HomeMy WebLinkAboutAgenda Statement 1981/05/19 Item 11
COUNCIL AGENDA STATEMENT
Item n
Meeting Date 5/19/81
ITEM TITLE: Resolution ItI'I6?J Appropriating Funds in the Amount of $4,857.32
for settlement of Silvia Condemnation Action
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SUBMITTED BY:
City Attorney
(4/5ths Vote: YesX No_)
The City Council has heretofore authorized the settlement in the
additional amount of $7,500 over and above the $28,500 appraisal
figure for the acquisition of Telegraph Canyon Road right of way
from Joseph Silvia (Archway Inn). The final settlement figure
recommended by Judge Focht was $48,000. In order to meet such
payment, it is necessary for the City to add an additional
$4,857.32 to the present monies available for settlement of the
case.
RECOMMENDATION: It is recommended that the City Council
appropriate the sum of $4,857.32 from the
unappropriated balance of the Gas Tax Fund.
BOARD/COMMISSION RECOMMENDATION: N/A
DISCUSSION:
Although it was originally estimated that the City would pay the
sum of $7,500 in order to achieve a settlement of the case based
upon the cost of trial, including attorneys' fees and expert
witness fees, i.e., appraisers, and that the final settlement
offer would be approximately $35,000, a further analysis of the
case would' indicate that the settlement proposed by Judge Focht in
the amount of $48,000 is not unreasonable and it should be noted
is considerably less than the demand for $125,000 originally made
by the attorneys for Mr. Silvia. ".. ..
Further, in consideration of the fact that the $28,000 originally
deposited by the City and the Gersten Company has realized a
significant amount of interest so that the total amount presently
on deposit with the court is approximately $39,000 and with the
recommended settlement figure of $48,000, an additional
contribution by the City of $4,857.32' is' required. The Gersten
Company has agreed to piCk up the balance so that the total figure
that the City has contributed to the Silvia property, less
interest earned during the time the security has been on deposit
with the court, is $18,185.32, being 47.6% of the total amount
contril:u ted.
FISCAL IMPACT:
Appropriate $4,857.32 from the unappropriated
balance of the Gas Tax Fund and transferred to
Account 250-2501-GT83 for the purpose set forth
hereinabove.
Form A-113 (Rev. 11/79)
!04~7J
EXHIBITS
Agreement_____ Resolution~ Ordinance_____ Plat_____ Notification List
Other
ENVIRONMENTAL DOCUMENT: Attached
Submitted on
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