McDonald severance package still on hold

Individuals often come into a new employment situation after uprooting family members or making other drastic changes for a job with no guarantees.

“Having a built-in severance package for directors is something that has been discussed, but a decision has not been made,” said city manager Kevin Evans, who is currently the only city employee with a built-in severance clause, allowing for a one-year paid salary if he is released.

However, according to Mesa-based attorney Clair Lane, a standardized severance package is something the city may want to look at to help attract highly-qualified employees.

“If a city just lets a person go without a severance, it builds a bad reputation and other employees will not want to come to that city to work,” said Lane, who represented former city employees Amy Haberbosch and Rick Buss in their pursuits of severance packages. The two combined received in excess of $170,000, despite having no standardized severance package.

Now Lane is representing Marty McDonald, another city employee seeking a severance package.

“We are looking for a package similar to what Amy received,” Lane said of the amount, which was essentially six months pay. “It would be nice for my client to have that security while he looks for a new job.”

McDonald was placed on administrative leave by the city nearly two months ago for budgetary reasons.

“When Marty was called into Kevin’s office to be told they were eliminating his position, a severance package in a sealed envelope was on Kevin’s desk,” Lane said. “My client refused it at the time, and the next day he was indicted on this FedEx thing.” (See related story.)

Lane added that McDonald was a model employee, and the city had no reason to eliminate his position. “Marty told Kevin if it was a money issue, he would take a $25,000 pay cut to stay with the city.”

Almost a month after he was put on leave, McDonald’s severance package was scheduled for city council approval, but the item was pulled and has not yet reappeared on a council meeting agenda. Shortly after council tabled that measure, Lane said another investigation began into allegations that McDonald spent city funds without going through council.

“It was funny that when we came up with the e-mail that clears Marty of these FedEx charges, the library issue sprang up,” Lane said.

The library investigation involves the county’s donation of $10,000 to the city to be used for library purchases. Instead of putting the money into the general fund and distributing it to the library, it was put into the Friends of the Library account.

“Everyone knew about this library issue; the check was made out to the Maricopa Library, not the city,” Lane said. “These funds were meant to be used for library purchases, and that’s what they were used for.”

McDonald is currently on administrative leave from the city and is still collecting his standard paycheck.

Lane said he has prepared a complaint to file against FedEx for damages caused to McDonald during the ongoing ordeal. “If we had not found that e-mail, my client would have been in trouble.” Lane has already conducted a sample jury that concluded the indictment and the elimination of McDonald’s job were directly related.

Lane added that he could not comment on whether or not McDonald planned to file a suit against the city. “We just want what is fair for my client,” he said.