HomeMy WebLinkAboutSubstitute MemoSUBSTITUTE COVER MEMO
CA.7-JANUARY13, 2005
CITY OF MIAMI
OFFICE OF THE CITY ATTORNEY
MEMORANDUM
TO: Mayor and Mem rs of the City Commission
FROM: Jorge L. Fe d Attorney)
DATE: January 12, 2005
Proposed Settlement -City Commission Agenda -January 13, 2005
Nextel South Corp. vs. City of Miami and Miami -Dade County
Miami -Dade County Circuit Court, Case No.: 01-26832 CA 09
Claim No. 000757-001717-E0-01 (File No. 04-01372)
The attached proposed Resolution seeks authorization for the settlement of all claims
against the City of Miami asserted in the above -referenced case, in the amount of $1,451,794.
This is a claim for alleged overpayment of Public Services Taxes by Nextel South Corp.
to the City, during the period January 1997 through November 1999, caused by the erroneous
geographic coding of customers by Nextel to the City of Miami, instead of to Miami -Dade
County. In the lawsuit, Miami -Dade County filed a cross -claim against the City. The total
amount of alleged overpayment is $2,182,486. Nextel further claimed interest of $421,260 as of
February 7, 2001, for a total claim of $2,603,746, as of that date. Of course further interest has
been accruing during the pendency of the lawsuit. The proposed settlement would require the
City to pay the County $1,451,794, and would require Nextel to pay the County an additional
$225,000. Therefore the County would be recovering a total of $1.676,794 from both the City
and Nextel. The City's contribution represents 56% of the total claim as of February 7, 2001.
Funds in the amount of $1,451,794 will be allocated from the Public Service Tax —
Special Revenue Fund, Index Code No. 170001.000000.2235.
Wi 140:WB
Attachment(s)
c: Joe Arriola, City Manager
Elvi G. Alonso, Agenda Coordinator