DDA extends director's contract to Sept. 1 and authorizes staff to draft new three-year agreement

The Lapeer City Downtown Development Authority voted June 24 to extend its executive director's current contract through Sept. 1, 2026, and to have staff prepare a new three-year agreement with an automatic one-year renewal and an annual economic reopener tied to the director's performance review.

Board members debated the proper length of a new contract and the severance language that could apply if the director were terminated early. Several members said a four‑year locked term could expose the DDA to large severance payments and reduce the board's flexibility; others argued a longer term could aid retention. "I don't think it should be four," one board member said, urging a shorter term with annual review. A DDA attorney clarified that the most recent packet language provided six months of severance in termination circumstances, not full remaining contract pay.

After extended discussion, the board approved a motion to extend the current contract to Sept. 1 to avoid a lapse on July 1 while the parties finalize a replacement. The board also approved language directing staff to prepare a proposed three-year contract with an automatic one-year renewal and a clause that would allow the board to reopen economic terms during the annual performance evaluation; the draft is to be returned to the board for review in July, with August as a backup and a target of Sept. 1 to implement the new agreement.

The board instructed staff to circulate a single, definitive contract draft to resolve discrepancies members found among copies in circulation and to run the proposed language by counsel before final approval. The motion to authorize preparation of the new contract passed after discussion; a separate, earlier motion to extend the current contract to Sept. 1 also passed.