SACO — City Administrator Richard “Rick” Michaud will continue his position.

After some debate about the legality of Michaud’s contract, the City Council Monday voted 4-2, with Councilor Leslie Smith absent, not to terminate his contract.

Mayor Don Pilon had questioned the validity of Michaud’s contract, hiring an attorney to represent him.

Michaud announced in June that he was retiring effective Dec. 31. In August, after negotiating with the City Council, he decided to sign a two-year contract beginning Feb. 1. Michaud signed up for retirement benefits with the Maine Public Employees Retirement System and did not work the month of January.

The council began negotiating the new contract last summer when Pilon was on vacation. The council later continued negotiations in another executive session when Pilon was in town, and agreed on a new contract.

Pilon has stated previously he believes that Michaud retired and came back to work for the city, and thus by charter was a new hire who needed to be reappointed by the mayor. The city attorney believes that Michaud continued his position with the city, was not a rehire, and proper procedure was followed.

Councilors Bette Brunswick and Nathan Johnston voted to terminate Michaud effective March 16. Brunswick made the motion, stating that negotiations were not done in good faith regarding the mayor’s ability to appoint the position.

Councilor Kevin Roche had voted against Michaud’s contract last year, but voted against Michaud’s termination Monday night.

“I lost five to two,” he said, referring to last year’s vote on Michaud’s contract. “This is how democracy works. … I lost, and I’m just looking to move on.”

Councilor Arthur Tardif said after Michaud announced he would retire, there were some important upcoming issues the city administrator was familiar with, and the council asked what it would take to keep him, and negotiated back and forth.

“We need someone to keep an eye on the mayor,” said Tardif, adding that he thought the mayor didn’t know how to follow proper protocol.

Resident Steve Shiman was among members of the public who commented Monday night. He said the issue was a question of process, not a question of Michaud’s past performance.

Former Mayor Roland “Ron” Michaud spoke out in support of the city administrator, saying “He was and is a straight shooter, no gimmicks.”

The former mayor said the city administrator is “outstanding” and “no amount of money can bring the knowledge and expertise he brings to the table.”

— Staff Writer Liz Gotthelf can be contacted at 282-1535, ext.325 or egotthelf@journaltribunecom.