UPDATED: Karas resigns from Racine City Council

UPDATE: Karas offered these comments in response to his resignation:

** I have a rare opportunity to step back and reflect on the direction I wish to take in the future. I have not decided what I am going to do next. It may be a few days or few weeks before I decide if I will run for my old seat, do something else, or if “I’m gonna cut the soles off my shoes, sit in a tree and learn to play the flute.” (Anyone who knows where that reference came from is as strange as I am – no google searches allowed!)

** Generally, I would be at the Council meeting on Tuesday night to say a few words, but since my son Brad also has a jazz band concert at UW-Parkside that night, I will not be attending the council meeting.

** Please do not take my non-attendance as anything except my having a schedule conflict. I appreciate all who I have worked with and will at some point convey those thoughts in person.

** In my resignation letter, I asked that the City Council pass a resolution supporting AB-500. I would very much appreciate it if this could be brought forth as soon as possible and passed under a suspension of the rules, and sent to the leadership in both the Senate and Assembly.

** This weekend, I have heard of several rumors flying around that are so ludicrous that I will not repeat them. I resigned for two reasons: I discovered that serving was in violation of State law and I had to protect my insurance license and thus my livelihood. If you should happen to hear of any “ulterior motives,” or future “devious plans,” please take them for what they are – laughable rumors without any merit. If anyone has questions about the truth of what they may hear, they are free to give me a call at any time.

A sincere thank you to everyone who has expressed their kind words via email and phone calls the last few days. Your concern and personal support has been both comforting and heartwarming.

ORIGINAL POST:


Alderman Pete Karas abruptly resigned from the Racine City Council Friday after learning about an archaic state law that prohibits municipal officials from selling anything to businesses with liquor licenses.

Karas, who represents the city's 9th District, sells commercial insurance and is a certified risk manager. His clients include restaurants and stores that sell alcohol.

The law came to light on Friday after the Wausau Daily Herald wrote a story about a Stevens Point vacuum cleaner salesman who had to resign his elected position because he made sales to taverns.

State legislators, including State Rep. Bob Turner and State Sen. John Lehman, both D-Racine, are working to change the law.

In the meantime, Karas said he had to resign to avoid losing his insurance license with the state.

"It would financially ruin me," Karas said about losing his license.

Karas and his supporters spent Thursday and Friday making calls through the state trying to learn more about the law. No one could promise Karas that he was safe from criminal prosecution.

State statute 125.51 (1b) reads: "No member of the municipal governing body may sell or offer to sell to any person holding or applying for a license any bond, material, product or thing that may be used by the licensee in carrying on the business subject to licensure."

The law was passed in the 1930s to prevent elected officials from selling liquor licenses at the end of Prohibition.

A public hearing was held Thursday on changing the state law to allow officials like Karas to stay in office.

Karas resigned Friday because, under city ordinance, if a City Council seat is vacated before Dec. 1 a special election has to be held the following April to fill the seat. If the seat is resigned after Dec. 1, the mayor can appoint a replacement to fill the seat through 2009.

In theory, Karas could run for his seat in April if the state changes the law before the election.

Karas, a member of the Green Party, was elected to the City Council in 2003 and is serving his third term in office.