Attachment 1
HERCULES CITY COUNCIL
RESOLUTION NO. 22-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HERCULES APPROVING SETTLEMENT OF CLAIM AGAINST PG&E REGARDING WATER POLLUTION CONTROL PLANT UPGRADE PROJECT DELAYS WHEREAS, the Pinole-Hercules Water Pollution Control Plant (the “Plant”) is owned equally by the cities of Pinole and Hercules; and WHEREAS, in 2019, Pinole and Hercules undertook a major project to upgrade the Plant (the “Project”), and Pacific Gas and Electric (“PG&E”) was the utility responsible for providing critical gas and electric services for the Project during construction; and WHEREAS, PG&E failed to timely provide the necessary utility services, which caused significant delays in the completion of the Project and increased the cost of the Project; and WHEREAS, the cities of Pinole and Hercules filed a claim for damages against PG&E as part of PG&E’s then ongoing bankruptcy proceeding; and WHEREAS, PG&E has offered to settle the cities’ claims against it for $110,000, which would be split evenly between the cities of Pinole and Hercules; and WHEREAS, the Hercules City Council desires to accept PG&E’s offer in order to avoid the cost of litigation.
NOW, THEREFORE, BE IT RESOLVED that the Council of the City of Hercules hereby declares as follows:
1. The above recitals are true and correct, and incorporated into this Resolution.
2. The City of Hercules hereby approves the proposed $110,000 settlement of the claim against PG&E regarding the Water Pollution Control Plant Upgrade Project delays, of which the City’s share is $55,000.
3. The City Manager is authorized and directed to execute the settlement agreement, attached herein as "Exhibit A" in a form approved by the City Attorney, and take such other actions as are necessary to carry out the purpose and intent of this Resolution.
NOW, THEREFORE, BE IT FURTHER RESOLVED the foregoing Resolution was duly and regularly adopted at a regular meeting of the City Council of the City of Hercules held on the 9th day of August, 2022 by the following vote of the Council:
AYES:
NOES:
ABSTAIN:
ABSENT:
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Dion Bailey, Mayor
ATTEST:
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Lauren Berges, City Clerk