Board Approves Vitas' $90,000 Severance Package

At Monday night's Village Board meeting, all but one village trustee voted to approve a nearly $90,000 severance package for former Village Administrator Bob Vitas, who resigned his post effective Dec. 31.

The six-month severance agreement calls for Vitas to be paid — in one lump sum — half of his $145,000 a year salary, along with receiving health benefits for himself and his family from the village until June 30.

According to a voluntary separation agreement signed by Mayor Suzanne Branding on Nov. 14, 2011, Vitas also will receive $6,500 in deferred compensation, in addition to half of a $6,000 vehicle allowance. 

The provisions were part of Vitas’ original employment contract signed Oct. 24, 2007 by former Lake Zurich Mayor John Tolomei, who hired Vitas.

The reasons behind the lone "no" vote were based in part on Vitas’ contract having been completed.

“Bob’s contract ended on Dec. 31, 2011; I was looking to be fiscally responsible for the taxpayers of Lake Zurich when I voted against it,” said Trustee Jeff Halen.

Halen added that Vitas’ original contract stated if he was let go by the village, he would receive a six-month severance package.

Under Section 11, titled Severance, it states if Vitas were terminated without determination, he would be paid severance equal to six months of his salary at the time of termination, and that he and his family would receive health benefits paid by the village for six months.

In regards to a resignation, the contract says "if Mr. Vitas voluntarily resigns, and the resignation is not under circumstances in which his resignation is being actively sought by the Board of Trustees, then the village is not obligated to pay severance under this agreement.”

A press release from the village of Lake Zurich dated Nov. 18, 2011, stated that .

“Mr. Vitas has completed his contractual obligations with the village and will be moving on with his career in order to pursue other alternatives,” according to the press release.

Discussion on whether or not to approve the severance package was held in executive session, which is held behind closed doors, after the main agenda was completed. 

The public meeting reconvened about 45 minutes later with no elaboration other than a brief statement from Mayor Branding.

“The board was advised by both the municipal attorney and a labor attorney to approve this severance package,” Branding said.

Other trustees said there was little choice but to approve the package.

“The severance provisions are a part of the original contract,” said Trustee Rich Sustich. “We have to honor our contracts, we can’t start going back on them.”

“A lot of times you have to put your personal feelings aside; a contract is a contract,” said Trustee Terry Mastandrea.