September 12, 2000 Minutes

Board of Trustees
Fargo Public Library
Special Board Minutes
September 12, 2000

Board Chair Virginia Dambach called the meeting to order at 9 a.m.

Present: David Martin, Virginia Dambach, Betty Kerns, Ryn Pitts, Jean Rayl, Dave Davis, and Joan England.

Status of Library Director resignation/severance negotiations
Dambach reported that a settlement between Davis and the City of Fargo had been reached. Mayor Furness, City Attorney Gary Stewart, Dambach, and Rayl met to discuss the bottom line that the City can and will support. The agreement that Stewart drafted was based on discussions at the meeting. Dambach commented that the terms of the agreement were the norm of City severance packages that have been offered in the past. Because the money is coming out of the library budget, the City is not required to take action ratifying it. Mayor Furness discussed individual commissioner responses and they agreed to support the board in the resolution of the ongoing controversy by being aware of ramifications on the library budget. Dambach stated that it was up to the board to accept Davis’ resignation and offer the severance package or to come up with other options for resolution.

Rayl said that as a library board member, she believed that one of the board’s tasks is to resolve the situation as quickly as possible. Rayl consulted people about possible litigation that might come after asking Mr. Davis to leave or firing him. Rayl believed that the City of Fargo and the library board would be at a great risk and a lot of money would be spent. If the City of Fargo lost in litigation, Davis could be reinstated without any avenue to go forward beyond that. For the good of the FPL, Mr. Davis, and the City of Fargo, Rayl suggested that the board accept the severance agreement. The agreement stated that the City of Fargo agrees to pay Mr. Davis a one-year annual pay with full benefits, $10,000 in attorney’s fees and $6,000 for relocation.

Rayl made a motion that the board accepts the severance agreement, Mr. Davis terminates his employment at the FPL, and that he vacates the building within one hour of the meeting. Kerns seconded the motion. Discussion: Martin said that he had been working on this issue for a year as a board member and he did not want to oppose successfully concluding this matter. He had gotten a lot of feedback from citizens who believed that the severance agreement is not a good idea. He questioned how those involved in the meeting got to the point of paying Mr. Davis’ attorney’s fees and spending twice as much money to relocate him as the library spent to bring him to Fargo. Martin stated that he did not believe that the entire problem is Davis’ fault, but he is certainly part of the problem and the reason for the special board meeting. While compassion is important, so is common sense. Martin asked what kind of precedent Davis’ severance agreement sets for the FPL and the City of Fargo.

Dambach said that attorney’s fees bundled in a severance package like Davis’ is reasonable and normal in the City of Fargo’s past practices. She said that City Attorney Gary Stewart advised them that litigation could be more costly and that there were no legal means to terminate Davis. Martin asked if that included the board’s statutory authority under North Dakota law. Dambach answered that because Davis works under the City of Fargo’s Civil Service system, Davis is afforded the rights of a Civil Service employee, there must be cause for termination, which has to be documented according to City of Fargo procedure. Dambach said that Davis is allowing the library to move forward by extricating himself and the severance package is the price.

Kerns asked if Martin had any suggestions to replace the severance package if the motion was turned down. Martin replied that large numbers of people do not feel as that the severance package is a fair and reasonable settlement on behalf of the citizens of Fargo. Martin stated that people have concerns about paying attorney’s fees and relocation expenses and he wanted to know how that became part of the negotiated agreement. Dambach replied that attorney’s fees and relocation expenses were a part of the original offer from Davis. Rayl commented that she had problems with these two issues, but upon questioning a lot of people and it came back to her that this severance package might be an inexpensive way to move forward as litigation with Davis could be more expensive. Rayl said that she very reluctantly agreed to the package to get the problems behind the library and move forward.

Pitts had questions regarding the letter from City Attorney Stewart to Davis’ attorney Mark Schneider. She asked if Davis waives his right to sue individuals at City Hall, FPL staff, or the board. Stewart said that although this was not stated in the letter, Davis has agreed not to sue if the board accepts the severance package. Pitts questioned if the City of Fargo is represented in this case by the concurrence of the mayor and the individual City commissioners. Rayl answered that the Mayor has seen the agreement and visited with individual commissioners, but the severance agreement does not take an act of the commission to approve or disapprove the package. The city commissioners would only get involved if the library were asking for additional funds. Kerns clarified that Davis’ settlement was coming out of the FPL budget. Pitts said that if Davis were paid in a lump sum, the FPL budget would be in a deficit. She asked if the City understood the ramifications that the package will have on the City of Fargo’s budget. City Attorney Stewart said that Schneider and Davis agreed to spread Davis’ salary over a year’s time, but the attorney’s fees and the relocation expenses would be paid up front.

Pitts asked if the City of Fargo would look favorably on the FPL when it asks for more money. Rayl said that Mayor Furness commented that City of Fargo needs to get on with business and do what is needed to move forward. The board would decide what to do financially in the interim period after the current situation is resolved.

A citizen named Carol Perez asked if the board decision would be discussed at a City Commission meeting. Dambach said that the City Commission does not review the library board actions and that the FPL board is acting within its budgeting authority. The library board’s actions are binding as long as it abides by the law.

Martin asked Rayl if she and Mayor Furness believed that the severance agreement was the best way to resolve the problem. Rayl responded by saying that the agreement is the best way to move forward. She is concerned about what litigation would do to the library, the board, and the City of Fargo.

The board conducted a roll call vote. All members present voted aye; motion carried unanimously.

Dambach clarified that the board chair is the spokesperson for the board. She said that she had been working on drafts to express the board’s regrets about the current situation and gratefulness to Davis for allowing the library to move forward. Rayl cautioned Dambach that it doesn’t become an apology because the whole situation is not Davis’ problem, but he is part of the problem. Rayl did not agree that the board is in total agreement that it owed Davis an apology. Kerns asked to whom Dambach wished to address and said that the media had already heard it all. The board’s consensus was that there would be no formal statement after the meeting. Martin said it was time to move on.

Future library management
Dambach said that since Davis returned from medical leave, England has served as Operations Manager. Her salary is taken from three vacant positions to fund her contracted position. Dambach outlined options for the interim situation: appointing England as acting director, appointing England as acting director while the board searches for an interim manager, and contacting companies that provide management services for troubled libraries. Dambach did not have prices for companies that provide management services. Pitts expressed an immediate need for someone to provide the FPL with management.

Pitts made a motion to charge board chair Dambach and co-chair Kerns to explore alternatives for FPL interim management and present the ideas to the entire board on October 17, 2000. Martin seconded the motion. The motion carried.

Pitts recommended that the board engage England as Acting Director. England’s contract is up for renewal every thirty days and thirty days notice is needed to terminate her services. Martin confirmed that England’s position was an open contract and that she was not a City of Fargo employee.

Pitts made a motion for England to serve as Acting Director. Kerns seconded the motion; the motion carried.

Meeting adjourned at 9:35 a.m.

Respectfully submitted,
Rhonda Roesler