MEDFORD, MA — The City Council voted to pass a resolution requesting Mayor Breanna Lungo-Koehn to fund a legal defense of the city in a lawsuit regarding its divestment ordinance during its most recent meeting.
Last August, the Council passed the ordinance that divests city funds from any companies it believes supplies weapons, derive revenue from prisons or fossil fuels, or contribute to human rights violations such as genocide. While it is not specifically stated in the motion, the Values-Aligned Local Investments Ordinance was primarily inspired by the events in Gaza between Israel and Palestine. The mayor vetoed the ordinance in October, arguing that the financial and legal ramifications had not been properly considered by the Council before it adopted the legislation. The veto was ultimately overridden.
The Gevura Fund and the National Jewish Advocacy Center and the law firm of Libby Hoopes Brooks & Mulvey, P.C. are the groups who have filed the lawsuit against Medford for the ordinance. Among many arguments, the complaint claims that the ordinance conflicts with Massachusetts investment laws, which require city officials to prioritize liquidity and yield when managing public funds. The complaint argues that the council is replacing objective financial protocols with subjective ideological reasoning, with Libby Hoopes Brooks & Mulvey, P.C. Managing Partner Douglas Brooks calling the act “antisemitic discrimination.”
The vote to request the mayor allocate $75,000 passed by a vote of six in favor against one opposed, with Councilor George Scarpelli being the sole member who did not support the resolution.
Prior to the vote, residents lined up to take the podium during the public comment portion of the meeting to share their opinions on the matter. The majority of voices expressed support for the Council’s plan while the other viewpoint was also represented, primarily citing how a legal battle could ultimately cost taxpayers.
If we decline to defend this ordinance, we’re not being cautious, we’re surrendering,” Council member Justin Tseng said during the meeting. “We’re telling residents who called, wrote, or showed up that their voice only matters until someone with resources decides to challenge it.”
Tseng emphasized his belief that the ordinance was enacted with good faith and represented the democratic process.
Councilor Anna Callahan said politics has become a “battle” between controlled corporate groups and common people.
“This is the battle between us having a democracy that represents the people who actually live here and a group of people who are controlled by moneyed interests whether they are corporations or billionaires,” Callahan said.
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