Milaca is getting a state reimbursement for costs it sustained due to problems associated with the Minnesota Licensing and Registration System (MNLARS).
Deputy Registrar Pamela Hartmann received a letter from the Minnesota Department of Public Safety in early June that stated the city would receive $42,566 if it completed and signed a grant agreement and release form on or before June 30, 2019.
City leaders approved a consent agenda resolution to accept the grant during their June regular meeting.
“The parties agree that the specific reasons that this dispute is being settled is (1) to avoid any and all further costs of litigation for all parties; and (2) to avoid any and all further risks of litigation for all parties,” the state’s liability release explained.
The funds, part of $13 million approved by the state for all 174 deputy registrar offices, are aimed at avoiding a lawsuit, the grant agreement said.
By signing the agreement, the deputy registrar offices agree to drop any claims resulting from the development and use of MNLARS.
The agreement is not meant to represent any admission of liability or wrongdoing by the state, the document said.
The state calculated the grant amount using a legislation-specific formula.
That formula included 10% of available funds being allocated equally among all deputy registrars.
In addition, 45% of the available funds were proportionally allocated based on the number of transactions where a filing fee was retained by the deputy registrar from Aug. 1, 2917, through Dec. 31, 2018, and if 45% of available funds were allocated proportionally based on the number of transactions where a filing fee was retained by each deputy registrar from July 1, 2014, through June 30, 2017.