Lake Zurich extends, increases village manager's contract

Lake Zurich officials have extended the contract of Village Manager Ray Keller over the objections of a former village trustee.

Keller, who was hired in March 2016, had a contract with a base annual pay of $150,000 that ran through the end of 2019. The new contract, unanimously approved by the village board Monday night, will pay Keller a salary of $170,500 - a 13 percent increase. The new contract will take effect immediately and expire at the end of 2022.

Former Lake Zurich Trustee Jeffrey Halen criticized board members for extending Keller's contract about a year and a half before it was to expire. He also said they shouldn't have extended the contract beyond the 2021 mayoral election.

"If a new mayor wanted to invoke the severance clause, it will cost the village over $100,000 in pay. That's a nice sum of money," Halen said. "Kudos for village manager for negotiating that, but for us as a village who's always talking about we don't have money ... that's a pretty steep bill that we're putting in there."

Trustee Marc Spacone said he thinks tying staff contracts to the political election cycle is a bad way to do business.

"The last thing they want to be worried about is the election cycle and if they're going to have a job or not," Spacone said. "That's what hurts employee performance."

Spacone added that tying contracts to the election cycle might make staff members act in a way they think is politically popular versus making the decision that is best for the village.

Halen also criticized the village for putting Keller's contract approval on the consent agenda during a holiday week.

"It really puts a black mark next to the village's transparency stance," he said. "I don't see how this contract looks out for the citizens' best interests, shows responsible decision making, or is honest and transparent."

Village Attorney Scott Uhler said the proposed contract has been available on the village's website since last Wednesday.

"There is no lack of disclosure or intent to sneak a contract into this meeting," Uhler said. "It's been made public for some time."

Mayor Thomas Poynton said Keller has done a great job so far and, even with the pay increase, is a value to the village.

"Regardless of whether you like the salary range or not, our village manager is still underpaid compared to many of his compatriots," Poynton said. "In my opinion, we've never had a village manager who was as transparent, innovative, and who has worked with staff, worked with residents and worked with the board as closely as Village Manager Keller has."

Under his new contract, Keller also will receive a yearly $5,000 vehicle allowance and a $200 monthly technology stipend for cellular telephone and tablet usage fees for business purposes. Before starting in Lake Zurich, Keller was the village administrator in Gilberts for nine years.