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Agenda 12/16/2008 Item #16K 1 Agenda Item No. 16K1 December 16, 2008 Page 1 of 6 .- EXECUTIVE SUMMARY Recommendation to authorize an Offer of Judgment for Parcell1SFEE by Collier County to property owner Norma Farmilo, Individually and as Trustee, in the lawsuit styled CC v. Robbie L. Rayburn, et al., Case No. 07-4268-CA (Santa Barbara Boulevard Extension Project No. 60091) (Fiscal Impact: If accepted, $48,038.00). OBJECTIVE: That the Board of County Commissioners authorize and approve a proposed Offer of Judgment for Parcel 115FEE by Collier County to property owner Norma Farmilo (Respondent), in the lawsuit styled CC v. Robbie L. Rayburn, et aI., Case No. 07-4268-CA (Santa Barbara Boulevard Extension Project No, 60091). CONSIDERATIONS: Pursuant to statute, the County made its pre-suit offer to Norma Fannilo in the amount of $691 ,400.00 for the taking of fee simple interest in a 3.79 acre parcel of land designated as Parcel 115FEE. This offer was not accepted and on November 9, 2007, the County filed suit to condemn Parcelll5FEE for the construction of the Santa Barbara Boulevard Extension project. Mediation was held on February 7, 2008, and an impasse reached. It was later discovered that the methodology used by the County's appraiser was flawed and the appraisal amount was revised to $737,800.00. In order to review the revised appraisal, the owner's attorney wanted to continue the contested order of taking hearing, which would have delayed the project for two months. Rather than continue the hearing, the owner's attorney agreed to stipulate to the order of taking if the good faith deposit was increased to $787,800.00. _ This case has been set for trial on February 2, 2009. Respondent previously claimed compensation in the amount of $],123,273.00. Her claim is not expected to be less than that amount at trial. The County Attorney's Office and staff would like to make an Offer of Judgment in the amount of $800,000.00 for Parcel l15FEE, including the remainder property of Respondent (the total property is 4.85 acres). The original offer could not legally take this remainder property as it is not necessary for the project. Unfortunately, the taking rendered the land locked remainder essentially worthless, resulting in severance damages. But since this is a settlement, the County may make an offer on the entire property, thus negating respondent's severance damage claim. This offer represents approximately $165,000.00 per acre, which is in the mid-range of other comparable properties. This Offer will expire in 30 days unless extended by the County or accepted. If the owner then fails to recover an amount equal to or greater than this sum at trial, she will be responsible for her defense costs after the offer cxpires. The offer will require that the owner carcfully assess her case before assuming the risk of the costs of trial. In the event the County prevails at trial, the offer will provide the County with some significant cost savings. Attached is the proposed Offer of Judgment by County to the owner. If approved, and accepted by the owner, the County will pay the following costs: - Additional Compcnsation: Attorney Fees * Subtotal: $ 12,200.00 $ 35.838.00 $ 48,038.00 P'.genca item No. 16K 1 December 15, 2008 Page 2 of 6 Expert fees and costs will be determined at a later date. * Attorney's Fees are mandated by Section 73.092, Fla. Stat., and are based on 33% of the difference between any settlement amount and the initial offer, i.e., 0.33 of $800,000.00 - 5691,400.00). FISCAL IMPACT: Funds in the an10unt of $48,038.00 will come from Gas Taxes, Impact Fees and Ad Valorem. Lasip Project will share 58% of this cost. Source of funds are Impact Fees, Gas Taxes and Ad Valorem. GROWTH MANAGEMENT IMPACT: None. LEGAL CONSIDERATIONS: This item is legally sufficient for Board action, is not quasi- judicial and as such, ex-parte disclosure is not required. This item requires only a majority vote. RNZ RECOMMENDA TION: That the Board of County Commissioners approve the making of the attaehed Offer of Judgment for Parcel 115FEE to Respondent in the amount of 5800,000.00, and authorize payment, if offer is accepted. PREPARED BY: Robert N. Zachary, Assistant County Attorney CP:07-4268:2573 2 Page 1 of2 Agenda Item f\Jo. 16K 1 December 16, 2008 Page 3 of6 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS Item Number: Item Summary: 16K1 Meeting Date: Recommendation to authorize an Offer of Judgment for Parcel 115FEE by Collier County to property owner Norma Farmilo, Individually and as Trustee, In the lawsuit styled CC v. Robbie L. Rayburn. et aI., Case No. 07-4268-CA (Santa Barbara Boulevard Extension Project No. 60091) (Fiscal Impact If accepted. $48.038 00) 12116/200890000 AM Prepared By Robert N. Zachary County Attorney Assistant County Attorney County Attorney Office Date 12/5/20084:05:33 PM Appro....ed By County Attorney Assistant County Attorney County Attorney Office Date Jeff Klatzkow 1215/20084:22 PM Approved By Robert N. Zachary County Attorney Assistant County Attorney County Attorney Office Date 1215/20085:08 PM Approved By Brian Hancock Operations Support Manager Date Transportation Division Transportation Administration 12/81'20088:12 AM Approyed By Kevin Hendricks Right Of Way Acquisition Manager Date Transportation Services TEeM-ROW 1218/20083:35 PM Apl)rO\'cd B,y Gary Putaansuu Principal Project Manager Date Transportation Services Transportation Engineering and Construction 1218/20083:44 PM Approved By Lisa Taylor ManagemenUBudget Analyst Date Transportation Services Transportation Administration 12/8/20084:28 PM Approl-'ed By Gerald Kurtz Senior Engineer Stormwater Management Date 12/8/20084:49 PM Transportation Services Approved By Norm E. Feder, AICP Transportation Division Administrator Date Transportation Services Transportation Services Admin. 12/9f2008 8:31 AM Approved By OivlS Coordinator Appilcations Analyst Date Admlnistr8:tlve SGrv;cf:s ~nfom~a~;vn TechnolGgy 1 ~/9t20az tL39 AM Approved By Susan Usher Senior Management/Budget Analyst Date file://C:\AgendaTest\ExDort\ 118-December%20 16.%202008\ 16.%20CONSENT%20AGE... 12/1 0/2008 Page 2 of2 /\genda Item No. ! 6K 1 December 16. 2008 Page 4 of 6 County Manager's Office Office ot Management & Budget 12/9/200812::22 PM Allproved R}' James V. Mudd CO:.Jnty Manager Date Board of County Commissioners County Manager's Office 12/9/20081 :11 PM file://C:\AgendaTest\ExD011\ 118-December%20 16.%202008\ 16.%20CONSENT%20AGF.... 12/10/2008 Agenda Item No. 16K 1 December 16, 2008 Page 5 of 6 IN THE CIRCUIT COURT OF THE TWENTIETH JUDICIAL CIRCUIT IN AND FOR COLLIER COUNTY, FLORIDA CIVIL ACTION COLLIER COUNTY, FLORIDA, a political subdivision of the State of Florida, Petitioner, Case No. 07-4268-CA v. ROBBIE L. RAYBURN, INDIVIDUALLY AND AS TRUSTEE, et aI., Parcel: 115FEE Respondents, / OFFER OF JUDGMENT TO: Norma R. Farmilo, Individually and as Trustee of the Norma R. Farmilo Trust dated June 28, 1988 as amended c/oBella Y. Patel, Esquire LA W OFFICE OF BELLA Y. PATEL, P .A. 13026 Waterford Run Drive Riverview, FL 33569 AND Menelaos Papalas, Esquire ORA YROBINSON,PA 50 North Laura Street, Suite 1 100 Jacksonville, FL 32202 Petitioner, COLLIER COUNTY, FLORIDA, pursuant to Section 73.032, Florida Statutes, and Fla, R. Civ. P. 1.442, does hereby make this binding offer of judgment in the Santa Barbara Boulevard Extension project, Number 60091 and Lely Area Stormwater Improvement project, Number 5110 I, to the Respondent, NORMA R. F ARMILO, Individually and as Trustee of THE NORMA R. FARMILO TRUST DATED JUNE 28, 1988 AS AMENDED ("Respondent"), in settlement of all claims concerning Parcel 115 and the remainder property, )\oenda !1em f\lo. .16K 1 ~ December 16_ 2008 Page 6 of 6 including full compensation for the taking, and any improvements, severance damages, business damages, costs to cure, statutory interest and any other claims of Respondent arising out of the taking of Parcel I 15FEE for the sum of$800,000.00, inclusive of the remainder of the tract, for a total of approximately 4.85 acres. The County will be entitled to credit for its good faith deposit amount of$787,800.00 deposited pursuant to the Order of Taking dated March 17, 2008. There are no non-monetary terms or other relevant conditions to this offer except that this offer is inclusive of interest from the date of the Order of Taking and is exclusive of expert fees and costs and attorney's fees and costs. The construction plans and specifications for the project on which the offer is based have been previously and continue to be available for the Respondent's review upon reasonable notice of such a request. Dated this day of December, 2008. OFFICE OF THE COUNTY ATTORNEY Harmon Turner Building 3301 East Tamiami Trail Naples, Florida 34112 (239) 252-8400 - Telephone (239) 252-6300 - Facsimile BY: ~ ROBERT N. ZACHARY, ESQUIRE ASSISTANT COUNTY ATTORNEY Florida Bar No. 816604 ATTORNEY FOR PETITIONER CPD7-426B.2S 74 2