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Agenda 06/24/2008 Item #16C 1 Agenda Item No. 16C1 June 24, 2008 Page 1 of 3 EXECUTIVE SUMMARY Recommendation that the Board approve a budget amendment in the amount of $255,000.00 to fund the continuing litigation and professional expert services related to the case known as Collier County and Collier County Water-Sewer District v. Metcalf & Eddy, Inc. and Travelers Casualty and Surety Company of America., Project 700751. OBJECTIVE: That the Board approve a budget amendment to properly fund legal and professional expert fees for the ongoing litigation in the case known as Collier County and Collier County Water- Sewer District v. Metcalf & Eddy, Inc. (M&E) and Travelers Casualty and Surety Company of America CONSIDERATIONS: The law firm of Carlton Fields has been serving as outside counsel in litigation initiated on behalf of the Board of County Commissioners and the Collier County Water-Sewer District with M&E. The litigation is focused on deficiencies in M&E furnishing design-build services in Years 2002 and 2003 for the well field expansion oflhe North County Regional Water Treatment Plant. As part ofthe lawsuit, M&E has counterclaimed for extra work performed, alleging that the County's refusal to execute change orders constitutes a breach of contract. On May 27, 2008, as Agenda Item 16(K)(5), the Board approved authorization to make a joint settlement proposal which offers to make a Demand for Judgment to accept $199,000,00 on Collier's claims, and to make an Offer of Judgment agreeing to pay $85,000.00 on M&E's claim. To date, M&E has not responded to those demands/offers of settlement. In order to fund continuing legal services by outside counsel, Carlton Fields, and at their request and recommendation, expert professional engineering services by Malcohn Pirnie, this budget amendment is required. FISCAL IMPACT: A budget amendment is necessary to transfer $255,000.00 from Water Impact Fee Reserves to Project No. 700751 to properly fund these services. LEGAL CONSIDERATIONS: The County Attorney's Office has reviewed and approved this item for legal sufficiency. -SRT. GROWTH MANAGEMENT IMPACT: This project meets current Growth Management Plan standards to ensure the adequacy and availability of viable public facilities. RECOMMENDATIONS: That the Board approve a budget amendment in the amount of $255,000.00 to fund the continuing litigation and professional expert services related to the case known as Collier County and Collier County Water-Sewer District v. Metcalf & Eddy, Inc. and Travelers Casualty and Surety Company of America., Project 700751. PREPARED BY: Peter Schalt, PMP, Senior Project Manager Page lof2 Agenda Item No. 16C1 June 24, 2008 Page 2 of 3 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS Item Number: Item Summary: 16C1 Recommendation that the Board approve a budget amendment in the amount of $255,000,00 to fund the continuing litigation and professional support services related to the case known as Collier County and Collier County Water-Sewer District v Metcalf & Eddy, Inc. and Travelers Casualty and Surety Company of America" Project 700751. Meeting Date: 6/24/2008 90000 AM Prepared By Peter Schall, PMP Senior Project Manager Date Public Utilities Public Utilities Engineering 6/4/20083:06:33 PM Approved By Bala Sridhar Senior Management/Budget Analyst Date Public Utilities Public Utilities Operations 6/5/20088:34 AM Approved By Karen B. Guliani, P.E. Senior Project Manager Date Public Utilities Public Utilities Engineering 6/5/200811 :37 AM Approved By Thomas Wides Operations Director Date Public Utilities Public Utilities Operations 6/6/2008 1 :55 PM Approved By Phil E. Gramatges, P .E. Sr. Project Manager Date Public Utilities Public Utilities Engineering 6/6/20084:52 PM Approved By Pamela Libby Water Operations Manager Date Public Utilities Water 6/9/20089:29 AM Approved By Paul Mattausch Water Director Date Public Utilities Water 6/912008 9:30 AM Approved By James W. Delany Public Utilities Administrator Date Public Utilities Public Utilities Administration 6/9/20081 :36 PM Approved By OMS Coordinator OMS Coordinator Date County Manager's Office Office of Management & Budget 6/12/20082:53 PM file://C:\AgendaTest\Export\ 1 1 0-June%2024,%202008\ 16.%20CONSENT%20AGENDA \1... 6/18/2008 Page 20f2 Agenda Item No. 16C 1 June 24,2008 Page 3 of 3 Approved By Scott R. Teach Assistant County Attorney Date County Attorney County Attorney Office 611612008 11 :26 AM Approved By Susan Usher Senior Management/Budget Analyst Date County Manager's Office Office of Management & Budget 611612008 1 :42 PM Approved By John A. Yonkosky Director of the Office of Management Date County Manager's Office Office of Management & Budget 6116/2008 2:40 PM Approved By James V. Mudd County Manager Date Board of County Commissioners County Manager's Office 6117120089:22 PM file://C:IAgendaTestIExportl 11 0-June%2024, %2020081 16.%20CONSENT%20AGENDA 11... 6/18/2008