Proposal aims to increase billing authority for city employees – Winnipeg Free Press

A new proposal could significantly raise the dollar value of legal claims that senior City of Winnipeg employees can handle without approval from elected officials.

The city's chief financial officer is proposing changes that would allow state officials to handle complaints for or against the city, which he expects will speed up the process and save money.

“Increasing and streamlining the settlement authority … will reduce internal bureaucracy and help speed up the resolution of complaints, which in turn will reduce the city's overall costs,” Kathryn Klopfer wrote in the report.

If the City Council approves the proposal, the city attorney is empowered to approve settlements of up to $100,000 (up from $10,000). The CFO can approve settlements up to $250,000 (up from $100,000), the chief administrative officer can approve settlements up to $500,000 (up from $100,000), and the executive policy committee can decide on settlements up to $750,000 (up from $00,000). .

Claims over $750,000 would require City Council approval to settle, which would triple the current $250,000 cap.

As open settlement reports are only required for matters requiring EPC or council approval, they are only recorded for settlements in excess of $500,000.

In an interview, Kloepfer noted that the bar's threshold has not increased since 1993 and rates are much lower than in other Canadian cities.

“Costs have gone up, like everything else, and we're trying to keep up with inflation,” he said.

Under current rules, the political approvals required for many localities could delay a decision by several weeks as the report must be written and the resolution must await a vote, Klopfer said.

“I think it's a matter of efficiency. And if we let them drag on, the complaints will continue to increase…(so) this change will help us spend taxpayers' money more wisely,'' he said.

The report emphasizes that appointed city employees have experience handling legal issues, and the 2011 city auditor's report recommended promotions.

Kloepfer said the issue is growing in importance as lawsuits have become more common in Winnipeg and other cities.

“We're in line with other municipalities in terms of size… In general, people are filing claims faster than they were 20 years ago,” he said.

Mayor Scott Gillingham, though he has questions about transparency, thinks it's time to revisit the current rules.

“Given that the allowance has not been changed in 30 years and there was an audit report that was not acted upon ten years ago, I am pleased to see that we have an opportunity to discuss this matter. to update the amounts. On my first reading of the report, I am in favor of increased powers for smaller amounts. I have some questions about the sheer amount of access they're providing our employees,” Gillingham said.

Specifically, the mayor said he will address questions about the changed rules for settlements worth $250,000 or more, how closely such settlements will be handled if the limits are increased, and whether a public report will be available to list city settlements for each year or six-month period. . .

“When I read this report, my priority is to ensure that the people of Winnipeg, ratepayers and taxpayers, have access to information about when and where the city is settling … at the end of the day, these are public funds involved, so the public and council should have access to the information.” , – said Gillingham.

Klopfer noted that the goal of the changes is not to reduce control over settlements, but to help the city become more efficient.

Number. Brian Mayes believes the city should give some powers to its employees to ensure prompt legal settlements, especially for the smallest claims.

“You need a limit. You can't advise on any legal settlement… We're certainly involved in a lot of litigation right now, so we have to give some authority to staff,” Mayes (St. Vital) said.

The councilor notes that he is open to approving lower thresholds than proposed if his colleagues prefer that option.

The city has publicly announced significant settlement deals over the past year, including one related to alleged construction defects in the Winnipeg Police Headquarters project. The council approved the settlement last year, in which the city will receive between $21.5 million and $28 million, depending on when the payments are made.

At the same time, the council voted to reject a $446,000 settlement with the towing company, in exchange for a $1.1 million lawsuit against the municipal government over charges of misconduct.

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Joyanna Pursaga
Reporter

Born and raised in Winnipeg, Joyanne loves to tell the stories of this city, especially when politics are involved. Joyanna became a city hall reporter for the Winnipeg Free Press in early 2020.

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