HomeMy WebLinkAbout2015 06 22 Consent 308 Mediated Settlement Agreement with WCA Waste Corporation COMMISSION AGENDA
Informational
Consent X
ITEM 308 Public Hearings
g
Regular
June 22, 2015 KS
Regular Meeting City Manager Department
REQUEST:
The City Manager and City Attorney request the City Commission approve a Mediated Settlement
Agreement related to City of Winter Springs v. WCA of Florida, Inc. and the School Board of
Seminole County which is currently before the Florida Fifth District Court of Appeal.
SYNOPSIS:
In 2008, the City granted an exclusive solid waste franchise to Waste Pro requiring Waste Pro to
collect and dispose of all commercial and residential solid waste within the jurisdictional limits of
the City of Winter Springs including from school board property. In 2013, the School Board
approved a contract with WCA of Florida to provide for solid waste collection services on school
board property including school property within the City of Winter Springs. The City claimed that
the contract violated the City's exclusive solid waste franchise granted to Waste Pro and other
applicable ordinances. In response to the City's claim,WCA of Florida and the School Board filed
suit against the City contesting the application of the City's Waste Pro exclusive solid waste
franchise and ordinances to school board property. The trial court ruled in WCA's and School
Board's favor and enjoined the City from enforcing its exclusive solid waste franchise and
applicable ordinances. The City appealed. Pursuant to Florida Appellate Rules of Procedure, the
parties recently attended an all-day mediation attempting to resolve the dispute. The mediation
resulted in a proposed Mediated Settlement Agreement. The City Manager and City Attorney
recommend that the City Commission consider approving the Settlement Agreement, which is
attached to this Agenda Item.
CONSIDERATIONS:
1. The Mediated Settlement Agreement is attached to the Agenda Item and is subject to
approval by the City Commission and School Board.
2. In summary,the Settlement Agreement provides the following material terms relevant to the
Consent 308 PAGE 1 OF 3-June 22,2015
City:
a. The parties will jointly request that the appellate court relinquish jurisdiction and direct the
lower court to vacate the Final Judgments entered in this case.
b. Upon vacation of the Final Judgments, the City will voluntarily dismiss the appeal with
prejudice and WCA and the School Board will voluntarily dismiss their respective claims, cross
claims and counter claims with prejudice.
c. The parties agree that the Final Judgments shall have no precedential value whatsoever
with respect to the parties.
d. WCA shall file a non-exclusive commercial solid waste franchise application with the
City. The School Board will pay the application fee of$1,000 to the City.
e. The City will grant WCA, by ordinance, a non-exclusive commercial solid waste
franchise to operate within the City of Winter Springs for the sole purpose of providing solid waste
removal services to the School Board under the existing School Board Solid Waste Contract. The
ordinance will be considered and approved by the City Commission using the City's regular
ordinance adoption process. The ordinance shall set forth the City's solid waste non-exclusive
commercial franchise terms and conditions,which are generally customary for similar non-exclusive
franchises between Florida municipalities and the solid waste removal industry. In addition, the
term of the non-exclusive commercial franchise shall run concurrent with the remainder of the sixty
(60) month term of the School Board Solid Waste Contract. The non-exclusive franchise will only
authorize WCA to provide solid waste service to School Board property; no other commercial
properties within the City will be served by WCA.
f. The ordinance for said non-exclusive franchise shall require that WCA compensate the
City a non-exclusive commercial franchise fee equal to ten percent (10%) of the gross revenue
received by WCA from all sources related to WCA's solid waste removal services provided to the
School Board property within the jurisdictional limits of the City of Winter Springs.
g. WCA agrees to abide by the non-exclusive franchise ordinance adopted by the City
Commission.
h. Each party bears their own attorney's fees and costs in the case.
3. If the City Commission and the School Board approve the Settlement Agreement, the
Settlement will be implemented and the case will be resolved. On the other hand, if the City
Commission and School Board do not approve the Settlement Agreement,the parties shall notify the
mediator that the Agreement was not approved, and at such time, the mediator will either declare
impasse or continue the mediation with consent of all of the parties.
FISCAL IMPACT:
Once all of the parties approve the Settlement, the City will receive a $1,000 non-exclusive
franchise fee application fee, and an annual franchise fee equal to 10% of the gross revenues
received by WCA from their current contract with the School Board, once the ordinance becomes
effective.
COMMUNICATION EFFORTS:
This Agenda Item has been electronically forwarded to the Mayor and City Commission,
City Manager, City Attorney/Staff, and is available on the City's Website, LaserFiche, and
Consent 308 PAGE 2 OF 3-June 22,2015
the City's Server. Additionally, portions of this Agenda Item are typed verbatim on the
respective Meeting Agenda which has also been electronically forwarded to the individuals
noted above, and which is also available on the City's Website, LaserFiche, and the City's
Server; has been sent to applicable City Staff, Media/Press Representatives who have
requested Agendas/Agenda Item information, Homeowner's Associations/Representatives
on file with the City, and all individuals who have requested such information. This
information has also been posted outside City Hall, posted inside City Hall with additional
copies available for the General Public, and posted at five (5) different locations around the
City. Furthermore, this information is also available to any individual requestors. City Staff
is always willing to discuss this Agenda Item or any Agenda Item with any interested
individuals.
RECOMMENDATION:
The City Manager and City Attorney recommend that the City Commission approve this
Mediated Settlement Agreement related to City of Winter Springs v. WCA of Florida, Inc.
and the School Board of Seminole County.
ATTACHMENTS:
1. Conditional Mediated Settlement Agreement Subject to City Commission and School
Board Approval.
Consent 308 PAGE 3 OF 3-June 22,2015
IN THE DISTRICT COURT OF APPEAL OF THE STATE OF FLORIDA
FIFTH DISTRICT
THE CITY OF WINTER SPRINGS,
FLORIDA, a municipal corporation,
Appellant,
vs. CASE NO.: 5D15-0293
WCA OF FLORIDA, LLC, a
Florida limited liability company,
and THE SCHOOL BOARD OF
SEMINOLE COUNTY, FLORIDA,
a political subdivision of the State of
Florida,
Appellees.
/
CONDITIONAL MEDIATED SETTLEMENT AGREEMENT
SUBJECT TO CITY COMMISSION AND SCHOOL BOARD APPROVAL
THIS CONFIDENTIAL MEDIATED SETTLEMENT AGREEMENT
(hereinafter as the "Agreement") is entered into by and between Appellant, THE
CITY OF WINTER SPRINGS, FLORIDA, a municipal corporation (hereinafter
"City"), and Appellees, WCA OF FLORIDA, LLC, a Florida limited liability
company (hereinafter "WCA"), and THE SCHOOL BOARD OF SEMINOLE
COUNTY, FLORIDA, a political subdivision of the State of Florida (hereinafter
"School Board"), subject to and conditioned upon the approval of the City
Commission of the City of Winter Springs, Florida, and the governing board of
CASE NO.: 5D15-0293
the Seminole County School Board at duly noticed public meetings. The parties
hereby agree and stipulate as follows:
1. This Agreement shall not become binding upon the City or the School
Board unless and until it is approved by a majority vote of the City Commission of
the City of Winter Springs and the governing board of the School Board at duly
noticed public meetings, with the sole and limited exception of the following
commitment made by the parties:
a. On or before June 30, 2015, the City Manager for the City and the
Superintendent for the School Board shall respectively recommend to the
City's Commission and the School Board that this Agreement be approved
by the City's Commission and the School Board.
b. If the School Board and/or the City's Commission fail to approve this
Agreement at their respective meetings, counsel for the School Board and/or
the City, as applicable, shall notify the mediator for the above-styled
proceeding and the other parties that the Agreement was not approved. At
such time, the mediator will either declare impasse or continue the mediation
with consent of all of the parties.
c. If the Agreement is approved by both the School Board and the City's
Commission, this Agreement shall become legally binding upon all parties,
CASE NO.: 5D15-0293
who shall then promptly proceed, in good faith, with their respective
performances under this Agreement.
2. The parties acknowledge that this Agreement is given in compromise
of disputed claims and any consideration and compromise made hereunder shall
not be construed as an admission of liability or wrong-doing by any party, nor shall
it be construed as an admission that any other party's disputed legal position in the
above-styled proceeding, or in the action below, was or is superior, correct and/or
valid. Without admitting any wrongdoing or liability, the parties to this stipulation
desire to amicably resolve all disputes between them, including, without limitation,
all appeals, claims, crossclaims and counterclaims filed in the above-styled
proceeding and in the action below.
3. Within ten (10) days from the date this Agreement becomes legally
binding, if at all, the parties shall file a joint motion in the above-styled proceeding,
advising the appellate court that a settlement agreement has been reached and
requesting that the appellate court relinquish jurisdiction and direct the lower court
to vacate the Final Judgment In Favor of Plaintiff WCA of Florida, LLC, entered
in the action below on December 23, 2014, and the Final Judgment in Favor of the
Defendant/Cross-Defendant The School Board of Seminole County, Florida,
entered in the action below on December 23, 2014 (hereinafter collectively as the
"Final Judgments"). Within ten (10) days after the lower court enters an order
CASE NO.: 5D15-0293
vacating the Final Judgments, (a) the City will file a voluntary notice of dismissal
with prejudice of the above-styled proceeding, and (b) WCA and the School Board
will file voluntary dismissals with prejudice of their respective claims, crossclaims
and counterclaims.
4. The parties agree that the Final Judgments, the vacation of the Final
Judgments and the dismissals of the above-styled proceeding and the action below
shall have no precedential value whatsoever with respect to the parties.
5. At such time the lower court vacates the Final Judgments, the
following shall occur:
a. Article II., Paragraph 18(B), General Purchasing Terms and
Conditions under the current contract for solid waste removal service
#1314008B between WCA and the School Board, effective November 1,
2013 ("School Board Solid Waste Contract"), shall be deemed automatically
amended to provide that: "If the School Board choses to terminate the
contract for convenience, the School Board shall provide the Contractor with
at least 90 days prior written notice before the effective date of termination."
b. WCA shall file a non-exclusive solid waste commercial
franchise application with the City no later than seven (7) days after the
Final Judgments are vacated. Said application shall be accompanied with an
application fee in the amount of $1,000 made payable to the City by check.
CASE NO.: 5D15-0293
The School Board agrees to pay the application fee to the City on behalf of
WCA. Upon receipt of a completed application and said fee, the City will
grant WCA, by ordinance, a non-exclusive commercial solid waste franchise
to operate within the City of Winter Springs for the sole purpose of
providing solid waste removal services to the School Board under the
existing School Board Solid Waste Contract. The ordinance will be
considered and approved by the City Commission using the City's regular
ordinance adoption process. The ordinance shall set forth the City's solid
waste non-exclusive commercial franchise terms and conditions, which are
generally customary for similar non-exclusive franchises between Florida
municipalities and the solid waste removal industry. In addition, the term of
the non-exclusive commercial franchise shall run concurrent with the
remainder of the sixty (60) month term of the School Board Solid Waste
Contract.
c. Further, the ordinance for said non-exclusive franchise shall
require that WCA compensate the City a non-exclusive commercial
franchise fee equal to ten percent (10%) of the gross revenue received by
WCA from all sources related to WCA's solid waste removal services
provided to the School Board within the jurisdictional limits of the City of
Winter Springs. Upon adoption of said ordinance by the City's
CASE NO.: 5D15-0293
Commission, WCA agrees to abide by the terms and conditions set forth in
the ordinance.
6. The parties acknowledge that they have had the opportunity to obtain
counsel to represent them prior to their execution of this Agreement and they have
not relied upon any representations or advice of any other party or opposing
counsel before executing this Agreement. The parties further acknowledge that
they have voluntarily agreed to the terms of this Agreement and have not been
coerced under any circumstances by any opposing party, counsel or the mediator.
7. The parties and their counsel further acknowledge that: (a) the
mediator is and has remained a neutral, impartial facilitator for the parties
throughout the mediation; (b) although the mediator is a licensed attorney in
Florida and may have used his experience to make observations or play "devil's
advocate" during the course of the mediation, nothing the mediator did or stated
during the mediation was relied upon by the parties or their counsel as legal
services, legal advice or a legal opinion of the mediator; (c) the mediator did not
make any decisions for the parties regarding whether to settle their dispute and/or
on what terms to settle; (d) the mediator did not render any legal services or legal
advice in connection with the drafting of this Agreement, except as a scrivener;
and (e) the parties have solely relied upon the advice of their counsel for the
drafting and execution of this Agreement.
CASE NO.: 5D15-0293
8. This Agreement is the entire agreement between the parties with
respect to settlement of the subject matter covered herein and any modification or
change hereof shall be in writing and signed by all parties and their attorneys.
Except as otherwise provided herein, each party to this Agreement shall bear their
own attorney's fees and costs.
9. This Agreement may be executed in several counterparts, each of
which shall be deemed an original and all of which shall constitute one and the
same instrument, and shall become effective as stated herein when counterparts
have been signed by each of the parties and delivered to the other parties; it being
understood that all parties need not sign the same counterparts.
DATED this day of May, 2015.
THE CITY OF WINTER SPRINGS
FLORIDA
By:
Kevin L. Smith, City Manager
Date: 5/28/2015
Anthony A. Garganese , Esq.
Approved by the City Commission on Florida Bar No.: 988294
this day of , 2015. Counsel for The City of Winter Springs
Charles Lacey, Mayor
CASE NO.: 5D15-0293
WCA OF FLORIDA, LLC
By:
Print Name and Capacity
Frank A. Hamner, Esq.
Florida Bar No.: 59153
Date: Counsel for WCA of Florida, LLC
THE SCHOOL BOARD OF
SEMINOLE COUNTY, FLORIDA
By:
Dr. Walt Griffin, Superintendent Robert E. Bonner, Esq.
Florida Bar No.: 327875
Counsel for The School Board of
Seminole County, Florida
Date:
CASE NO.: 5D15-0293
Approved by the School Board on
this day of , 2015
Tina Calderone, Chairman