Medina to Pay Out More Than a Year Salary to Ex-City Manager

The city of Medina will pay ex-city manager Donna Hanson $156,754 -- or about as much as she would have been paid through mid-September 2014 -- after a separation agreement that became effective over the weekend.

The separation agreement also calls for Hanson to help the city in its transition to a new city manager through Sept. 12, 2014, including participation if the city pursues an appeal of a $2 million bias lawsuit won earlier this year by former police chief Jeffrey Chen.

The city will also pay  $51,401 to Hanson for her work through July 12, which includes a cash payment for her accrued vacation, sick time and retirement benefits, according the agreement document released on Friday.

The city decided to "separate" from Hanson, 5-1-0 with councilman David Lee voting no, at a June 27 meeting. Councilwoman Janie Lee was not present at the meeting. The agreement was described as a mutually agreed upon separation. 

The parting of ways came some months after the city and Hanson were both found liable in March in a federal lawsuit filed by Chen, who claimed that city officials had treated him differently from other department heads because he is Chinese-American.

However, Mayor Michael Luis declined to disclose to Patch last month what led to the council's decision to let Hanson go.

A jury awarded Chen $2 million, including $285,000 in back pay, $1.65 million in loss of income from his inability to find employment in law enforcement, and $100,000 in emotional damages. The jury also said that Hanson must pay $25,000 in punitive damages. 

If the legal battle with Chen extends past Sept. 12, 2014, Hanson will be paid $64.13 an hour for her participation, which is based on her salary, according to the agreement.

Hanson became city manager at Medina in 2008. She came into public conflict with Chen in 2010, culminating in his firing in 2011.

The Medina city council plans to hire a new city manager by the end of the year, with the help of a consulting firm, according to a timeline drawn up this month. The council last week appointed development services director, Robert Grumbach, as interim city manager, according to city officials.


Earlier Medina coverage:
Medina Council Outlines Next Steps in City Manager Search
Medina City Manager Donna Hanson to Leave Post
Ex-Medina Police Chief Jeffrey Chen Wins $2M Bias Lawsuit 
Medina Police Chief Jeffrey Chen Fired
Ousted Medina Police Chief Charges Racism in Lawsuit
Medina Residents Pressure Council Over Police Chief Firing
Medina City Council Takes Heat Over Police Chief's Firing