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<br />Board of Commissioners <br />September 3, 1997 <br />Page 2 <br />$90,000.00 in cash from Chevron U.S.A., which may be <br />applied against the expected expenses. <br />OPTIONS: At this point, Marion County has <br />exercised it's option to take over remediation. The <br />choices available to Marion County are to: <br />l. Agree to Amendment No. 1 and accept <br />$90,000.00 from Chevron in full payment of <br />it's obligations for remediation. <br />2. Refuse to accept the $90,000.00 and proceed <br />to arbitration. <br />RECONIMENDATION: The Office of Legal Counsel <br />recommends that the Board of Commissioners accept option <br />no. 1 and accept and execute amendment no. 1 to the <br />purchase and sale agreement. This agreement was negotiated <br />with the assistance of Century West Engineering, the firm <br />consulting on environmental remediation for the Courthouse <br />Square Project. This agreement was also negotiated with <br />the services of Tom Lindley and Jerry Hodson, attorneys <br />with the law firm of Miller, Nash. It is our belief that <br />this agreement represents a fair estimate of 2/3 of the <br />expenses for eventual remediation of the property. Chevron <br />and Marion County have worked amicably to arrive at a <br />reasonable estimate of the cost for remediation and the <br />plan necessary to complete remediation. They have also <br />worked amicably to avoid incurring additional expenses to <br />resolve this matter which would reduce the net amount of <br />money available for direct remediation of the Chevron lot. <br />Therefore, the Office of Legal Counsel recommends option <br />no. 1 as a fail and equitable settlement with Chevron <br />U.S.A.. <br />MJH/sb <br />cc: Randy Curtis, Director, General Services <br />David Hartwig, Risk Manager <br />Tom Lindley, Attorney at Law <br />Kathleen Thorpe, Century West Engineering <br />