MILWAUKEE, Wis. – A now-former employee of the Milwaukee City Attorney’s Office could cost the city more than $830,000 after missing a court deadline.
As first reported by Milwaukee Journal Sentinel reporter Vanessa Swales, a lawsuit filed against the City by Regal Rexnord April 7 challenged the assessment value and property taxes on its downtown headquarters (111 West Michigan Street). According to the complaint obtained by WTMJ, the City imposed $1,531,116.26 in 2025 taxes on the property, which Regal Rexnord says should have been $699,618 based on a tax rate of $20.803 per $1,000 of assessed value.
The company demanded it be refunded $831,498 plus interest, and a deadline of May 4 for a City response was set. City attorney’s office lawyer Kyle Bailey did not issue a response by the deadline, leading to Regal Rexnord requesting a default judgement May 20. Bailey then filed a response June 10, which resulted in a hearing order from Judge Paul Van Grunsven.
At that June 29 motion hearing, Bailey claimed that the initial lack of response was due to office tech issues, according to a hearing transcript obtained by WTMJ, specifically noting a shift to a new computer record keeping system had cases “falling off the calendar in its entirety”. Judge Van Grunsven responded that he was not satisfied with the response.
“You have got a sizable judgement that’s being sought here…and today you give me argument that you have computer problems,” said the judge. “I just don’t understand the sloppy work, and I’m not satisfied that the responses rise to the level of that which would prevent me from granting default quite frankly.”
Judge Van Grunsven ruled in favor of Regal Rexnord July 31, ordering the City to pay. The case remains open with a hearing set for August 28.
Bailey has since resigned from the City’s attorney’s office, which declined a request for comment.
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