A lawsuit was filed on April 12, 2022, against the City and County of San Francisco by Con-Quest Contractors Inc. due to an alleged breach of San Francisco Public Works Contract No. 2267J[R], involving the Columbus Avenue Pavement Renovation and Water Main Replacement Project.

The ordinance authorizes the settlement of the lawsuit by the payment of $250,000 from the City to Con-Quest Contractors Inc., with Esquivel Grading & Paving Inc. also paying Con-Quest $150,000. The lawsuit will be dismissed in its entirety with prejudice and the City will be released from certain claims.

The proposed settlement will conclude the legal dispute and financial liability for the City with a total payment of $250,000, and additional payment from Esquivel of $150,000.

The settlement is a resolution to avoid continued litigation costs and uncertainties associated with the lawsuit involving an alleged breach of contract on the Columbus Avenue Pavement Renovation and Water Main Replacement Project.

This ordinance empowers the City Attorney to settle the lawsuit as described, upon approval by the Board of Supervisors pursuant to Charter Section 6.102(5).

The ordinance has been approved as to form and legality by David Chiu, City Attorney, and recommendations for fund availability have been provided by Ben Rosenfield, Controller. Additional recommendation and approval come from Dennis J. Herrera, General Manager of the San Francisco Public Utilities Commission, and Donna Hood, Commission Secretary.