Session 02-06, a Special Meeting of the Homer City Council was called to order at 12:04 p.m. by Mayor Jack Cushing at the Homer City Hall Council Chambers located at 491 E Pioneer Avenue, Homer, Alaska, and opened with the Pledge of Allegiance.

PRESENT: COUNCILMEMBERS: CUE, FENSKE, KRANICH, LADD, YOURKOWSKI.

STAFF: CITY MANAGER DRATHMAN (present at Executive Session only.)

CITY CLERK CALHOUN

CITY ATTORNEY TELEPHONICALLY

PORT/HARBOR DIRECTOR ABBOTT

ABSENT: COUNCILMEMBERS: MARQUARDT (excused)

AGENDA APPROVAL

(Addition of items to or removing items from the agenda will be by unanimous consent of the Council. HCC 1.24.040.)

The agenda was approved by consensus of the Council.

PUBLIC COMMENTS UPON MATTERS ALREADY ON THE AGENDA

There were no public comments.

NEW BUSINESS

A. Memorandum 02-16, from City Clerk, Re: Request for Executive Session pursuant to AS' 44.62.310(C). Executive session for attorney-client privileged discussion of attorney's evaluation and advice concerning the following: North Star v. City of Homer, Settlement offer; and M/V Gyn Yoh damage to dock, Settlement offer.

Recommendation: Approve the request for Executive Session and conduct under New Business as Item A. 1.

FENSKE/CUE - MOVED TO APPROVE THE RECOMMENDATIONS OF MEMORANDUM 02-16.

There was no discussion.

VOTE: MAYOR CALLED FOR CONSENSUS. THERE WAS CONSENSUS AND NON OBJECTION.

Motion carried.

A.1. Conduct Executive Session.

Mayor Cushing recessed the special meeting at 12:07 p.m. to retire to the Conference Room for an Executive Session. The City Attorneys participated telephonically. Mayor Cushing reconvened the special meeting at 1:17 p.m.

YOURKOWSKI/FENSKE - MOVED TO DIRECT THE CITY ATTORNEYS TO COMPLETE A SETTLEMENT OF THE NORTH STAR LITIGATION ON THE TERMS RECOMMENDED BY THEM AS EMBODIED IN THE LETTER OF MARCH 8, 2002 FROM NORTH STAR'S ATTORNEYS AND TO FURTHER AUTHORIZE THE CITY MANAGER TO APPROVE AND EXECUTE ALL NECESSARY SETTLEMENT DOCUMENTS ON BEHALF OF THE CITY.

Mayor Cushing stated that the March 8th letter is available in the City Manager's Office.

VOTE: YES: CUE, FENSKE, LADD, YOURKOWSKI, KRANICH.

Motion carried.

Mayor Cushing stated, regarding the M/V Gyn Yoh damage to dock settlement officer, that this matter was also discussed, no decisions were made and direction was given to the attorney on that issue.

COMMENTS OF THE AUDIENCE

There were no audience comments.

COMMENTS OF THE CITY ATTORNEY

City Attorney Tans and Attorney Bookman participated telephonically during the Executive Session only.

COMMENTS OF THE CITY CLERK

City Clerk Calhoun had no comment.

COMMENTS OF THE CITY MANAGER

City Manager Drathman had no comment.

COMMENTS OF THE MAYOR

Mayor Cushing had no comment.

COMMENTS OF THE CITY COUNCIL

The Councilmembers had no comments.

ADJOURNMENT

There being no further business to come before the Council the meeting was adjourned at 1: 20 p.m. The next regular meeting is scheduled for Tuesday, March 26, 2002 at 7:30 p.m. in the Homer City Hall Council Chambers located at 491 E. Pioneer Avenue, Homer, Alaska. The Council's Committee of the Whole is scheduled to meet at 4 p.m. on March 26, 2002, in the Homer City Hall Council Chambers.

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MARY L. CALHOUN, CMC, CITY CLERK

Approved: ________________________