MARBLEHEAD – Selectmen could be discussing the future of the town’s first female police officer at next Wednesday’s meeting.Police Sgt. Marion Keating, a 33-year veteran officer, is accused of making an off-color remark, possibly using a four-letter word, in a Dec. 22 conversation with Patrolman Michael Daigle, Police Sgt. Donald Decker and Assistant District Attorney Emily Tarr, in a manner which reportedly left Daigle feeling embarrassed.Town Administrator Tony Sasso is preparing a report for the selectmen. According to Assistant Town Counsel Marc Miller, who represented the town at Sasso’s public hearing Friday, Sasso has “a reasonable time” to make his report and once they receive it selectmen should make a decision within seven days.”Since this involves a police officer’s reputation the selectmen may wish to review the report in executive session,” Miller said. “They have to inform (Sgt. Keating) in advance of that and she has the right to be there with her attorney.”Keating has the right to appeal the selectmen’s finding to Civil Service or an arbitrator.Daigle filed a report on the conversation, leading to Town Administrator Tony Sasso’s public hearing Friday. Under state law the incident could lead to Keating’s discharge, removal, transfer, demotion, lay-off or suspension.Sgt. Keating said the wording of the remark, which she disputes, was intended humorously and she pointed out that such conversations are a frequent occurrence at the police station. Her lawyer, Attorney Stephen Pfaff, pointed out that the incident occurred less than two weeks after the settlement of her sexual discrimination lawsuit against the town, which ended with the town paying $40,000 toward her legal fees and assigning her to three stipended posts which pay an additional $1,400 a year.Assistant Town Counsel Marc Miller questioned an official report Keating made on the incident in which she denied making the remark, stating that it reflected on her truthfulness and could be grounds for termination.Attorney Pfaff said the report in question concerned an internal investigation, not an arrest, and was not grounds for dismissal. “She (Sgt. Keating) denies making the remark,” he said.