TRANSMITTAL LETTER FOR BOARD MEETING OF AUGUST 29, 2013
COMMITTEE ON JUDICIARY
Mr. David St. Pierre, Executive Director
Title
Authority to settle MWRD v. T&J Meatpacking, Inc., Case No. 11 M1 176250, for 2007 User Charge liability in the total amount of $30,000.00
Body
Dear Sir:
T&J Meatpacking, Inc. ("T&J") is a Large Commercial Industrial User ("LCIU") subject to the Metropolitan Water Reclamation District of Greater Chicago's ("District's") User Charge Ordinance ("UCO"). For the year 2007, T&J failed to file its RD-925 and the District issued it a User Charge bill in the principal sum of $27,258.63. T&J made a payment of $13,308.00, leaving a balance due of $13,950.53, on which penalties and interest continue to accrue. The District's Finance Department referred T&J's unpaid 2007 User Charge balance to the Law Department for collection.
Pursuant to the District's statutory authority, the Law Department recorded a lien in the Cook County Recorder of Deed's office against T&J's real property, in connection with its outstanding User Charge liability for 2007. On December 21, 2012, the District's Law Department filed a Verified Complaint at Law in the Circuit Court of Cook County seeking recovery of unpaid User Charges for 2007. At the time of filing of the Complaint, the total amount due to the District was $40,247.24, including interest and penalties.
Since December of 2012, the Law Department has been in negotiations with T&J's counsel, and as a result has negotiated the following settlement, pending approval by the District's Board of Commissioners. T&J is to pay the District a total of $30,000.00 to resolve its 2007 User Charge liability; $15,070.43 is to be paid to the District as a lump sum payment and the remaining balance will be paid over a twelve-month period, with $1,244.13 paid per month. With this settlement, the entire remaining principal balance of $13,950.53 will be paid, along with $6,884.58 in interest, and $9,164.89 in penalties. The remaining $13,783.70 in penalties will be written off pursuant to this settlement.
The Monitoring and Research Department has reviewed the proposed settlement and has no objection to same. It is important to note that T&J is current with all other User Charge liabilities, and to date, this is the only incident of nonpayment. T&J is a small family-owned business, and mispayment of its 2007 User Charge liability has been characterized as an oversight. Additionally, T&J did file its 2012 RD-925 with the District. The General Counsel believes that this settlement is in the best interest of the District.
Therefore, the General Counsel requests that the Board of Commissioners approve the settlement of this case in the total amount of $30,000.00. Further, the General Counsel requests authority to execute such documents as may be necessary to effect this settlement.
Requested, Ronald M. Hill, General Counsel, RMH:LLD:BO'C:YAT:cb
Respectfully Submitted, Mariyana T. Spyropoulos, Chairman Committee on Judiciary
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for August 29, 2013