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County settles COVID-era dispute with Zilly Hospitality Group; contract extended, $82,000 payment to Parks
Summary
Milwaukee County approved a settlement with Zilly Hospitality Group to resolve disputes stemming from Burnham Park/Botanical Gardens closures during 2020-2021. Under the agreement the caterer will make a lump-sum payment to Parks of $82,000 and the county will extend the contract term by an additional renewal period.
Milwaukee County—s finance committee on Tuesday approved a settlement and contract-extension with Zilly Hospitality Group resolving legal disputes tied to Covid-era closures at the Boerner Botanical Gardens.
Deputy Corporation Counsel Karen Tidwell told supervisors the dispute concerned whether Zillys owed money to the county for certain expenses when county facilities were closed during 2020 and 2021. The parties negotiated a settlement to close those outstanding claims, provide certainty for both sides, and preserve the ongoing operating relationship at the Boerner facility.
Under the agreement the county will receive a lump-sum payment of $82,000 from Zilly Hospitality Group and the existing catering and facility-management contract will receive an additional three-year renewal term. Jim Tarantino, deputy director for Milwaukee County Parks, told the committee Zillys has been a long-standing partner at Boerner and that "our relationship with Zillys works very well" and that the payment will add operating revenue for Parks this year.
Supervisor questions and public context: Supervisor Balinski asked whether Zillys or its parent company received federal pandemic assistance (Paycheck Protection Program) and whether that had been considered during settlement discussions; Deputy Corporation Counsel Tidwell said the county would follow up with Zillys—counsel to gather that information. Supervisor Martinez, who previously voted differently at Parks, objected and indicated dissatisfaction with aspects of the history and process.
Vote: On a motion by Supervisor Steve Taylor the committee approved the settlement and contract amendment; the recorded committee vote was 3 ayes to 2 noes, and the motion prevailed.
Next steps: The county will finalize the settlement paperwork and the Parks Department said it will work with Zillys to continue operations at Boerner Botanical Gardens. Corporation Counsel said she would follow up on supervisors—questions about any federal assistance Zillys may have received during the pandemic.
