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City to reveal police liability costs


The city has promised to start publicly disclosing what it costs taxpayers to settle liability claims against Hamilton police.

The move comes in the wake of the high-profile but secret out-of-court settlement between Myanmar refugee Po La Hay and the police services board.

Hay’s $2.5 million lawsuit — alleging he was the victim of excessive force during a mistaken identity drug raid — was dropped following a resolution that both parties agreed to keep strictly confidential, including whether Hay received any money.

The city provides insurance coverage to the police services board.

But until now, all settlements involving police have been buried in the unspecified “all other” category in the city’s yearly insurance claims report, making it impossible to know the impact on the public purse.

City treasurer Tony Tollis says that’s going to change immediately.

He says insurance payouts arising from claims against police will appear as a line item like other personal injury and property claims such as sewer backup, sidewalk falls and fallen tree limbs.

According to Tollis, specific details of the police cases will not be released, but the number of claims and the cost for settling them will.

Tollis says the reports may very well include out-of-court police settlements but the details need to be kept confidential because they could provide valuable information on what the city might be willing to pay to settle similar claims.

“I have no problem listing it, even if it’s just one claim. I do have a problem with telling you what it’s about,” he said.

That means, for example, if Hay did receive a financial settlement — as many believe he did — it would show up in the 2012 report as an unidentified number and expense among a group of others.

Even on the off chance there were no other claims that year, there would be no way of knowing if the listed figure represented a lump-sum payment to Hay or an agreed upon yearly instalment to be paid over a period of years.

The point, however, is some information is always better than no information.

And it’s important to have as much information as possible on all liability claims against the city — including those involving police — given the financial consequences of insurance claims on the tax base.

Tollis was responding to questions from The Spectator about why police payouts were embedded among 244 unspecified claims in the city’s insurance review for 2010, the latest year available.

He says the omission was probably an “oversight” and he readily agrees the claims categories need to be broken down in finer detail.

Tollis promises greater detail will be seen in the 2011 report, which will be released shortly.

After drilling down into the 2010 review, he reports there were six liability claims against the police for a total cost of $55,574.

By way of comparison, that same year there were 648 sewer backup and flooding claims for a payout of $326,248 while 70 sidewalk falls cost $324,322.

In total, the city settled 2,706 claims, ranging from pothole to grass cutting incidents, at a cost to taxpayers of $5.6 million.

If you add to that the $3.7 million a year the city pays for insurance coverage — with a $250,000 deductible for liability claims and a $500,000 deducible for property claims — the financial impact of litigation on the city’s bottom line comes suddenly and sharply into focus.




Had enough?  Write to the Speaker of the House, U.S. House of Representatives, Washington, DC 20515 and demand federal hearings into the police problem in America.  Demand mandatory body cameras for cops, one strike rule on abuse, and a permanent  DOJ office on Police Misconduct.