March 3, 2010

Failing to inform city commissioners about the ownership arrangement of land donated for a pavilion that will be used for the quilt show and other conventions cost City Manager Jim Zumwalt his job, Commissioner Gerald Watkins said.

The city commission met in closed session on Tuesday for five hours discussing Zumwalt’s performance. He was in and out of the meeting several times. His last
meeting ended at 2 p.m. when he announced he had submitted his resignation, effective immediately.

“After 12 years of service and some of the problems we’ve had recently, everyone felt like it was in the best interest that he submit his resignation,” Watkins said. “There’s a communication problem and a trust problem. The big issue was over the land.”

Mayor Bill Paxton said an interim city manager will be named to serve while a nationwide search is conducted. Finance Director Jonathan Perkins was offered the interim job and is expected to decide today whether to accept it. Perkins would not comment.

The commission agreed to pay Zumwalt his salary and benefits for six months. His annual salary is about $110,000, with some $25,000 in benefits that include retirement, insurance and a car allowance.

Concerns expressed last year over poor communication with commissioners had eased until last month’s conflict over the land, Watkins said.

Commissioners thought land Life Care Centers donated at 600 N. Fourth St. next to the Julian Carroll Convention Center was deeded to the city. However, they learned after voting to spend $1.6 million to buy and construct an air-dome pavilion that it was deeded to Paducah Renaissance Alliance with plans to transferit to Paducah Riverfront Development Agency.

Commissioners blamed Zumwalt for not informing them of the arrangement. “If it wasn’t for that, thiswould not have happened ,” Watkins said of the request for his resignation.

The city formed Paducah Renaissance Alliance and Paducah Riverfront Development, sister agencies that independent boards operate, to oversee riverfront, downtown, and Lower Town development and promotion. Commissioners were upset over the possibility the renaissance alliance could sell the land without commission approval.

The agencies will hold a joint meeting Friday at which the Paducah Renaissance Alliance is expected to vote to deed the land to the city.

Zumwalt’s performance was the first item on a twoday commission retreat at the Julian Carroll Convention Center. The meeting started at 8 a.m. with a onehour break to hear Gov. Steve Beshear make an economic development announcement.

Shortly before noon, City Attorney David Denton was summoned to the meeting while Zumwalt waited in another room.

Zumwalt started the day intending to continue working but said he decided to resign after his final meeting with the commission. He declined to comment on what was discussed or the reason for his resignation.

After resigning, Zumwalt went back to City Hall to announce his decision to more than 125 employees, who filled the commission chamber. He praised them for their hard work and dedication.

The mayor and commissioners also attended the meeting and promised employees the change would not affect their jobs.

“Paducah is blessed with an extraordinary community,” Zumwalt said. “We’ve seen extraordinary accomplishments during my 12 years of service, and expect the city will continue to do so in the future.”

Zumwalt, 67, said he has no immediate plans.

Paxton wanted Zumwalt to continue working until at least 2011, when his term as mayor ends.

“He’s been the best city manger I’ve ever known,” Paxton said. “He’s been a big supporter of mine and helped me to be the mayor I’ve become.”

Although problems existed, Watkins said, Zumwalt worked hard and was a dedicated city manager.

Paxton did not foresee any other personnel changes soon. He declined to comment on the closed session discussion.

Commissioners Gayle Kaler, Carol Gault and Richard Abraham did not comment immediately after the resignation was announced and did not return telephone messages seeking comment