SULLIVAN - The city of Sullivan has received $325,000 in a lawsuit settlement with Floyd-Hunter Environmental LLP. The city says the settlement stems from a claim of breach of contract and negligent services provided related to the firm's operation of the city's wastewater treatment plant and sewer collection facilities.

The Wabash Valley city says it had ongoing contractual agreements with Floyd-Hunter dating back to 2006 for the operation and management of the treatment plant, the city's gravity sewer collection lines, and sewage lift stations. The city claims the firm's "acts and omissions" led to the city receiving notices from the Indiana Department of Environmental Management for violating environmental rules.

"The City has been required to expend significant funds to repair and maintain its wastewater treatment plant, gravity sewer collection lines, and lift stations," Sullivan Mayor Clint Lamb said in a news release. "Our administration is focused on continuing to improve our system. These improvements are necessary in attracting future commercial and residential development."

The city had requested the court to enter a judgement that "reasonably compensates for its damages and repairs." Lamb says the city is "very glad" to have a positive resolution to the case.