HomeMy WebLinkAbout1996-OR-64ORDINANCE NO. 96-OR- ~q
AN ORDINANCE APPROVING NEGOTIATED SETTLEMENT AND PROVIDING
FOR PAYMENT OF INITIAL SETTLEMENT PAYMENT FROM THE CUMULATIVE
CAPITAL DEVELOPMENT FUND AND THE CUMULATIVE CAPITAL
IMPROVEMENT FUND
WHEREAS, in late 1991 the City of Jeffersonville's (hereinafter "the City")general
liability insurance carrier, American Commercial Liability Insurance Company took bankruptcy,
thus negating the City's general liability insurance coverage; and
WHEREAS, a claim arose on July 31,1991 as a result of a police chase and alleged
collision between Jeffersonville City Police Officer James Craig and David Robertson, which
collision occurred in the City of Louisville, Jefferson County, State of Kentucky; and
WHEREAS, David Robertson later filed suit against the City in the Jefferson County,
Kentucky Circuit Court (hereinafter the "lawsuit"); and
WHEREAS, in June 1995 a trial on the merits of the lawsuit was conducted resulting in
a hung jury; and
WHEREAS, upon polling of the jurors, the City's trial counsel found that the jury had
been one vote away from awarding a five million dollar ($5,000,000.00) judgment in favor of
David Robertson and against the City; and
WHEREAS, the lawsuit was again set for trial on August 29, 1996; and
WHEREAS, a mediation of the lawsuit was held on Friday, June 28, 1996; and
WHEREAS, as a result of the mediation, David Robertson agreed to accept from the
City as full settlement of his claim, the sum of Three Hun&ed Thousand Dollars ($300,000.00)
with Two Hundred Thousand Dollars ($200,000.00) payable immediately and Twenty-Five
Thousand Dollars ($25,000.00) per year payable each year for four (4) years thereafter
(hereinafter "the Settlement"); and
WHEREAS, the Common Council of the City of Jeffersonville (hereinafter "the
Council") believes that acceptance, authorization' and ratification of the Settlement with David
Robertson is in the best interests of the citizens of the City; and
WHEREAS, the City is without operating funds from which to make the initial payment
of the Settlement; and
WHEREAS, if the City does not fund the initial payment of the Settlement immediately,
the Settlement will be with&awn putting the City at risk of being subjected to a multimillion
DECLARATION
WHEREAS, in late 1991 the City of Jeffersonville's (hereinafter "the City")general
liability insurance carrier, American Commercial Liability Insurance Company took bankruptcy,
thus negating the City's general liability insurance coverage; and
WHEREAS, a claim arose on July 31, 1991 as a result of a police chase and alleged
collision between Jeffersonville City Police Officer James Craig and David Robertson, which
collision occurred in the City of Louisville, Jefferson County, State of Kentucky; and
WHEREAS, David Robertson later filed suit against the City in the Jefferson County,
Kentucky Circuit Court (hereinafter the "lawsuit"); and
WHEREAS, in June 1995 a trial on the merits of the lawsuit was conducted resulting in
a hung jury; and
WHEREAS, upon polling of the jurors, the City's trial counsel found that the jury had
been one vote away fi'om awarding a five million dollar ($5,000,000.00) judgment in favor of
David Robertson and against the City; and
WHEREAS, the lawsuit was again set for trial on August 29, 1996; and
WHEREAS, a mediation of the lawsuit was held on Friday, June 28, 1996; and
WHEREAS, as a result of the mediation, David Robertson agreed to accept from the
City as full settlement of his claim, the sum of Three Hundred Thousand Dollars ($300,000.00)
with Two Hundred Thousand Dollars ($200,000.00) payable immediately and Twenty-Five
Thousand Dollars ($25,000.00) per year payable each year for four (4) years thereafter
(hereinafter "the Settlement"); and
WHEREAS, the City is without operating funds from which to make the initial payment
of the Settlement; and
WHEREAS, if the City does not fund the initial payment of the Settlement immediately,
the Settlement will be withdrawn putting the City at risk of being subjected to a multimillion
dollar Judgment;
NOW THEREFORE, IT IS HEREBY DECLARED that as a result of the above-
recited facts, the public welfare is in immediate danger requiring the expenditure of money in the
City's Cumulative Capital Development Fund and the City's Cumulative Capital Improvement
Fund to make the initial payment required by the Settlement.
Thomas R. Galligan, Mi
City of Jeffersonville, I ma
H;~OAVIDSON/DECLARAT.WP D
2
dollar Judgment;
WHEREAS, the Mayor of the City has issued to the Council a declaration that the public
welfare 'is in immediate danger requiring the expenditure of money in the City's Cumulative
Capital Development Fund and the City's Cumulative Capital Improvement Fund as a result of
the above-recited facts;
NOW THEREFORE, BE IT HEREBY ORDAINED that the Council hereby
authorizes, approves and ratifies the Settlement and agrees to make the payments required by its
terms;
NOW, THEREFORE, IT IS ItEREBY FURTItER ORDAINED that in order to
protect the public welfare of the citizens of Jeffersonville, there now exists an emergency that
demands immediate action requiring the expenditure of monies from the City's Cumulative
Capital Development Fund and a transfer and special appropriation of monies from the City's
Cumulative Capital Improvement Fund; and
NOW, THEREFORE, IT IS HEREBY FURTHER ORDAINED that One Hundred
Thousand Dollars ($100,000.00) be expended from the Cumulative Capital Development Fund to
pay one-half of the required initial payment of the Settlement; and
NOW, THEREFORE, IT IS HEREBY FURTHER ORDAINED that One Hundred
Thousand Dollars ($ i00,000.00) from the Cumulative Capital Improvement Fund be transferred
to the General Fund pursuant to a duly-approved special appropriation and then be expended to
pay the remaining one-half of the required initial payment of the Settlement.
Passed ~n~ adopted by the Common Council of the City of Jeffersonville, Clark
Indiana this ,~ ' day of September1996' ~l an~~
ig
Presiding Officer
ATTEST:
Clerk and Treasurer
County,
Presented~by me as Clerk and Treasurer to the Mayor of said City of Jeffersonville,
Indiana this C4~'--day of September 1996.
Clerk and Treasurer
T~o~nas R. Galligan, Mayor~57~
H:~DAVIDSONSAp?ROPRI.ORD