Town of Waukesha settles snowplowing dispute for $297,500

Waukesha - The Waukesha Town Board will pay its former snowplowing contractor $297,500 to settle a year-old lawsuit over a disputed contract and service charges.

Eric S. Jacobson Grading Co. had been seeking $355,477 plus interest and attorney's fees.

With the settlement agreed to, Waukesha County Circuit Judge J. Mac Davis on Friday dismissed the town's lawsuit and Jacobson's counterclaim.

Jacobson had provided snow plowing services to the town since 1984 and last winter was in the first year of a new three-year contract. The new contract, which handed more control to the contractor, was approved in 2010 by a Town Board majority that was shortly afterward ousted in a recall election.

The newly elected board members then attempted - but after a deadline spelled out in the contract - to impose new rules and town oversight on Jacobson, which the contractor ignored.

At one point during the height of last winter's storm season, Town Board members were following snowplow operators, asking them questions and seeking samples of the salt-sand mixture. Jacobson's attorney accused town supervisors of interference, to the detriment of the job. The town contended the work was unsatisfactory.

Finally, in late February, the Town Board sued Jacobson for breach of contract. Jacobson, who continued plowing through the season, in turn countersued to collect payment for his services through the winter of 2010-2011.

While the lawsuit headed toward a trial date, the town placed $176,000 into a court-held account, an amount the town's attorney Doug Hoffer argued last month was earmarked as full settlement of the disputed bill. That amount now will be refunded to the town.

Town Chairman Angie Van Scyoc, who was unavailable for comment Monday, referred to a prepared statement on the town's website.

It says the town is pleased with the settlement, which releases the town from the final two years of the three-year Jacobson contract. The town has since hired a new contractor, Maple Creek Landscaping & Snow Services.

Jacobson's attorney, Dean Richards, said the nearly $300,000 agreement was reached after a court-ordered mediation session failed but after both sides continued talking for another week.

Jacobson now has the snowplowing contract for the Town of Mukwonago, Richards said.