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HomeMy WebLinkAboutMinutes of Special Meeting - 6/21/2011 MINUTES OF SPECIAL MEETING DANIA BEACH CITY COMMISSION TUESDAY, JUNE 21, 2011 — 6:00 P.M. 1. Call to Order/Roll Call Mayor Flury called the meeting to order at 6:00 p.m. Present: Mayor: Patricia A. Flury Vice-Mayor: Bobbie Grace Commissioners: Anne Castro Walter Duke C. K. "Mac"McElyea City Manager: Robert Baldwin City Attorney: Thomas Ansbro City Clerk: Louise Stilson 2. Beach Watch Litigation Settlement Agreement City Attorney Ansbro introduced Alan Grossman, attorney for the Beach Watch Restaurant, and Dan Abbott, Special Counsel for the City of Dania Beach. He explained how the settlement came about. City Attorney Ansbro remarked that in every settlement case both sides are not completely happy but they are willing to resolve their differences and move on with their lives. Dan Abbott, Special Counsel, provided a history of the suit with Allegria Entertainment. He explained that the settlement is for $650,000.00 and the tenant will vacate the premises on July 14, 2011. The lease will continue as written until the tenant leaves, and the rent will be prorated. Attorney Abbott noted the tenant will only pay property taxes that have accrued until July 14, 2011. He said that under the terms of the settlement the tenant will give the City the amount of $11,000.00 of the $21,000.00 tax bill. Attorney Abbot advised that the tenant will take their personal property and leave the fixtures that are attached to the property. He indicated that arrangements will be made for closing on the settlement date and the City would have a representative to make sure that everything is done in an orderly fashion. Attorney Abbot noted that all claims will be released from both parties on this date. Lastly, he stated that if the settlement is not approved it will be scheduled for a future court date. Commissioner Castro asked if we had checked for outstanding liens. Attorney Abbott responded there are no liens. He added that a walk through will also be done on the closing date. City Attorney Ansbro recommended approving the settlement agreement. He noted the Commission will need to discuss what to do with the property at a future Commission meeting. Commissioner Castro asked to add this matter to the June 28 agenda as a discussion item. Commissioner Duke noted that the restaurant has been a disservice to the residents and visitors. He remarked that we hired an excellent law firm; we spent a lot of money on legal fees and he thought we would have done well in court. Commissioner Duke further indicated that although he does not like the idea of using taxpayer money to settle this litigation, there is value in taking control of this asset. He stated he is not happy with the results of this case. Vice-Mayor Grace noted she will not prolong having an agreement with the tenant for another 16 years. She would like the City to take photos before and after they leave to insure they do not damage the property. Attorney Abbott noted the settlement would be a closing. Vice-Mayor Grace noted that we need people who can run a quality operation at the Pier restaurant. She supported terminating this lease and getting them out as soon as possible. Commissioner McElyea noted he always thought it was a bad idea. He supported the settlement agreement. Mayor Flury supported the settlement agreement. She thanked the City Attorney and Attorney Abbott for their work on this case. Commissioner Castro motioned to approve the Settlement Agreement with Beach Watch Restaurant for $650,000.00; seconded by Vice-Mayor Grace. The motion carried on the following 4-1 Roll Call vote: Commissioner Castro Yes Vice-Mayor Grace Yes Commissioner Duke No Mayor Flury Yes Commissioner McElyea Yes 3. Adiournment Mayor Flury adjourned the meeting at 6:19 p.m. ATTEST: CITY OF DANIA BEACH IS F1 rC'ry LOUISE STILSON, CMC PATRICIA A. FLURY CITY CLERK , MAYOR Approved: July 12, 2011 Minutes of Special Meeting 2 Dania Beach City Commission Tuesday,June 21,2011 —6:00 p.m.