Village Manager's Contract Will Not Renew, But He'll Stay On: Pekau

ORLAND PARK, IL — In a move officials say many have misconstrued, Orland Park Mayor Keith Pekau and the Village Board on Tuesday voted unanimously not to automatically renew Village Manager George Koczwara's contract when it expires in October.

Koczwara is not being terminated, officials stressed, calling the measure necessary to prevent a "devious practice" taken by a previous board.

Citing the Village's contentious relationship with former village manager Joseph LaMargo, and the actions taken in 2017 that put LaMargo in the role, Pekau explained the move as proactive. LaMargo, Pekau said, was appointed to the role by the previous mayor and board, after Pekau was elected but before he was sworn in. Conflicting political viewpoints created an environment fraught with tension, initially culminating in LaMargo's departure from the role and, ultimately, years of legal battles.

After he was reportedly pushed out of his role, La Margo subsequently sued the Village of Orland Park, Pekau, Trustee Bill Healy and the Keith Pekau for Mayor campaign on claims of breach of contract, defamation and intentional infliction of emotional distress. The Village promptly denied those claims, and slapped La Margo with counterclaims for breach of his employment agreement, breach of his resignation agreement, breach of fiduciary duty and loyalty to the Village, and unlawful conversion of Village funds. Ultimately, LaMargo lost and was ordered to pay the Village $30,000.

<< READ ALSO: La Margo Vs. Pekau, Village: La Margo To Pay $30K In Settlement >>

"The mayor was locked out of buildings, mayor’s emails were blocked, the mayor was secretly investigated," Pekau said of past issues between him and LaMargo. "It was wholly inappropriate to put a long-term political ally of my predecessor into the village manager position with zero input from the mayor-elect."

By deciding not to renew Koczwara's contract, Pekau said the current board would be allowing room for a future board to choose their own village manager, should Pekau not be mayor in 2025. It's a courtesy the existing contractual system does not extend officials, Pekau said. The decision does not reflect Koczwara's performance, Pekau said, and he will remain on staff as village manager.

"In this case George is a complete professional, and I have no doubt that even if I were not mayor, that he would conduct himself professionally, because he is a professional apolitical village manger.

"However, in the event that I am not the mayor in May of 2025, the new mayor and the new village board should have the opportunity to hire the village manager of their choice."

Pekau expounded, then detailing how the Village's current form of government can lead to similar issues.

"It would be wrong for the Village Board to undermine the authority of the 2025 board," Pekau said. "It’s part of what village managers deal with every time there’s a change of administration. This is the only form of government where it’s even possible to have a village manager contract like what the previous board did."

Pekau in 2023 pushed to change the Village's government structure and function. A referendum asked voters to consider a change from a government structure that gives a village manager final decision-making ability in many matters, to one that returns that authority largely to the mayor, with a board of trustees also weighing in. Residents voted in favor of keeping the current format, which was first enacted in November 1983.

"It’s the dumbest form of government I can think of," Pekau said. "Because again, a board can completely usurp the powers of the mayor.

"And I think most of us if not all of us would agree that the public votes for the agenda of the mayor, not generally for the agenda of individual board members. In every other form of government, the mayor has input separate to the board, to varying degrees. Ours, if it would have changed, the mayor would have advised the person to be hired, and the board would have consented, so it’s a very equal thing. In other forms of government, the mayor would have more say-so, but in this particular case, it’s very much the mayor appoints, the board consents, like other positions."

"I want to be very, very clear, this is not a reflection of George’s performance, and it does not change his role as the village manager."

There is no requirement for a village manager to have a contract, Pekau added. Koczwara was informed 0f the change months prior during a performance review, he added. A letter to be sent to Koczwara formally informing him of the decision not to renew the contract has circulated among residents, he said, leading to misinformation about the status of his employment.

"I want to thank George for his professionalism in keeping a positive disposition in spite of this nonsense," Pekau said.

"... I think it’s wholly inappropriate for this board to tie the hands of a future board."

Trustee Sean Kampas spoke positively of the move.

"This is pushing a decision on the dates of the contract to be decided after the municipal elections, not before," Kampas said. "... They would rather the residents completely forget that the village just came out of a completely victorious dispute with the former village manager, who was forced upon a new mayor nearly eight years ago.

"It was counterproductive to the good of the village then, and this board believes it would be hypocritical for this board to decide on this contract before an election. The timing should be reversed; we’re standing on principle here."

Trustee Healy decried the previous board's decision to appoint LaMargo prior to Pekau taking his seat.

"That was devious what those people did, to arrange for that extended contract by LaMargo, and the reason we have to do this is to correct that devious practice," Healy said. "The professionalism that George has displayed, it’s not just that, it's the nonpartisan way he goes around it … that devious plan that they hatched was totally partisan.

"… To the village of Orland, you are being served tremendously by George Koczwara, and we hope that that continues for a long time."