City of Oak Creek

Common Council Report

Meeting Date: 05/06/03

Item No.:         10

Recommendation:  That the Common Council adopt Resolution #10239-050603,  Establishing Authority and  Procedures for the Small Claims Committee.

Background:  The Small Claims Committee was established in 1998 to review minor claims.  When the City became a member of Cities & Villages Mutual Insurance Company (CVMIC), the insurance carrier recommended that the Small Claims Committee be authorized to settle general non-injury claims up to $5,000, The Common Council approved that authority in February, 2001.  The procedures adopted by the Small Claims Committee were also put into effect.  One of the provisions allowed appeal of the Committee’s decisions to the Common Council.  Over time, the effect of allowing appeals to the Council has been that denials are routinely brought before the Council, essentially requiring a double hearing of the same case.

The proposed resolution would approve modifications that authorize the Small Claims Committee to make final decisions on claims that are heard under the Committee’s jurisdiction in amounts up to $5,000.  The Committee will be authorized to issue formal denials or legally required disallowances where necessary.  Claimants that wish to appeal the Committee’s decisions would be directed to the Milwaukee County Circuit Court.

The Committee and staff would continue to review all claims with CVMIC and the City Attorney to ensure proper handling. 

Fiscal Impact:  There would be no change to the process by which claims are paid from General Government Account #40-575, Claims.

	Respectfully submitted, Robert L. Kufrin City Administrator
Prepared by and Fiscal Review by: Beverly A. Buretta, CMC City Clerk