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HomeMy WebLinkAboutResolutions - 1998.10.28 - 25504October 29, 1998 REPORT (Misc. #98256) BY: Planning and Building Committee, Charles E. Palmer, Chairperson RE: SETTLEMENT OF CHARTER TOWNSHIP OF ORION V THE OAKLAND COUNTY BOARD OF COMMISSIONERS LAWSUIT TO: The Oakland County Finance Committee Chairperson, Ladies and Gentlemen: The Planning and Building Committee, having reviewed the above-referenced resolution on October 20, 1998, recommends that the resolution be adopted. Chairperson, on behalf of the Planning and Building Committee, I move acceptance of the foregoing report. NG AND BUILDING COMMITTEE Planning and Building Committee Vote: Motion carried unanimously on a roll call vote. MISCELLANEOUS 'RESOLUTION # 98256 October 29, 1998 BY: Finance Committee, Sue Ann Douglas, Chairperson IN RE: SETTLEMENT OF CHARTER TOWNSHIP OF ORION v THE OAKLAND COUNTY BOARD OF COMMISSIONERS LAWSUIT To the Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: WHEREAS The Charter Township of Orion had brought a lawsuit against the Oakland County Board of Commissioners and the Oakland County Solid Waste Planning Committee, Oakland County Circuit Court Case number 90-392783-CE; and WHEREAS In conjunction with this lawsuit, the Charter Township of Orion withheld the re-payment of monies loaned by Oakland County to the Charter Township of Orion as outlined in the Host Community Agreement executed on January 31, 1991, between the parties; and WHEREAS the Charter Township of Orion's lawsuit was dismissed at trial in 1996 by the Circuit Court, this dismissal having subsequently been affirmed by the Michigan Court of Appeals in 1998; and WHEREAS in lieu of appealing to the Michigan Supreme Court, the Charter Township of Orion has agreed to enter into a settlement of the issue; and WHEREAS the settlement agreement between the Charter Township of Orion and the Oakland County Board of Commissioners requires the Township to: • repay to the County all outstanding principal payments owed to the County to date under the Host Community Agreement underlying this issue (amounting to $600,000.00), • pay to the County the interest set forth on the Host Community Agreement's Payment Schedule (amounting to $135,000.00), • pay to the County the additional interest imposed on late scheduled payments (amounting to $43,486.77) • pay to the County the costs of the attorneys fees incurred by the County in defending the litigation (amounting to approximately $60,000.00), for a total payment by the Charter Township of Orion to Oakland County of $838,486.77; and WHEREAS upon payment of the settlement amounts, the Charter Township of Orion will be brought current on the Payment Schedule set forth in Host Community Agreement, and will forgo any further appeals of this matter and dismiss the lawsuit with prejudice; and WHEREAS future payments by the Charter Township of Orion to the County pursuant to the Host Community Agreement shall resume as dictated by the Host Community Agreement's Payment Schedule. NOW THEREFORE BE IT RESOLVED that the Board of Commissioners approves the afore-described settlement agreement with the Charter Township of Orion and authorizes the Chairperson of the Board to execute such documents as may be necessary to effectuate this settlement agreement. Chairperson on behalf of the Finance Committee, I move the adoption of the foregoing resolution. FINANCE COMMITTEE FINANCE COMMITTEE VOTE: Motion carried unanimously on a roll call vote with Douglas absent. 4 1/ 7_7 IrOAKLANDr- L. BROOKS PATTERSON, OAKLAND COUNTY EXECUTIVE COUNTY MICHIGAN Gerald D. Poisson, Director 858-0553 DEPARTMENT OF CORPORATION COUNSEL Jody M. McLeod 858-0557 December 2, 1998 Laura S. Amtsbuechler, Esq. Johnson, Rosanti, LaBarge, Aseltyne & Field, P.C. 34405 W. Twelve Mile Road Suite 200 Farmington Hills MI 48331-5627 RE: Charter Twp. Of Orion v OC Board of Commissioners Settlement Agreement Dear Amtsbuechler: Please find the original signed and notarized Settlement Agreement for your records that was endorsed this date. You should have received a faxed copy of same today with the understanding that the original would be sent to you. If you should have any questions, please feel free to contact me. Very truly yours, OAKLAND COUNTY CORPORATION COUNSEL Jody M. I*Le6d Deputy Corporation Counsel /pgd Enclosure cc: (J. P. McCulloch, Chairman BOC (w/enclosure) Court Tower. West Wing • 1200 North Telegraph Road • Pontiac, Michigan 48341-0419 • (248)858-0550 • Fax (248) 858-1003 SETTLEMENT AGREEMENT This Settlement Agreement and Release is entered into this 1st day of December , 1998, by and between the Charter Township of Orion (hereinafter referred to as "Orion Township") and The County of Oakland (hereinafter referred to as "Oakland County"). RECITALS A. Orion Township filed a Complaint against Oakland County in Civil Action No. 84- 284665-0Y and 90-392783-CE in which Waste Management of Michigan. Inc. intervened as a Defendant. On February 1, 1991. the civil actions were settled by way of a Consent Judgment, which incorporated a Community Host Agreement. B. Subsequent to the Consent Judgement, Orion Township filed post-judgment proceedings requesting specific performance or damages for Oakland County's breach of the Host Fee Agreement and to prohibit Oakland County from intercepting the Township's share of the delinquent tax revolving fund distributions. C. Oakland County filed responsive pleadings denying the allegations of Orion Township in its post-judgment Motions and requesting repayment of money advanced to Orion Township under the Host Fee Agreement. D. The Trial Court entered judgment ordering the Township to repay the County the money advanced under the Host Fee Agreement pursuant to the terms of the Host Fee Agreement; the Township appealed the Trial Court's ruling in docket number 198056; the Trial Court was affirmed, and the Township's Motion for Re-Hearing was denied. E. The parties to the above-referenced civil action and to this Agreement are desirous of avoiding future litigation and controversy, and have agreed that Orion Township will pay as 1 ordered in the Circuit Court Judgment to become current on repayment to the County on the Host Fee Agreement and the Township shall not apply for Leave to Appeal to the Michigan Supreme Court. The parties have also agreed that Oakland County shall not seek costs, additional interest or additional attorney fees arising out of the post-judgment proceedings, and accordingly, the parties enter into this Settlement Agreement and Release for the sole and express purpose of avoiding future controversy, wishing to avoid the resulting uncertainly of additional appeals which could be made. F. It is expressly understood and agreed that this Settlement Agreement and Release shall not be construed as an admission of liability on the part of any party hereto, for the purpose of this action, or for the purposes of any other action of whatever kind or nature. AGREEMENT IT IS HEREBY AGREED. by and between the parties hereto, and in consideration of the mutual promises contained herein as follows: 1. Orion Township shall not pursue an appeal before the Michigan Supreme Court. and shall pay Oakland County the amount of $835,950.77 which shall include payment of attorney fees to Oakland County and bring Orion Township current under the Host Fee Agreement pursuant to the terms of the judgment of the Trial Court in this matter. Orion Township shall continue making payments to the County pursuant to the terms of the Trial Court judgment and Host Fee Agreement which shall be in the amount of $150.000 annually at the rate of 3%. 2. Oakland County hereby agrees that it shall accept the payment of $835,950.77 by Orion Township as full and final settlement of the amount to bring Orion Township current under the repayment terms of the Host Fee Agreement and as full and final settlement of the post-judgment proceedings litigation. Oakland County expressly agrees that it shall not seek costs,additional interest, or additional attorney fees. arising out of this litigation. 3. This Release shall not bar Oakland County or Orion Township from enforcing the provisions set forth in this General Release and Settlement Agreement. 4. Oakland County has accepted the payment of the sum specified herein together herein with the conditions herein stated as a complete compromise of matters involving disputed issues of law and fact, and the parties assume the risk that the facts or the law may be otherwise than their belief. 5. The parties agree and understand that this Settlement Agreement and Release is a compromise of a disputed claim and that payment made and conditions stated herein are not to be construed as an admission of liability on the part of any of the parties being released by whom all liability is expressly denied. 6. The parties shall execute any and all supplementary documents and take all supplementary steps to give full force and effect to the basic terms of this Agreement, specifically and including all appropriate Stipulations for Dismissal, with prejudice and without costs, interest or attorney's fees or all aspects of the Oakland County Circuit litigation and Court of Appeals file which is more fully described in the Recitals hereof. 7. The parties hereto declare and represent that no promise, inducement or agreement not herein expressed has been made to them and that this Settlement Agreement and Release contains the entire Agreement between the parties hereto and that the terms of this Release are contractual and not a mere recital. 8. This Settlement Agreement and Release shall be binding upon and inure to the benefit of the executors, administrators, assigns and successors in interest of each. 3 Iv) By: John Cou cCulloch"Chairman of Oakland Board of Commissioners CHARTER TOWNSHIP OF ORION C e.4.zu.- By: Colette M. Dywasuk, Tbwnship Supervisor Subscribed and swiaprn to before me this /-- day of k4L_, 1998 Notary P6lic, MARY JANE SHIELDS NOTARY PlaIC - OAKLAND COUNTY, MI My Commission Expires: mycomussio NEM 05/31/2001 COUNTY OF CyAKLAND, MICHIGAN Subscribed and sworn to before me this day 1998 6__wiLdZao-ea (-KfaL2E,cr Notary Public, My Commission Expires: Alie0/ 4 F:\WPDOC\WSIOTAURA\ORION\RELEASEGEN FORF71701Y(7%, RESOLUTION -fERF7v In Testimony Whereof, I have hereunto set my ha County of Oakland at Pontiac, Michigan till's 29 1 and affixed the seal day of Atober 1998. of the ih G. William Caddell, Deputy County Clerk Resolution 498256 October 29, 1998 Moved by Douglas supported by Wolf the Planning and Building Committee Report be accepted. A sufficient majority having voted therefor, the report was accepted. Moved by Douglas supported by Wolf the resolution be adopted. Moved by Obrecht supported by Millard the resolution be amended in the fifth WHEREAS paragraph to reduce the reimbursement for attorney fees incurred by the County from $60,000 to $30,000. The Chairperson stated a "YES" vote would amend the resolution to reduce the reimbursement for attorney fees and a "NO" vote would not. A sufficient majority not having voted therefor, the amendment failed. Vote on resolution: AYES: Coleman, Devine, Dingeldey, Douglas, Garfield, Gregory, Hoffman, Huntoon, Jacobs, Jensen, Johnson, Kaczmar, Kingzett, Law, McCulloch, McPherson, Millard, Moffitt, Obrecht, Palmer, Schmid, Taub, Wolf, Amos. (24) NAYS: None. (0) A sufficient majority having voted therefor, the resolution was adopted. L. brooks F34,!.arson. County Executive Date STATE OF MICHIGAN) COUNTY OF OAKLAND) I, G. William Caddell, Deputy Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on October 29, 1998 with the original record thereof now remaining in my office.