06/25/1987
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Special Meeting
June 25, 1987
Mills Development Settlement
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The City Commission met in Special Session in
at City Hall on Thursday, June 25, 1987, at 4:58 pm,
present:
the large conference room
with the following members
Rita Garvey
Lee Regulski
Don Winner
William Nunamaker
Mayor/Commissioner
Commissioner
Commissioner
Commissioner
Absent:
James Berfield
Vice-Mayor/Commissioner
Also Present:
Anthony L. Shoemaker
Milton A. Galbraith, Jr.
Cynthia E. Goudeau
City Manager
City Attorney
City Clerk
.
The purpose of this meeting is to accept settlement on Count 3 in the Mills
Development suit regarding the Sand Key Beach Renourishment Project.
The City Manager distributed a memo regarding funding for both the $1.5
million settlement proposal and an estimated 1.2 million for bridge repair:
Sources:
Proposed
Settlement
Bridge Fund
(Accumulated Surplus)
Road and Drain Projects
(delay of current projects)
Bridge R&R Funds
Interest on unspent
Road & Drain Funds
200,000
Insurance Fund
(Available insurance reserve)
1,300,000
TOTAL FUNDS
$1,500,000
'..,.
. .
383.
Bridge
Repair
$1100,000
350,000
150,000
300,000
$1,200,000
June 25, 1987
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that after review of the current interest rates the City would
for an investment of $500,000 for one year, it is staffs
to pay the full 1.5 million dollars now. He stated this
the City's uncommitted funds and will call for the delay of many
projects. The City will probably need a tax increase, not only because of
settlement and the bridge repair, but also because revenues have decreased.
He stated
have available to
opinion that it
will deplete
CIP
the
it
is best
interest rate, Barbara Weston, the
rate we could receive for a one year
In response to a question regarding the
City's Investment Manager, stated the best
investment is 7%.
Commissioner Winner moved to accept staff's recommendation to pay the
1.5 million dollars for settlement of the Mills Development case on Count #3
in the manner recommended. The motion was duly seconded.
Discussion ensued regarding the need to settle the case and concerns
were expressed that there seemed to be a feeling that the City had "screwed up".
Commissioner Regulski stated it is his opinion that the City is failing and
neglecting its duty not to continue in the judicial system. Mayor Garvey stated
she did not feel the City "screwed up" and there was no guilt on the City's
part. However, her concerns were that as there was no way to predict the
outcome of the appeal it could be more costly in the long run not to go with
the settlement. Commissioners Winner and Nunamaker agreed with the Mayor's
feelings.
.
Upon the vote being taken, Commissioners Nunamaker and Winner and Mayor
Garvey voted "Aye", Commissioner Regulski voted "Nay". Motion carried.
It was the consensus of the Commission that they are agreeable to holding
the funds for the bridge repair as outlined.
Discussion ensued regarding the need to continue in obtaining the
transcript for the Mills cases. The process is to proceed for now.
The meeting adjourned at 5:30 pm.
M
Attest:
..Q.~~,~~-
~lerk
.,.
384.
June 25, 1987
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