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Suits against Police Department are costing taxpayers

MAYOR NUTTER has cut costs in the Police Department by delaying the hiring of recruits and reducing overtime, but one expenditure increased significantly: payments for lawsuits against police.

As the city has cut costs in the police department from a variety of sources, payments for lawsuits have increased. (Daily News illustration)
As the city has cut costs in the police department from a variety of sources, payments for lawsuits have increased. (Daily News illustration)Read more

MAYOR NUTTER has cut costs in the Police Department by delaying the hiring of recruits and reducing overtime, but one expenditure increased significantly: payments for lawsuits against police.

Over the past three fiscal years, city taxpayers have shelled out $31.6 million to settle lawsuits brought against the department. The majority of the payments - $20.8 million - went to settle complaints of civil-rights violations by police officers, according to figures provided by the city's Department of Finance.

That's nearly a 50 percent increase from the prior three fiscal years, during which the city paid about $14 million to settle civil-rights complaints. The city paid out about $25 million for all lawsuits against the Police Department in fiscal years 2005 through 2007.

In FY 2010, which ended June 30, the city paid out more than $12 million, including almost $9 million to settle civil-rights complaints, the largest total in the past 10 years.

"We are aware of the increase in costs," said Mark McDonald, Nutter's chief spokesman. "That comes through the budget process, so each year we look at our indemnity costs, and we've certainly seen an increase. In a time of recession and reduced revenue, it's something we're well aware of and concerned about."

The rising costs come at a time when the Nutter administration is facing criticism for "stop and frisk," a tactic that emphasizes pedestrian and car stops. The policy is the subject of a class-action lawsuit that alleges it discriminates against African-Americans and Latinos.

McDonald said the increased payouts aren't necessarily connected to administration policies.

"If you look at the incident dates, be aware that for fiscal year '08, half of that year occurs during the prior administration," said McDonald. "I'd be very careful about attributing the spike to any kind of specific case."

David Rudovsky, a civil-rights attorney and lead counsel for the stop-and-frisk suit, said the figures might be an indication of an increase in misbehavior by law-enforcement officials.

"One possible explanation is that there are more validated claims of police misconduct," said Rudovsky. "Therefore, the city is paying out substantially more than previous years."

According to City Solicitor Shelley Smith, the increase in costs might be driven by several factors. For starters, settlements are usually tied to the cost of living, which increases every year. Many of the settlements are also related to medical costs, which have also risen dramatically recently.

Smith added that lawsuits also are driven by current events and media coverage.

"After the 39th District scandal, there was a capitalization on the specter of the Police Department being corrupt," said Smith. "Some of it is opportunistic."

The scandal involved a group of police officers in the North Philadelphia district who planted evidence, conducted illegal searches and committed other civil-rights violations in the early 1990s. Six officers were eventually charged and more than 300 convictions overturned.

The department referred requests for comment on this story to the Mayor's Office. Officials from the Fraternal Order of Police, Lodge 5, declined to comment for this story.

William Johnson, executive director of the Police Advisory Council, wasn't surprised by the increase. According to him, it fits with an overall trend of more grievances against the Police Department in recent years.

"It's reflective of the ongoing situation of what we're seeing in regards to civilian complaints against police," said Johnson. "The number of officer-involved shootings has increased over the past few years. There have also been more serious allegations of physical abuses by officers."

The city is self-insured, which means that costs from civil-rights settlements are paid by taxpayers. However, the money comes from the indemnities fund within the Finance Department instead of directly from the Police Department's budget.

Nutter's budget for fiscal year 2010-11 included a $6.3 million cut to police overtime and canceled two scheduled Police Academy classes.

Ben Waxman reports for "It's Our Money," a joint project of the Daily News and WHYY. He can be reached at 215-854-5307 or waxmanb@phillynews.com.