This case stems from a contract between Murphy Construction Company and the City concerning the installation of floating docks at the Marina during Phase II of the marina redevelopment which took place between 2012-2014. Marinetek was the contractor hired to manufacture the docks and  Murphy Construction Company was hired to install the docks.   Unfortunately, Marinetek encountered difficulties in completing the job which caused Murphy Construction to fall behind.  Murphy Construction submitted change orders to the City but the change orders were not to the satisfaction of the City and its consultants and so they were not approved.  After several months of negotiations, Murphy Construction sued the City.  The case was fast tracked by the court and the trial is currently scheduled to occur in late summer.  In the meantime, the parties went to court ordered mediation on April 29, 2016, and after negotiating all day, reached a tentative settlement agreement.  Thereafter, a closed executive session was held with city council to discuss the proposed settlement.  Staff negotiated further with Murphy who agreed to the terms discussed in closed session.  The settlement will be sent to council under separate confidential cover. 

Staff recommends that City Council approve the Settlement.