City settles retiree health care benefits lawsuit

RACINE — The city will reset health care premiums for some of its retirees and provide back payments to more than 200 plaintiffs, effectively concluding a years-long legal battle.

In 2020, 352 city retirees sued the city in Racine County Circuit Court following the Common Council’s approval of raising retirees’ health insurance premiums from 5% to 7.5%, effective Jan. 31, 2020.

The Common Council’s decision on Tuesday partially rescinded the 2019 vote, resetting health insurance premiums to 5% for all city employees who retired before the January 2020 change took effect.

The city also will provide more than $1 million in back payments to the remaining plaintiffs in the lawsuit, rejecting a recommendation from the City Attorney’s Office to ask the courts to reconsider this portion of the lawsuit.

City Attorney Scott Letteney said the court previously threw out about 90 plaintiffs’ lawsuits, leaving around 266 plaintiffs to which the city will award back payments.

Alder Sandy Weidner proposed an amendment to remove the recommendation.

Alders split evenly on a 7-7 vote, which was broken by Mayor Cory Mason’s vote in favor of the amendment.

Alders also voted against overriding Mason’s veto of the council’s previous decision to settle a $20,644 claim.

On May 6, the council narrowly approved settlement of the claim, contradicting recommendations from the City Attorney’s Office. Mason submitted his veto of the decision May 9, according to city records.

Alder Sandy Weidner made a motion to override Mason’s veto, receiving supporting votes from Alders Cinthia Esqueda, Henry Perez, Renee Kelly, Tyler Townsend and Olivia Turquoise Davis.

However, the motion to override the veto failed 6-8.

Alder Grace Allen said that while the Finance and Personnel Committee originally recommended settling the claim, alders later discovered that the claimant had been compensated by her insurance agency.

“We are not liable to double dip for her,” Allen said.

In other business, the council:

* Approved the following grant awards from the Wisconsin Community Safety Fund for Violence Prevention programming: $50,000 to Focus on Community Inc. for school expulsion diversion; $43,269 to Safe Haven of Racine for youth detention support programming; $45,200 to Fight to End Exploitation Inc. for human trafficking education and intervention; $44,605 to Racine Vocational Ministry for returning citizen reintegration services; $30,000 to Safe Families for Children Wisconsin for relational/social support for families in crisis; $25,000 to Racine Neighborhood Watch for neighbor conflict resolution and meditation; $41,403 to Women’s Resource Center of Racine for domestic violence survivor legal support; and $30,000 to Awesome Young Authors.

* Voted to receive and file failed legislation that, if adopted, would have enabled the Common Council president to make appointments to city boards, committees and commissions if the mayor failed to make an appointment within 60 days of a vacancy.

* Voted against a proposed charter ordinance change that would have changed the city’s purchasing agent position from a mayor-appointed position to a regularly filled position.

* Modified city ordinance to more accurately reflect the Finance Department’s current functions.

* Adopted an ordinance governing the certification of debt from unpaid parking citations that provides debtors with the administrative procedure by which to the appeal the certification of debt and/or to contest the parking citation.

* Approved a request from the finance director to carry forward $16,500 of 2024 budget funds from the Assessor budget to 2025 to pay for contracted services for implementing and configuring assessment software.

* Authorized the Racine Public Health Department to enter into a recurring memorandum of agreement with the Wisconsin Department of Agriculture, Trade and Consumer Protection for weights and measures inspection services (ensuring that commercial measuring devices like retail scales and gas pumps are accurately calibrated to promote fair transactions) and the agreement to pay $14,250 for services rendered.

* Awarded a contract for maintenance of the Laurel Clark Memorial Fountain to Absolute Mechanical & Plumbing for $24,000 per year.

* Awarded an agreement for beer garden services in city parks to Perspective Brewery Co.

* Approved a request from the city administrator to close the Festival Hall parking lot, 5 Fifth St., for 5K Event staff, Harbor Fest volunteers and VIP ticket holders from 8 a.m. Friday, June 13, until 11 p.m. Saturday, June 14, for the Harbor Festival.

* Approved a $15,658 settlement for a claim from Progressive Universal Insurance Company on behalf of Cassidy Nicolazzo.

* Disallowed a $8,261.97 claim from Progressive Insurance Company on behalf of Carlos Saldana for damages allegedly arising from Saldana’s vehicle being struck by a city-owned front loader in the 1100 block of Layard Avenue in November. On March 3, Saldana agreed to release the city from liability for further claims related to the incident, in exchange for a damages payment of $6,378.

* Disallowed a $596 claim from Roger Springsteen for damages to his apartment door allegedly caused by Racine Fire Department first responders having to force entry to clear the apartment in response to a fire and/or smoke report called in by his neighbor on Jan. 11. The city said it is not liable for the alleged damages under the legal principle of discretionary immunity.

* Disallowed a $11,318.56 claim from Progressive Subrogation, A.K.A. Artisan Truckers Casualty Company, on behalf of Tavis Weaver, for damages allegedly arising from Weaver’s vehicle striking a city-owned DART bus on Jan. 18. The city said the notice of circumstances for the claim was untimely filed and denies liability for the alleged damages.

* Authorized the Racine Public Health Department to accept an extension of funding in the amount of $245,286 from the Wisconsin Department of Health Services, provided through the American Rescue Plan Act COVID Recovery Fund.

* Approved changing the pay grade for the city’s payroll manager position from grade J to grade K ($77,896-$100,172.80) to enhance recruitment results.

* Approved closing Sam Johnson Parkway between Main Street and Lake Avenue for the annual Employee Food Truck event from 5 a.m. to 3 p.m. July 22.

* Approved plans for street improvements to the following streets: Olive Street from Indiana Street to Kentucky Street; Biscayne Avenue from Princess Place to Duchess Drive; and St. Clair Street from Lombard Avenue to Wilmor Street.

* Eliminated street improvement plans for Jonathon Drive from the cul-de-sac to North Main Street because of a signed petition from four out of six homeowners on the street asking the city to postpone construction.

* Awarded a contract for a multi-site roof project to Kaschak Roofing for $438,750, along with alternate bids 1 and 2 in the amount of $114,550 for a total of $553,300.

* Awarded a contract for multi-site exterior restoration improvements to Berglund Construction Company for $587,000, along with alternate bids 1-4 in the amount of $413,000, for a total of $1 million.

* Awarded a $258,895 contract for Wustum Museum renovations to Rasch Construction.

* Approved the issuance of a Community Development Block Grant home repair loan of $13,693 at 0.75% interest and a forgivable loan of $13,693 for 1449 Douglas Ave.

* Approved the issuance of a Community Development Block Grant home repair loan of $8,397.50 at 0.75% interest and a forgivable loan of $8,397.50 for 2309 Coolidge Ave.

* Approved a change of agent application with a Class B Fermented Malt Beverage and Intoxicating Liquor license for La Esquina, 2005 Taylor Ave.

* Approved a change of ownership application for a Class B Retail Fermented Malt Beverage and Intoxicating Liquor license for Marshall on 6th, 910 Sixth St.

* Approved renewal requests for intoxicating liquor and fermented malt beverages for the 2025-26 year, with the exception of sports bar Honors Racine to be called in for possible non-renewal.

* Approved the request of appearance for a formal expression of concern for the Select 627 Bar (1111 Washington Ave.) agent, Natasha Evans.

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