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HomeMy WebLinkAboutReg 2023-11-06 Item 7 - Motion - Unico Litigation SettlementCOUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared by Mayor's review Council review 11/6/23 BJM ITEM INFORMATION ITEM No. 7 STAFF SPONSOR: B.MILES ORIGINAL AGENDA DATE: 11/6/23 AGENDA ITEM TITLE Motion to settle the Unico litigation as recommended in the staff memo and to direct the City Attorney and staff to take the necessary steps to implement the settlement. CATEGORY ® Discussion Mtg Date 11/6/23 ® Motion Mtg Date 11/6/23 ❑ Resolution Mtg Date ❑ Ordinance Mtg Date ❑ Bid Award Mtg Date ❑ Public Hearing Mtg Date ❑ Other Mtg Date SPONSOR ❑ Council ® Mayor ❑ Admin Svcs ❑ DCD Finance ❑ Fire ❑ P&R ❑ Police ❑ PIG SPONSOR'S SUMMARY The City of Tukwila owns King County parcel 242304-9034 located just north of Tukwila Sounder Station in the Southcenter District. The City purchased the property in 2002. In the mid-1990s the previous owner of the property secured a parking easement on an adjacent parcel in the City of Renton. The parking was related to a convention center that was envisioned on the City owned parcel and other parcels in the area. The convention center project was abandoned. Unico has filed suit seeking to remove the easement. REVIEWED BY D Trans&Infrastructure Svcs ❑ Community Svcs/Safety ❑ Finance & Governance ❑ Planning & Community Dev. D LTAC ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm. DATE: N/A COMMITTEE CHAIR: N/A RECOMMENDATIONS: SPONSOR/ADMIN. Mayor's Office COMMITTEE N/A COST IMPACT / FUND SOURCE EXPENDITURE REQUIRED $N/A AMOUNT BUDGETED $N/A APPROPRIATION REQUIRED $N/A Fund Source: N/A Comments: The City will receive $1,500 as part of the settlement agreement MTG. DATE 11/6/23 RECORD OF COUNCIL ACTION MTG. DATE ATTACHMENTS 11/6/23 Informational Memorandum dated October 30, 2023. 315 316 TO: FROM: CC: DATE: City of Tukwila Allan Ekberg, Mayor INFORMATIONAL MEMORANDUM Tukwila City Council Brandon Miles, Business Relations Manager Mayor Ekberg October 30, 2023 SUBJECT: Settlement Agreement with Unico Properties ISSUE Authorize the Mayor to settle a lawsuit with Unico properties regarding a City easement. BACKGROUND The City of Tukwila owns King County parcel 242304-9034 located just north of Tukwila Sounder Station in the Southcenter District. The City purchased the property in 2002. In the mid-1990s the previous owner of the property secured a parking easement on an adjacent parcel in the City of Renton ("Renton Parcel"). The parking was related to a convention center that was envisioned on the City owned parcel and other parcels in the area. The convention center project was abandoned. Unico Properties has purchased the Renton Parcel and has filed suit against the City seeking to terminate the easement on its property. DISCUSSION City Administration does not believe that the easement on the Renton Property adds any value to the City property. To defend the easement the City would have to expend a significant amount of amount of funds in legal services. Unico has offered a $1,500 financial payment to the City to compensate the City for a portion of its legal fees to settle the suit. This is the same amount that has been offered to other property owners. FINANCIAL IMPACT The City will receive $1,500 in compensation to settle the easement lawsuit. RECOMMENDATION Authorize the Mayor to settle the Unico lawsuit related to the easement on the Renton Property. 317