January 18, 2010

Mike Wilson, former Indio City Councilman, sent this out in advance of the Jan. 20 City Council meeting:

If you can make time please come tonight at 5pm or as soon as you can get there after to be seen and speak, if you want too, to the Council and people of Indio. The Golden Handshake should not be given to those that put Indio and us into the current financial implosion that Indio faces. We know Indio is at least 14 million in the hole and probably a lot more. The plan before the Council is a backroom, and a very dark backroom, sweetheart deal that allows those that have colluded in many hidden unthinkable acts to leave Indio with unimaginable retirements and us the Indio Taxpayers the bill for all the dirty deeds. Please forward this email to all of your contacts and friends. We need to fill the Chambers. If you think the Credit Card Debacle by Indio's leaders is bad, wait until the rest comes out. It is time to hold the Council and Administration Accountable and Responsible for their acts. While this deal will allow the Administration such as Glenn Southard, Steve Copenhaver, Dave Ison, Susan Mahoney, Tara Adams, and many, many, more to escape the embarrassment of their acts it will also leave those that are left, the rank and file hard workers, who have been here for many, many years giving of themselves to Indio's residents and earning it, the burden of most likely the biggest layoff's the City has ever seen. It appears that 40-50 more employees will have to be cut to bridge the budget gap that exists. There is no other Revenue sources that will save people. So, why should the rich get richer and the rest of us holding the bag? If people are to be laid off than lay off the "At Will" high salaried contracts first and than proceed. NO sweet deals for anyone.The Council and this Administration need to face the music just like everyone else. Thanks.

Desert Sun: 'Golden handshakes' draw comment. Ms. Pena mostly quotes the proponents.

There is more of a savings with the early retirement program than if the city were to just lay-people off because of how expensive severance pay could be with some employees, Adams said.

Thank goodness for the comments section below the article. Here are some astute remarks:

workinguy wrote:

I believe Mr. Southard is an at will employe and the council could simply discharge him, pay any accrued compensation and select a new manager with a more reasonable salary. The terms of Mr. Southard's employment should clearly call out what he is entitled to, if the council has given him anything that rembles a "Golden Handshake" then their collective judgement needs to be seriuosly examined.

and

SoundsRight wrote:

Increased contributions to PERS retirement is only a benefit to the city if the positions vacated by the recipients of the "golden handshake" are not replaced. Do you think the City Manager is not going to be replaced if he accepts the "golden handshake". Get real.

If you fill the vacated positions, you have increased the cost to the city for the enhanced retirements paid out for the life of the recipient. You are also paying for the current cost of the position filled. How does that save money?

I personally doubt that Mr. Southard and his 'lucky' cohorts would have placed themselves 'at will', given the concessions made by this gullible Council and given Ms. Adams statement about severance pay. This is a factual question. Why not merely allow Mr. Southard, so highly esteemed by this Council, to remain to the end of his contract?

Further, I wonder whether the added costs for early retirement of that contingent are entirely born by the residents of Indio or can Indio shift some of those costs to California residents outside the city?

1/27/10 update: email from Mr. Southard to Indio:

From: Glenn Southard Sent: Wednesday, January 27, 2010 2:42 PM To: City Council Cc: All City Personnel; Edward Kotkin

Subject: Retirement

I have decided to accept the Early Retirement Incentive effective April 1. This will save a significant amount of money for the city and hopefully make it easier to keep lower level employees. I will work with you on a transition plan. When I accepted the City Manager position I committed to 5 years. I have met that promise. During that time amazing and significant positive changes have been accomplished. The City of Indio has been transformed into a different place. This was achieved though vision, leadership, hard work and a great staff. The recent citizen survey shows high marks for what has been implemented. I have enjoyed the people of Indio and they will always be special to me. Gale and I will continue to live in Indio and be involved in the fabric of the community. I wish the Council and staff the best as they right size the organization to reflect the current economic realities. But make no mistake; Indio has a bright future! Bravo to all that have helped make Indio “The Place to Be”. Sincerely,

Glenn D. Southard

City of Indio

City Manager

I wonder how he could have accepted a 'golden handshake' a week before its enactment, unless the fix was in. I urge attendance at the Feb. 3 City Council meeting. See my earlier note about Indio.

The Desert Sun noticed the presumption and reported on it: Early retirement deal has yet to be approved and Indio City Manager Glenn Southard to retire.

1/29/10 update

Desert Sun: Indio to tap former finance director to 'right-size' city hall

Comments thereunder:

SoundsRight wrote:

What is the matter with those people? Why do you pay high salaries to administrative and management employees, only to have to hire a "part-time" outside consultant [at $14,000/month] to "fix" city hall? I'm sure that it is a coincidence that the consultant is a former associate of the outgoing city manager! When the taxpayers hear that they are paying "golden handshakes" to increase the retirement benefits of employees [for life]being encouraged to leave city service to "save" money, only to then hear that someone is being brought in from the outside at $14,000/month for 20 hours work per week they should be OUTRAGED.

and

carlitos wrote:

you can't even make this stuff up

2/5/10 update

Desert Sun: Indio council OKs 'golden handshakes'

Comment thereunder:

goldeng wrote:

CalPERS needs to review! Golden isn't ment for CMs! It doesn't seem to meet the requirements:

a. The member is employed in a specified job classification, department, or other organizational unit and retired within the period designated by the governing body. (The benefit CANNOT BE PROVIDED on the basis of employee organization or nonrepresented groups).

b. The governing body must certify that it is electing to be subject to the provisions of this section due to mandatory transfers, layoffs and/or demotions that constitute at least one percent of the job classification, department, or organizational unit.

c. The governing body must certify that it is the intention at the time Section 20903 becomes operative that any vacancies created by retirements under this section or at least one vacancy in any position in any department or organizational unit SHALL REMAIN PERMANENTLY UNFILLED thereby resulting in an overall reduction in the work force of such department or organizational unit.

2/4/2010 10:30:25 AM

The 3 hour Council meeting video is available, and it sheds some light on an ugly situation. Who is to blame for the mess? In one sense, we residents are, for electing a bunch of incompetents.

2/26 update: comment on No $300,000 salary for new city manager

beindio wrote:

We have Glen Southard at 300k a year. We also have 2 count em 2 assitant

city managers. Is that enough to run this huge metropolis of Indio?

No we need to hire a consultant at 14k a month to tell these 3 how to get the job done.

Geeeeez cant figure out why were broke.

I'm thinking Mr. Southard's pay is at the top in the nation for such work, a very dubious distinction, and approaching that of The President of the United States, at $400K.