'This Is Double Dipping On Steroids:' Hug Informs Joliet Council

JOLIET, IL — The Joliet City Council's Pat Mudron 5 defeated the Joliet City Council's so-called "Fiscal Four" Tuesday night, approving a controversial contract for Steve Jones to serve as interim city manager for the next six months and then become an independent contractor for the city of Joliet. The vote grants Jones authority to become Joliet's first management official in recent history who can draw a local government pension from the taxpayers of Illinois at the same time Jones can still be collecting a paycheck while working for Joliet, come March 1.

The Mudron 5 consists of Pat Mudron, newly elected councilwoman Sherri Reardon, plus 30-year city councilman Mike Turk, first-term at large member Don "Duck" Dickinson and recently re-elected councilwoman Bettye Gavin.

The Fiscal Four consists of Jan Quillman, Terry Morris, Larry Hug and Mayor Bob O'Dekirk, who only votes in case of a tie. Tuesday night's vote went down as anticipated, 5-3.

Jones has served as Joliet's assistant city manager since 2015. His main role is economic development director. Jones was instrumental in spearheading the city's efforts to restore the Old Joliet Prison.

Based on the contract approved Tuesday night, Jones can retire from the city in March, start collecting his local government pension in Illinois, and subsequently remain with Joliet as an independent contractor, a one-of-a-kind agreement. Joliet would also be on the hook for an additional fee of 40 percent of Jones' consultant salary, the proposed contract states.

If Jones moves to a city consultant role in March, he would be drawing a six-figure salary through Joliet while working in a part-time capacity, according to the agreement. For instance, a standard full-time employee works 40 hours a week, or 2,080 hours per year. The agreement with Jones calls for him to work "approximately 1,865 hours within a calendar year."

Before coming to Joliet, Jones had been a manager or administrator in Lemont, La Grange Park, Oak Forest, Glen Ellyn and Oswego. Jones served as Oswego village administrator from 2012 until 2015, when the newly elected village president chose not to renew his contract.

Jones does not live in Joliet or in Will County.

At Tuesday's meeting, Jones insisted that the terms of his contract would actually save the city of Joliet somewhere between $10,000 and $40,000, once he transitions to an independent contractor for Joliet. "It's saving the city money," Jones informed the council.

(Article continues below this photo.)

During the meeting, veteran City Councilman Larry Hug asked Jones a series of pointed questions about the proposed contract. Hug informed him that many people consider double-dipping unethical and others consider it immoral.

Hug further remarked that some people he's spoken with considered the proposed contract for Jones to be "double-dipping on steroids."

"This is double-dipping," Hug declared. "Double-dipping is wrong."

Hug warned his colleagues who make up the Mudron 5 that they have now set a dangerous precedent that essentially allows all of the city's other department heads, management staff and deputy directors to follow in Jones' path in the future: retiring so they can start collecting a pension, but choosing to stay on the job and collect a salary at the same time, just like Jones intends to do starting next spring.

At one point, Jones told Hug that "it's not your concern" and "that's my personal choice" on when Jones makes the choice to start collecting his retirement pension through IMRF.

Councilwoman Jan Quillman blamed the Mudron 5 for creating this mess by removing Marty Shanahan as interim city manager in June, extending a job offer to former city manager Jim Hock to come out of retirement from Michigan to serve as interim city manager, only to change their minds based on Hock's contract demands.

At Tuesday night's meeting, the council also took a vote to rescind its previous job offer to Hock. That way, the council could vote in favor of approving the contract for Jones, which was more expensive than Hock's proposed contractual costs, according to Quillman.

During the meeting, Quillman questioned Steve Jones on whether he will continue with his practice of taking off work every Friday as he has been doing this summer. Jones responded to her question, saying he would continue taking off "every Friday until mid-September."

Quillman also reminded everyone that the state's third largest city is being portrayed as an embarrassment based on the continued acrimony and divisions on the city council, rifts that didn't exist prior to this summer.

"I just can't support this," Quillman said, adding that the written contract put forth by Jones was essentially "holding the city hostage. I feel we're being held hostage. 'You either give me this or I'm walking,'" she said, referring to Jones' negotiating demands to the council.

Joliet resident Kathy Spieler, who is a regular at City Council meetings, spoke during the audience participation. She thanked the mayor and "The Fiscal Four" for standing up for the residents of Joliet. She reminded the City Council that a large number of citizens have made comments complaining the city council "is corrupt."

"Guys, it looks so bad," Spieler told everyone. "I truly miss Councilman (John) Gerl (who left office in May). Everybody was working together. I really wish we could go back to that time. I don't know what happened. I feel bad."

Another regular visitor to the council meetings, Joliet resident Mary Beth Gannon, directed her comments toward councilman Mike Turk, who has become Pat Mudron's right-hand man on the council these days.

Turk will be up for re-election in 2021, along with Don Dickinson, who often sits silent during the meetings and then votes along with the Mudron 5, as was the case on Tuesday night.

Gannon directed her comments to Turk saying, "You don't have to be part of that (Mudron) 5. Mr. Turk, I like you. You can come over to the good side."

Gannon warned the Mudron 5 that the last city of Joliet elected official who was "arrogant" is no longer sitting next to them.

Gannon told them she was referring to ex-Mayor Tom Giarrante, who suffered a bruising defeat in the 2015 elections when he ran for re-election.

Finally, Gannon thanked the "Fiscal Four" including Mayor O'Dekirk, "for fighting the good fight."

"The residents didn't win tonight," Gannon reflected during the meeting after the Steve Jones contract vote, but "at some point we will."

Toward the meeting's end, Councilwoman Quillman wanted everyone to know that Joliet's City Council "is unfortunately fractured. We are fractured. This contract is not good for our city."

Quillman also said, "We look terrible."

(Article continues below this photo.)

Proposed Contract terms:

"Mr. Jones shall be deemed to be an at-will, full-time employee of the city of Joliet through Feb. 29, 2020. It is understood by both parties that Mr. Jones is in the position of city manager for an interim period until a new city manager is appointed. It is anticipated that the time duration of this appointment will be no later than February 29, 2020."

Compensation:

"The city of Joliet agrees to pay Mr. Jones an annual base salary of $192,000 while serving in the position of city manager ... Such annual base salary shall begin as of the commencement date of this agreement." Until his recent appointment, Jones made an annual salary of $150,445 in his capacity of economic development director and assistant city manager.

Paid Consultant for Joliet:

Jones' bio notes that he has more than 30 years of experience as a village administrator or manager. Come March 1, 2020, Jones wants to retire from the city of Joliet and begin collecting his pension through the Illinois Municipal Retirement Fund, but he wants to remain with the city of Joliet as well. The proposed contract that comes up for a vote on Tuesday night before the Joliet City Council proposes the following:

"As interim city manager, Mr. Jones will receive the salary of $192,000. In addition, he will continue to receive the standard benefits package for other Joliet managerial employees, resulting in total employment costs of approximately $266,200.

"Effective March 1, 2020, Mr. Jones shall transition from a full-time employee of the city of Joliet to contractor status, serving as an employee of a third-party firm. As an independent contractor, Mr. Jones shall receive no employee benefits … If the city of Joliet seeks to retain Mr. Jones as a contractual interim city manager on or after March 1, 2020, the contractor rate shall be $180,000 plus vendor fees of 40 percent of salary … If the city of Joliet seeks to retain Mr. Jones as a contractual economic development director on or after March 1, 2020, the contract rate shall be $121,000 plus vendor fees of 40 percent of salary."

The vendor fees would cost Joliet an additional $72,000 if Jones was classified as a "contractual" interim city manager come March 1, or the vendor fees would cost the city $48,400 if the city kept Jones as a contractual economic development director in the alternative.