Myrtle Beach city manager gets a raise

During their last meeting of the year, Myrtle Beach City Council members evaluated City Manager John Pedersen’s contract, giving him a raise and a car allowance.

The contract, which operates on a year-to-year basis, automatically renews on his Nov. 3 anniversary date. However, council members have the opportunity to amend the contract based on a performance evaluation each year.

“The item has been placed on the agenda because generally, even in retroactive, or after the anniversary date, we have the opportunity to amend the contract, and we have the opportunity to amend the conversation based on performance,” councilman Wayne Gray said during the meeting. “It also allows the opportunity for council members and the manager to have a conversation on items that were good, and items that needed improvement.”

The conversation took place in a closed session Tuesday. Now, Pedersen, who was the highest paid city employee in 2017, received a 3-percent raise and a monthly $850 car allowance, which is in lieu of a city-provided vehicle, Mark Kruea, city spokesman, said.

“I previously had a [city] car and the car was totaled back in August, so rather than getting a new car I just asked them to switch me to a car allowance,” Pedersen said.

During the workshop council members debated whether or not this is a decision that should be made with the old council, or if it is a decision for mayor-elect Brenda Bethune and new council members Jackie Vereen and Gregg Smith. The trio is replacing Mayor John Rhodes and councilors Randal Wallace and Gray.

“I think the public voted for change in the city and I think this is an agenda item that needs to be pushed forward to the next council,” constructor and former Myrtle Beach mayoral candidate Ed Carey said during the council meeting. “I would suggest that the City Council allow the new City Council to tackle those issues moving forward. There’s no advantage to renew it. I would suggest that you go back and you postpone this to address those issues.”

During executive session council members discussed Pedersen’s performance over the past year. They did not discuss expectations for the coming year, deciding that the new council would have that conversation in the first or second meeting of the new year.

“The agreement itself, that provision have very little meaning,” Pedersen said. “I serve at the pleasure of council. The idea is just that it’s a contract and they’ll review it annually. They don’t have to do it on that annual date.”

Pedersen said that he can be terminated if City Council votes him out of his position, or if he resigns.

Part of his contract states, “On the date of expiration, this Agreement shall be considered renewed for regular periods on one year, provided neither party submits a notice of termination. Nothing herein shall prevent the City Council from terminating the City Manager as provided for under State Law.”

The contract also received criticism during the 2017 mayoral election. Former Myrtle Beach Mayor Mark McBride stated that because the contract had not been renewed by the anniversary date that Pedersen was operating without a contract. During a public meeting McBride called for Pedersen to be fired for “operating without a contract.”

In the absence of a vote, Myrtle Beach Spokesman Mark Kruea said that Pedersen’s contract continued to operate as normal and that he was not operating without a contract.

This story was originally published December 13, 2017 at 12:20 PM with the headline "Myrtle Beach city manager gets a raise."