Sunday, August 12, 2007


Aug. 12, 2007 (McClatchy-Tribune Regional News delivered by Newstex) --
While some unhappy members of the Madison City Council are calling for the resignation of embattled water utility head David Denig-Chakroff, Mayor David Cieslewicz said Friday that he is reviewing Denig-Chakroff 's performance and contract and has made no decisions about the department head 's future.

Denig-Chakroff 's management of the utility has been the subject of at least three long and contentious sessions before the City Council in recent weeks. Council members were especially critical of Denig-Chakroff for spending $140,000 on a $300,000 consultant contract without their authorization. And questions were raised last week about a near $500,000 contract with a security consultant for cameras at city wells that wasn 't put out for bid.

The miscues follow numerous other management problems that have surfaced in recent months, including the mishandling of chlorination problems at a number of city wells and continued discontent among utility employees.

Denig-Chakroff, who has retained an attorney, didn 't return calls or e-mails seeking comment on recent developments.

Marie Stanton, Denig-Chakroff 's lawyer, said Saturday that her client was out of town attending a family reunion and unable to return calls. But she said that, despite the recent controversy, Denig-Chakroff 's commitment to managing a successful utility hasn 't wavered.

'Dave has served as water utility manager since 1996 through three mayors, ' ' Stanton said. 'Basically, his commitment is the same as it was in 1996. ... The job is also a public job and that can be a challenge. ' '

Last week, Denig-Chakroff told reporters at the City Council meeting that he doesn 't intend to resign.

At that meeting, Ald. Zach Brandon, 7th District, said he no longer has faith in management at the water utility and later called for Denig-Chakroff to step down. Ald. Jed Sanborn, 1st District, said Saturday he also thinks Denig-Chakroff should resign. Other council members, including Ald. Brenda Konkel, 2nd District, said they no longer trust utility management to turn things around, though Konkel stopped short of calling for Denig-Chakroff 's resignation. She called for a complete report from the mayor to the council on the situation and suggested a closed session to discuss Denig-Chakroff 's performance and future.

Cieslewicz, who last year signed Denig-Chakroff to a five-year contract at the height of concerns about manganese in the city 's water and other issues, also said he is losing patience.

'I am very concerned about the ongoing management issues at the water utility, and have expressed my concerns publicly, and to Denig-Chakroff directly, on a number of occasions, ' ' Cieslewicz said. 'Improvement at the water utility has not come at the pace it needs to. I included extensive benchmarks in Denig-Chakroff 's contract last year to provide additional oversight options for the position, including the possibility of early termination of the contract. ' '

Two-year commitment

But the contract may have locked the city into at least a two-year commitment to Denig-Chakroff, who is paid an annual salary of $113,364. Under the contract, which the council approved June 20, 2006, the city agreed to a roughly two-year 'circuit breaker, ' ' which stipulates that the agreement and Denig-Chakroff 's performance and tenure may be reviewed only after two years. The clause even sets a specific date, Sept. 24, 2008, before which the general manager can 't be fired without cause.

That contract, however, is being studied closely in the mayor 's office. And some, including Sanborn, think Denig-Chakroff may have violated at least one provision of the contract by spending $140,000 on a $300,000 contract with a management consultant without authorization from the council.

The provision in question says the general manager 'shall have no right to make contracts or commitments for or on behalf of the city except as pre-authorized by statute, ordinance, or express written consent of the city. ' '

The contract also provides that if the city terminates the agreement, it is obligated to buy out the balance of money owed Denig-Chakroff.

Cieslewicz makes no apologies for the contract and has indicated that, at the time the agreement was struck, he believed the performance standards included in the contract and plans put in place to address problems would improve operation of the utility.

Stanton, who last year represented the utility head in the contract negotiations, said there are no new talks between her client and Cieslewicz about the agreement.

'He expects the mayor, on behalf of the city, to honor the contract, ' ' Stanton said. 'We expect the mayor to honor the terms. ' '

But now, Cieslewicz is under considerable pressure to resolve the situation.

Authority strengthened

Recent moves show that Cieslewicz may be preparing to take some sort of action against Denig-Chakroff. The council last week voted to approve a resolution that cleared up some subtle but important discrepancies between the state law that allows municipalities to set up water commissions and the city ordinance that creates the Madison Water Commission.

Under the new language, the authority of both the mayor and the council with regard to the water utility is strengthened. Part of the reason for the change, Cieslewicz said, was to put his office on more solid legal ground if a decision is made to seek disciplinary action against Denig-Chakroff.

'Recently enacted ordinance changes clarify a number of issues regarding the relationship between the mayor, the City Council, and the water utility, including discipline of the general manager and approval of contracts, ' ' Cieslewicz said. 'Those changes will ensure that future actions by myself and the water board in these and other areas are on a firm legal foundation. ' '

Denig-Chakroff has his supporters. Ald. Lauren Cnare, 3rd District, who also serves on the Water Commission, said she believes Denig-Chakroff has made progress in addressing the many problems at the utility. And she added that firing the general manager wouldn 't resolve the issues that still plague the utility.

'I 'd like to know what the Plan B is, if that 's the case, ' ' Cnare said of Denig-Chakroff 's potential departure. 'I don 't think there is a plan. ' '

Positive steps taken recently, Cnare said, include the involvement of the public in siting a well to replace contaminated Well No. 3 on the city 's East Side and extensive participation by utility staff in an effort to remake how the agency operates.

But Cnare added that she understands Cieslewicz ' concerns and the need for him to review Denig-Chakroff 's performance and future.

'I certainly respect his right to proceed as he needs to because ultimately the buck stops at his desk, ' ' Cnare said.

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