HomeMy WebLinkAbout2005-26022 Reso RESOLUTION NO. 2005-26022
A RESOLUTION OF THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH,
FLORIDA APPROVING A SETTLEMENT
AGREEMENT BY AND BETWEEN AMERICAN GOLF
CORPORATION OF CALIFORNIA, INC., AND THE
CITY OF MIAMI BEACH, CONCERNING
LITIGATION FILED BY THE CITY TO RECOVER
ENVIRONMENTAL REMEDIATION COSTS FOR
THE CITY'S GOLF COURSES, AND AUTHORIZING
THE CITY MANAGER AND CITY CLERK TO
EXECUTE SUCH AGREEMENT, AND THE TAKING
OF NECESSARY AND APPROPRIATE STEPS FOR
THE IMPLEMENTATION THEREOF.
WHEREAS, the City filed an action against American Golf Corporation ("AGC")
in the United States District Court, Southern District of Florida, Miami Division, styled
City of Miami Beach v. American Golf Corporation of California, Inc., Case Number: 04-
22607-CIV-MARTINEZ-BANDSTRA (referred to herein as the "Action"), seeking cost
recovery for alleged environmental contamination at the Bayshore (Miami Beach Golf
Course) and Normandy Shores golf courses owned by the City of Miami Beach; and
WHEREAS, AGC denied the allegations contained in the City's Complaint and
alleged certain defenses to the City's claims; and
WHEREAS, following mediation between the parties, and pursuant to direction
from the City Commission, the City Attorney's Office and the Administration considered
a settlement offer by AGC, and the parties thereafter agreed to resolve all disputes which
may exist between them rather than continue with the Action; and
WHEREAS, the settlement has been reduced to writing and is submitted
simultaneously herewith for Commission final approval.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND
THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that
the City Commission hereby approves the Settlement Agreement submitted herewith, and
the City Manager and City Clerk are hereby authorized to execute such Agreement on
behalf of the City, and the City Manager and City Attorney are authorized to take such
actions as are necessary or appropriate consistent with the intent of this resolution to
implement the provisions of the Settlement Agreement. This Resolution shall take effect
immediately upon its adoption.
PASSED and ADOPTED thisl9th day ~f 0~bfir ,2005.
ATTEST: /~
~ J/ MAYOR
CITY CLERK
Robert Parcher
David Dermer
APPROVED AS TO
FORM AND LANGUAGE
& FOR EXECUTION
CI~/Y~ A~'O~R~EY ,.~.a . DATE
F:~atto~-IELG~LITIGATI~nGolt~Settlement Agreement adoption reso.DOC
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
www.miamibeachfl.gov
To:
From:
Subject:
COMMISSION MEMORANDUM
Date: October 19, 2005
Mayor David Dermer and
Members of the City Commission
Murray H. Dubbin/~r~J ~ ~
City Attorney l~V\
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI
BEACH, FLORIDA APPROVING A SETTLEMENT AGREEMENT BY AND BETWEEN
AMERICAN GOLF CORPORATION OF CALIFORNIA, INC., AND THE CITY OF MIAMI
BEACH, CONCERNING LITIGATION FILED BY THE CITY TO RECOVER
ENVIRONMENTAL REMEDIATION COSTS FOR THE CITY'S GOLF COURSES, AND
AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE SUCH
AGREEMENT, AND THE TAKING OF NECESSARY AND APPROPRIATE STEPS FOR
THE IMPLEMENTATION THEREOF.
RECOMMENDATION
The Mayor and Commission should adopt this resolution approving the settlement
agreement between the City and American Golf Corporation of California, Inc.
BACKGROUND
From 1986 to 1996 American Golf Corporation ("AGC")operated and maintained the City's
golf courses under a management agreement. Towards the latter end of that time period,
the City became aware of enforcement actions by the Miami-Dade County Department of
Environmental Resource Management ("DERM") concerning environmental conditions at
the golf courses. DERM had issued certain Notices of Violation ("NOV") for contamination
at the golf courses. Not satisfied with AGC's responses to the NOVs, the City terminated
the agreement and undertook its own assessments. After extensive negotiations with
DERM, the City agreed to limited remediation of the golf course maintenance areas, and
undertook such remediation to precede the renovation of the golf courses.
Thereafter, the City Attorney's Office and outside counsel undertook to recover monies
expended in furtherance of the assessment and remediation activities. In 2004 the City
filed an action against AGC in the United States District Court, Southern District of Florida,
Miami Division, styled City of Miami Beach v. American Golf Corporation of California, Inc.,
Case Number: 04-22607-CIV-MARTINEZ, seeking cost recovery for alleged environmental
contamination at the Bayshore (Miami Beach Golf Course) and Normandy Shores golf
courses owned by the City under state and federal environmental statutes. After recent
case law limited the recovery to state law claims, the City filed an amended complaint.
AGC denied the allegations contained in the City's Complaint and alleged certain defenses
to the City's claims.
The parties engaged in mediation in early August 2005, but failed to reach agreement.
Agenda Item
Date [0--{~'~9~'"
Commission Memorandum
Resolution Approving Sett/ement Agreement with American Golf Corporation
October 19, 2005
Page 2
Thereafter, AGC submitted a settlement offer, without admission of liability, which was
considered by the City Commission in attorney-client session on September 8, 2005.
Pursuant to direction from the City Commission, the City Attorney's Office and outside
counsel engaged in further negotiations with AGC, which resulted in the Agreement
submitted to the Commission simultaneously with this Memorandum. The parties have
agreed to resolve all disputes which may exist between them rather than continue with the
litigation.
If the City Commission approves the attached resolution it will approve the Settlement
Agreement, and the City Manager and City Clerk would be authorized to execute such
Agreement on behalf of the City, and the City Manager and City Attorney would be
authorized to take such actions as are necessary or appropriate consistent with the intent
of this resolution to implement the provisions of the Settlement Agreement. This Resolution
would take effect immediately upon its adoption.
MHD/GMH
F:\atto\HELG\LITIGATl~mGOlflCommissionMemo 031905.new.doc