Item V03 V.3
Coty f � ,�� ,' BOARD OF COUNTY COMMISSIONERS
�� Mayor David Rice,District 4
The Florida Keys � Mayor Pro Tem Craig Cates,District 1
y Michelle Coldiron,District 2
James K.Scholl,District 3
Ij Holly Merrill Raschein,District 5
County Commission Meeting
November 15, 2022
Agenda Item Number: V.3
Agenda Item Summary #11411
BULK ITEM: No DEPARTMENT: County Attorney's Office
TIME APPROXIMATE: STAFF CONTACT: Cynthia Hall (305) 292-3470
No
AGENDA ITEM WORDING: Approval of settlement agreement in Monroe County v. Sosa, Case
No. 22-CA-517-K; also, authorization for County Attorney or designee to sign any necessary
documents.
ITEM BACKGROUND: On 7/26/2022, the County Attorney's Office filed a lawsuit for injunctive
relief and money judgment against the Estate of Armando Sosa Sr. and beneficiaries Armando Sosa
Jr. and Iris Sosa Petvalsky, for fines that were unpaid as a result of Code Enforcement Case
CE18070107, as a result of building without permit and resulting unsafe structures at 5515 51h Ave.,
Stock Island, a property previously owned by their father who passed. A final order was issued by
the Code Enforcement Special Magistrate as to this property on 7/16/2020, finding the property in
violation of County Code, with fines to run in the amount of$300 per day after the compliance date
of May 20, 2020. As of 11/3/2022, the total amount of accrued fines and costs was $268,792.90.
The beneficiaries have lined up a buyer for the property, and the beneficiaries wish to reach an
agreement with the County on the fines and costs to be paid by the beneficiaries. Under the
proposed settlement agreement with the beneficiaries, the beneficiaries will pay fifty percent(50%)
of accrued fines and costs as of 11/3/2022. The new buyers will enter into a new buyer agreement,
granting them ninety (90) days to correct the violations or have fines begin to run as to the buyers.
The total amount of fines and costs to be paid by the beneficiaries is $134,396.45. In return, the
County will issue a release of lien and will dismiss the case.
PREVIOUS RELEVANT BOCC ACTION: 12/15/2021, agenda item R-2: BOCC authorized
litigation.
CONTRACT/AGREEMENT CHANGES:
N/A
STAFF RECOMMENDATION: Approval.
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V.3
DOCUMENTATION:
Sosa R2 Settlement Agreement rev
FINANCIAL IMPACT:
Effective Date: 11/15/2022
Expiration Date:
Total Dollar Value of Contract: $134,396.45
Total Cost to County: $0
Current Year Portion:
Budgeted: N/A
Source of Funds: N/A
CPI:
Indirect Costs:
Estimated Ongoing Costs Not Included in above dollar amounts:
Revenue Producing: Yes If yes, amount: $134,396.45
Grant:
County Match:
Insurance Required: No
Additional Details:
None
REVIEWED BY:
Cynthia McPherson Completed 11/08/2022 7:53 AM
Bob Shillinger Completed 11/08/2022 9:17 AM
Cynthia Hall Completed 11/08/2022 10:09 AM
Budget and Finance Completed 11/08/2022 10:49 AM
Lindsey Ballard Completed 11/08/2022 3:05 PM
Board of County Commissioners Pending 11/15/2022 9:00 AM
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V.3.a
SETTLEMENT AGREEMENT
WHEREAS, on July 26,2022,Plaintiff Monroe County Florida("Plaintiff')filed a lawsuit
against Defendants The Estate of Armando Sosa, Sr., Armando Sosa, Jr., and Iris Sosa Petvalsky
(collectively, "Defendants" and as to the individuals only, "Individual Defendants") for
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foreclosure of a lien arising from Monroe Code Enforcement Case CE18070107 (hereinafter, the 0
"Lien"), 16th Judicial Circuit Case Number 22-CA-517-K ("Circuit Court Case"), seeking
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injunctive relief and a money judgment as a result of the Lien; and
WHEREAS, the Individual Defendants are the owners of real property located at 5515 5th E
Avenue, Stock Island, FL, RE 00127140-000000 ("Property"); and
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WHEREAS, Individual Defendants are currently under contract to sell the Property to a
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buyer ("Sale"), and currently have a closing date for the transaction of November 30, 2022
("Closing Date"); and
WHEREAS, as of November 4, 2022, fines that have accumulated as a result of fines and E
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costs imposed in the Final Order issued in Code Enforcement Case CE18070107, recorded in the
Official Records of Monroe County at Book 3026, Page 2073 total two hundred sixty-five E
thousand dollars and no cents ($265,800.00) in fines and two thousand nine hundred twenty-two
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dollars and ninety cents ($2,922.90) in costs, for a total of two hundred sixty-eight thousand seven
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hundred and ninety-two dollars and ninety cents ($268,792.90) ("Accumulated Fines"); and
WHEREAS, it is the desire of Individual Defendants to pay off a negotiated portion of the
outstanding fines and costs and to resolve the Circuit Court Case; and
WHEREAS, it is in the best interests of the County to accept a discounted amount of the
full amount owing, in order to sell the Property to a buyer who has represented that he intends to
correct the code violations, rather than leaving the Property in its current state; and
Settlement Agreement Monroe County v. Sosa
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V.3.a
WHEREAS, the County has agreed to accept one hundred thirty-four thousand three
hundred ninety-six dollars and forty-five cents ($134,396.45) ("Settlement Amount") from the
Individual Defendants in full and complete satisfaction of their liability for the Accumulated Fines,
equal to fifty percent(50%) of the Accumulated Fines.
NOW THEREFORE, in consideration of mutual promises and other consideration, the
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Parties agree as follows:
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1. At the time of the closing of the sales transaction ("Transaction"),the closing agent
shall deduct an amount equal to the Settlement Amount from the proceeds of the sale and pay the
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Settlement Amount to the Monroe County Board of County Commissioners, FEIN 59-6000749.
Said payment may be made in the form of a check or wire transfer, and instructions for the delivery 0
shall be provided by Monroe County prior to the closing date.
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2. At time of closing, in exchange for the payment of the Settlement Amount and >
contemporaneously with delivery of the Settlement Amount,Monroe County shall deliver a release
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of the Lien releasing the Individual Defendants from any and all further liability for fines or costs 2
arising from the Lien in Code Enforcement Case CE18070107, in a form suitable for recordation.
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In addition, at the time of closing,Monroe County shall deliver a release of lien releasing Armando
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Sosa Sr. and Lidia Sosa from any and all further liability for fines or costs arising from the lien W
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imposed in Monroe County Code Enforcement Case CE05020340, in a form suitable for W
recordation. DEFENDANTS SHALL HAVE SOLE RESPONSIBILITY FOR E
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RECORDATION OF THE RELEASES.
3. Within no later than five (5) calendar days following receipt of the Settlement
Amount, Monroe County shall file a notice of voluntary dismissal with prejudice of the above-
referenced lawsuit in the Circuit Court Case.
Settlement Agreement Monroe County v. Sosa
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V.3.a
4. Within no later than five (5) calendar days following receipt of the Settlement
Amount, Monroe County shall record a release of the Notice of Lis Pendens that was filed in the
Circuit Court Case and recorded in the Official Records of Monroe County at Book 3186, Page
382, Document 2385258.
5. The obligations contained in paragraphs (1)-(4) above are conditional upon the
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closing of the Sale. If, for any reason, the Sale is cancelled and the Transaction does not occur,
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then the obligations set forth in paragraphs (1)-(4) shall be null and void, and the Parties shall be
released from their respective obligations under this Settlement Agreement.
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6. If for any reason the Sale is delayed beyond the currently scheduled closing date of 2
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November 30, 2022, then the Settlement Amount to be paid to Monroe County shall be increased 0
by one hundred fifty dollars and no cents ($150.00)per day for each day that the closing is delayed
up to a total of fourteen (14) calendar days, until time of closing. If the Sale is delayed by more
than fourteen (14) days, the delay shall be treated as a cancellation and all obligations contained
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in paragraphs (1)-(4) shall be null and void. 2
7. This Settlement Agreement is also conditional upon approval by the Monroe
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County Board of County Commissioners. If for any reason the settlement is not approved by the
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Board of County Commissioners,then all obligations of both parties represented in this Settlement N
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Agreement are extinguished. e 0n
8. Plaintiff waives all claims that have existed or now exist against Defendants for
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fines or costs arising from Code Enforcement Case CE18070107, including but not limited to
claims for the payment of fines or costs up to the closing date. Defendants waive all claims against
the Plaintiff that have existed or now exist arising out of Code Enforcement Case CE18070107.
Settlement Agreement Monroe County v. Sosa
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V.3.a
9. By entering into this Settlement Agreement, the Plaintiff does not waive the right
to assert any and all such violations against the buyers in the Transaction. This Settlement
Agreement is intended only to stop the liability of the Defendants arising out of the Final Order
and underlying code enforcement case.
10. Each party in this matter shall bear its own attorneys' fees and costs.
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11. Each person signing this Settlement Agreement indicates that (a) he, she or it has
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read the Settlement Agreement in its entirety before executing; and(b)the person is authorized to
enter into the Agreement. Each party has cooperated in the drafting and preparation of this
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Agreement, and it shall be construed according to its plain meaning and not for or against any
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12. This Settlement Agreement may be executed in any number of counterparts, all of
which shall constitute one and the same instrument. This Settlement Agreement may be signed
using electronic signatures as well as wet signatures.
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Date: Plaintiff Monroe County, Florida
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By:
Robert B. Shillinger, County Attorney LO
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Settlement Agreement Monroe County v. Sosa
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[Signatures continued on next page]
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V.3.a
Date: Defendant Armando Sosa, Jr.
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Armando Sosa, Jr.
Date: Defendant Iris Sosa Petvalsky
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Iris Sosa Petvalsky
Date: Defendant Estate of Armando Sosa, Sr.
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Iris � sa]Petvalsky, on behalf° f t e Estate
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Date: Defendant Estate of Armando Sosa, Sr.
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Armando Sosa, Jr., on behalf
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Date: Approved as to form and legal sufficiency:
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Marci L. Rose, Esq.
Counsel for Defendants
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Settlement Agreement Monroe County v. Sosa
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