Kalispell’s city attorney could be stepping in as interim city manager after a misunderstanding involving the state’s retirement program led the previously approved manager to relinquish the position before starting this week.
Charles Harball, Kalispell’s city attorney since May 1, 2001, is in line to become the temporary chief administrative officer effective immediately, he told the Beacon on Thursday. The official decision will be made at the city council meeting on Jan. 9, he said.
David L. Nielsen, who retired as Helena city attorney on Dec. 31 after 15 years, was to be introduced as the new interim city manager at a scheduled press conference on Jan. 4. Nielsen was absent and later informed staff he would be stepping down after the Montana Public Employee Retirement Administration informed him that day he would not be eligible to earn retirement dues if he took over the Kalispell position.
Nielsen had checked with PERA twice in the last two months and was assured he would be able to collect his retirement pay while working temporarily in Kalispell. An attorney from PERA said Nielsen had been originally misadvised and he would in fact be ineligible because his status as interim manager would conflict with his retirement status and disallow him from receiving funds.
“The two statuses don’t work together. You can’t be an active member of (Public Employee Retirement System) and still receive retirement from PERS,” Melanie Symons, chief legal counsel with PERA, said.
Symons said she clarified this situation with staff including the two members who had misinformed Nielsen.
Kalispell city staff is now scrambling to find “Plan B,” which appears to be Harball, he said. If approved by city council, Harball would continue to act as city attorney but would add the responsibilities of city manager until a full-time hire is made.
“It can be done,” Harball said. “I feel confident we can do it. It just isn’t the best option for the city of Kalispell.”
Outgoing Kalispell City Manager Jane Howington, who starts her new position in Newport, R.I. on Monday, told council and staff she would continue contributing additional aid this week before leaving.
Applications for the full-time position are being accepted until Jan. 13, and city officials hope to make a hire by May or June.
“It’d only be for about five months,” Harball said of filling in as the interim. “I don’t mind doing it. The problem is I already have a full-time job and the city manager job is a full-time job. I’ll really have to dump a lot of work on my staff and everybody on my staff is already working hard. But we can do it.”