Following closed session on Tuesday, July 27, the Lassen Municipal Utility District Board of Directors announced it had unanimously approved a contract for Pat Holley to become the publicly owned utility district’s general manager, according to a statement from Theresa Phillips, LMUD’s public relations manager. LMUD hired Holley as assistant general manager in March 2017.
According to Holley’s contract, the new general manager will earn a starting yearly salary of $209,000 per year effective with his appointment as interim general manager (April 16, 2011). Holley’s salary also will rise 3 percent per year, but the board may grant him an additional “supplemental 5 percent increase” during his annual review.
Holley and the board will meet in closed session at least twice a year to evaluate Holley’s performance and “make decisions regarding modification to this agreement.”
Holley will receive the vacation and sick and family leave benefits “as provided in the district’s current BEW Local 1245 Bargaining Agreement … however, vacation leave shall accrue at the rate of 25 days per year to start.”
Holley also will receive a company automobile, and the district shall pay all operating expenses, as well as reimbursement of all job-related expenses.
The board encourages Holly to attend relevant utility organizations’ and associations’ meetings and conferences in order to further the district’s interest …” and he shall “devote the whole of his working time, skill, experience, knowledge, labor, energy and attention exclusively to the business and affairs of the district.”
The board may terminate Holley for cause at any time and without cause within five years of the execution of this contract as he will be considered an at-will employee during that time period. Should he be terminated without cause, he shall receive a severance payment equal to a year of his current salary.
Holley may resign with 60 days written notice, and the contract describes the relationship between Holley’s family and the district in the event of his death or disability.
In exchange, Holley agrees to perform the statutory duties and powers of a general manager; carry out policies adopted by the board; recommend new policies as warranted; and implement existing administrative procedures and promulgate new procedures for the effective and efficient operation of the affairs of the district.