FPUD GM gets bonus, voting majority changed on contract

With the average domestic water user in the Fallbrook Public Utility District (FPUD) paying 10 percent more this year for water and sewer services, the board of directors cast a unanimous vote to approve a bonus for the general manager of the agency.

Additionally, they implemented a change that would require a four-person majority, instead of the customary three, to terminate the general manager’s contract without cause.

“We did a complete review on the general manager, the goals that were set and the accomplishments that were made,” board member Don McDougal said. “His accomplishments were above our expectations. We felt it better to give a one-time bonus rather than raise [his] base salary that compounds with COLA [cost of living adjustment] year after year.”

At their August 26 meeting, board president Bert Hayden and members McDougal, Keith Battle, Milt Davies and Al Gebhart voted in favor of adopting Ordinance No. 326, providing General Manager Keith Lewinger with a one-time bonus of 2.6 percent of his salary ($189,933), which amounts to $4,938.25.

Perhaps of even more significance is the change to increase the board majority from three to four to remove him from his position without cause.

Given the fact that this is an election year, and three of the five board members (Hayden, Battle and McDougal) are seeking reelection, it may be indicative that Lewinger has worries about his job security. However, only one seat (Battle’s) is being contested. Running against Battle is board critic Archie McPhee.

“We wanted to make sure that if there is an attempt to get rid of general manager without cause, it would require a substantial number of board members to do it,” McDougal said. “It was just part of the negotiation [with Lewinger].”

Lewinger drafted a memorandum in July asking board members for a minimum of a 2.5-percent “merit” raise in salary, a modification in his contract to require four affirmative votes in order to terminate his contract without cause and a “third party health insurance” policy that would limit his and his spouse’s “out-of-pocket healthcare costs” after his retirement, with the agreement he wouldn’t retire until at least July of 2010, at which time he indicated he would be 61 years old.

In the memorandum, Lewinger says he was given a COLA raise in 2007, as were all district employees. He also reiterated that his car allowance of $728 per month was wrapped into in his base salary in 2007. He received a COLA July 1, 2008, as did other FPUD employees.

Out of Lewinger’s three requests came the board’s decision to give him the 2.6-percent “one-time” bonus and the change in the voting majority for contract termination.

Lewinger sought the merit raise, voting change on his contract and post-retirement benefit based on what he felt were his “major accomplishments” over the last year.

The accomplishments he cited in the memorandum included: implementing new rates and charges with “minimal negative comment from the community,” the contract secured for selling dried sludge, a commitment of $2.5 million in grant funds from the California Water Authority to continue/complete the Santa Margarita River Conjunctive Use project, positive reaction of the design process of the UV facilities at Red Mountain Reservoir by the health department and the district having been recognized for their outreach efforts with a Cornucopia Award by the Fallbrook Union Elementary School District.

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