YOUNGSTOWN — The city’s board of control today will approve settling two lawsuits — paying $440,000 to a student-housing complex for water improvements and $80,000 and other financial considerations to the owners of the former Anthony’s on the River building.

City council on April 17 voted to give the board the authority to settle both lawsuits.

The board consists of Mayor Jamael Tito Brown, Law Director Lori Shells Simmons and Finance Director Kyle Miasek, who support the settlements.

The owners of The Enclave, a student-housing complex at 310 Wick Ave., filed a breach-of-contract lawsuit Sept. 13 against the city for improperly withholding $440,000 owed to them from a promised water infrastructure grant.

The city will pay the amount in full to resolve the case, but the money will come from the general fund’s business development fund. It was originally promised from the water fund during a Sept. 14, 2017, agreement.

The city contested paying the $440,000 because the state auditor in reports of the city’s finances in 2017 and 2018 determined Youngstown improperly used about $5.7 million from its water, wastewater and environmental sanitation funds for general fund purposes, primarily for economic development projects.

The settlement agreement includes “no admission of wrongdoing or liability on the part of any party.”

Two Bridges LLC, which owns the Anthony’s on the River property, filed a federal lawsuit Nov. 13, 2020, in response to the city demolishing the 14 Oak Hill Ave. building on Aug. 22, 2020.

The company sued for $212,000 in damages.

The settlement agreement has the city paying $80,000 as well as removing a $48,000 demolition assessment and $10,675 in interest on that assessment.

Also, the city agreed to pay any remaining delinquent tax balance on the property, which is estimated to be $10,000.

City council still needs to pass legislation removing the demolition assessment and the interest.

U.S. Specialty Insurance Co., which was the city’s insurance company at the time of the demolition, agreed to pay $25,000 of the settlement cost.

The city’s portion will come out of the environmental sanitation fund.

The city unsuccessfully sought to dismiss a claim from Two Bridges that it violated the company’s 14th Amendment right to due process by demolishing the building contending it had “statutory immunity.” That argument was rejected by federal courts and the two sides entered into mediation, which resulted in the settlement.

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