...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: $977,726.90
Funding Source: 2025 Unclassified - Fund: NW011; Department: 200; Div./Proj.: 2001; Account #: 97550; Ref.: B2025
Additional Information:
...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 Municipal Council thereafter adopted Resolution 7R6-m(as) on February 19, 2025, authorizing the execution of Settlement Agreement and Releases with various vendors, providing emergency temporary shelter, services through January 31, 2025; and
WHEREAS, the Municipal Council thereafter adopted Resolution 7R6-e on April 2, 2025, authorizing the execution of Settlement Agreement and Releases with various vendors, providing emergency temporary shelter, services through February 28, 2025; and
WHEREAS, due to the homelessness crisis, various vendors continued to provide services, during March and April of 2025, 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 St. Newark, NJ 07103 |
10,492.00 |
|
Newark YMCA |
600 Broad St. Newark, NJ 07102 |
14,946.00 |
|
Real House |
95 Grove St. Montclair, NJ 07042 |
39,639.00 |
|
Newly Destined |
1114-1116 Broad Street, Newark, New Jersey 07114 |
36,900.00 |
|
689 South 16th St. Corp. d/b/a Emergency Housing Services |
555 Passaic Avenue, West Caldwell, NJ 07006 |
520,291.32 |
|
Fairmount Health |
202 Fairmount Avenue Newark, NJ 07103 |
92,516.58 |
|
Circle of Life |
55 Tillinghast St. Newark, NJ 07108 |
89,717.00 |
|
Isaiah House |
238 North Munn Ave. East Orange, NJ 07017 |
36,075.00 |
|
Apostle House |
24 Grant Street Newark, NJ 07104 |
137,150.00 |
|
Total |
|
977,726.90 |
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 exchange for the execution of Settlement Agreement and Releases, in the forms attached hereto, with the above referenced vendors; and
WHEREAS, a settlement proposal has been made to resolve this pre-litigation matter and the total outstanding invoices for the above referenced vendors, in the amount of Nine Hundred Seventy-Seven Thousand Seven Hundred Twenty-Six Dollars and Ninety cents ($977,726.90)(“Settlement Sum”), as itemized herein by vendor, as full and complete release of these matters; and
WHEREAS, the City of Newark’s Corporation Counsel, based upon all facts and circumstances presented, deems it in the best interest of the City of Newark to resolve these matters 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 Releases, 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 total amount of Nine Hundred Seventy-Seven Thousand Seven Hundred Twenty-Six Dollars and Ninety cents ($977,226.90), which payment shall be made payable as follows:
|
Vendor |
Address |
Total Outstanding Invoice |
|
United Community Corporation |
332 South 8th St. Newark, NJ 07103 |
10,492.00 |
|
Newark YMCA |
600 Broad St. Newark, NJ 07102 |
14,946.00 |
|
Real House |
95 Grove St. Montclair, NJ 07042 |
39,639.00 |
|
Newly Destined |
1114-1116 Broad Street, Newark, New Jersey 07114 |
36,900.00 |
|
689 South 16th St. Corp. d/b/a Emergency Housing Services |
555 Passaic Avenue, West Caldwell, NJ 07006 |
520,291.32 |
|
Fairmount Health |
202 Fairmount Avenue Newark, NJ 07103 |
92,516.58 |
|
Circle of Life |
55 Tillinghast St. Newark, NJ 07108 |
89,717.00 |
|
Isaiah House |
238 North Munn Ave. East Orange, NJ 07017 |
36,075.00 |
|
Apostle House |
24 Grant Street Newark, NJ 07104 |
137,150.00 |
|
Total |
|
977,726.90 |
3. Certification of Funds shall be issued by the Director of the Department of Finance, stating that there are available sufficient legally appropriate funds from the following account: 2025 Unclassified - Fund: NW011; Dept.: 200; Div./Proj.: 2001; Account #: 97550: Ref.: B2025, for the purpose set forth herein prior to the payments being disbursed.
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 Releases in the Office of the City Clerk.
6. The Settlement Agreement and Releases and this 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.
7. This Resolution shall be effective upon adoption in accordance with applicable State Law.
STATEMENT
This Resolution authorizes the Corporation Counsel, on behalf of the City of Newark to enter into various Settlement Agreement and Releases to settle outstanding fees in the total sum of Nine Hundred Seventy-Seven Thousand Seven Hundred Twenty-Six Dollars and Ninety cents ($977,726.90) for various vendors, in exchange for dismissal of any and all claims against the City of Newark, its agents, officers and/or employees, and it constitutes a complete release.