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Committee moves multiple contracts and settlements; members press DDOT litigation and data-sharing questions
Summary
The committee advanced a $65,000 PCI compliance contract for Plant Moran, approved multiple settlements (totaling tens of thousands) for DDOT-related lawsuits and other claims, and received a Legislative Policy Division report on third-party data-sharing contracts; members pressed the law department and DPW for follow-up.
At its Feb. 18 meeting the Internal Operations Standing Committee advanced an administration request for a $65,000 contract with Plante Moran to help the city meet Payment Card Industry compliance obligations, and moved multiple settlement items and contract measures toward formal council action.
Lori Stilinski, representing the administering department, explained that recent PCI rule changes expand compliance obligations to city websites or portals that redirect users to third-party payment processors. "They're helping the City develop our processes to ensure we're handling these payments properly," Stilinski said.
The committee approved motions to move a series of settlements to formal with recommendations to approve. Settlements and recommended amounts discussed included M1 Transportation ($18,250), Acupuncture Health PLLC ($2,900), Anthony White ($62,500), Biddle Pharmacy ($9,000), George Thomas Kraft ($50,000), Iseman Clinic ($19,000), a $4,200 minimally invasive-pain-specialists claim and larger DPW-related settlements to be discussed later. Chair Angela Whitfield Calloway said she would begin tracking the sums discussed at standing committee to better understand recurring DDOT exposure.
Graham Anderson of the Law Department acknowledged that Michigan's litigation dynamics — including multiple providers submitting bills arising from a single accident — drive repeated claims against the city and can make litigation expensive. "If you look back...it is the same gentleman whose name comes up in multiple claims from the same accident," Anderson said, noting structural limits under Michigan's no-fault system.
Several councilmembers raised concerns about frequent DDOT claims and urged better use and inventory of bus and other cameras to defend claims. "If we have cameras and they're working, start pulling footage and start fighting back," Chair Calloway said. Law department counsel explained that in many low-dollar cases the cost of trial exceeds settlement amounts, prompting pragmatic settlements for small-value claims.
The committee also received and filed a Legislative Policy Division memorandum on City contracts that allow data sharing with third parties and approved an appropriation of a state early-voting grant of $83,952.75. Two DPW-related lawsuits (items 10.9 and 10.10) were pulled for further administrative response and will be brought back in one week for additional review.
Several motions were approved with no recorded objections; where additional departmental information was required, items were scheduled for return to the committee.
