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GLWA and Highland Park reach agreement for $1M payment, stay on collection while negotiations continue

GLWA
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(WXYZ) — The City of Highland Park and the Great Lakes Water Authority have come to an agreement that would suspend court activities in their ongoing dispute over a $24 million judgment against the city.

The agreement was announced in a news release by the GLWA.

“I am pleased that we have been able to reach this interim agreement with the city of Highland Park,” said Suzanne R. Coffey, GLWA Chief Executive Officer, in the news release. “I am confident the effort exhibited by all parties, which has allowed us to get to this interim step, will carry forward and move us toward a more comprehensive solution for our region. In addition, we appreciate the state of Michigan’s desire and intention to participate in the process moving forward, as they are key to any long-term solution.”

The agreement calls for Highland Park to pay the GLWA $1 million towards the judgment by June 9. As long as the payment is made, both parties will request a stay in the 2014 case that resulted in the $24 million judgment until October 1, 2023. They will also request a stay in the 2020 case and an adjournment for the trial in that case until on or after December 5, 2023, on a date to be set by the court.

If the payment is not made, the GLWA the stays immediately lift and the GLWA can enforce the 2014 judgment. In that case, the judgment will be served on Highland Park's City Assessor, who will be required to place it on the city's tax roles.

Both sides have agreed that, if the payment is made, interest will continue to accrue on the $24 million judgment until the full amount is satisfied or a final settlement is reached.

The release by the GLWA also says both sides understand the state will be filing a position statement with the court in the 2014 case. The statement will state support for the stay and also explain why the state is involved and intends to participate in efforts to resolve the matter.