HomeMy WebLinkAbout1975-06-25HUNTINGTON BEACH PUBLIC FACILITIES CORPORATION
EXECUTIVE SESSION OF JUNE 25, 1975
The Executive Session was called to order by President Polly.
Mr. Shallenberger representing the firm of Rutan &Tucker was introduced
to the Board.
Discussion was held regarding the amount of time extensions given
to Swinerton & Walberg the past year and one half, with Mr. Shallenberger
strongly suggesting the Board revoke as many time extensions as possible,
especially if the Architect did not approve them or if the Board was not
properly informed when they agreed to grant the time extensions. Mr.
Kiser stated the Architect did approve the time extensions by signing the
Change Orders and the Progress Payments. Mr. Curran felt that Swinerton
& Walberg were taking advantage of the waiving of the liquidated damages
• of $800 a day by turning around and asking for $500 a day for costs of
construction delays.
Mr. Shallenberger stated Swinerton & Walberg should have taken into
consideration how eccentric Dion Neutra was when bidding the job..
The question as to whether or not Mr. Neutra carries Errors and
Omissions Insurance arose. No one knows for sure.
Mr. Georges told the Board that either the PFC has a good case or
Swinerton & Walberg has a good case. If Swinerton & Walberg is at fault
the PFC will not have to pay Neutra or Swinerton. If Neutra is at fault
the PFC will have to pay Swinerton. Mr. Georges stated "you have to de-
termine liability in order to establish dollar damages". Also, that the
City Attorney's office has not seen any Swinerton & Walberg documentation
to verify their claim.
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Mr. Shallenberger stated he did not feel the PFC has as yet seen
enough documented information to warrant paying Swinerton a $280,000
settlement.
Mr. Armstrong asked Mr. Amsberry if the PFC can legally pay any
settlement. Mr. Amsberry answered "yes".
Mr. Rowlands told the Board he would like to have the Board's de-
cision or recommendation.regarding the S & W claim for the City Council's
Executive Session next Monday night. Mr. Curran made motion to appoint
a committee empowered to negotiate a settlement of up to $180,000 with
Swinerton & Walberg representatives. The motion was seconded by Mr.
Armstrong and was unanimously approved. The negotiating committee will
be made up of Mr. Curran, Mr. Polly, and Dr. Boyce representing the PFC
and Mr. Amsberry and Mr. Georges from the City Attorney's office.
APPROVED:
Robert N. Polly, `
President
End of Executive Session
William Armstrong,
Secretary/Treasurer