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County counsel flags liability questions as Mequon moves ahead on CTH W streetscaping project

Ozaukee County Public Works Committee · April 17, 2025
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Summary

Corporation Counsel Gorden told the Ozaukee County Public Works Committee that it is unclear whether the county can lawfully transfer liability along a county highway; the City of Mequon and county discussed a pass‑through financing and lead‑agent arrangement while seeking an Attorney General opinion or legislative clarity.

Corporation Counsel Gorden told the Ozaukee County Public Works Committee on April 17 that after consulting lawyers in the Attorney General’s office, "the ability of the county to transfer liability along a county highway was still unclear." The comment came during discussion of the City of Mequon’s proposed CTH W streetscaping project and followed the city’s request that the county play a lead role to allow the project to proceed.

Committee members discussed a temporary arrangement in which Ozaukee County would be listed as the owner in bid documents and contracts while the City of Mequon would control project and bid construction management. Under that pass‑through financing idea, the county would finance construction and then receive reimbursement from Mequon. The committee debated indemnification provisions, contractor responsibilities, and whether such an arrangement might expose the county to unknown liability risks.

Gorden said a formal request for an Attorney General’s opinion or legislative action to clarify the county’s authority would likely take over a year. She also said she will begin conversations with Wisconsin Counties Association counsel and possibly the League of Wisconsin Municipalities to seek a legislative solution or authoritative guidance. Chairperson M. Wolf moved the agenda back to its original order after the discussion.

The committee did not take a binding vote to adopt a formal pass‑through model during the meeting; rather, members asked staff and counsel to pursue formal opinions and stakeholder conversations. The county will continue working with the City of Mequon and statewide municipal organizations while preserving options for contract provisions and indemnity language that limit county exposure.