A judge ruled Monday that Columbia taxpayers owe design firm Stevens &Wilkinson money for a publicly funded hotel the city never built.
The Columbia-based design firm says the city owes it $1.6 million for work it completed on a publicly funded convention center hotel project from December 2003 to April 2004.
Two weeks ago, city attorneys rejected a $1.6 million settlement offer from Stevens & Wilkinson, saying the two entities never had a contract.
Monday, Circuit Court Judge Casey Manning ruled the city did have a contract with Stevens & Wilkinson but did not rule if or how much money the city had to pay. That question will be settled later, in front of either a jury or a judge.
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In 2003, the city decided it would build and operate a hotel across from the Columbia Metropolitan Convention Center. City Council hired Stevens & Wilkinson, Turner Construction, Gary Realty and Garfield Traub Development to work on the project.
All the parties signed a memorandum of understanding.
However, in April 2004, after considerable public opposition to the project, City Council voted to give $4.5 million for a private developer — Bo Aughtry — to build the hotel, a Hilton, which opened in August 2007.
In 2005, the four companies that had worked on the public hotel project sued the city, saying the city’s memorandum of understanding was a contract, and by going with a privately developed hotel, the city broke that contract.
The companies are asking for the money the city would have paid them had the public hotel project gone forward.
In 2003, the city decided it would build and operate a hotel across from the Columbia Metropolitan Convention Center. City Council hired Stevens & Wilkinson, Turner Construction, Gary Realty and Garfield Traub Development to work on the project.
All the parties signed a memorandum of understanding.
However, in April 2004, after considerable public opposition to the project, City Council voted to give $4.5 million for a private developer — Bo Aughtry — to build the hotel, a Hilton, which opened in August 2007.
In 2005, the four companies that had worked on the public hotel project sued the city, saying the city’s memorandum of understanding was a contract, and by going with a privately developed hotel, the city broke that contract.
The companies are asking for the money the city would have paid them had the public hotel project gone forward.
Monday’s ruling does not affect the status of the other companies; their portion of the lawsuit is still pending.
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