TO: Mayor and City Council
THROUGH: Keith Stahley, City Manager
FROM: Krishna Namburi, Deputy City Manager
SUBJECT:
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Claim Settlement Authorization
Ward(s): All Wards
Councilor(s): All Councilors
Neighborhood(s): All Neighborhoods
Result Area(s):
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SUMMARY:
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A lawsuit is currently pending regarding a car accident at Mildred Lane SE and Liberty Rd S. Through settlement negotiations, the City has agreed to resolve all claims associated with the lawsuit in consideration of a payment of $163,600.00.
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ISSUE:
Shall the City Council authorize the City Manager to resolve a lawsuit brought by Personal Representative Douglas Schumann on behalf of the estate of Sara Schumann in an amount not to exceed $163,600.00.
RECOMMENDATION:
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Authorize the City Manager to resolve a lawsuit brought by Personal Representative Douglas Schumann on behalf of the estate of Sara Schumann in an amount not to exceed $163,600.00. Payment of $133,600.00 will be made from the City’s self-insurance claim fund. Payment of $30,000.00 will be made from other defendants named in this lawsuit, who are not affiliated with the City.
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FACTS AND FINDINGS:
The claim relates to a fatal car accident involving Sara Schumann that occurred on August 7, 2020. Under the terms of the settlement, the City does not admit fault, however, to avoid the cost of litigation, the proposed settlement, which constitutes a full and final settlement of all claims related to this incident, will resolve this claim. The Enterprise Services Director and Risk Manager recommend to the City Council to authorize the City Manager to settle this matter and issue payment as outlined.
BACKGROUND:
Gail Freeman
Risk Manager
Attachments: