Henderson, city manager at impasse in negotiating separation agreement

Mary Kay Peck's days as Henderson's first female city manager appear to be over.

City Councilman Steve Kirk said on Friday that the city is negotiating a separation agreement with Peck, who has worked for the city since February 1995.

"Everybody agrees that it is time for a change," said Kirk, who expects the details of Peck's departure to be hammered out by mid-April. "What we're trying to do is negotiate the most amicable separation possible."

A well-placed source with the city confirmed that Peck was being forced out. The city and Peck's attorneys had been negotiating a severance package and had reached an impasse, so Peck decided to take some time off to let things cool, the source said.

Peck could not be reached.

She took over as city manager in October 2007, after the departure of Phil Speight, who had the job for nearly 20 years. The city chose her over Mark Calhoun, who is expected to serve in an interim capacity after Peck departs.

Kirk blamed Peck's departure on "philosophical and leadership differences." He declined to elaborate.

The source said that within the city, Peck was perceived by some as a micromanager who played favorites and hoarded power, sometimes at the expense of elected officials.

The final straw came last week when Mayor Jim Gibson had to cancel an appearance before a legislative committee at the last minute after discovering Peck hadn't implemented planned cost-cutting measures, the source said.

According to the city's Human Resources Department, Peck draws a base salary of $225,000 a year.

No decision has been made on a permanent replacement for Peck, Kirk said, but added that Henderson needs "bold and decisive leadership" from its city manager in these tough economic times.

Internal and external candidates will be considered, Kirk said. Asked whether Peck will stay on with the city until her successor is found, he said, "I don't believe she will."

Review-Journal writer Molly Ball contributed to this report. Contact reporter Henry Brean at hbrean@reviewjournal.com or 702-383-0350.