Council committee reviews $3.05 million judgment payment; legal appeal may add attorney fees

City legal and treasury staff briefed council committees March 5 on a court judgment in favor of Rocket Properties LLC and the planned payment from the city’s sinking fund.

Chad Becker of the treasury office told council there is sufficient cash in the sinking fund to issue payment for a judgment that, including prejudgment interest, post‑judgment interest, costs and attorney fees, totals $3,045,219.81. City legal explained the underlying case was an inverse‑condemnation matter that the court earlier valued at $1,895,000; the remainder of the amount reflects interest and fees arising during subsequent proceedings.

Why it matters: staff said the payment will come from the sinking fund rather than a levy placement and noted the city already has issued the principal component of the verdict. Legal staff warned an appeal hearing scheduled in April could change the attorneys’ fees component; the city plans to contest an additional attorneys’‑fee demand in that proceeding.

City legal said the judgment stems from stormwater‑related activities affecting a roughly five‑acre parcel near Yale and the Creek Turnpike; the department reported it is reviewing internal process changes to reduce the risk of similar claims. Treasury staff reported a sinking‑fund balance of approximately $76 million at the time of the briefing.

The committee did not undertake a formal vote on this item during the meeting; staff said they will coordinate necessary payment documents and disbursement pending council action on the resolution that appeared on the agenda.