TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Justin Clifton, City Manager
PREPARED BY: Tiffany Israel, City Attorney
SUBJECT:
title
Settlement Agreement with Anthony Borel
end
RECOMMENDATION
recommendation
Approval a Settlement Agreement with Anthony Borel; and
Authorize the City Manager to sign the agreement.
body
PRIOR ACTION/VOTE
None.
CITY COUNCIL GOAL
Maintain a high performing organization that values fiscal sustainability, transparency, accountability and organizational efficiency.
BACKGROUND
On July 15, 2019, Murrieta Fire and Protection District (MFPD) was called to a residential gas leak on Wooden Horse Trail. On that day, the homeowners were having solar panels installed by Sunrun through HoSoPo Corporation dba Horizon Solar Power/Sungevity, Inc. (Horizon). Horizon employees began installation of the solar panels and inserted a grounding rod, which caused a gas leak. Once the gas was detected, MFPD and employees of the Southern California Gas Company (SoCalGas) were dispatched for the gas leak and damage remediation efforts. During the explosion, Mr. Borel was severely injured.
The cause of the explosion is disputed. However, it is undisputed that Sunrun failed to ensure compliance with permitting requirements, as they failed to call DigAlert before excavation, as mandated by State law, properly train its employees on excavations, or ensure that Horizon was properly licensed.
The explosion injured more than 15 people, resulted in one fatality, and damaged 35 homes. Mr. Borel, who was 24 at the time of the incident, and an employee of Horizon, was working on the solar installation project at the time of the explosion. He was severely injured, and his medical damages are substantial. He was also unable to return to work for several years and asserts claims for loss of income, loss of future earnings, and pain and suffering.
Mr. Borel alleges that the MFPD firefighters were negligent. The City and MFPD vigorously dispute these allegations and maintain that Defendant Horizon and Defendant SoCalGas bear responsibility for the negligence related to the incident.
While Mr. Borel contends that Horizon and Sunrun were also negligent, Horizon, Sunrun, and related entities are not parties to the litigation filed by Mr. Borel due to the exclusivity of Workers’ Compensation.
Bremer Whyte Brown & O’Meara LLP was retained by Allied World Insurance Company and Third-Party Administrator Network Adjusters, Inc., the MFPD’s insurance company at the time of the incident, to represent the MFPD and the City as an additional insured in this matter. After undertaking extensive discovery on this matter to assess the value of Mr. Borel’s claims, the attorneys from Bremer Whyte have negotiated a settlement with Mr. Borel in the amount of $2,800,000 and are requesting approval by the City Council of the attached agreement memorializing this settlement.
FISCAL IMPACT
The settlement amount will be paid by the City and MFPD’s insurance carrier at the time of the incident.
ATTACHMENTS
1. Settlement Agreement with Anthony Borel