The Jefferson city council at a special morning meeting Dec. 18 approved a settlement in a lawsuit arising from construction of the new animal shelter. The city of Jefferson was named as a defendant as owner of the building.
The lawsuit was the result of an issue early in construction of the building. The foundation had been poured in early December 2021, but by March, when construction was to begin, the foundation had settled. All parties agreed at the time that the party at fault for the soil settling would pay the additional cost of the project.
After more soil testing, Team Services Inc (TSI), the company that did the soil testing, and Jensen Builders, prime contractor on the project, still didn’t agree on who was at fault. TSI filed the lawsuit to force payment for their work. Jensen Builders filed a counter claim.
The lawsuit settlement document states that it is a compromise of disputed claims and that neither party admits fault. Jensen Builders had asked TSI for $126,436 for additional work done due to the soil issue. The settlement requires TSI to pay Jensen Builders $114,242.
The city accepted no liability and received no compensation in setting the lawsuit.
At the same special meeting, the council approved a 4-year contract with the Iowa Economic Development Authority to continue participating in the Main Street Iowa program. The council also approved resolution of support and financial commitment for Jefferson Matters.
Council member Matt Wetrich, whose fulltime employment is as executive director of Jefferson Matters, abstained from voting on both measures.
He also explained why the two resolutions weren’t on the agenda for the Dec. 12 regular meeting. He said the agreements aren’t renewed every year. He’s now in his second year in the position, but it was the first time he had to deal with the renewal. He said he realized the morning after the regular meeting that the agreements were set to expire Dec. 31, but the council had canceled the meeting that would have been Dec. 26. The special meeting called regarding the lawsuit provided an opportunity to take care of the Main Street renewals.
