A RESOLUTION AUTHORIZING THE RETENTION
OF SIMONSEN SUSSMAN LLP AND BARON & BUDD,
P.C. TO PURSUE ANTITRUST CLAIMS RELATING
TO FIRE APPARATUS PURCHASES
WHEREAS, pursuant to Section 153 of the Charter of the City of Mount Vernon, the Corporation Counsel has requested authorization to retain Simonsen Sussman LLP and Baron & Budd, P.C. to commence and prosecute an individual antitrust action on behalf of the City of Mount Vernon arising from the City's purchases of fire apparatus; and
WHEREAS, the contemplated litigation concerns allegations that consolidation within the fire-apparatus industry has substantially reduced competition, increased the prices paid for fire apparatus, and contributed to significant delivery delays affecting municipalities nationwide; and
WHEREAS, the contemplated claims may include causes of action under the Sherman Act, the Clayton Act, the New York Donnelly Act, and other applicable federal and state laws against Oshkosh Corporation, Pierce Manufacturing, REV Group, and other affiliated manufacturers and entities; and
WHEREAS, the City of Mount Vernon purchased one (1) ladder truck in 2020 for $1,349,000, one (1) pumper in 2021 for $1,241,585, and two (2) pumpers in 2025 for a combined purchase price of $1,799,500, resulting in aggregate fire-apparatus purchases of $4,390,085; and
WHEREAS, based upon a preliminary assumption that one-half of the City's aggregate purchase price represents an anticompetitive overcharge, the City's estimated actual damages are approximately $2,195,042.50; and
WHEREAS, because proven damages under applicable antitrust laws may be subject to trebling, the City's preliminary estimated recovery could be approximately $6,585,127.50, exclusive of any additional damages that may be established as a result of delivery delays, replacement-parts overcharges, or other losses; and
WHEREAS, the foregoing damage estimates are preliminary and are intended solely for purp...
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