Breaking News
Local News

Gladstone residents say lawsuits consume city funds

By R. R. Branstrom 7 min read

GLADSTONE -- Longtime Gladstone residents stood at the podium in City Hall on Monday to express their frustrations with lawsuits that one individual continues to file against the city for a number of different matters.

There are currently five lawsuits pending in Delta County 47th Circuit Court against the City of Gladstone, all submitted by Michael O'Connor, who has sued the city a number of times in the last nine years and has convinced other residents that corruption and conspiracy plague Gladstone.

"These continual lawsuits have been filed against me and my neighbors and all the residents of Gladstone," said Ann Jousma-Miller, speaking during public comment at this week's Gladstone City Commission meeting. She didn't mean that she personally has been sued -- but that every person in the city suffers when the city has to fund legal battles that go nowhere.

"It has come to my attention that half a million dollars so far has been spent on frivolous lawsuits that eventually get thrown out," said Jeffrey Waeghe, citizen of Gladstone and owner of Skradski Family Funeral Homes, during the same meeting. He was referencing remarks made previously by city officials.

“I want them to prove that it cost them that much money,” O’Connor said to the Press yesterday.

Neither party -- O'Connor nor the city -- has gained anything financial or tangible from the cases, which run the gamut. Beginning roughly 10 years ago, O'Connor sought to abolish the Downtown Development Authority (DDA), claiming its collection of revenue was unlawful. In 2017, he sued the city as well as City Clerk Kim Berry. One suit claimed transfers between city funds had violated the Michigan Constitution. The suit against Berry was dismissed.

On one occasion, the City of Gladstone sued O'Connor for falsely claiming to be a representative of the city to the state tax commission. O’Connor told the Press that he went to the Michigan Tax Tribunal representing people of Gladstone in regards to special assessments.

In December 2018, after the city had exhausted $200,000 in legal fees, a settlement ended the series of lawsuits at the time. Per the agreement, neither party admitted fault or liability, and all suits were dismissed.

In 2024, O'Connor made lasting waves in Gladstone when he successfully filed a petition for a ballot proposal to eliminate the city's ability to collect special assessments. 67 percent of voters approved the charter amendment that November, entirely changing how the city funds certain projects.

O'Connor, who sat on the Gladstone City Commission for about a year a decade ago, has run for office a handful of times since but remains a citizen. Now, he has again taken to filing lawsuits.

All five of the suits brought forward in July 2026 accuse the City of Gladstone of violating its charter.

One is about Public Act 33, the tax to fund police and fire. O'Connor states that the city is not authorized to collect the tax because the capacity to do special assessments was erased from the charter, while the opposing position is that since PA 33 is permitted by state law, it overrules a city charter.

"Not only is he wrong, he’s also bringing it to the wrong place; those cases are supposed to go before the state tax tribunal," said City Manager Robert Spreitzer.

Two of the new lawsuits from O’Connor argue that the city shouldn't be taking out loans for infrastructure improvements without a vote of the citizens. One is a $7.5 million dollar loan from the USDA for water system improvements; the other loan referenced was a $500,000 one for electrical transformer replacements.

“The big key in all these is that they’re ignoring the charter in not having people actually vote in spending money,” O’Connor said.

City staff has said that he is misunderstanding and “cutting and pasting” pieces of the city charter in ways that the clips are out of context and misapplied.

Another suit asks the city to produce utility reports and proof of expenses.

"He filed a complaint with The Department of Licensing and Regulatory Affairs (LARA) to go after our auditor," Spreitzer said. "So that’s going to take a while. Because a complaint was made, LARA has to investigate, but that might take two to three years. In the meantime, fortunately, our auditor is staying with us. It’s just that now the audit will probably take longer, which again, will cost us."

Four of the five suits reached the city and their attorney around the same time, so the lawyer (Miller Canfield) drafted oral arguments for those cases and send them off the circuit court. The fifth was written and expected to be delivered this week.

In Delta County District Court, Judge John Economopoulos usually presides. In the city's cases, however, Economopoulos is recusing himself because he's friends with one of the commissioners, so another judge will be handling O'Connor's suits.

"I anticipate that (when a) judge reviews the oral arguments from our attorneys that, just like in the past, they’ll be dismissed. I don’t see them going any farther," Spreitzer said. "However, the sad part is, is we have to hire the attorneys to do that, and again, it’s costing the taxpayers of the city of Gladstone money, because contrary to what (O’Connor) says, our insurance does not cover it."

Letters from Michigan Municipal Risk Management Authority (MMRMA) to the city state that their coverage applies to things like injury, property damage and wrongful acts, but that costs associated with litigation such as the O'Connor cases would not be covered. They do, however, reimburse their members for court costs if the cases involve civil rights.

When Jousma-Miller spoke at the beginning of Monday's meeting, she said that citizens had to understand that "infrastructure is not free" and that payments that go towards public safety and quality of life should be priorities.

"We need to ask ourselves, what exactly are we willing to pay for? My personal opinion, I’m willing to pay for the utilities according to what I use and the means to transmit it to my home; I am willing to pay for fire protection and for police protection," Jousma-Miller said. "I am willing to pay to have my garbage picked up right at the end of my driveway. I am willing to pay for municipal water as long as it’s clean and healthy -- and the only way that it can stay that way is if it’s maintained, and I’m willing to pay for that.

"I'm willing to volunteer and to help my neighbors, but as a resident of this city, I am not willing to pay for any more court costs or staff time for unfounded lawsuits. ...In order for Gladstone to continue to be a strong, vibrant, welcoming community, these lawsuits must stop," she concluded.

"Just think what that half a million dollars would purchase in ... other projects in the city of Gladstone," said Waeghe. "It’s a terrible thing that this is happening. Half a million dollars so far. I don’t know about you, but to me that’s a lot of cash, no matter how you look at it."

O’Connor said, “We just want justice.”

Doug Bovin, former commissioner and current Gladstone resident, also addressed the commission during Monday's public comment. He commended the commissioners for doing difficult work, and said that there are too many negative people who complain without understanding the issues.

"You have to, in your hearts and minds, understand that you’re doing a good job, and I just hope to hell that you continue doing that job because people like myself and others here want a good place," Bovin said. "Please keep up that good work. And those complainers out there, I know it’s hard to ignore them, but ignore them and listen to other people who are very favorably impressed by what you do."

—

R. R. Branstrom may be reached at rbranstrom@dailypress.net.

Starting at /week.