Anchorage city officials have set aside more than $800,000 to pay legal settlements related to accusations against the Bronson administration of wrongful termination and a contractor dispute.
The Anchorage Assembly approved first-quarter budget revisions on Tuesday, which included $827,500 for settlements. City officials say the money will go to one or more of three possible settlements, but have not specified amounts. The Assembly must approve any payments made.
The wrongful termination allegations are from Mayor Dave Bronson’s former municipal manager Amy Demboski, as well as Heather McAlpine, former director of the city Office of Equal Opportunity.
MacAlpine filed wrongful termination suits in state and federal court against the Bronson administration, saying she was fired for investigating complaints of racist and other harmful remarks made by deputy library director Judy Eledge. Meanwhile, Demboski laid out a slew of accusations made against the administration in a scathing letter to city leaders that alleged numerous unethical and unlawful actions by the mayor’s team.
Additionally, Roger Hickel Contracting is suing the city for work on a proposed navigation center and homeless shelter, a controversial project that was halted by the Assembly.
The contractor requested more than $2.5 million in its lawsuit, a much larger amount than what was allocated in the budget. Assembly chair Chris Constant said he doesn’t think it’ll be one of the parties who’ll get part of the settlement money.
“I think that if Hickel had accepted that level of settlement, then it would be a very big shock,” Constant said in an interview Thursday.
Municipal Attorney Anne Helzer said the administration plans on presenting more information on the settlements during a May 5 executive session, with hopes to move forward with the payments by May 9.
Wesley Early covers Anchorage life and city politics for Alaska Public Media. Reach him at wearly@alaskapublic.org and follow him on X at @wesley_early. Read more about Wesley here.
