By SHANNON HAUGLAND
Sentinel Staff Writer
The city’s insurance carrier has agreed to pay Mary Ferguson $515,000 to settle a lawsuit she filed against the city and former Police Chief Jeff Ankerfelt.
Ferguson, a former officer, signed a Settlement Agreement and Release from All Claims August 3.
Ferguson said she’s pleased the agreement was reached, but the matter isn’t over. The settlement says that the city understands that Ferguson may “undertake an investigation” at her own expense. She said an investigation led by former Alaska Superior Court Justice Eric Smith is under way.
Ferguson forwarded a text message comment from her attorney, James Davis:
“Mary Ferguson was willing to accept less money in order to settle her case on the condition that she was also allowed to fund an independent investigation of the Sitka Police Department.”
City Attorney Brian Hanson said the settlement agreement clarifies that it’s a private investigation, and the city has said it will not interfere.
The city attorney announced the settlement, but not the details, at Tuesday’s Assembly meeting. Ferguson provided the Sentinel with a copy of the settlement agreement signed by her and notarized August 3.
Hanson said the stipulation for dismissal “with prejudice” was signed this afternoon by Superior Court Judge Trevor Stephens of Ketchikan, and the case is over.
Police Chief Robert Baty said, “I’m happy to see these cases resolved. It could go a long way in moving forward in the Sitka Police Department.”
Ferguson was a traffic officer, sworn officer, and detective in the department from 2014 to 2018.
In July 2018, she filed complaints with the Equal Employment Opportunity Commission and the Alaska State Commission for Human Rights, alleging gender discrimination and harassment in the department. She was placed on administrative leave at that time.
She filed the lawsuit Oct. 11, 2018, with eight separate causes of action. Those include discrimination and gender-based hostile work environment violations of the Alaska Human Rights Act and the Federal Civil Rights Act. She also alleged intentional and negligent infliction of emotional distress.
She was terminated from her SPD position July 15, 2019, because she did not return to work as ordered, the city said.
Among the claims in her lawsuit, she said was being discriminated against because of her gender, and suffering retaliation for complaining about problems in the department, including sexual harassment.
The case was scheduled for trial on September 21 this year.
Hanson said the settlement agreement followed about 10 hours of mediation on a Zoom call with the city’s outside attorney, Megan Sandone; Hanson; a representative from the city’s Alaska Public Entity Insurance; Ferguson; and Ferguson’s attorney James Davis taking part.
Davis is one of the founding partners of the private law firm the Northern Justice Project in Anchorage. The mediator was former Anchorage Superior Court Judge Sen Tan.
The settlement agreement says the city and Ankerfelt are released from “all actions, causes of action, suits, controversies, claims, grievances and demands of every kind and nature ... arising in any way out of (Ferguson’s) employment with and termination from the City and Borough of Sitka police Department ...”
Commenting on the independent investigation referenced in the settlement, Ferguson said it is not “my investigation,” but for all present and past employees to have a chance to voice their concerns and complaints about the department, anonymously if that’s what they desire. She said she had hoped that the city or Assembly would take an independent look at the department, based on complaints from present and past employees, but that didn’t happen.
“The Assembly has taken the complaints and hasn’t done anything with them,” Ferguson said. “Right now I have no choice but to remain optimistic. We’ll see what happens.”
Hanson said the city has a $10,000 deductible for its policy and the rest will be paid by the insurance carrier. The city is also responsible for 50 percent of the attorney fees, he said.
