Zelefsky settlement reaction

Huntington Beach’s planning director received $126,550 in a settlement from the city after recently resigning, according to documents released by City Atty. Jennifer McGrath.

Howard Zelefsky’s last day was Aug. 4.

Planning Commissioner Tom Livengood said the settlement sounded like a “year’s pay buyout.”

“In the corporate world, when an executive at that level is terminated, there’s a dollar amount in that range,” Livengood said.

It’s unclear why Zelefsky was forced out, but some observers have speculated it has to do with a personality clash between Zelefsky and City Administrator Penny Culbreth-Graft, as well as Zelefsky’s siding with Bella Terra Mall owners and DJM Capital Partners on whether to give the company a $15-million subsidy, previously given to J.H. Snyder, the former owners of Bella Terra.

Zelefsky received six months of severance pay, or about $70,000; a lump sum amount of $54,000 equivalent to 15 years of Retiree Subsidy Medical Plan payments; and $2,550 to cover three months of medical insurance payments.

Mayor Dave Sullivan and Councilwoman Cathy Green refused to comment due to a confidentiality clause in the settlement. Efforts to reach Zelefsky were unsuccessful.

Former Huntington Beach mayor Shirley Dettloff, who was also a planning commissioner, said in the 14 years she worked with Zelefsky, she “always felt that the information he provided was very professional.”

“He has a legacy of bringing many projects in to this community, and most of those projects have enhanced the city,” she said.

Projects such as the Hilton, the Hyatt, transformation of the downtown area, Bella Terra Mall — all of the major changes in the city came during his tenure, Dettloff added. No further documents regarding Zelefsky’s performance will be placed in his personnel file except his most recent performance evaluation in April 2004.

“He does seem to be a nice guy. I, too, found him to be very personable,” Councilman Keith Bohr said. “Unfortunately, that alone does not translate into good management skills.”

“I think at any corporation, city or private, the chief officer — in this case the city administrator — has the authorization to establish their own team,” Livengood said.

He went on to say it was “obvious” Culbreth-Graft wanted a different person in Zelefsky’s position. “Right or wrong, that’s the way it happened.”

Zelefsky’s unusual contract, negotiated in 1998 with former Huntington Beach City Administrator Ray Silver, had raised eyebrows.

Last year, Culbreth-Graft placed him on paid administrative leave without any explanations. But civil service protection allowed Zelefsky, a 22-year employee, to come back to work in spite of losing his at-will status.

Faced with losing his job, Zelefsky could have taken the matter to the civil service commission, but the process would have taken months, demoralizing staff and opening the door to potential litigation from Zelefsky.

The buyout by the city was a quicker, easier way to get rid of Zelefsky without any of the headaches of going through the commission.

The settlement amount equals about four times what a department head would receive if they served at the city administrator’s will, Bohr said.

“That extra $90,000 windfall lies directly at the feet of the former city administrator, who gave the planning director a sweetheart deal, including double protection,” he said.

Some say that Zelefsky’s efforts to negotiate buying some ball fields from the Fountain Valley School District in return for permits also aided his ouster.

The City Council rejected his negotiations and bought about eight acres of land from the school district for $4 million instead.

“Nonetheless, what’s done is done — let the healing begin,” Bohr said.

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