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Corporation Counsel urges keeping judgment & loss appropriation at $9.5M, warns of large pending exposures
Summary
Corporation Counsel told the budget committee it expects continued high litigation exposure and recommended maintaining the $9.5 million appropriation for judgments and losses, noting several large unresolved cases that could settle next year.
Department of Corporation Counsel asked the Budget Committee to retain the FY‑26 appropriation for judgments and losses at $9.5 million, saying unresolved and potentially large cases make reductions risky.
Dana Viola, appearing for the department, told Council members the department had been appropriated $9.5 million for J&L in the prior year and that actual expenditures this year are running higher than the previously estimated close‑out. "We anticipate next year is gonna be a tough year. We have a lot of pretty large cases that haven't resolved themselves and which we anticipate may settle or go to trial next year," Viola said.
Viola said outside counsel fees and expert consultant costs — which are reported across several object codes — can vary year to year depending on trial load and case complexity. Councilmembers asked about the jump in consulting and outside counsel lines in the budget document; Viola explained the department accounts for those services across categories such as expert witnesses, outside counsel and other professional services, and that totals must be considered in aggregate.
The department also addressed its move to new leased office space and said a longer‑term negotiated lease lowered projected occupancy costs from the originally anticipated figure, offsetting some cost pressures. Corporation Counsel reported vacancies but said hiring is underway: three deputies were hired since the vacancy report, and additional staff hires are in progress.
No Council vote was taken; Corporation Counsel recommended retention of the $9.5 million J&L appropriation for FY‑26 to avoid shortfalls if several large cases settle.
