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I I I Council Meeting Minutes February 27, 1996 Page 2 Consent A~enda. continued 6. CONSIDERATION OF APPROVAL OF THE HIGHWAY 96 CONCEPT STUDY. 5 Ayes - 0 Nayes, Motion Carried Public Hearin~ - None Council Business City Manager Pulton presented consideration of payment for the Starks and Fields lawsuit again.'lt the Minnesota Police Recruitment System (MPRS) and the defendant cities which New Brighton is one of them. The judge found the MPRS and defendant cities violated the Minnesota Human Right'l Act. The judge awarded damages of $156,688 for lost wages and emotional distress and $8,500 to each plaintiff as punitive damages. Also, the defendants must pay plaintiffs' costs, disbursements, and attorney fees estimated at $426,300. MPRS proposes to pay the penalties by a 20 % formula divided equally amongst the 36 defendants and 80 % pro rata based on a city's population. New Brighton's share is estimated to be $16,725. These costs were not included in the 1996 budget, and a budget amendment is needed. City Attorney Charlie LeFevere stated that he represents all the defendant cities. He has not heard of any dissention amongst the cities in regards to the formula. If one city decided to not adopt the formula, then the remaining cities' cost., would increase. Fulton noted that New Brighton has submitted our current affIrmative action effort'l to MPRS which will be submitted to the judge next week. Benke said the irony is that New Brighton joined the MPRS system to avoid such a predicament. Because the punitive damages are small, it may be an indication the issues were not crystal clear to the judge. He asked if there could be future claims. LeFevere said the Statute of Limitations has run out, however, a claim was brought by another African-American based on testing procedures. This claim occurred after MPRS purchased insurance and coverage would be provided in this case. It is unlikely the City would be involved in future claims since the court will determine lawful procedures. Gunderman asked if there are alternatives to not paying the settlement. LeFevere said the process involves review of the Aftlrmative Action Plans and hiring commitments submitted by the cities and determination of attorney fees. The cities could appeal, but LeFevere advises against doing so until the final decision is received. At this point, the cities are focusing on completing their affirmative action plans and hiring commitment'l. LeFevere said payment would not be submitted until after the final judgement is made. Motion by Larson, seconded by Samuelson, to WAIVE THE READING AND ADOPT THE RESOLUTION APPROVING ALLOCATION OF DAMAGES AND AUTHORIZING PAYMENT THEREOF AS A RESULT OF THE COURT ORDER IN STARKS AND FIELDS V. MPRS, ET ALj AND DIRECTING STAFF TO MAKE THE APPROPRIATE BUDGET AMENDMENT TO USE GENERAL FUND RESERVES TO PAY THESE COSTS. 5 Ayes - 0 Nayes, Motion Carried. Consent A2"enda Hwy 96 Study Report 96-051 Council Business MPRS Settlement Report 96-052 Resolution 96-013