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<br /> <br /> <br />MEMORANDUM <br /> <br />TO: Arden Hills City Council and Mayor David Grant <br /> <br />FROM: Elisa Hatlevig <br /> <br />DATE: September 8, 2021 <br /> <br />RE: Sunram Construction v. City of Arden Hills <br /> <br /> <br /> <br />Mayor and Honorable City Council Members: <br /> <br />On the agenda tonight is the approval and signing of the Mediated Settlement Agreement for full <br />and final resolution of the litigation commenced by Sunram Construction due to claimed unpaid <br />amounts related to work performed by Sunram for the Old Snelling Trail Extension & Water <br />Main Improvements, City Project No. PW-17-1011. <br />The City of Arden Hills retained WSB & Associates, Inc. to provide engineering services for the <br />project and entered into a contract with Sunram to complete the work for the project. During the <br />project, Sunram claimed it was owed additional money for the construction of retaining walls, <br />placement of additional catch basins and additional traffic control. <br />Mediation took place on August 10, 2021 between the City, Sunram, and WSB, at which time, <br />without any parties admitting liability or conceding amounts were owed, a global resolution was <br />reached. The original demand from Sunram was $136,000 and the final global settlement amount <br />accepted by Sunram was $50,000 with the City paying $22,500 and WSB paying $27,500. The <br />Mediated Settlement Agreement has already been signed by WSB and Sunram and the terms and <br />content of the Mediated Settlement Agreement have been reviewed and approved by City <br />Attorney Joel Jamnik and LMCIT retained attorney Elisa Hatlevig and they recommend the City <br />sign the Agreement as set forth.