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Largo commissioners authorize negotiations with construction law firm after debate over $690,142 demand
Summary
After heated discussion and public comment, the Largo City Commission authorized staff to negotiate a retainer with a construction‑specialist law firm to handle mediation over a $690,142.45 demand from the project builder; the motion passed 4–1.
The Largo City Commission on May 19 authorized city staff to negotiate a retainer agreement with a construction‑specialist law firm to represent the city in contract‑required mediation and related matters after a contentious discussion about a builder’s demand for $690,142.45 tied to alleged delays at the 440 West Bay Drive project.
A commissioner who pulled the item told colleagues he was alarmed after reading the builder’s demand and asked for clarity about whether engaging outside counsel would mean litigation. “The city builder sent a letter dated April 23 … requesting compensation of $690,142.45 that is attributed to related delays caused by design changes,” the commissioner said, urging more information before authorizing significant legal spending.
City Manager Kirk responded that the city was not initiating a lawsuit and that the city would use mediation processes spelled out in the construction contracts. “This is not a lawsuit, or the initiation of a lawsuit,” Kirk said, explaining the recommendation to retain a firm experienced in construction matters to support mediation and any necessary limited discovery.
During citizen comment, Greg Gardner urged the commission to wait for an independent audit and to avoid what he characterized as unnecessary legal spending. “The best thing for you to do is vote no tonight, wait for Rebecca’s audit report to come back,” Gardner said, arguing the city should not escalate the dispute before the audit concludes.
Commission discussion focused on timing and cost. Staff said they requested a budget range and that negotiations and initial preparations would begin sooner rather than later if the commission approved authorization; they reiterated the goal was to be prepared for mediation and to ensure the city’s contractual positions were well documented.
After competing motions — one to postpone and another to approve authorization to negotiate the retainer — the commission approved the recommendation to authorize negotiations with the law firm by a 4–1 vote. The motion authorizes staff to negotiate a retainer agreement with Taft Stettinius & Hollister LLP (retainer text in the agenda packet) to represent the city on construction‑related legal matters and to begin preparing city staff and documents for the contract‑required mediation process.
The commission did not approve initiation of court proceedings; staff said next steps will include private conversations with the builder and continued coordination with the architect and contractor as the city prepares its response to the builder’s demand. The commission also noted an independent auditor is finalizing invoices for the project and the city has extended the temporary occupancy permit for another 30 days while final invoices and a certificate of occupancy are completed.
Outcome: motion to authorize staff to negotiate retainer agreement with a construction‑specialist firm passed 4–1. The item does not itself initiate litigation and staff said mediation remains the primary dispute‑resolution path.
