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November agreement gives McGuire golden parachute
On Nov. 24 the Nevada City Council held a special meeting to approve an emergency ordinance accepting Nevada City Manager William McGuire's resignation and until this time have provided no information on the circumstances surrounding his resignation.
McGuire's resignation and settlement agreement were only available at the city clerk's office and was not shown during the Nov. 24 meeting.
Since his resignation, questions have been raised by several of this newspaper's columnists as well as rumors that we have not been able to verify circulating throughout the community.
McGuire's resignation and settlement agreement was recently obtained through a document request to the city and it answers some of the questions that have been raised, but does nothing to address most of the rumors about town.
According to the agreement McGuire had 21 days to consider whether he would accept the agreement, which provided for him being paid all of his salary and benefits due him on the date he accepted the agreement, plus six months salary, which was $44,750.
According to McGuire's employment contract with the city if he resigned without six months' notification he was not to receive any severance pay as was provided for in the settlement agreement.
According to the agreement if he did not accept the agreement within the 21-day period, the offer was void. After accepting the agreement McGuire had an additional seven days to change his mind.
As part of the agreement both McGuire and the city give up their rights to sue the other party for almost any conceivable reason and if they still sue, the agreement states the document can be used as an absolute defense against any of the causes of action specific in the agreement.
According to paragraph 3 of the agreement:
"The parties mutually release each other from all obligations, claims, complaints or causes of action, known and unknown whether statutory or common law, or in equity which either might claim against the other, including any claims under the age discrimination and employment act, Title VII of the Civil Rights Acts of 1964, the Civil Rights Act of 1991, the Americans with Disabilities Act, the Employee Retirement Income Security Act, the Fair Labor Standards Act, the Family and Medical Leave Act, the Missouri Human Rights Act, any Missouri general laws, 42 U.S.C. §1983, 42 U.S.C. §1981, and any other federal, state, or local common law, including any and all claims in tort or contract, and mutually release and acknowledge full satisfaction of all such claims either might advance against the other, it being mutually understood that both parties deny liability to each other whatsoever and acknowledge that this settlement is made to the end that the expenses and uncertainties of litigation might be avoided. This agreement may be pleaded by either party as a full and total defense to any action either might file against the other arising out of the entire relationship between the parties."
Nevada Mayor Mike Hutchens has been offered the opportunity several times to clarify the issue and so far he has declined.
Our investigation of the matter is ongoing and as we uncover additional verifiable information it will be made public.
The entire settlement agreement can be read on the newspaper's Web site at http://www.nevadadailymail.com.