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HomeMy WebLinkAboutR-84-0733L1 J-84-429 6/13/84 RESOLUTION NO. 84--733 A RESOLUTION AUTHORIZING THE DIRECTOR OF FINANCE TO PAY MARINE, STADIUM ENTL,RPRISES, INC., THE SUPS OF' $:35,821.00, IN TWO EQUAL PAYMENTS, IN f UT,L AND COMPIA--I 'E SETTLEMENT OF ANY AND AVA, CLAi.MS AND DEMANDS AGAINST THE CITY OI; MITAMI, TTS OFFICERS AND LMPLOYEES, PURSUANT TO THE ` E" RMS SET OUT IN THE SI.-TTLE- MENT AGREEMENT, AND UPON EXECUTION OF A RELEASE RELEASING THE CITY OF MIAMI, ITS OFFICERS AND EMPLOYEES, FROM ALL CLAIMS AND DEMANDS, AND UPON EXECUTION OF THE SETTLEMENT DOCUMENTS. WHEREAS, Marina Biscayne, Inc. filed a lawsuit against the City of Miami and Marine Stadium Enterprises, Inc., as Co - Defendants, for damages claimed as a result of the City of Miami's placing out for bid Bid Parcel "B" of the Marine Stadium; and WHEREAS, the City of Miami has been ordered to reconfigure the arrangements of Parcel "B" at Miami Marine Stadium pursuant to the Order of Circuit Court; and WHEREAS, Marine Stadium Enterprises, Inc. has agreed to give an easement to the City of Miami for ingress and egress at the Miami Marine Stadium; and WHEREAS, [Marine Stadium Enterprises, Inc. has agreed to release the City of Miami from liability for damages it may have encountered due to the reconfiguration of Parcel "B", and WHEREAS, the lawsuit can be settled by the payment of $35,821.00 in a structured settlement of two payments, such money to be used for improvements to the Bid Parcel "B" and of which such improvements will inure to the benetit of the City of Miami at the expiration of the leasehola; NOW, THLREFOI2L:, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIllA: Section 1. The Director of Finance is hereby authorized to pay Marine Stadiun, Enterprises, Inc. the sum of Thirty Five Thousand Eight Hundred Twenty One ($35,821.00) in a structured settlement, with 50% of the payment at the time of entering into the settlement and the agreed dismissal of pending claims, and CITY 6- the remaining payment at such time as certain improvements for fencing, paving, electrical wiring, Jandscaping and plumbing are completed by Marine Stadium co-ni-A-,ictors— Flirt her, these paymenirs shall he in and complr Lc, s-ttl-cent of any and all claims and dentantl:� acjainst the City of Miami, its officers and employees, and j.5 condition upon the execution of such documents, including releases, as required by the Office of the City Attorney. PASSED AND ADOPTED this 28th day of June 1984. Maurice A. Terre MAURICE A. FERRE MAYOR TEST: � RAPH G. ONGIE City Clerk PREPARED AND APPROVED BY: ,Pori. AIZ/JR. De—puty Ci �yAttorney APPROVED AS TO FORM AND CORRECTNESS: OPP _444 GARCIA-PEDROSA (IV-y Attorney JJC/wpc/ab/035 2 84-733 E CITY of MIA.MI. FLORTOA El INTER -OFFICE MEMORANDUM TO: Honorable Mayor Maurice Ferre O."TE June 13, 1984 F'T-F'L-83-389 and Members of the City Commission J-84--429 SUBJECT: Marina Biscayne, Inc. vs. City of Miami, et al. FROM. REFERENCES. City Commission Agenda 6/28/84 Jose Garcia -Pedrosa City Attorney ENCLOSURES_Resolution) This case is a case arising out of a lawsuit by Marina Biscayne, Inc. vs. the City of Miami and Marine Stadium Enterprises. As a result of the initial action filed by the Plaintiff, the Co -Defendant, Marine Stadium Enterprises, Inc., filed a Crossclaim against the City of Miami arising out of the same lawsuit. The subject suit concerned a particular parcel of property located at the Marine Stadium which was leased by the City to Marine Staaium ,nterprises, Inc. The lawsuit filed by marina Biscayne, Inc. against the City and its lessee, Marine Stadium Enterprises, Inc., alleged that the City violated the City Charter in the procedure followed in the bidding selection and award of Bid Parcel "B" at Miami Marine Stadium. After a hearing, which extended over a three day period of time, the Court denied part of the relief sought by Marina Biscayne, Inc. while granting some relief to Marina Biscayne, Inc. and also granting the relief_ sought by Marine Stadium Enterprises, Inc. in its Crossclaim. After the consideration of the evidence and testimony, and including a view of the scene, the Court ruled as follows: 1. The City of Miami did not violate the City Charter in the procedures followed in the bidding selection and award of contract. 2. The Court round that there was no evidence supporting any allegations of fraud, corruption, collusion or conspiracy to commit any such acts, by anyone connected with the case. 3. The Court found that the lease description entered into was materially and substantially changed from that 84-733 Honorable Mayor Maurice Terre and Members of the City Commission June 13, 1984 Page 2 which was advertised and held out for invitation to bid as to the actual. geography. 4. The Court also found that the above change in re- figuring the bid irJas all to the City's benefit, and the change was designed to solve an ingress and egress problem to the Marine Stadium created by an error in the original measurement of the parcel as contained in the bidding documents. 5. The Court went on to find that the lease agreement, as is presently executed, is invalid and it should be returned to the City of Miami_ for corrective action. 6. The Court found that Marine Stadium Enterprises, Inc., Co -Defendant and Cross -Claimant, was not at fault and reserved jurisdiction as to any such damages as may be established against the City of Miami. Subsequent thereto, a new lease has been prepared for signature between the City of Miami and Marine Stadium Enter- prises, Inc. Incorporated into this new agreement is a new configuration of the bid Parcels pursuant to the Court's in- struction, and the granting of an easement for ingress and egress to the Marine Stadium. This easement allows the City to maintain the present entrance to the Marine Stadium without having to build a new entrance. In addition to the reconfiguration and the easement, representatives of the City and of Marine Stadium Enterprises, Inc. have met in negotiating a settlement to the Crossclaim wherein the City was found liable. ''his settlement would eliminate the need for further litigation as to the damages of Marine Stadium Enterprises, Inc. It should be noted that in January of 1983, Plaintiff, Marina Biscayne, Inc., took a voluntary dismissal with prejudice for the action with respect to all claims which it had in this lawsuit. Marine Stadium Enterprises, Inc. has proposed to settle the lawsuit conditioned on the City paying a sum for making certain corrections to the newly configures parcel so as to accommodate the easement and allow for the storage of boats. 'These im- provements would become the property of the City at the end of the leasehold period and consist of the following amounts and descriptions: New fencing $3,896.00; new paving $15,300.00; new electrical wiring S10,500.00; moving existing landscaping $3,975.00; modif-ication to the plumbing 52,150.00; for a lump sum total of $35,821.00. As part of the settlement negotiations, Marine Stadium Enterprises, Inc. has agreed to contract with individual contractors to do all the work at the above prices and 84-'733 PASSED AND ADOPTED this 28th ^f .Tuna IF ' Honorable Mayor Maurice Ferre and Members of the City Commission June 13, 1984 Page 3 to be }?aid in settlement as follows: 50& of the sum ($I7'91.0.50) will be ;?aid at the time of Lhe entering into the settlement and the agreed dismissal of pending claims; the remaining 50". would be paid upon completion of all. the work and inspection by the City of Miami to insure that the work was properly done. As part Of the settlement, rlarin� stadium Enterprises, Inc. would release the City of Miami and waive any claims to monetary damages, an issue which is still pending before the Court. In addition, Marine .9tadiom Enterprises would sign the Iease as reconfigured, The Lease Hanagec/s Office and the Stadium Manager's Office, who helped negotiate the proposed settlement offer along with the City Attocney'o Office, recommend that the City of Miami pay the sum of $35/821,00 according to the above -described payment schedule in full and complete settlement of this claim against the City of Miami and conditioned upon the execution by Marine Stadium Enterprises, Inc. of certain settlement documents, including releases for the City of Miami, its officers and employees. This should be scheduled for the City Commission meeting of June 28, 1984 because the City must report back to the Court on June 29, 1984 pursuant to the Court"a Order. JJC/wpc/ab/021 Enclosure cc: City Manager cc: City Clerk � LOW&^%O%A L&.%JAU w"^M Jwv L.7 0= 9-w LjC%.;CI1IWC& JAv L7%0-*° PASSED AND ADOPTED this 28tb aavv m.f 111nw