A $1.25 million settlement proposed for the family of Dexter Reed — a man shot and killed by police after a traffic stop last year — was narrowly rejected by City Council Friday.

In a 15-12 decision, the City Council’s finance committee voted against the contentious settlement negotiated by city lawyers. A vote had been delayed since February as other multimillion dollar payouts to Chicagoans seriously injured by falling trees and in police car chases were quickly approved.

Alderpeople disagreed whether the 26-year-old Reed or police were at greater fault for the shooting that started as a minor traffic stop.

Four officers shot at Reed 96 times in 41 seconds after they stopped him over an alleged seat-belt violation in West Humboldt Park in March 2024, according to a preliminary investigation by the city’s Civilian Office of Police Accountability.