HomeMy WebLinkAbout12/12/2000 CS minutes
MAYOR
Gerald L. Farley
TRUSTEES
Timothy J. Corcoran
Paul Wm. Hoefert
Richard M. Lohrstorfer
Dennis G. Prikkel
Michaele W. Skowron
Irvana K. Wilks
VILLAGE MANAGER
Michael E. Janonis
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Village of Mount Prospect \Z.-lL.c .O~ -
100 South Emerson Street Mount Prospect, Illinois 60056
Phone:
Fax:
TDD:
(847) 392.6000
(847) 392-6022
(847) 392-6064
VILLAGE CLERK
Velma W. Lowe
MINUTES
CLOSED SESSION
DECEMBER 12, 2000
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The Closed Session was called to order by 6:08 p.m. by Mayor Gerald Farley. Present
at the Closed Session were: Trustees Timothy Corcoran, Paul Hoefert, Richard
Lohrstorfer, Dennis Prikkel, Michaele Skowron and Irvana Wilks. Staff present included
Village Manager Michael Janonis, Assistant Village Manager David Strahl, Village
Attorney Everette Hill, Attorneys Terry Ekl and Jim Sotos. The purpose of the Closed
Session was to discuss Litigation.
Litigation
Village Manager Janonis wanted to provide the Board an update regarding the Class
Action Lawsuit and to advise the Board that the plaintiffs have suggested a settlement
offer and to provide information regarding the Department of Justice investigation
status.
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Attorney Terry Ekl provided an overview of the ongoing Department of Justice ~ 59
investigation. He indicated that the Village had complied with all information requests ~ 11
from the DOJ and they were now in the process of analyzing the material the Village ~ ~
had provided. Mr. Ekl indicated that he has met with Justice Department officials on a @sf')
number of occasions to answer questions and check on the status of the investigation. d ~
He indicated that the dialogue has been cordial and that the DOJ appreciated the ~ ~
Village's cooperation. It was Mr. Ekl's opinion that it would take several months for the ~ @l
DOJ to complete their preliminary investigation. At that point, it might be appropriate for
the Village to sit down with the lead Investigators to determine what areas of concern
the DOJ had identified. The one area where Mr. Ekl sensed concern on the part of the
DOJ is with the Village's Drinking Ordinance. Village Board members asked that they
be kept informed of any further developments with the investigation.
The status of the pending Class Action Lawsuit was provided by Attorney Jim Sotos.
Mr. Sotos indicated that the Village had filed routine Motions to dismiss the Case and,
as expected, those Motions were in large part denied. The Discovery process was
currently underway. Mr. Sotos noted that the Plaintiffs' attorneys had been somewhat
tardy in responding to the Village's request for certain Discovery materials. Mr. Sotos
indicated that the Village would ask the Judge in the Case to rule that the Plaintiffs' lack
of response be deemed admissions in favor of the Village. At this point, he was not
sure how that would be resolved. Mr. Sotos further discussed with Board members the
estimated size of the Plaintiff Class and the implications it presented in defending the
Case. Mr. Sotos also noted that the Plaintiffs' attorneys had recently approached the
Village about the possibility of beginning settlement discussions. Mr. Sotos saw this as
a potentially positive sign and recommended that he be given permission to engage in
such discussions. He noted that while he felt the Village's position was very strong, a
favorable settlement agreement might prove to be in the Village's best interest given the
uncertainties of the outcome of a Jury trial. After considerable discussion by the Village
Board, Mr. Sotos was given authority to engage in settlement discussions with the
Plaintiffs' attorneys. Again, the Village Board asked to be kept informed of the progress
of those discussions.
Village Attorney Everette Hill provided an overview regarding the Village's insurance
exposure to date. He stated the Village has a $750,000 deductible and has coverage
from $750,000 to $1 million and then the High Level Access Pool takes liability over $1
million. Insurance companies have been advised as to where the Case stands and at
this point, we have approximately $180,000 into the Case and once the Village reaches
$250,000, the invoices will be passed on to the insurance company for reimbursement.
Settlement options will be forwarded to the insurance companies for further discussion.
The meeting was adjourned with no additional action or direction presented by the
Village Board at 7:21 p.m.
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DAVID STRAHL
Assistant Village Manager
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