City to discuss Daylight verdict |

City to discuss Daylight verdict

With a light agenda for Tuesday’s meeting, the South Lake Tahoe City Council will likely make its most important decision in closed session.

Council members will discuss their options regarding a verdict made by a Sacramento County Superior Court jury last week, holding the city liable for $2.2 million in damages to Daylight Construction, Inc.

Indications are that the city will appeal the decision to the California Supreme Court, but council members will have the final say. Any vote taken during closed session will be announced in a public session immediately following.

If the city appeals, it will not have to pay any portion of the $2.2 million during the appeal process, and if the judgment is upheld it will have up to 10 years to pay it, said Kerry Miller, city manager.

The city sued Daylight over a 1994 T-hangar construction job at the Lake Tahoe Airport, which the city says the company failed to complete. Daylight subsequently filed suit against the city, claiming city officials changed provisions in the original contract after it was signed.

Other items on the agenda for Tuesday include:

— A public hearing for the continued purchase of snow removal equipment, funded through the existing parcel fee for El Dorado County Service Area 3. The City Council must hold at least one public hearing per year on the levy and forward any comments to the Board of Supervisors.

The fee is the result of a Joint Powers Agreement made in September 1989 allowing a $20 per parcel assessment to pay for snow removal equipment within the city limits for a period of 10 years.

— A proclamation declaring the week of April 13 to April 19, 1997 as “Victims’ Rights Week” in the city of South Lake Tahoe.

— Renewing an agreement between the South Lake Tahoe Fire Department and the Fallen Leaf Community Services District for fire protection services. The contract, which has been in effect for several years, provides $3,500 to the city. The average annual response to the area is five minor calls.

— A contract between the city of South Lake Tahoe and Birdwell/Chandler allowing a Bed & Breakfast project at 1202 Ski Run Blvd. to be included in an economic investment zone. The agreement will allow for a 50 percent reduced building permit fee, estimated at $7,500, and deferred payment for Tourist Accommodation Units. However, city staffers estimate that over a period of eight years, the project could bring more than $200,000 in room tax money to the city.

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