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OFFICE OF THE CITY COUNCIL

PRESS RELEASE
Contact:

Kerry L. Nelson
City Council President

Phone:

(810) 766-7418

Date:

February 26, 2016

FLINT CITY COUNCIL LETTER TO GOVERNOR RICK SNYDER


In a letter dated February
three points:

23, 2016,

to Governor Rick Snyder, the Flint City Council addressed

1. The restoration of all powers of Flint city government per Flint City Charter, possibly by way
of a Receivership Financial Review Commission (similar to the system currently in place in
Detroit, Michigan) or the restoration to Flint City Council of the same level of power and
authority as previously granted to Mayor Karen Weaver via the Receivership Transition
Advisory Board (see attached);
2. That the State of Michigan provide the monies necessary to meet the obligations of the
employee contract for the termination of City Administrator Natasha Henderson (see
attached); and
3. That the State of Michigan not engage in any communications, planning or negotiations with
the City of Flint (Mayor or designees) without the presence of at least two members of City
Council and that the State not engage the services of any company providing services for
or about the City of Flint without consultation and or approval of the Flint City Council
(notwithstanding which branch of government is paying for, or intending to pay for, these
services).
Contact Council President Kerry L. Nelson for more information at 766-7418, Ext. 3161.
Attachments (3)
--######--

1101 S. SAGINAW STREET

MUNICIPAL CENTER
FLINT. MICHIGAN 48502

(810) 766-7418

FAX (810) 766-7032

OFFICE OF THE CITY COUNCIL

February 23, 2016


Dear Governor Rick Snyder: (snyderli (~michigan.gov)
As the Legislative Body of the City of Flint, we are writing to you to express our desires for your actions on behalf of
Flint.
It is Flint City Councils belief that it is incumbent on you, as the Governor of the State of Michigan, having restored to
the mayor of Flint some or all powers authorized in the Citys Charter, to now restore the same level of power and
authority to the City Council.
Despite Public Act 436 of 2012, City Council believes that the restoration to only one part of an (intended) co-equal
branch of City Government is most likely a violation of both the U.S. Constitution and State of Michigans Constitution
regarding separation of powers, and certainly violates our nations most revered concepts of a Check and Balance
system of government. Without restoration of City Council powers to confirm appointments, we are powerless to
respond to the Mayors Appointments; and/or any other actions she may take without City Councils knowledge.
STATEMENT OF REQUEST #1:

It is the express intent of the Flint City Council to call for the State to immediately: I) either fully restore all
powers of Flint City Government per Flints City Charter, (perhaps) incorporating a Receivership Financial
Review Commission (similar to the system currently in place in Detroit, Michigan); or, 2) restore the same
level of power and authority to the City Council (as legally mandated by Flints City Charter, and in full
accord with their prescribed role as a co-equal branch of city government) as per what has been previously
granted to Mayor Karen Weaver via Receivership Transition Advisory Board for the City of Flint IRTAB]
Resolution 2016-1.
Additionally, by issuance of Receivership Transition Advisory Board for the City of Flint [RTABJ Resolution 2016-1,
the Governors actions have created a fiscal burden on the City of Flint by apparently leading Mayor Karen Weaver to
believe she did not have to adhere to a Civil Employment Contract, prepared by the Governors appointed
Emergency Financial Manager (Darnell Early) on behalf of City Administrator Natasha Henderson. Please see
enclosed contract and the termination clause which requires the approval of the Mayor AND the City Council AND
the RTAB for contract termination. Mayor Weaver acted on her own initiative without consulting or notifying City

1101 S. SAGINAW STREET

MUNICIPAL CENTER
FLINT. MICHIGAN 48502

(810) 766-7418

IAXASIO) 766-7032

Governor Snyder

February 23, 2016

Page 2

Council and (perhaps) the RTAB. This has created a situation where the City of Flint is now obligated to pay Ms.
Henderson in excess of Seven Hundred Thousand Dollars ($700,000.00). Instead of stabilizing Flints fiscal
situation, the State has added to the financial burden and fiscal instability.
The States and Mayor Weavers actions are a direct violation of the Emergency Managers Order No. 20, 4(al -2)
regarding The Mayor and City Council shall implement all of the following financial best practices with the city and
do all the following:.. by causing the city to be obligated to pay Henderson in excess of Seven Hundred Thousand
Dollars ($700,000.00). Although the repeal of 4(b4) which required the approval of the RTAB, Mayor Weaver still
violated the Employment Contract Termination clause of Hendersons contract. City Council does not believe
anything in Public Act 436 or any subsequent resolutions to or by the RTAB board supersedes the contractual
obligation. (Note: there is no money in Flints budget to pay for another City Administrator). Flint City Council has
voted to NOT terminate Natasha Hendersons contract (see enclosed). It is for this reason that we make Statement
of Request #2.
STATEMENT OF REQUEST #2:
It is the request and expectation of Flint City Council that the State of Michigan will provide the monies
necessary to meet the obligations of City Employee Contract for Termination of City Administrator, Natasha
Henderson.
Furthermore, City Council has no way to keep our constituents informed since the City Administrator (Natasha
Henderson) was the only individual in Flint City Government to relay information to Flint City Council about the State
negotiations (i.e., appropriations to counter balance the poisoning of Flints water by State Actions, forgiveness of
Revolving Loans for Sewer & Water Fund, the state of the Water & Sewer fund, and all other information as it relates
to the overall operations of Flint, etc.) Since Mayor Karen Weaver engages in communications about these activities
WITH the State WITHOUT keeping Flint City Council in the process either informationally, obligatory or otherwise, we
make Statement of Request #3.
STA TEMENT OF REQUEST #3:
It is the request, and expectation of Flint City Council that the State of Michigan will not engage in any
communications, planning, or negotiations with the City of Flint (Mayor or designees) without the presence
of at least two members of Flint City Council designated by our Council President. Additionally, it is the wish
of Flint City Council that the State not engage the services of any company providing services for or about
the City of Flint without the express consultation and/or approval of Flint City Council (e.g. Rowe);
notwithstanding which branch of government is actually paying for, or intending to pay for, these services.

We respectfully submit this communication to you, the Governor of Michigan, and to appropriate officials in the State
of Michigan on this 23rd day of February 2016. In light of the current crisis, please provide us with a rapid response.

Governor Snyder

February 23, 2016

Kerry Nelson, Flint City Council President,

Eric Maya, Flint City Councilperson,

1St

3rd

Page 3

Ward

Ward

Jack>fopla(

j4tL CQL
Kate Fields, Flint City Councilperson, 4 Ward

Wantwaz D

City C

ncilperson,

5th

Ward

It
Herbert Winfrey, Flint City Councilp~rs~jh Ward

Monica Galloway, Flint City Council~?~b~5 Ward

Scott Kincaid, Flint City Councilperson,


Enclosure: Natasha Henderson City of Flint Employment Contract
-

CC:

State of Michigan Treasurer Nick Khouri (khourin~michigan.gov)


Flint Receivership Transition Board
Frederick Headen (headenf@michigan.gov)
Joel Ferguson
Michael Finney
Michael Townsend
Genesee County Commissioner Jamie Curtis
State Senator Jim Ananich
State Representative Sheldon Neeley
State Representative Phil Phelps
U.S. Congressman

5th

District Dan Kildee

U.S. Senator Debbie Stabenow


U.S. Senator Gary Peters

9th

Ward

CITY ADMINISTRATOR EMPLOYMENT AGRtEMENT


This agreement (hereinafter Agreement) is to set forth the terms and conditions of
employment of the City Administrator, and is entered into betwee the City of Flint, aniunicipal
corporation (hereinafter City) and Natasha L. Henderson (hereinafter City Administrator);
collectively referred to as the Patties.
WHEREAS, the City is empowered though statutory authority conferred by the Home
Rule Ctk~ Act, MCL 117.1, et seq., and the Local Financial Stability and Choice Act, MCL
141.1541, et seq., and Flint City Charter 4401, to appoint and retain a City Administrator, and
hereby appoints the City Administrator for the effective and efficient operation of the City; and
WHEREAS, the City Administrator has agreed to accept employment as the City
Administrator, subject to the terms, conditions and provisions ofthis Agreement.
THEREFORE, in consideration of the mutual covenants contained herein, the
consideration of which is hertby stipulated to, the Parties agree as follows:
LTERM
1.1
The City Administrators appointment shall be for a term of five (5) years, commencing
on
~.
2Cfl 5 (the Commencement Date~ and shall continue up to and
including
t~4tJI tI-1 2020.

~et~p~Lv

-,

IL EMPLOYMENT
2.1
DUTIES. The City Administrator shall serve the City at the direction of the Emergency
Manager, Mayor, and City Council, as set forth by applicable law and ordinance (the City
Administrators Duties).
The City Administrator shall perform the City Administrators Duiies with reasonable
care, diligence, skill and expertise.
2.2
CITY COUNCIL MEETINGS.
Except to the extent prohibited by or in material
conflict with applicable laws and authorities, the City Administrator shall attend, and shall be
permitted to attend, all meetings of the City Council, both public and closed, with the exception
of those closed meetings devoted to the consideration of any action or lack of action on, or
pursuant to, this Agreement, or any amendment thereto, or the City Administrators evaluation.
2,3
CRITICISMS, COMPLAiNTS, AND SUGGESTIONS.
The City Council,
individually and collectively, shall refer in a timely maimer all substantive criticisms,
complaints, and suggestions called to the City Councils attention to the City Administrator for
study and/or appropriate action, and the City A4ministramr shall refer the matter(s) to the
appropriate City employee or shall investigate such matter(s) and inform the City Council of the

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results of such efforts.


2.4
INDEMNIFICATtON. To the extent it may be permitted to do by applicable law, the
City does hereby agree to defend, hold harmless, and indemnit& the City Administrator from any
and all demands, claims, suits, actions, judgments, expenses arid attorneys fees incurred in any
legal proceedings brought against the City Administrator in the. City Administrators individual
or official capacity as an employee and as City Administrator, providing the incident(s), which is
(are) the basis of any demand, claim, suits, actions, judgments, expenses and attorneys fees,
arose or does arise in the future from an act or omission of the City Administrator, as an
employee of the City, acting within the course and scope of the City Administrators
employment with the City; excluding, however, any demand, claim, suits, actions, judgments,
expenses and attorneys fees for those claims or any causes of action where the City
Administrator committed official misconduct, or committed a willful or wrongful act or
omission, or an act or omission constituting gross negligence, or acted in bad faith; and
excluding any costs, fees, expenses or damages that wculd be recoverable or payable under an
insurance contract, held either by the City or by the City Administrator. The provisions of this
Paragraph 2.4 shall survive the termination, expiration or other end of this Agreement and/or the
City Administrators employment with the city.
2.5
APPROPRIATION. The City has appropriated, set aside and encumbered, and does
hereby appropriate, set aside, and encumbei~ available and otherwise unappropriated funds of the
City in an amount sufficient to fund and pay all financial obligations of the City pursuant to this
Agreement.
2.6
ROIJRS OF WORK. The City Administrator acknowledges the proper performance of
the City Administrators Duties require the City Administrator to generally observe normal
business hours and will also often require the performance of necessary services outside of
normal business hours. The City Administrator agrees to devote additional time as is necessary
for the full and proper performance of the City Administrators Duties and that the compensation
herein provided includes compensation for the performance of all services. However, the City
intends that reasonable time off be permitted the City Administrator, as is customary for exempt
employees, so long as the time off does not interfere with the normal conduct of the office of the
City Administrator. The City Administrator will devote full time and effort to the performance
of the City Administrators Duties, and shall remain in the excLusive employ of the City during
the term of this Agreement.

Ill. COMPENSATION
3.1
SALARY. The City shall provide the City Administrator with an annual salary in the
sum of One Hundred Forty Thousand Dollars ($140,000.00). This annual salary rate shall be
paid to the City Administrator in equal installments on the schedule of Mayoral appointees and
shall be paid net of any applicable withholding or deductions required by the law. Bqsed upon
the annual Performance Evaluation set forth in Paragraph 5.1, the City Administrators salary
may be increased up to five percent (5%) annually, in the discretion of the City, and with consent

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\~_//l7

of any other necessary parties, including but not limited to the Receivership Transition Advisory
Board.
3.2
PAID LEAVES PAID rIME OFF (PTO) AND HOLIDAY. The City Adminisfltor
may take, at the City Administrators choice, the same number of hours of PTO authorized for
non-represented employees of the City, the PTO to be in a single period or at different tunes.
The PTO taken by the City Administrator will be taken at such time or times as will [east
interfere with the performance of the City Administrators Duties. The City Administrator shall
observe the same legal holidays as provided by the City for its non-represented appointees. Par
purposes of this subsection, the City shall recognize City Administrators time accrued in former
similar positions.
-

3.3
BENEFITS GENERAL. Unless expressly provided otherwise in this Agreement, in
addition to those benefits specifically set forth herein, the City Administrator shall be entitled to
the same benefits that are enjoyed by other non-represented employees of the City, as may
change from time to time.
-

3.4
INSURANCE
HEALTH. The City agrees to pay the premiums for health,
hospitalization, vision, dental and comprehensive medical insurance for the City Administrator at
the same levels provided to other non-represented employees of the City, as may change from
time to time, as currently set forth in Emergency Manager Order No. 24.
.-

3.5
LIFE INSURANCE.
The City shall provide the City Administrator with life
insurance in an amount equal to one (1) year of salary as adjusted pursuant to the Agreement.
3.6 DEFINED CONTRIBUTION PROGRAM.
The City Administrator shall be
entitled to participate in the City of Flint Defined Contribution Plan as set forth in Flint City
Code 35-1, which currently requires a four percent (4%) employee contribution to obtain an
eleven percent (11%) contribution from the City; however, the City Administrator shall be
exempt from any vesting requirements of that program. The City Administrator is expressly
excluded from participation in any City defined-benefit retirement programs.
3.7
AUTOMOBILE ALLOWANCE: The City shall pay to the City Administrator a car
allowance of Five Hundred Fifty Dollars ($550.00) per month, City Administrator shall
maintain liability, property damage, and comprehensive insurance coverage for the operation,
use, and maintenance of said automobile, at the cost of the City Administrator.
3.8
COMMUNICATION ALLOWANCE:
The City shall pay to the City Administrator
a communication allowance of One Hundred Twenty-Five Dollars ($125.00) per month.
3.9
RELOCATION EXPENSES:
The City shall reimburse the City Administrator tbr
relocation expenses in an amount not to exceed two thousand five hundred dollars ($2,500).
Payment shall be based upon invoices and receipts submitted to the City for services including

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movement of normal and reasonable household goods, and hotel expenses associated with a
maximum of two house-hunting trips.
3.10 EXPENSES. The City shaLl pay or reimburse the City Administrator for reasonable
expenses incurred by the City Administrator in the continuing performance of the City
Administrators duties under this Agreement. The City agrees to pay the actual costs incurred by
the City Administrator for travel. Such actual costs may include, but are not limited to, gasoline,
hotels and accommodations, meals, rental car, and other expenses incurred in the performance of
the business of the City. The City Administrator shall comply with all procedures and
documentation requirements.
3.11 CIVIC ACTIVITIES. The City Administrator is encouraged to participate in
community and civic organizations and activities.
IV. PROFESSIOrga GROWTH
4.1
PROFESSIONa DOES AND SUBSCRIPTIONS. The City agrees to budget for and
to pay for reasonable professional dues and subscriptions of the City Administrator necessary for
continuation and fill participation in national, state, regional, and local associations and
organizations as necessary and/or desirable for the good of the City through the City
Administrators continued professional participation, growth and advancement.
V. PERFORMANCE EVALUATION

5.1
EVALUATION PROCESS. The City shall review the City Administrators job
performance at least once annually, unless the Parties agree otherwise. The annual performance
reviews and evaluations shall be in writing and in accordance with criteria and format developed
jointly by the City and the City Administrator. The City shall provide the City Administrator a
reasonable and adequate opporthnity to discuss with the City Council and/or respond to the City
Administrators evaluation.
VI. TERMINATION
6,1
A.
The City may terminate, without cause, this Agreement (and the resultant
employment relationship) with the City Administrator before the expiration set forth herein, by
mutual agreement of the Emergency Manager, or Mayor, and City CounciL. If there is no longer
an Emergency Manager appointed, this Agreement may be terminated by mutual agreement of
the Mayor and City Council, with the approval of the Receivership Transition Advisory Board.
In the event that this Agreement is terminated pursuant to this subsection [6.1 (A)j of the
Agreement, the City Administrator shall be entitled to a lump sum payment equivalent to six (6)
months salary as set forth herein, as well as accrued PTO.
B.
The City may terminate, for Good Cause, this Agreement (and the resultant
employment relationship) with the City Administrator before the expiration set forth herein, by
mutual agreement of the Emergency Manager and City Council. If there is no longer an
Emergency Manager appointed this Agreement (and the resultant employment relationship) may

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be terminated by mutual agreement of the Mayor and City Council for Good Cause, with the
approval of the Receivership Transition Advisory Board. In the event that this Agreement is
terminated pursuant to this subsection [6.1(B)] of the Agreement, the City Administrator shall be
entitled to accrued PTO.
C.
The City Administrator may voluntaTily terminate this Agreement before the
expiration of the term set forth herein by providing thirty (30) days advanced written notice,
unless agreed upon otherwise by the Parties. In the event that this Agreement is terminated
pursuant to this subsection [6.1(C)] of the Agreement, the City Administrator shall be entitled to
accrued PTO.
6.2
GOOD CAUSE. For purposes of this Agreement the term good cause is defmed as
sole proven acts or omissions as follows:
A,
Any willful, knowing, grossly negligent, or negligent breach, disregard or habitual
neglect of any provision of this Agreement, or any willful, knowing, grossly negligent, or
negligent breach, disregard or habitual neglect of any duty or obligation required to be performed
by the City Administrator under this Agreement or applicable law.
B.
Any misconduct of the City Administrator involving an act of moral turpitude,
criminal illegality (excepting minor traffic violations), or habitual violations of the tr~afflc laws,
whether or not related to the City Administrators official duties hereunder.
C.
Any willful, knowing, grossly negligent, or negligent misapplication or misuse,
direct or indirect, by the City Administrator, of public or other finds or other property, real,
personal, or mixed, owned by or entrusted to the City, any agency or corporation thereof, or the
City Administrator in their official capacity.
VII. GENERAL PROVISIONS
7.1
COMPLETE AGREEMENT. This Agreement sets forth and establishes the entire
understanding between the City and the City Administrator relating to the employment of the
City Administrator by the City. Any prior discussions or representations by or between the
Parties are merged into and rendered null and void by this Agreement. The Parties by mutual
written signed agreement may amend any provision of this Agreement during the term of this
Agreement; such amendments shall be incorporated and made a part of this Agreement.
7.2
BINDING EFFECT, This Agreement shall be binding on the City and the City
Administrator as well as their heirs, assigns, executors, personal representatives and successors
in interest.
7.3
SAVINGS CLAUSE. If any term or provision of this Agreement as applied to any
party or to any circumstance, is declared by a court of competent jurisdiction hereof to be illegal,
unenforceable or void in any situation and in any jurisdiction, such determination shall not affect
the validity or enforceability of the remaining terms and provisions hereof or the validity or
enforceability of the offending provision in any other situation or in any other jurisdiction. The

Page5

Parties agree that the court or arbitrator making such determination shall have the power to
reduce the scope, duration, area or applicability of the term or provision, to delete specific words
or phrases or to replace any illegal, unenforceable or void term or provision with a tarn or
provision that is valid and enforceable and that comes closest to cxpressing the intention of the
invalid or unenforceable term or provision.
7.4
CONTROLLING LAW. This Agreement shall be governed by and construed and
enforced in accordance with the laws of the State of Michigan and jurisdiction shall rest in a
court of competent jurisdiction within Genesee County, Michigan.
WHERE1?ORE, the Parties have executed this Agreement by affixing their signatures
below:
CITY OF FLINT:

By: Darnell Earlcy, ICMA-cM, MV


Its:
Emergency Manage
Date: ~

Date:
APPROVEI) AS TO FORM:
Peter M. Bade, Chief Legal Officer

SMChubbWmployment MsUers\Employment Acreement for City Administrator vLo.dac

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/60014~
RESOLUTION NO.:

CA? J~/72o/c~

PRESENTED:
ADOPTED:

/ ? /6

______________________

BY THE MAYOR:
RESOLUTION APPROVING THE TERMINATION OF
EMPLOYMENT OF NATASHA L. HENDERSON AS CITY ADMINISTRATOR
Pursuant to 4-201 of the Flint City Charter, the Mayor may appoint a City Administrator, with
City Council approval, and that individual shall serve at the pleasure of the Mayor; and
To that end, the Mayor has made the decision to terminate the employment of Natasha L.
Henderson as City Administrator effective immediately upon approval of this resolution by the
Receivership Transition Advisory Board; and
Concurrent with the termination of Ms. Hendersons employment, all funds set aside within the
City Administrators budget for the purpose of wages, salaries and benefits shall be made available to
facilitate the appointment of a City Administrator of the Mayors choosing, with City Council
approval.
IT IS RESOLVED, that the Mayor and City Council shall, on behalf of the City of Flint,
terminate the employment of Natasha L. Henderson, City Administrator, effective immediately upon
approval of this resolution by the keceh~erthip Tiinsition AdSiiso~ Boai~d, and mae available all
funds set aside within the City Administrators budget for the purpose of wages, salaries and benefits,
to facilitate the hiring of a City Administrator of the Mayors choosing, with City Council approval.
APP1IOVED AS TO/ORM:

~IL
AnthoyW! Chubb, Interim City Attorney
~----

APPROVED AS TO F,INANCE:

FOR THE CITY:


_____

D~i9Kareu W. Weaver, Mayor


APPROVED BY CITY COUNCIL:
Kerry Nelson, City Council President

TRANSITION ADVISORY
BOARD:

PRESENTED TO CITY COUNCIL: 2/22/2016


FAILED BY CITY COUNCIL: 2/22/2016