HomeMy WebLinkAbout2012-030RESOLUTION NO. 2012 -030
A RESOLUTION CANCELING A CONTRACT
WHEREAS, the City is a party to a contract with Lumberjack Days Festival Association,
Inc. (the Association) whereby the City authorized the Association to conduct the Lumberjack
Days celebration in Stillwater, and the contract was made subject to certain conditions in
September of 2008 for a term of five (5) years, and
WHEREAS, the Association contract (the Contract) reserves unto the City all rights
under the police power of the City to suspend any part of the event when the public's health,
safety and welfare is threatened, it has come to the attention of the City that obligations of the
Association to pay for goods and services rendered and delivered to the Association for the
conducting of the event are unpaid and have resulted in litigation, and
WHEREAS, a Judgment filed in the Washington County District Court in April of 2011
against St. Croix Events, Inc. (St. Croix) in favor of RES Specialty Pyrotechnics (RES) of Belle
Plaine, Minnesota, on the basis that RES had not been paid for providing fireworks for the 4th of
July and Lumberjack Days for the years 2008 and 2009, and a Judgment is in the amount of
$104,620 even though the City had contributed $40,000 to the Association towards the cost of
fireworks in each of those years, and
WHEREAS, the City has not received verification of gate receipts for the 2010
Lumberjack Days Celebration, and
WHEREAS, the City has received numerous phone calls and emails from vendors who
have not been paid for services provided to the Association for Lumberjack Days 2010 and 2011,
and
WHEREAS, complaints have been made with the City regarding unpaid creditors of bath
St. Croix and the Association and the complaints remain under investigation, and the level of
public disapproval of a continued `collaboration' with either entity is damaging to the health,
safety and welfare of the community, and
WHEREAS, the Washington County Sherriff has not completed an investigation of St.
Croix and the Association, and has advised that another 3 %2 months will be needed to complete
the investigation.
NOW, THEREFORE, be it resolved as follows:
1.) That the Contract with the Association for Lumberjack Days and the 4th of July is
hereby canceled;
2.) That the City will contract directly with a vendor for production of the 4th of July
fireworks for 2012.
Enacted by the City Council this 21 st day of February, 2012.
CITY OF STILLWATER
Ken Hary.olei, Mayor
ATTEST:
g/"'S "vv--),
Larry D: diansen, Acting City Clerk
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