Mayor Steve Bach on Friday called for the ouster of Memorial Health System’s Board of Trustees and for the City Council to undo a $1.15 million separation agreement with CEO Larry McEvoy that includes a Toyota Camry and help in finding a new job.

The separation agreement has sparked public outrage expressed through various platforms, including phone calls, emails, message boards and social media.

““My phone has rung off the hook today. My email has been off the hook today. Everybody is outraged over this as they should be,” Councilman Tim Leigh said.

The city-owned health system on Friday disclosed more details of McEvoy’s still-unsigned separation agreement, which is valued at $1.15 million.

The agreement includes:

• $1 million for 18 months severance pay;

• $25,794 for 18 months of COBRA health and dental coverage;

• Transferring title of a hospital-owned 2007 Toyota hybrid that McEvoy drove as CEO. The car has 45,000 miles and is valued at nearly $16,000;

• $20,000 for career placement assistance.

Leigh and Councilwoman Angela Dougan continued to call for the removal of Memorial’s board, which unanimously approved the separation agreement.

“This absolutely has got to stop,” Leigh said. “This has got to come before council and each councilor should stand in front of the citizens and vote that they either do or do not want to honor that offer. I, for one, would not honor that offer.”

Dougan said she’s calling for a special council meeting before the agreement is signed by James Moore, chairman of Memorial’s board.

“I think the Memorial board owes it to the community, to the council, to come forward and explain exactly why, when someone is separating from the hospital, they feel they have to give this — I don’t even know the word to use — this unbelievable separation package,” Dougan said. “Why are they not sticking to the contractual agreement?”

McEvoy’s existing employment agreement called for him to receive six months’ pay if he lost his job without cause. McEvoy had been getting paid $550,000 a year until the board gave him a $120,000 raise in January.

Some council members, including Councilman Val Snider, support the board’s decision.

“We (appointed) them to make decisions like that,” he said.

Council President Scott Hente, who supports the board’s decision too, said he doesn’t know whether he will call a special meeting.

“I suppose I’ll talk to some of my colleagues,” he said.

Leigh is questioning the legality of the separation agreement. He said the council exercises no control over Memorial’s board as long as it operates within its annual budget. But Leigh argues that McEvoy’s separation agreement wasn’t part of the budget.

“I have placed a call to the city attorney and asked him to investigate that,” Leigh said.

In an email, City Attorney Chris Melcher left the question open.

“The City Attorney’s office will certainly carefully review any issues with regard to the proposed Agreement, and provide advice to both Council and the Memorial Board,” he wrote.

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Contact Daniel Chacón: 476-1623

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Larry McEvoy Photo by