fee: $6,450.00
Tree Mitigation Fee: $2,836,387.49
Additional Mitigation Fees: $525,000.00. In addition to the License fees, Nicor will provide $400,000.00 for restoration of one hundred thirty (130) areas of Forest Preserve land adjacent to the new pipeline. The restoration will connect the previously restored area with the areas closest to the impact zone to promote a quicker recovery of the impacted areas.
Nicor will also provide $125,000.00 to offset recreational impacts due to the construction activity. This mitigation will include picnic shelter repair and improved wayfinding signage.
Total one-time upfront fee: $4,307,786.30 for the term of the License
The area of the License is: 11.662 Acres
Concurrence(s):
The Chief Financial Officer and Chief Attorney have approved this item. Final license agreement is subject to legal review and approval.
Grantee has met the insurance requirements under the License Agreement.
The Forest Preserves staff have reviewed this license application and plans and have found them to be acceptable; therefore, it is recommended that the Forest Preserves of Cook County Board of Commissioners approve the issuance of this license.
District(s): 15
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