Number
071691
Version
ORIGINAL
Reference
Sponsor
ALD. KOVAC AND COGGS
Title
Resolution relating to the expenditure of capital funds to be reimbursed by greater than anticipated Revenue in the amount of $200,000 received from a court settlement by the Department of Public Works, Infrastructure Services Division, Environmental Section.
Analysis
The resolution authorizes supplemental appropriations for Sewer Maintenance Capital with funds of $200,000 received through a settlement with CNA Insurance Company, regarding the City’s claims against Terra Engineering and Camp, Dresser & McKee in City of Milwaukee v. Terra Engineering & Construction Corporation, et al, Milwaukee County Circuit Court Case No. 06-CV-001133.
Body
Whereas, Section 34-91 of the Milwaukee Code of Ordinances establishes procedural guidelines related to the expenditure of funds to be reimbursed by greater that anticipated revenues; and
Whereas, The Department of Public Works, Infrastructure Services Division, Environmental Section received $200,000 in unanticipated revenue from CNA Insurance Company in fiscal year 2008; and
Whereas, The payment resulted from a settlement with CNA Insurance Company regarding City of Milwaukee v. Terra Engineering & Construction Corporation, et al, Milwaukee County Circuit Court Case No. 06-CV-001133; and
Whereas, The settlement from CNA insurance is a compromise of disputed issues regarding alleged failures in the performance of contracts for riverbank stabilization in the Milwaukee River following the partial removal of the North Avenue Dam; and
Whereas, This receipt results in revenue of $200,000 higher than the estimate for Sewer Maintenance Capital revenue included in the adopted 2008 City budget; and
Whereas, The Comptroller has certified below that greater than anticipated revenue has been realized from CNA Insurance Company with respect to the settlement of the City’s claims against Terra Engineering and Camp, Dresser & McKee in City of Milwaukee v. Terra Engineering & Construction Corporation, et al, Milwaukee County Circuit Court Case No. 06-CV-001133 in the amount of $200,000, pursuant to s. 304-91,
City Comptroller Certification
Pursuant to s.304-91, I hereby certify that $200,000 from CNA Insurance Company was realized on or before March 5, 2008, and is to be expended only for the purposes specified in this resolution.
____________________________ ___ __________________
W. Martin Morics, Comptroller Date
; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee, that the Comptroller is hereby authorized and directed to increase appropriations in the amount of $200,000 in the capital program account (006300-0491-6831-0001-R999-0000-SM498080000) and increase estimated revenues by $200,000 in the revenue account (009870-0491-6831-0001-R999-0000) of the Department of Public Works, Infrastructure Services Division, Environmental Section; and, be it
Further Resolved, That the Department of Public Works, Infrastructure Services Division, Environmental Section is authorized to conduct engineering studies, which are NonAssessable by City Charter, to determine the extent of the remediation necessary in the area of the North Avenue Dam to meet the requirements established by Wisconsin Department of Natural Resources. The costs of the engineering studies are estimated to be $200,000 and are to be accounted for utilizing project SM498080100. The total costs of the project have yet to be determined; and, be it
Further Resolved, That the Comptroller is authorized and directed to establish the necessary accounts and accounting procedures to carry out the intent of this resolution.
Requestor
Department of Public Works
Infrastructure Services Division
Environmental Section
Drafter
MWJ:sdp
03/25/08