Memorandum

City of Lawrence

Legal Services Department

TO:	David L. Corliss, City Manager
FROM:	Toni Wheeler, Director of Legal Services
Cc:	Diane Stoddard, Cynthia Boecker and Jonathan Douglass
Date:	August 21, 2009
RE:	Bowersock Maintenance Agreement

Background:  At its regular meeting on July 14, 2009, the City Commission directed staff to prepare a final Extension and Modification Agreement between the City and Bowersock Mills and Power Company for the continued maintenance of Bowersock Dam consistent with the Commission’s direction.  The Commission further authorized the Mayor to execute the final agreement.

The Extension and Modification Agreement is attached.  It differs from the version forwarded to the City Commission on July 14, 2009, in two significant ways.  First, it states in Paragraph 1.a. that Bowersock shall have the authority to assert claims and pursue legal actions to cause the City to maintain the structural integrity of the dam, if a court determines as part of the legal action that maintenance of the dam is required for the City’s interests.  Second, it contains a mutual indemnification provision. 

Action Requested:  Authorize the Mayor to Execute the Extension and Modification Agreement between the City and Bowersock Mills and Power Company, if appropriate.