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Regional board votes to cancel contract, approves request for audit at Birmingham Water Works

WVTM · last updated

The recently appointed Regional Water Works Board is slowly working to make changes at the Birmingham Water Works.At Monday evening’s meeting, the board voted to rescind the contract of deputy general manger/general counsel Mark Parnell. They voted to bring in three new outside law firms for legal counsel. “We’ve got to have counsel that everybody trusts,” one director said during the meeting.Directors also voted in favor of the state to audit BWW’s finances to make sure the agency is in good standing and identify any problems that need correcting.The previous BWWB voted on May 6 to protect several high-level managers while SB330 was waiting on Gov. Kay Ivey’s signature. She signed the bill the very next day, which immediately disbanded the previous board and formed a new one.“We approved contracts for the assistant general managers, there are four of them. We approved a contract for the corporate governance officer, and we approved the contract for general counsel,” said General Manager Mac Underwood told WVTM 13 on May 6. “We’re going to negotiate those contracts and sign those contracts as soon as possible.”WVTM 13’s Jarvis Robertson asked director Tommy Hudson if he believe those contracts were approved in good standing.”No,” he said. The old board knew they were going out.”Contract summaries for several key management personnel at The Water Works Board of the city of Birmingham reveal details of their compensation, benefits, and severance provisions. The information outlines the terms of employment for both interim and permanent leadership positions within the public utility.Mark Parnell, in his role as deputy general manager and general counsel, is contracted at a monthly salary of $55,000. His agreement also includes a $1,000 per month vehicle allowance and enhanced pension benefits. Parnell’s contract is set to run through Dec. 31, 2030. If his employment is terminated by the board without specified cause, such as a felony conviction, he is entitled to a severance payment equivalent to the remainder of his contract term, with a minimum of two years’ salary.>> YOUR NEIGHBORHOOD: Community coverage from WVTM 13Several other executives are compensated based on “Pay Grade S.” A separate 2025 Salary Grade document, reflecting a two percent general wage increase, indicates that pay grades range significantly, with Grade U, the highest detailed, having a maximum annual salary of $446,118.40. Contracts for personnel at Pay Grade S generally include vehicle allowances, six-percent longevity pay and substantial vacation and sick leave allocations.Barry Williams, serving as interim general manager of finance and administration under a second amended agreement, receives the highest pay for Pay Grade S. His benefits include a vehicle allowance, six percent longevity pay, six weeks of vacation and five weeks of sick leave. The contract specifies that unused vacation or sick leave is not compensated upon termination. Should the board terminate his contract, Williams is eligible for a severance payment equal to one year of his base salary, payable within 30 days.Derrick Murphy, the assistant general manager for engineering and maintenance, is also compensated at Pay Grade S. His five-year contract includes a vehicle allowance, six percent longevity pay, six weeks of vacation and five weeks of sick leave. Upon termination by the board, Murphy is entitled to a severance equivalent to one year of his base salary.>> WVTM 13 ON-THE-GO: Download our app for freePhilip King, assistant general manager for operations and technical services, has a salary aligned with Pay Grade S. His five-year agreement includes a vehicle allowance, six percent longevity pay, five weeks of vacation and six weeks of sick leave. Termination by the board would result in a severance payment equal to one year of King’s salary.Michael Parker, the interim senior manager of customer care, is compensated at the highest rate for Pay Grade S. His 12-month contract, which can be renewed, provides a vehicle allowance, six percent longevity pay, six weeks of vacation and five weeks of sick leave. Similar to Williams, Parker is not compensated for unused leave upon termination, but would receive a severance equivalent to one year’s salary if terminated by the board.Most of the outlined agreements stipulate that legal disputes fall under Alabama law and the jurisdiction of the Birmingham District of Jefferson County Circuit Court. Several contracts indicate that the board will cover legal costs if litigation arises from its refusal to honor the agreement. Termination notice periods vary, with Parnell’s contract requiring 90 days’ written notice, while others specify 30 days.The contracts consistently include clauses prohibiting collusion, the misuse of funds and any unauthorized commitments made on behalf of the board. Amendments to these agreements generally require written consent from both parties.>> FOLLOW US ON SOCIAL: Facebook | X | Instagram | YouTube

BIRMINGHAM, Ala. —

The recently appointed Regional Water Works Board is slowly working to make changes at the Birmingham Water Works.

At Monday evening’s meeting, the board voted to rescind the contract of deputy general manger/general counsel Mark Parnell. They voted to bring in three new outside law firms for legal counsel.

“We’ve got to have counsel that everybody trusts,” one director said during the meeting.

Directors also voted in favor of the state to audit BWW’s finances to make sure the agency is in good standing and identify any problems that need correcting.

The previous BWWB voted on May 6 to protect several high-level managers while SB330 was waiting on Gov. Kay Ivey’s signature. She signed the bill the very next day, which immediately disbanded the previous board and formed a new one.

“We approved contracts for the assistant general managers, there are four of them. We approved a contract for the corporate governance officer, and we approved the contract for general counsel,” said General Manager Mac Underwood told WVTM 13 on May 6. “We’re going to negotiate those contracts and sign those contracts as soon as possible.”

WVTM 13’s Jarvis Robertson asked director Tommy Hudson if he believe those contracts were approved in good standing.

“No,” he said. The old board knew they were going out.”

Contract summaries for several key management personnel at The Water Works Board of the city of Birmingham reveal details of their compensation, benefits, and severance provisions. The information outlines the terms of employment for both interim and permanent leadership positions within the public utility.

Mark Parnell, in his role as deputy general manager and general counsel, is contracted at a monthly salary of $55,000. His agreement also includes a $1,000 per month vehicle allowance and enhanced pension benefits. Parnell’s contract is set to run through Dec. 31, 2030. If his employment is terminated by the board without specified cause, such as a felony conviction, he is entitled to a severance payment equivalent to the remainder of his contract term, with a minimum of two years’ salary.

>> YOUR NEIGHBORHOOD: Community coverage from WVTM 13

Several other executives are compensated based on “Pay Grade S.” A separate 2025 Salary Grade document, reflecting a two percent general wage increase, indicates that pay grades range significantly, with Grade U, the highest detailed, having a maximum annual salary of $446,118.40. Contracts for personnel at Pay Grade S generally include vehicle allowances, six-percent longevity pay and substantial vacation and sick leave allocations.

Barry Williams, serving as interim general manager of finance and administration under a second amended agreement, receives the highest pay for Pay Grade S. His benefits include a vehicle allowance, six percent longevity pay, six weeks of vacation and five weeks of sick leave. The contract specifies that unused vacation or sick leave is not compensated upon termination. Should the board terminate his contract, Williams is eligible for a severance payment equal to one year of his base salary, payable within 30 days.

Derrick Murphy, the assistant general manager for engineering and maintenance, is also compensated at Pay Grade S. His five-year contract includes a vehicle allowance, six percent longevity pay, six weeks of vacation and five weeks of sick leave. Upon termination by the board, Murphy is entitled to a severance equivalent to one year of his base salary.

>> WVTM 13 ON-THE-GO: Download our app for free

Philip King, assistant general manager for operations and technical services, has a salary aligned with Pay Grade S. His five-year agreement includes a vehicle allowance, six percent longevity pay, five weeks of vacation and six weeks of sick leave. Termination by the board would result in a severance payment equal to one year of King’s salary.

Michael Parker, the interim senior manager of customer care, is compensated at the highest rate for Pay Grade S. His 12-month contract, which can be renewed, provides a vehicle allowance, six percent longevity pay, six weeks of vacation and five weeks of sick leave. Similar to Williams, Parker is not compensated for unused leave upon termination, but would receive a severance equivalent to one year’s salary if terminated by the board.

Most of the outlined agreements stipulate that legal disputes fall under Alabama law and the jurisdiction of the Birmingham District of Jefferson County Circuit Court. Several contracts indicate that the board will cover legal costs if litigation arises from its refusal to honor the agreement. Termination notice periods vary, with Parnell’s contract requiring 90 days’ written notice, while others specify 30 days.

The contracts consistently include clauses prohibiting collusion, the misuse of funds and any unauthorized commitments made on behalf of the board. Amendments to these agreements generally require written consent from both parties.

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