For Immediate Release

January 11, 2001

Wynwood Community Economic Development Corp. Asks Court to Enforce Settlement Agreement with City of Miami

MIAMI, FL – Today, the Wynwood Community Economic Development Corp., Inc. (“Wynwood”), filed a motion to enforce a 1995 settlement agreement between it and the City of Miami (“the City”). That agreement resolved prior litigation involving alleged discrimination by the City against Wynwood. Wynwood is a predominantly Puerto Rican, non-profit, community economic development corporation that owns a foreign trade permit in the City of Miami. Wynwood has been trying for more than ten years to establish and operate a foreign trade zone in, and to benefit, the community. The City has fought Wynwood almost every step of the way.

The motion alleges that the City has breached most of the provisions of the 1995 settlement agreement. Specifically, it alleges that the City has failed to give Wynwood a proper deed for property it had donated to Wynwood and also failed to apply in a timely manner for a loan for the project to the U.S. Department of Housing & Urban Development (HUD). Wynwood also alleges that the City has failed to treat it like other community-based organizations and has maligned it in the press and to others, in clear violation of the settlement agreement. As a result of the City’s conduct, Wynwood alleges that it has suffered substantial harm, including depletion of its working capital, lost anticipated profits and other opportunities, and a substantial increase in the cost of the project. Wynwood is seeking at least fifteen million dollars ($15,000,000.00) in compensation as a result of the City’s breaches of the settlement agreement.

"By filing this motion, we are seeking the benefit of the deal that we struck with the City in 1995 to resolve our previous claims of discrimination," said William Rios, Wynwood’s Executive Director. Rios expressed sadness that the City has been unwilling to work with Wynwood to resolve this matter without court intervention. According to Rios, "It is clear that the City will only deal with us fairly if required to do so by a court of law. We, therefore, had no choice but to go back to court to enforce the settlement agreement that we entered into in good faith."

In 1995, Wynwood had high hopes that the settlement agreement would permit it to move forward with the foreign trade zone project without any further obstacles. Unfortunately, that has not happened. Rios explained the need to take immediate action, stating that “the City has begun pressuring others to withhold funding and assistance to Wynwood, making it imperative that we take action now.”

This is the most recent action taken by Wynwood to move its foreign trade zone project forward. Last month, Wynwood filed a federal civil rights lawsuit against the City. In 1999, Wynwood also filed a complaint with HUD against the City, alleging that the City had breached another agreement with it. Both of those matters are pending.

Wynwood is being represented by Cheryl L. Ziegler , Director of Housing and Community Development at the Lawyers’ Committee for Civil Rights Under Law, and Stephen M. Cody, a prominent civil rights attorney in the Miami area.

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