MINUTES OF THE BOARD OF COMMISSIONERS' SPECIAL MEETING

LANSING BOARD OF WATER AND LIGHT

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Tuesday, September 10, 2002

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The Board of Commissioners met in a Special Meeting in the Boardroom of the Administrative Offices, 1232 Haco Drive, Lansing, Michigan.

The Secretary declared a quorum present.

All said the Pledge of Allegiance.

Chairperson Callen called the meeting to order at 5:30 p.m.  He announced that the purpose of the special meeting was to discuss the employment agreement of Joseph Pandy, Jr. 

APPROVAL OF MINUTES

Motion made by Commissioner Wonch, seconded by Commissioner Duncan, to approve the minutes of the special meeting and closed meeting held September 5, 2002.

Carried unanimously.

PUBLIC COMMENTS

THE CHAIR ANNOUNCED THAT MEMBERS OF THE PUBLIC ARE WELCOME TO SPEAK TO THE BOARD ON THE SUBJECT OF THE SPECIAL MEETING.

No persons spoke.

EMPLOYMENT AGREEMENT OF JOSEPH PANDY, JR.

Chairman Callen recognized Commissioner Royal, who reported that all of the Commissioners have previously been provided with copies of the Employment Agreement of Joseph Pandy, Jr. throughout the years at various times according to their appointment on the Board.  She stated that the Commissioners have had plenty of time to consider it and to address issues that they feel were a problem.  She noted that none of the current Commissioners were serving on the Board at the time the Employment Agreement was signed in 1992.  Commissioner Royal stated that from her understanding of the law a previous Board cannot bind successor Boards in their governmental duties.  In this regard, it is also her understanding of the law that the employment and appointment of a person is a governmental act.  Consequently, it is her belief that the 1992 Employment Agreement is invalid.  She noted that the Board’s authority to hire and terminate the Director, also called General Manager, is delegated broadly by the City Charter in Section 5-202.1, which states that: “The Board shall appoint a Director who shall be responsible to the Board for carrying out the duties assigned by the Board and shall serve at its pleasure.”  Commissioner Royal further stated that when a public employee serves at the pleasure of the Board, that means that person is an at-will employee, which allows the Board to hire and terminate that employee without cause.

Moved by Commissioner Royal, seconded by Commissioner Wonch, that the 1992 Employment Agreement between the Board and Joseph Pandy, Jr. be declared invalid and that pursuant to the powers of the Board derived from Section 5-202.1 of the City Charter, that Joseph Pandy Jr.’s at-will employment be terminated as of today.

Discussion:  Commissioner Wonch stated that it is also her understanding of the law that the contract is not binding on this Board simply because of the evergreen portion.  She expressed her belief that it seriously hampers the Board’s ability to govern the Board of Water and Light in the best interest of the constituents in the manner provided by the City Charter.  She agreed with the comments of Commissioner Royal  and indicated she feels the Employment Agreement was void from the beginning.

Action:  The motion was adopted by roll call vote:

Yeas:  Commissioners Callen, Duncan, Haggart, Kelson, Marin, Royal, Wonch.

Nays:  None

Absent:  None

Commissioner Royal proposed that the Board needs to have someone given permission to at least on an interim basis assume the duties of the General Manager. 

Moved by Commissioner Royal, seconded by Commissioner Haggart, that the Board direct Bill Cook to assume the duties of interim General Manager with appropriate limitations as to be determined by the Board of Commissioners.  One of those conditions is that personnel changes can only be made with the concurrence of the Board of Commissioners.

Discussion:  Commissioner Royal stated that it is important for the employees to understand that there is someone who will be acting as the interim General Manager.  It is equally important that, as much as necessary, the status quo with respect to employee security remain the same until the Commissioners take further action on the direction to be taken.

Action:  Adopted by roll call vote:

Yeas:  Commissioners Callen, Duncan, Haggart, Kelson, Marin, Royal, Wonch.

Nays:  None

Absent:  None

PUBLIC COMMENTS

THE CHAIR ANNOUNCED THAT MEMBERS OF THE PUBLIC ARE WELCOME TO SPEAK TO THE BOARD ON ANY BOARD OF WATER AND LIGHT SUBJECT.

No persons spoke.

ADJOURNMENT

There being no objection, the meeting adjourned by unanimous consent at 5:47 p.m.

/s/ Mary E. Sova, Secretary
Filed with Lansing City Clerk
September 11, 2002