Onto. council approves new contract for manager

ONTONAGON — With the recommendation of the Personal Committee, the Village Council unanimously renewed a three-year contract with village anager Joe Erickson.

Council member Tony Smydra, speaking on behalf of the Personal Committee stated a few parts of the contract that the Council should be aware of. This included a portion of the contract dealing with the Council asking for Erickson’s resignation “without cause.”

The wording reads, “the Manager shall be entitled to one month for each full year of service in severance pay based on the annual salary and employment terms in effect at the time of termination. Severance compensation shall be inclusive of health insurance and all other benefits provided in this agreement. The Manager will receive payment for any accrued personal time off (PTO).’

Regarding PTO, the contract also provides Erickson with credits of PTO going back to July 1, 2010. Erickson may also elect to have up to 80 hours of PTO where he will be paid an hourly rate into Michigan’s Municipal Employee’s Retirement System (MERS).

Smydra informed the council the contract allows Erickson to determine his own hours. The contract reads “the Manager is expected to work variable and extended hours, he shall have the discretion to adjust his working hours as needed.”

Erickson will receive a monthly vehicle allowance of $225 per month for travel in the Upper Peninsula. Travel outside of the UP will be paid based on the Internal Revenue Service rate. The village will also pay $25 per month for personal cell phone use.

The council can also pay Erickson additional money for merit pay. The village will cover expenses for specified meetings, pay up to $500 per year for continuing education and provide health insurance equivalent to the village’s union contracts.

The contract runs from Jan. 1, 2019 to Jan. 1, 2022.