MEDIATION: A TOOL FOR RESOLUTION AND REVENUE Christine A. Derdarian, J.D.

Disputes in State Government Disputes in State Government  Filing litigation on behalf of state agencies  Defending state agencies against litigation  Frame of reference always win/loss  Litigation perpetuates win/loss mentality  Winning cases sometimes costs more  Concerns of state agencies -Ballooning workloads -Ballooning workloads -Less staff -Less staff -Smaller budgets -Smaller budgets

Mediation-The Advantages Mediation-The Advantages  Confidential, private, voluntary process used to resolve disputes  Parties retain control  Full opportunity to express concerns  Higher level of compliance  Each party is required to listen to the other  Faster and less expensive than litigation  Reduces effects of power differentials and advocates’ skills

Mediation-The Disadvantages  No precedents created  No guarantee of resolution

Who Benefits From Mediation  The Courts  Government Agencies  Companies  Professionals/Clients  Individuals  Families  Employers/Employees  Everyone

Mediation in Your Agency  Workload/loss of control  Mandate to collect property taxes  Revenue critical to the locale  Efficient government earns respect and compliance  Savings in money  Savings in time  Creates trust and cooperation  Eliminates need for administrative hearings  Brings in revenue  Replaces win/lose model with win/win model  Creates mutuality in problem solving  Recognized by many state jurisdictions and legal institutions

Mediation Protocol  Decide upon a uniform system of mediation  Refine notice procedures to taxpayers indicating availability/requirement for mediation  Know factual and legal issues  Know your bottom line  Bring in outside mediator to ensure neutrality and control of mediation environment  Understand litigation is always an option  Have policy on press relations  Expect the unexpected

Phases of Mediation-The Beginning  Decide seating arrangement  Introductions  Rules of engagement -Confidentiality/Signed Agreement -Neutrality of mediator -Informality of the process -Ground rules for conduct -Voluntary participation -Note taking -Full disclosure -Mediator is not a judge or trier of fact and law -Authority to enter an agreement -Caucas -Agreement as an enforceable contract

Phases of Mediation-The Middle  Who’s on first  Information sharing  Framing the issues  Facilitating discussions  Caucas with parties separately

Phases of Mediation-The End  Parties own the agreement  Keep language simple  Put it in writing  Make certain all points are covered

What the Future Holds What the Future Holds  Pending legislation  Implementation  New opportunity to streamline work  New opportunity to achieve compliance  New opportunity to bring in revenue

Resources Resources  Michigan State Bar- ADR Section  County mediation programs  County bar associations  Private mediators  Reference links

Conclusions  Daunting challenges  Mediation is the wave of the future  Change in mindset is worth the effort

The End