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By Connie Cleary Woods/Staff Reporter

 

MEMORIES (CNBNewsnet)--Looking for some information in an old Gloucester City News we came upon this photo of  Michael Kaye, who became a police officer in Gloucester City in 1982.

Twenty-seven years later in 2009, Officer Kaye had risen to the position of Deputy Police Chief and retired from his position with $100,000 extra in his pocket along with fringe benefits.

The following explains how he and former Police Chief William Crothers walked away from their jobs as rich men. It should be noted that neither man did anything wrong to obtain the monies they received. The funds came from a settlement the twosome received as a result of a lawsuit filed against the City in 2009. The deputy chief is the husband of former Democrat City Councilwoman Jean Kaye.

 

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GLOUCESTER CITY NJ(Published by CNBNews Monday, September 21, 2009)-Former Gloucester City Police Chief William Crothers and Deputy Police Chief Michael Kaye walked out of the Police Department with a “suitcase” of money according to a settlement agreement that recently came into our possession. Crothers, with 28 years of service and Kaye with 27 years retired on August 31. The “suitcase of money”, $100,000 for each, came about as a result of a lawsuit being settled that was filed against their employers, the City of Gloucester City.  

When Mayor Bill James was asked about the settlement he said there was a lot of turmoil in the department and it had to be done. “During my many years in the department, I never saw anything like what has been going on these past three years.” Deputy Chief James retired in 2006. 

In 2008 Crothers and Kaye sued the city of Gloucester City because council voted to eliminate the longevity perk for department heads in an effort to save tax dollars. The chief's longevity was 7% of their base salary.  Crothers and Kaye argued that it was illegal for the City to reduce their pay without negotiation.   They were seeking longevity pay going back to 2005.

The City also held back on negotiating a new contract with the twosome leaving them at the 2005 salary pay scale; Crothers annual pay then being $101,000 and Kaye $97,000. 

Crothers and Kaye circled the wagons and refused to budge on their demand for the longevity pay. Mayor James and City Council held to their position and so the standoff begun which lasted for three plus years.

Sometime around May or June a breakthrough was reached. Although no formal announcement was made by any City official you knew something was up in July when council passed an ordinance increasing the salaries of Police Chief Crothers to $120,292 and the salary of Deputy Chief to $115,528.

An anonymous person left a copy of the settlement agreement in our mailbox. According to that legal document the Chiefs not only received the pay increase but also were given the back pay that included longevity. It was the longevity that was the sticking point from the very beginning.

The retroactive pay worksheet included in the settlement shows that from July 1, 2005, to August 31, 2009, Crothers gross pay was $411,308. As a result of the two sides coming to terms, his salary increased with longevity payments of 3.9 percent for 2006, 3.5 percent for 2007 and 3.5 percent for 2008 to $463,580. The difference of $52,272 was paid to him on August 31.

As for Kaye his gross pay from July 1, 2005, to August 31, 2009, was $395,048. The agreement reached with the same percentage longevity payments as Crothers increased his gross to $445,221. The difference being $50,173 paid to him on August 31. 

But wait there is more. As part of the settlement agreement the twosome agreed to drop their lawsuit against the City of Gloucester City (us taxpayers) in exchange for a payment of $47,728 to Plaintiff Crothers and $49,827 to Plaintiff Kaye.

Also, the arrangement called for both Plaintiffs’ to be able to utilize any unused sick or vacation time accrued for June, July and August of 2009 prior to Plaintiffs’ last day of employment, August 31.

Plus it was agreed that the City of Gloucester City (us taxpayers) will provide a health benefit plan equal to or better than the current coverage to both Plaintiffs and their dependents for the rest of their lives at no cost to either man.

The Plaintiffs, former Chief and former Deputy Chief and their respective dependents, shall be provided with dental, optical and prescription coverage equal to or better that the current coverage with a City selective carrier. This coverage will remain in effect upon retirement and during the course of their respective retirement.

During this entire period of discord the moral of the rank and file sunk to an all time low. The union members filed a number of grievances against the Chiefs, who they felt were harassing them. The union was successful in defending the members and won the majority of those grievances. 

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RELATED: GLOUCESTER CITY HISTORY

 

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