Township plans to replace CFO

Reorganization may lead to appointment of a new Chief Financial Officer.

By: Josh Appelbaum
   The Township Committee may be seeking a new chief financial officer once it reorganizes Monday.
   The current Township Committee recommended Dec. 20 in closed session that Chief Financial Officer Kathy Kovach not be reappointed for 2005.
   Committee members said the recommendation is not binding for the 2005 committee, but authorized a search for a temporary replacement and a severance agreement. The committee said the recommendation was based not on performance, but tenure. However, committee members said they would not disclose the contents of performance evaluations.
   State statute for the appointment of municipal chief financial officers requires tenure for CFO reappointed after four years of service. The statute places a one-year limit on appointing a temporary acting CFO. If tenure were granted, the CFO would hold office for life, and not be removed without just cause, a formal written complaint and public hearing.
   Ms. Kovach declined to comment for this story on the advice of her lawyer.
   Although this year’s committee cannot rule on matters of reappointment for 2005, Committeewoman Becky Beauregard, who serves on the Personnel Subcommittee along with Committeeman Michael Mayes, said this week it was unlikely the 2005 committee would reverse the recommendation.
   At the closed-session meeting, a necessary three out of five votes were obtained as Ms. Beauregard, Mayor Richard Stannard and Committeeman Tom Panconi voted not to recommend reappointment. Ms. Stave abstained from the vote, but would not comment on the matter. Mr. Mayes, whose term on the committee ends Friday at midnight, was absent for the vote.
   Ms. Stave voted yes on two subsequent motions along with her three colleagues to begin the search for a temporary acting CFO and for a compensation separation agreement giving Ms. Kovach a severance package that includes four months salary and benefits.
   Ms. Beauregard said the primary issue relating to the committee’s recommendation was tenure.
   "Tenure is a very serious decision to be made by any committee. It’s really a commitment in perpetuity on behalf of the township. It isn’t uncommon for this to occur — that someone in a position not be reappointed for tenure — state law affords us no flexibility," Ms. Beauregard said.
   Mr. Mayes said he was surprised to learn of Ms. Kovach’s impending departure.
   "There was nothing in her previous performance evaluations that would indicate anything negative. I think she’s done an excellent job as CFO — she’s worked hard (on the financing of) open space acquisitions and worked with the Local Finance Board. Under her, our financial house was in good order," Mr. Mayes said.
   Ms. Beauregard wouldn’t comment on the contents of Ms. Kovach’s performance evaluation, but she contends the committee’s recommendation is not binding and was based on the tenure issue. A formal decision on the CFO reappointment will be made by the 2005 Township Committee on Monday.