Yesterday, David Smiley published a copy of the letter that City Manager Danny Alfonso sent to the Flagstone Group informing them that they were in "default" of separate agreements having to to with the property on Watson Island.
The most important of the two "defaults" was their alleged failure to "commence construction by April 30, 2017," which according the the Agreement To Enter would be grounds to be "terminated."
Because the city has now claimed that Flagstone is in "default," rather than informing them that their contract has been "terminated," the next step will involve Flagstone seeking to take this issue before an arbitrator, which will really be interesting because Flagstone's claims that they had indeed begun construction by April 30th - which involved obtaining ALL the required permits - was supported by Aldo Bustamante, the Assistant Director of DREAM.
This puts the city in an interesting position of trying to argue that Flagstone failed to comply with the terms of the Agreement To Enter - which is one of the 4 contract documents between the city and Flagstone, and considered to the the most important for purposes of terminating all of the contracts - while city employees, including Bustamante will no doubt be called as witnesses by Flagstone to deny the city's position.
This should definitely be a show worth watching. Below is a copy of the letter that you can download.
CITY SENDS LETTER OF DEFAULT TO FLAGSTONE, WHILE A NEW LAWSUIT IS FILED
JUNE 9, 2017
NOW THE FUN BEGINS AS THE FLAGSTONE GROUP'S DEFENSE WILL INVOLVE CALLING ON CITY EMPLOYEES TO DENY THE CLAIMS MADE BY THE CITY, AND IF THAT ISN'T ENOUGH FOR A FRIDAY, THERE'S A NEW LAWSUIT FILED ASKING A JUDGE TO ISSUE A DECLATORY JUDGEMENT THAT ALL OF THE FLAGSTONE CONTRACTS WITH THE CITY ARE ILLEGAL
Meanwhile, now that the voters of Miami passed a change to the City Charter that gives standing to residents to file suit against the city to enforce the City Charter, a new lawsuit was filed on Wednesday asking a judge to find that the contracts between the City and Flagstone violate Sections 29-A, 29-B, and 29-C of the City Charter.
And so the plot continues to thicken in the land of, It's Miami, Bitches!