Title
The Board of Water Commissioners for the City of Detroit Water Sewerage Department approves Amendment 1 to DWSD Contract # 60003835 (CS-1962) with Mackinaw Administrators, LLC, to add funding in the amount of $500,000, for a total contract amount not to exceed $3,500,000 and authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
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Agenda of June 21, 2023
Item No. 2023-142
Contract No.: 6003835
Contractor: Mackinaw Administrators LLC
Address: 5440 Corporate Drive, Suite 260, Troy, MI 48098
Contract Amount: $3,500,000
Contract Term: 9/1/21 - 8/30/24 (3 years)
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Amendment to Contract for Claims Administration of June 25 and 26 and July 16, 2021 Rain Events - Mackinaw Administrators, LLC
MOTION
Upon recommendation of General Counsel, Debra N. Pospiech, Esq. the Board of Water Commissioners for the City of Detroit Water and Sewerage Department approves Amendment 1 to DWSD Contract # 60003835 (CS-1962) with Mackinaw Administrators, LLC, to add funding in the amount of $500,000, for a total contract amount not to exceed $3,500,000 and authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND AND JUSTIFICATION
The historic rainfalls of June 25 and 26th 2021 were the proximate cause of a substantial amount of flooding and sewage backups in the City of Detroit and surrounding suburbs. On July 16th another rain event occurred that caused flooding and backups in a smaller section of the City. Under the Governmental Liability for Negligence Act (Act 170 of 1964), a governmental agency is immune from tort liability for the overflow or backup of a sewage disposal system unless:
1. The sewage disposal system had a defect.
2. The governmental agency knew, or in the exercise of reasonable diligence s...
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