ST. PETERSBURG, Fla. — St. Petersburg City Administrator Rob Gerdes told City Council members Thursday that current city policies and procedures are "inadequate" for $250,000 in bonuses recently awarded to 17 employees who worked on the deal for the redevelopment of the Historic Gas Plant District.

The mayor rescinded those bonuses earlier this week, citing an "unintended response."


What You Need To Know

  •  St. Petersburg City Administrator Rob Gerdes addressed recently rescinded bonuses Thursday at the City Council's committee of the whole meeting

  •  Gerdes said a review found the city's compensation policies don't align with a state law on bonuses

  •  He said the mayor has directed staff to conduct a full review of all city compensation policies and procedures

  • Read previous coverage here

"We always want to learn from our mistakes. We did make a mistake in this case by not ensuring that our policies were aligned," Gerdes said during the council's committee of the whole meeting.

Gerdes said the intentions behind the bonuses were good: to reward employees for a job well done.

"Many of your employees gave very much of their lives to that work, and the mayor and I felt the amount of work that was done, the amount of time that was spent, that in this case, really, a thank you, or a thank you card was not enough," Gerdes said.

He told council members one-time payments were chosen because they'd have a more direct impact on employees and are more financially responsible for the city.

But concerns about how city compensation policies line up with a state law on bonuses prompted a review. During the meeting, council member Lisset Hanewicz mentioned Statute 215.425, dealing with extra compensation claims, bonuses, and severance pay.

It reads, in part: "No extra compensation shall be made to any officer, agent, employee, or contractor after the service has been rendered or the contract made."

Gerdes said he, the assistant city administrator, and the city attorney's office found the city's policies are "inadequate" for the bonuses provided.

"I don't like that a lot of the information that I've gotten has been through the media and through social media," said council member Gina Driscoll.

While the St. Petersburg City Council normally has to approve expenditures of more than $100,000, a member of the city's legal team said that didn't apply to the bonuses because the individual payments were for smaller amounts.

Members noted transparency with the public is important, especially when it comes to the Gas Plant redevelopment, which has been touted as the largest economic development project in Tampa Bay history. The project saw pushback from the community due, in part, to its use of public funds.

"There were folks out there that weren't reading very closely and thought that we, those of us who voted yes, got something, too," said Driscoll. "I have to deal with that, and I didn't get a dime."

Gerdes told members that talk of bonuses came up before council and the Pinellas County Board of County Commissioners voted on the project. He said Mayor Ken Welch has directed staff to conduct a full review of all city compensation policies and procedures.

"I'm still troubled by it," said council member Ed Montanari. "I wish it didn't happen. I have so much respect for the people who work in the city, and I understand what the administration was trying to do, but this just was not a good idea."

Council members stressed those who received bonuses did nothing wrong. Gerdes said several have already written checks to pay back the city.