$325K settlement made with ex-officer
The Butler County Housing and Redevelopment Authority has settled its legal battle with former executive director Perry O'Malley.
According to the settlement, O'Malley was paid $325,000. His annual salary was $128,000 at the time of his firing.
The Butler Eagle acquired a copy of the settlement agreement, which was dated May 15, through the Pennsylvania right-to-know process.
Authority attorney Andrew Menchyk said the settlement ends the protracted legal battle.
“It was amicable,” Menchyk said.
Paul Mazeski, O'Malley's attorney, said his client was ready to move on.
“They offered a number which was acceptable,” Mazeski said. “It was time to be done with it.”
The authority in 2015 fired O'Malley, alleging abuse of travel and sick time, using authority resources for private business and neglecting his duties.
O'Malley appealed the termination, citing age discrimination.
The Pennsylvania Civil Service Commission last year ruled O'Malley should be reinstated.
According to the commission, claims of O'Malley's private business endeavors being a conflict of interest, abusing travel and travel expenses, and neglecting duties resulting in uncollectible debts and failed projects were unsubstantiated.
But the commission did rule a suspension was warranted because his personal use of resources and abuse of sick time violated the employee handbook and had a negative impact on employee job performance.
The authority appealed the reinstatement with Pennsylvania Commonwealth Court.
Despite the reinstatement, O'Malley never returned to the Butler office.
“He would not have been physically in the building,” Menchyk said.
The authority created and filled a new post, chief executive officer, to supervise the executive director.
After reaching a settlement last month, the authority petitioned the court to discontinue the appeal, which happened June 1.
As part of the settlement, O'Malley withdrew all legal claims to employment.
The settlement states it does not mean there is any admission of liability by any party.
