MERIDIAN TOWNSHIP, Mich. (WLNS) – After more than an hour of closed session Wednesday evening, the town treasurer filed the motion “to authorize the counsel and trustee of the town [Kathy Ann] Sundland and Trustee [Peter] Trezise to negotiate the terms of a severance agreement and consultation agreement with Frank Walsh.
The move came after more than an hour of continued closed session, which started on Tuesday evening. Officials met behind closed doors for three and a half hours on Tuesday to discuss a “personnel matter” before adjourning the meeting until Wednesday evening.
6 News learned from the meeting covered Township Manager Frank Walsh, his job performance and the findings of a months-long investigation into complaints about his management practices and the distribution of money from employee welfare and recognition dollars. The investigation also investigated claims that Walsh’s use of municipal funds for the benefit of his personal consulting business was also reviewed by the investigator.
After the unanimous vote, Walsh spoke with 6 News. He says his consulting contract will be fulfilled from his home office and occasionally at the city office. But he’s not sure what exactly the advice will be.
“It has yet to be defined, but it will play an important role for the municipality and I am pleased that the board has taken the time to study the issues and everything that is there and decided that I still value the municipality,” he tells 6 News. “I’m proud of that.”
Under his contract with the township, Walsh receives $160,823 per year plus benefits. If he were to resign himself, he would receive nothing. However, if he resigns because a majority of the board demands this, he is eligible for one year’s salary plus any unpaid vacation and leave days.
The terms of the severance agreement and the contractual agreement will be the subject of a special meeting on Sunday, April 21, 2024 at 10:00 a.m.
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For the first time since 6 News began releasing the results of an extensive investigation into Walsh and the outside legal investigation on Monday, Walsh spoke on camera.
He denied using Township resources to benefit his personal business.
“I have never run my business from the municipal office in any way. I would not do that. I have my home office. I have a home computer and I have my own company cell phone. It was not done in this office,” he said. “There were three, four or five zoom calls that took place with supervisor Styka’s permission, and that was that. So me ‘profiting from my business in the council office’ is simply not the case and I would like to thank everyone involved. I’ve had eleven great years here. I love this place.”
Former Township Supervisor Ron Styka died suddenly in February 2022.
A 6 News investigation revealed Walsh used the council’s resources and time to carry out his consultancy work long after Styka’s death.
Walsh himself told 6 News by email that 99% of the consulting work was performed on his own equipment, time and location.
Walsh owns and operates Walsh Municipal Services, LLC. The company helps municipal governments throughout Michigan find candidates for government leadership positions.
6 News confirmed at three municipalities where WMS had conducted searches. Among them, more than $13,000 was paid to WMS. Those were just 3 of the 17 municipal searches Walsh and WMS conducted in 2023.
His contract allows him to conduct an unlimited number of these searches, but requires him to inform the municipal manager of his activities.
Walsh has been township manager since 2013.
Following the Council vote, Township Supervisor Pro Tem Scott Hendrickson read the following statement into the record.
“We are grateful for the patience of our employees and the public as we have spent time considering the matters before us. We appreciate the manager’s services to the municipality and his services to our residents. The decision to move forward in this manner was made on a mutual basis and we appreciate Mr. Walsh’s professionalism and willingness to put the community first. We believe that the actions taken here and in the coming weeks represent the best possible solution for the municipality, our employees and our residents.”
Statement from Meridian Township Supervisor Pro Tem Scott Hendrickson, April 17, 2024
Editor’s Note
This report is part of an extensive investigation by 6 News. It involved numerous confidential sources and thousands of pages of public documents. The investigation stems from dissatisfaction that Meridian Township employees and residents have had with an investigation conducted by an outside law firm into allegations and concerns about the practices of Walsh’s managers, from HR activities to the handling of township dollars.
All sources who spoke to 6 News for this reporting were granted anonymity because they fear retaliation from Walsh and remain actively involved in the township. 6 News relied on sources to verify the information provided, often independently, and on cross-references to thousands of pages of documents.
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