TITLE
The Mayor and City Council shall discuss and take action to ratify a Coverage Settlement Agreement with Travelers Indemnity Company related to coverage for the Settlement Agreement previously approved with Estrella Gin Business Park, LLC. Discussion and Action.
AGENDA ITEM DESCRIPTION
On September 16, 2025, City Council approved a Settlement Agreement related to the litigation filed by Estrella Gin Business Park, LLC involving property generally located at the southeast corner of Edison Road and Estrella Gin Parkway. As part of the Settlement Agreement, the parties agreed to the following:
- City will redesign and construct improvements to the existing drainage ditch to relocate the ditch to an area that allows Estrella Gin to continue to develop their property as planned.
- City will design and construct the western half street improvements to Roosevelt Road on the south side of the Estrella Gin Property.
- City will waive all permitting fees in an amount not to exceed $180,000.00 for the development of the Estrella Property.
- $350,000 payment to Estrella Gin.
- A release of all claims by both parties.
Travelers Indemnity Company insures the City of Maricopa and the City tendered the claims made by Estrella Gin Business Park to them for coverage. Travelers has agreed to fund or reimburse 80% of the estimated costs to be incurred by the City to comply with the Settlement Agreement.
PRESENTER
This item will be presented by Benjamin Bitter, City Manager.
STAFF RECOMMENDATION
Staff recommends ratification of the Coverage Settlement Agreement.