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REPORT <br />To the Honorable Mayor and City Council <br />From the City Manager <br /> <br />December 14, 2015 <br /> <br />SUBJECT <br />Rejection of Claim from Fresno Cruz c/o Gunter Mihaescu, Attorney at Law <br /> <br />RECOMMENDATION <br />By motion, reject subject claim. <br /> <br />BACKGROUND <br />According to resolution no. 15081, if any amount claimed in connection with a general <br />liability claim exceeds $50,000, any denial, allowance, allowance in part, settlement, or <br />compromise must be approved by Council. The amount claimed by the claimant <br />exceeds that limit and therefore its denial must be approved by the City Council. <br /> <br />ANALYSIS <br />The claimant has placed a claim against the City alleging an improper design of an <br />intersection. <br /> <br />ALTERNATIVES <br />If this claim is not rejected, the statute of limitations for the claimant to file a court action <br />on the claim is extended from six months to two years, thereby placing the City in a <br />more difficult position in defending this matter. <br /> <br />FISCAL IMPACT <br />The rejection of this claim has no direct fiscal impact. However, should the claimant <br />elect to initiate litigation regarding this incident, we have no basis with which to estimate <br />the legal expenses or a settlement, should such estimates ultimately be required. <br /> <br />ENVIRONMENTAL REVIEW <br />This activity is not a project under CEQA as defined in CEQA Guidelines, section <br />15378, because it has no potential for resulting in either a direct or foreseeable physical <br />change in the environment. <br /> <br />ATTACHMENTS <br />None <br /> <br />RELATED DOCUMENTS IN CITY CLERK’S OFFICE <br />1. Claim file 3084 <br />7.5.A. - Page 1