...Title
Dept. / Agency: Water and Sewer Utilities
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Purpose: Pre-Litigation Settlement
Docket No.: None
Claimant: Jack Doheny Companies, Inc.
Claimant's Attorney: None
Attorney’s Address:
Settlement Amount: Fifty-Four Thousand Dollars ($54,000.00)
Funding Source: Department of Water and Sewer Utilities Budget: 038-800-8007-94340 - B2026.
Additional Information:
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WHEREAS, the City of Newark, Department of Water and Sewer Utilities (“the Department”) as part of its essential sewer operations owns and utilizes three Vactor trucks, heavy duty combination sewer cleaner and vacuum excavators (“Vactor Trucks”) to clear sewer backups thorough out the entire City and vacuum the septic tank at the police range; and
WHEREAS, in or around June 2025, the Vactor Trucks were inoperable and required immediate repairs to bring them back into services; and
WHEREAS, in or around June, 2025, at the request of the Department, the Purchasing Agent entered into a service agreement with Jack Doheny Companies, Inc. (JDC) 777 Doheny Drive, Northville, MI 48167on behalf of the Department of Water and Sewer Utilities for the rental of one Combination Sewer Cleaner Mounted on a PE 348 for the period of 3 months, in the amount of $44,000.00 while repairing the City’s truck; and
WHEREAS, an additional four (4) months were unexpectedly added to the timeframe necessary for JDC to make the repairs to the City’s trucks, however, there is no process for the Purchasing Agent to increase the value of the agreement to cover the additional Fifty-Four Thousand Dollars ($54,000.00) costs; and
WHEREAS, the rental of the truck was necessary to continue to provide sewer clearing services which is an essential part of the Department’s operations and services; and
WHEREAS, JDC submitted invoices for rental periods August 29, 2025 to September 26, 2025, September 26, 2025 to October 24, 2025 and October 24, 2025 to November 21, 2025, and November 21, 2025 to December 2025 date of return of the City’s truck for a total amount due of $54,000.00; and
WHEREAS, the Director of the Department confirms that the rental was provided and desires to pay the outstanding balance by way of settlement; and
WHEREAS, to avoid the costly expense of litigation, JDC and the Corporation Counsel for the City of Newark (the “Parties”) desire to amicably resolve this matter prior to commencement of litigation; and
WHEREAS, the Parties have agreed to settle the matter for payment by the City to JDC of Fifty-Four Thousand Dollars and Zero Cents ($54,000.00) (“Settlement Sum”) in exchange for JDC’s execution of this Settlement Agreement and Release as a full and complete release of the Claims (as defined herein), including any claims for attorney’s fees related thereto; and
WHEREAS, this Settlement Agreement and Release neither admits 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, its agents, officers and/or employees whatsoever and is entered into to resolve this matter and prevent the incurring of additional costs and fees; and
WHEREAS, the Corporation Counsel and the Municipal Council concurring that it is in the best interest of the taxpayers to settle and avoid the cost, expense, delay and uncertainty of litigation.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. The Corporation Counsel is authorized on behalf of the City of Newark to enter into a Settlement Agreement and Release with Jack Doheny Companies, Inc. 777 Doheny Drive, Northville, MI 48167 on behalf of the Department of Water and Sewer Utilities and any other documents, sufficient in form and content to the Corporation Counsel and to take whatever actions are necessary to effectuate the terms of the within resolution and settlement of this matter pursuant to the terms contained in this Resolution for the rental of one Combination Sewer Cleaner Mounted on a PE 348, in the amount of $54,000.00.
2. In exchange for the execution of the Settlement Agreement, acceptable in form to the Corporation Counsel and after passage of this Resolution and upon receipt by the Corporation Counsel and the Director of Finance of any and all other documents deemed necessary, the Director of Finance of the City of Newark is authorized to make payment in the sum of Fifty-Four Thousand Dollars and Zero Cents ($54,00.00) by check made payable to Jack Doheny Companies, Inc. 777 Doheny Drive, Northville, MI 48167or if requested by electronic payment.
3. Certification of Funds from the Comptroller of the City of Newark in the amount of Fifty-Four Thousand Dollars and Zero Cents ($54,00.00) is attached. Funds are available from Department of Water and Sewer Budget: Fund 038 Dept 800 Div/Proj 8007 Account 94340 Budget Reference 2026. A copy of the Certification(s) of Funds shall be filed in the Office of the City Clerk along with a copy of this resolution for each payment.
4. A fully executed copy of the Settlement Agreement and Release shall be filed in the office of the City Clerk by the Director of the Department of Water and Sewer Utilities.
STATEMENT
This resolution authorizes the pre-litigation settlement between the City of Newark and Jack Doheny Companies, Inc. in the amount of Fifty-Four Thousand Dollars and Zero Cents ($54,00.00) for the rental of one Combination Sewer Cleaner Mounted on a PE 348.