Ansonia Aldermen voted Feb. 10 to cut a check for $17,500 in order to ward off a lawsuit from Peter Kelly, the city’s former economic development director.
Kelly had the job for just six months.
He was hired in September 2013 as part of Mayor James Della Volpe’s administration.
Then Della Volpe lost his re-election bid in November 2013 to Republican David Cassetti.
Cassetti fired Kelly in March 2014, one of several members of the former administration jettisoned in the first few months of Cassetti’s administration.
Cassetti claimed Kelly could not do his job. Kelly hired a local lawyer and took the city to arbitration, saying the termination violated his employment contract with the city. The city fired him without justification, Kelly reportedly claimed.
His reasons for pushing for arbitration are from city officials. Neither Kelly or his local lawyer have discussed the issue.
Kelly landed on his feet after his experience in Ansonia. He’s making $73,000 as economic development coordinator in Lisle, Illinois, a suburb of Chicago. He was making $57,980 in Ansonia.
The Aldermen voted unanimously to settle with Kelly at their meeting Feb. 10 after discussing the matter behind closed doors.
The closed-door discussion of the case is allowed under the state’s Freedom of Information Act, which permits secret “executive sessions” when public agencies are discussing pending litigation.
Settlement
The two sides agreed to meet with an arbitrator last month in an effort to resolve the case.
According to the settlement agreement, a copy of which is posted below, Kelly agreed to withdrawal his claim and the city, “without any admission of liability or wrongdoing,” agreed to pay Kelly $17,500.
“Kelly consents to the total and irrevocable termination of the employment relationship, and all duties and authority associated therewith … and entirely waives any right or claim to reinstatement, rehire, or resumption of active duty,” the settlement says.
Ansonia’s Corporation Counsel, John Marini, said last month that Kelly was initially seeking to have the rest of his Ansonia contract paid out — about $87,000.
Asked to comment on the settlement Friday (Feb. 20), Marini would say only that the city is glad to have the matter resolved.
The Valley Indy left a message at Kelly’s lawyer’s office Monday (Feb. 23).
Kelly’s former economic development job is now held by Sheila O’Malley, who is also the city’s grant writer. She previously held both jobs in Derby.
