Plaintiff filed this breach of contract case on June 4, 2019, asserting claims for wrongful withholding of payment in connection with an outstanding temporary HVAC equipment invoice. Plaintiff claims the City’s delay in approving repairs strained the City’s HVAC equipment and the City failed to pay for temporary cooling services provided by Plaintiff. The City denies Plaintiff’s claims. Plaintiff seeks damages in excess of amount of $323,742.74, accrued statutory interest under the Prompt Payment Act, pre-judgment interest, post-judgment interest, attorneys’ fees and costs. The parties mediated the claim, conducted further negotiation following mediation, and have agreed to resolve the litigation.
The Legal Department recommends that Council adopt an Ordinance authorizing and approving the Compromise, Settlement, Release and Indemnity Agreement and approve and authorize the payment of $170,000.00 out of the Maintenance, Repair and Renewal Fund (2105) in settlement of all of Plaintiff’s claims.
Estimated Spending Authority:
|
Department
|
FY2022
|
Out-Years
|
Total
|
|
General Service Department
|
$170,000.00
|
$0.00
|
$170,000.00
|
Fiscal Note: Funding for this item is included in the FY2022 Adopted Budget. Therefore, no Fiscal Note is required as stated in the Financial Policies.
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Arturo G. Michel, City Attorney