Explanation
Background:
This Ordinance is submitted to settle the lawsuit captioned City of Columbus v. Englefield Oil Company and Alum Creek Duchess LLC, Franklin County Court of Common Pleas Case No. 25-cv-008702 (the “Lawsuit”). In settlement of this Lawsuit, the City of Columbus (the “City”) will be reimbursed a total amount of One Hundred Forty-Seven Thousand, Six Hundred Fifty-Seven Dollars and Seventy Cents ($147,657.70). Englefield Oil Company will pay Thirty Thousand, Six Hundred and Fifty-Seven Dollars and Seventy Cents ($30,657.70) to the City. The Petroleum Underground Storage Tank Release Compensation Board (the “Board”) will pay One Hundred and Seventeen Thousand Dollars and no cents ($117,000.00) to the City.
This Lawsuit arises from the City’s remediation of petroleum contaminated soil and groundwater associated with the accidental release of petroleum from underground storage tanks located at 3909 Alum Creek Drive, Obetz, Ohio 43207. Englefield Oil Company is the owner/operator of the gasoline station known as Alum Creek Duchess at 3909 Alum Creek Drive, Obetz, Ohio 43207.
Fiscal Impact:
This ordinance authorizes the City to accept monies to recuperate previously expended funds. Monies will be deposited and appropriated into the Sanitary Sewer Permanent Improvement Fund (Fund 6115).
Emergency justification
Emergency designation is requested in order for the parties to effectuate the settlement of these claims in accordance with the terms of the settlement agreement, which is in the best interest of the City.
Title
To authorize and direct the City Attorney to settle the claims with Englefield Oil Company and Alum Creek Duchess LLC; to authorize the acceptance of Thirty Thousand, Six Hundred and Fifty-Seven Dollars and Seventy Cents ($30,657.70) from Englefield Oil Company in settlement of the matter; to authorize the acceptance of One Hundred and Seventeen Thousand Dollars and no cents ($117,000.00) from the Petroleum Underground Storage Tank Release Compensation Board in settlement of the matter; to execute any necessary documents associated with the settlement and final resolution of the litigation; to authorize the City Auditor to deposit the settlement funds into the Sanitary Sewer Permanent Improvement Fund, as directed by the City Auditor; and to declare an emergency. ($147,657.70)
Body
WHEREAS, the City filed a Lawsuit against Englefield Oil Company and Alum Creek Duchess LLC in Franklin County Court of Common Pleas to be reimbursed for the City’s remediation of petroleum contaminated soil and groundwater associated with the accidental release of petroleum from underground storage tanks located at 3909 Alum Creek Drive, Obetz, Ohio 43207, as more fully described in the Complaint; and
WHEREAS, Englefield is, and was, at all times relevant, the owner/operator of the gasoline station known as Alum Creek Duchess at 3909 Alum Creek Drive, Obetz, Ohio 43207; and
WHEREAS, the Board is responsible for administering the Petroleum Underground Storage Tank Financial Assurance Fund; and
WHEREAS, Englefield Oil Company and the Board agree that the Board will pay One Hundred and Seventeen Thousand Dollars and no cents ($117,000.00) to the City for third-party Claim Number 3575-0096/10/13/21; and
WHEREAS, Englefield Oil Company and the City agree that Englefield Oil Company will pay Thirty Thousand, Six Hundred and Fifty-Seven Dollars and Seventy Cents ($30,657.70) to the City to settle the Lawsuit; and
WHEREAS, settlement funds will be deposited into the Division of Water Reclamation’s Sanitary Sewer Permanent Improvement Fund (Fund 6115); and
WHEREAS, it is necessary to authorize the funds in the Sanitary Sewer Permanent Improvement Fund (Fund 6115); and
WHEREAS, the Lawsuit has been litigated through the present date; and
WHEREAS, the Parties now wish to resolve the Lawsuit in full, and further resolve any and all of their remaining respective differences, disputes and claims related to the Lawsuit; and
WHEREAS, an emergency exists in the usual daily operations of the City, in that it is necessary for this ordinance to be effective immediately in order for the parties to effectuate the settlement of these claims in accordance with the terms of the settlement agreement, which is in the best interest of the City, and to accept the agreed to sums without delay; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Columbus City Attorney and the Director of Columbus Water and Power be, and hereby are, authorized and directed to settle the civil action captioned City of Columbus v. Englefield Oil Company and Alum Creek Duchess LLC, Franklin County Court of Common Pleas Case No. 25-cv-008702 by accepting two payments to the City of Columbus, which total One Hundred Forty-Seven Thousand, Six Hundred Fifty-Seven Dollars and Seventy Cents ($147,657.70); Englefield Oil Company will pay Thirty Thousand, Six Hundred and Fifty-Seven Dollars and Seventy Cents ($30,657.70) to the City, and the Petroleum Underground Storage Tank Release Compensation Board (the “Board”) will pay One Hundred and Seventeen Thousand Dollars and no cents ($117,000.00) to the City;
Section 2: That the City Attorney and the Director of Columbus Water and Power be, and hereby are, authorized to execute any necessary agreements and court documents associated with the settlement and final resolution of the litigation on behalf of the City;
Section 3: That the City Auditor be, and hereby is, authorized to accept the settlement funds upon receipt and to determine the appropriate fund into which they shall be deposited to the credit and benefit of the City;
Section 4: That the City Auditor be, and hereby is, authorized to accept Thirty Thousand, Six Hundred and Fifty-Seven Dollars and Seventy Cents ($30,657.70) from Englefield Oil Company, in settlement of the Lawsuit;
Section 5: That the City Auditor be, and hereby is, authorized to accept One Hundred and Seventeen Thousand Dollars and no cents ($117,000) from the Board for third-party Claim Number 3575-0096/10/13/21;
Section 6. That the City Auditor is authorized to make any necessary accounting changes to ensure that these transactions are accounted for and recorded accurately on the city's financial records.
Section 7: That for the reasons set forth in the preamble, which are incorporated by reference herein, this ordinance is hereby deemed to be an emergency measure necessary for the immediate preservation of the public peace, safety, and welfare shall take effect and be in force from and immediately after its passage and signature by the Mayor, or within ten (10) days thereafter if the Mayor neither signs nor vetoes the same.