Prospect Hts. settles city hall fire claim

After filing a lawsuit, Prospect Heights has settled, for $510,000, the final part of the insurance claim for the former city hall, destroyed by an arsonist in April 2006, Mayor Nick Helmer said.

A spokeswoman for Travelers insurance said the company would not comment on an individual claim because of privacy guidelines.

The city moved into the new city hall, which cost $2.8 million, in October 2008.

The argument with the insurance company was over the last amount owed. The city had hoped for $882,000 in additional payments, but the lawsuit against the insurance company ended up seeking about $775,000, said Helmer.

The insurance company did not want to pay for the installation of features required by new municipal and state codes, said Helmer, and the city officials knew it could not be built without them.

City officials could not provide figures on the total amount received from the insurance company.

No one has ever been charged in the arson, which Helmer called a cold case. He said chatter on the street has been quiet for a long time, so the thought is the person responsible has left the area.