The attorney for an officer who Rhode Island State Police say was wrongly disciplined and demoted has sent a letter to the city’s legal counsel demanding reinstatement to the rank of sergeant and more than $800,000 in combined damages.

The City Council, meanwhile, has set a special executive session for Nov. 24 to discuss the matter.

The “demand letter” – presented as a precursor to the filing of a federal civil rights lawsuit – is dated Oct. 28, and was sent by Matthew Josefson’s attorney, Joseph Penza Jr. of Olenn & Penza Attorneys at Law LLP, to Marc DeSisto of DeSisto Law, who is representing the city.

According to the document, Josefson, who is currently a patrolman, seeks $53,784 in “hard damages” – including $13,028 in salary with longevity and pay, $34,257 in overtime, and $6,499 in comp time – that are said to be calculated through Nov. 30 of this year. He is additionally seeking $750,000 in “emotional distress damages,” restoration to the rank of sergeant, and $18,000 in attorney’s fees.

In all, the letter seeks $821,784. Penza writes that if a settlement is not reached by Dec. 15, a lawsuit will be filed.

The letter additionally indicates that while the city is not liable for punitive damages, individuals likely to be named in a lawsuit – including Mayor Allan Fung; former Chief of Police Col. Marco Palombo Jr.; retired majors Robert Ryan and John Schaffran; captains Stephen Antonucci, Carl Ricci and Vincent McAteer III; and acting Capt. Russell Henry – would be. Penza writes that he “does not intend to make a demand for these punitive damages at this time.”

The city would also be liable for the cost of legal representation for some of the defendants in such a suit, he writes.

The situation surrounding Josefson was among the major episodes outlined in the 182-page state police assessment report of the Cranston Police Department released earlier this year.

In the report, state police write that Josefson was wrongly targeted with disciplinary charges and pressured to sign a so-called “last-chance agreement,” which resulted in his demotion to patrolman. State police allege that Palombo viewed Josefson as an ally of others in the department who he suspected of attempting to undermine the police administration, and that Josefson was thus pressured into accepting the demotion on bogus grounds. The report also states that at one point, a private investigator was hired to observe Josefson.

Palombo, who is now retired, has denied any wrongdoing in Josefson’s case and other matters included in the report.

The letter outlines the basis for the potential suit, and refers specifically to the state police report.

“As a result of the egregious conduct by the police department administration, Josefson had to see a therapist for the first time in his life. He could not sleep, had a loss of appetite, became depressed and lost interest in doing his everyday activities … Because he knew he had a target on his back and was under the Last Chance Agreement, he was constantly worried about some bogus charges being filed against him which would cause him to lose his job,” Penza’s letter reads.

“As you can imagine, this entire situation caused Josefson great humiliation. He had to explain his unjust demotion to his family, friends and co-workers. His unblemished record as a member of the Cranston Police Department was irrevocably destroyed. Even the ultimate resolution of this case (by way of settlement or trial) cannot fully restore the reputation he once enjoyed.”

The council has set a special, closed session for 6:30 p.m. on Nov. 24 in City Hall’s Council Chambers to discuss the potential litigation.

Additionally, a special meeting of the council’s Finance Committee has been scheduled for 6 p.m. the same evening to consider an ordinance amendment, sponsored by Ward 1 Councilman Steven Stycos, that would alter the composition of the police department to add one sergeant’s position while removing one patrolman.

The ordinance had been tabled to allow for talks regarding Josefson’s status to proceed. While the mayor, council members, and others have spoken sympathetically of Josefson’s situation, concerns had been raised over taking action while settlement talks were under way.

Some also said the measure would not produce the intended result and would instead create additional complications, as a sergeant’s promotional list already exists. International Brotherhood of Police Officers Local 301 at one point asked council members to delay consideration of the amendment.

Stycos, meanwhile, agreed to the delay but indicated he believes passage of the amendment may ultimately be required to address the matter.

At last week’s meeting of the finance panel, a motion to table the ordinance until January was approved. During discussion, Council Vice President Richard Santamaria asked Robert Coupe, the city’s director of administration, for an update on the talks with Josefson.

“It is moving very slowly,” he said.

Santamaria then asked Coupe if January could be viewed as a “finish line” for resolution to Josefson’s situation.

“It takes two to tango,” Coupe replied.

Stycos then added: “It make take two for a settlement, but it only takes the mayor to act.” He reiterated previous statements that it may fall to the council to become involved, and “let the chips fall where they may.”

Coupe this week issued the following statement: “To date, the City of Cranston has not received a formal demand related to this matter. Our attorney has received a preliminary offer of settlement, which is typically the first step, and the City Council will be briefed as to the limited information available. By communicating directly with an opposing attorney, however, the City Council could end up compromising the City’s position in a complex legal matter and putting taxpayers at risk.”

Lanni – who has been vocal in his criticism of the ongoing costs associated with police legal and personnel matters, and of the administration’s approach – on Tuesday said Penza’s letter “came as a complete surprise to me.” He questioned why the administration had not briefed the council as soon as the demands were received.

“Where does this end?” he said. “It never, ever should have happened … Somebody’s got to take responsibility.”

Santamaria said he too is dismayed at the lack of resolution in the Josefson matter, and the potential costs.

“This is what I was afraid of,” he said.