File #: 25-0240    Version: 1 Name:
Type: Resolution Status: Adopted
File created: 2/14/2025 In control: Law
On agenda: 2/19/2025 Final action: 2/19/2025
Title: Dept/ Agency: Law Action: ( ) Ratifying (X) Authorizing ( ) Amending Purpose: Pre-Litigation Settlement Docket No.: Not Applicable Claimant: Office of Homelessness Service Providers Claimant's Attorney: Not Applicable Settlement Amount: $1,975,893.73 Funding Source: 2025 Budget/Mayor's Office and/or Health Department - Fund 051 Department G25, Division M25T0, Account 71280, Ref: B2025 Additional Comments:
Sponsors: Council of the Whole

...Title

Dept/ Agency:  Law

Action:  (   ) Ratifying     (X) Authorizing     (   ) Amending

Purpose:  Pre-Litigation Settlement

Docket No.:  Not Applicable           

Claimant:  Office of Homelessness Service Providers         

Claimant's Attorney:   Not Applicable         

Settlement Amount: $1,975,893.73

Funding Source: 2025 Budget/Mayor’s Office and/or Health Department - Fund 051 Department G25, Division M25T0, Account 71280, Ref: B2025

Additional Comments: 

...body

 

WHEREAS, on or about June 5, 2023, the Office of Homeless Services, City of Newark (“City”), requested a declaration of emergency for temporary housing services to ensure the health, safety and wellness of the homeless population; and

 

WHEREAS, on or about July 7, 2023, the Qualified Purchasing Agent of the City declared an emergency for temporary shelter services and authorized contracts for “various vendors” for a period June 6, 2023, through September 5, 2023 (“emergency contracts”); and

 

WHEREAS, on October 18, 2023, the Newark Municipal Council (“Municipal Council”) adopted Resolution 7R1-c authorizing the extension of the contracts from September 2023 through December 31, 2023; and

 

WHEREAS, the Municipal Council thereafter adopted Resolution 7R1-h on April 10, 2024, authorizing the second extension of the emergency contracts from January 1, 2024 through May 31, 2024; and

 

WHEREAS, the Municipal Council thereafter adopted Resolution 7R1-a(s) on June 25, 2024, authorizing a third extension of the emergency contracts from May 31, 2024 through August 29, 2024; and utilized the services of various vendors to provide temporary housing to chronically homeless individuals in the City of Newark; and              

 

WHEREAS, the Municipal Council thereafter adopted Resolution 7R1-d on December 4, 2024, authorizing the fourth extension of the emergency contracts from August 30, 2024 through November 30, 2024; and

 

WHEREAS, the various vendors continued to provide services pursuant to the emergency contracts and extension thereof, which expired November 30, 2024, to the homeless population to avoid the eminent harm that interruption of services would pose; and

 

WHEREAS, as such the following various vendors have the following outstanding invoices:

 

Vendor

Address

Total Outstanding Invoice

United Community Corporation

332 South 8th Street Newark, NJ 07103

$58,437.00

Newark YMCA

600 Broad Street Newark, NJ 07102

$17,278.00

Real House

95 Grove Street Montclair, NJ 07042

$39,785.00

Newly Destined, Inc.

1114-1116 Broad Street, Newark, New Jersey 07114

$17,520.00

169 Clinton Development Urban Renewal, LLC

246 Danforth Avenue Jersey City, NJ 07305

$398,080.00

Catholic Charities of the Archdiocese of Newark

590 N 7th St, 4th Floor Newark, NJ 07107

$410,899.23

Helping the Homeless, Inc.

12 Moryan Road, Edison, New Jersey 08817

$14,355.00

Fairmount Health

202 Fairmount Avenue Newark, NJ 07103

$92,019.98

Circle of Life

55 Tillinghast St.  Newark, NJ 07108

$87,333.00

224 Help Center

555 Passaic Avenue West Caldwell, NJ 07006

$672,105.02

Isaiah House

238 North Munn Ave. East Orange, NJ 07107

$29,081.50

Apostle House

24 Grant Street Newark, NJ 07104

$139,000.00

Total

 

$1,975,893.73

 

 

WHEREAS, to avoid the costly expense of litigation, the City of Newark’s Corporation Counsel, on behalf of the City, desires to amicably resolve these matters with payment by the City in the total amount of One Million Nine Hundred Seventy-Five Thousand Eight Hundred Ninety-Three Dollars and Seventy-Three Cents ($1,975,893.73) (“Settlement Sum”), as itemized herein by vendor, in exchange for the various vendor’s execution of the Settlement Agreement and Release, in the form attached hereto, as full and complete release of these matters; and

 

WHEREAS, a settlement proposal has been made to resolve this claim by payment in the total amount of $1,975,893.73 (“Settlement Sum”), and execution of a Settlement Agreement and Release; and

 

WHEREAS, the City of Newark’s Corporation Counsel, based upon all facts and circumstances surrounding the matter, deems it in the best interest of the City of Newark to resolve this matter by payment in the amount set forth above.

 

NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY THAT:

 

1.                      The Corporation Counsel is hereby authorized on behalf of the City of Newark (“City”) to accept the terms of the Settlement Agreement and Release, attached hereto.

2.                     Upon receipt by the Corporation Counsel of all documents deemed necessary, the Director of the Department of Finance is hereby authorized and directed to issue payment in the amount of One Million Nine Hundred Seventy-Five Thousand Eight Hundred Ninety-Three Dollars and Seventy-Three Cents ($1,975,893.73), which payment shall be made payable as follows:

 

VendorAddressTotal Outstanding Invoice

 

 

United Community Corporation

332 South 8th Street Newark, NJ 07103

$58,437.00

Newark YMCA

600 Broad Street Newark, NJ 07102

$17,278.00

Real House

95 Grove Street Montclair, NJ 07042

$39,785.00

Newly Destined, Inc.

1114-1116 Broad Street, Newark, New Jersey 07114

$17,520.00

169 Clinton Development Urban Renewal, LLC

246 Danforth Avenue Jersey City, NJ 07305

$398,080.00

Catholic Charities of the Archdiocese of Newark

590 N 7th St, 4th Floor Newark, NJ 07107

$410,899.23

Helping the Homeless, Inc.

12 Moryan Road, Edison, New Jersey 08817

$14,355.00

Fairmount Health

202 Fairmount Avenue Newark, NJ 07103

$92,019.98

Circle of Life

55 Tillinghast St.  Newark, NJ 07108

$87,333.00

224 Help Center

555 Passaic Avenue West Caldwell, NJ 07006

$672,105.02

Isaiah House

238 North Munn Ave. East Orange, NJ 07107

$29,081.50

Apostle House

24 Grant Street Newark, NJ 07104

$139,000.00

 

 

3.                     Annexed hereto are the Certification of Funds issued by the Director of the Department of Finance, which states that there are available sufficient legally appropriate funds from the following: 2025 Budget/Mayor’s Office and/or Health Department - Fund 051 Department G25, Division M25T0, Account 71280, Ref: B2025

4.                     A copy of the Comptroller’s Certification shall be filed in the Office of the City Clerk along with this Resolution by the Corporation Counsel.

 

5.                     The City of Newark’s Corporation Counsel shall file a fully executed copy of the Settlement Agreement and Release in the Office of the City Clerk.

 

6.                     This Resolution shall be effective upon adoption in accordance with applicable State Law.

 

7.                     The Settlement Agreement and Release and Resolution does not admit, nor should it be construed as an admission of liability or violation of any law, statute or regulation or a breach of any duty by the City of Newark, its agents, officers and/or employees whatsoever and is entered into based upon recommendations of the Corporation Counsel and to eliminate all risks and future litigations costs.

 

STATEMENT

 

This Resolution authorizes the Corporation Counsel on behalf of the City of Newark to enter into a Settlement Agreement and Release to settle outstanding fees in the total sum of One Million Nine Hundred Seventy-Five Thousand Eight Hundred Ninety-Three Dollars and Seventy-Three Cents ($1,975,893.73), in exchange for dismissal of any and all claims against the City of Newark, its agents, officers and/or employees, and a complete release.    

 

 

VendorAddressTotal Outstanding Invoice

 

 

United Community Corporation

332 South 8th Street Newark, NJ 07103

$58,437.00

Newark YMCA

600 Broad Street Newark, NJ 07102

$17,278.00

Real House

95 Grove Street Montclair, NJ 07042

$39,785.00

Newly Destined, Inc.

1114-1116 Broad Street, Newark, New Jersey 07114

$17,520.00

169 Clinton Development Urban Renewal, LLC

246 Danforth Avenue Jersey City, NJ 07305

$398,080.00

Catholic Charities of the Archdiocese of Newark

590 N 7th St, 4th Floor Newark, NJ 07107

$410,899.23

Helping the Homeless, Inc.

12 Moryan Road, Edison, New Jersey 08817

$14,355.00

Fairmount Health

202 Fairmount Avenue Newark, NJ 07103

$92,019.98

Circle of Life

55 Tillinghast St.  Newark, NJ 07108

$87,333.00

224 Help Center

555 Passaic Avenue West Caldwell, NJ 07006

$672,105.02

Isaiah House

238 North Munn Ave. East Orange, NJ 07107

$29,081.50

Apostle House

24 Grant Street Newark, NJ 07104

$139,000.00

Total

 

$1,975,893.73