City reverses course, saying councilor never asked city manager to resign

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Salem City Council President Linda Nishioka claims she never asked Salem’s former city manager to resign, disputing his account of their conversation nearly a week after he abruptly cleaned out his office.

Nishioka and City Attorney Dan Atchison released statements over the weekend which contradict the account given by City Manager Keith Stahley in his resignation letter, and a previous city statement saying Stahley resigned at the request of city council.

Their statements raise questions about why the city released Stahley’s resignation letter but chose not to dispute Stahley’s characterization of the matter until nearly a week later.

They suggest that Stahley’s statements that he was asked to resign were untrue and made only so Stahley could receive a severance package worth nearly $256,000, which councilors unanimously approved at a Feb. 10 meeting.

Stahley did not respond to a call seeking comment Monday.

A timeline of statements surrounding Salem city manager’s resignation

Stahley submitted his resignation letter on Sunday, Feb. 9, writing that he acted after Nishoka came to him on Friday, Feb. 7, as the “duly authorized representative of the Mayor and a majority of City Council” to request his resignation. 

Since Stahley resigned, the city has issued three separate statements on the matter. On Tuesday, Feb. 11, an unsigned city statement said he resigned “at city council’s request.” His resignation letter was released to the public the day after council accepted the terms of Stahley’s resignation.

His abrupt departure prompted a public outcry and questions about how the city council could decide to fire the city manager without public discussion or meeting.

It comes as the city plans a May public vote on a property tax levy to fund city services. Councilors have said such a measure will only succeed if there is public trust in city government.

Atchison’s statement, released Saturday, and Nishioka’s, released Sunday, both describe Mayor Julie Hoy initiating discussions with city councilors about Stahley’s possible removal and his performance based on a recently released audit of his office. 

Atchison said Hoy consulted with him prior to the conversations.

“It is my understanding that the Mayor did not attempt to coordinate a collective decision among members of council through her individual discussions with councilors,” his statement said. He said he was confident public meetings laws weren’t violated.

Hoy has not responded to multiple requests for interviews and questions over the past week from Salem Reporter about her role in Stahley’s ouster. 

Aside from a brief statement during the Feb. 10 council meeting, she has not addressed the matter publicly. 

City Councilors Micki Varney and Shane Matthews told Salem Reporter they spoke to Hoy generally about Stahley’s performance but never discussed asking him to resign.

Atchison said in his statement that Hoy called Nishioka and the two spoke concerning Stahley’s “performance and potential separation from the city.” 

“Given my conversation with Mayor Julie Hoy, I became deeply concerned for Mr. Stahley’s well-being and felt it was important to inform him about the discussions surrounding his position,” Nishioka said in her statement. “I witnessed his efforts to strengthen his working relationship with Mayor Julie Hoy and believed I had seen signs of improvement.”

Neither statement dates the conversation between Nishioka and Hoy.

Nishioka said she suggested Stahley consider resigning when they spoke Feb. 7.

Stahley told her he was already considering doing so, according to her account. 

Nishioka said nobody instructed her to go to Stahely and that she wanted him to know there were concerns about his leadership, Nishioka said.

“Councilor Nishioka never said that she was City Council’s “duly authorized representative” or implied she was speaking on behalf of City Council,” Atchison said. 

He said Stahley used that language because it mirrored language in his contract which allowed him to receive severance. 

Nishioka also said she wanted Stahley to know “that I wanted him to be eligible for severance benefits because he deserved his severance package if his decision was to resign.”

“I acted in good faith,” Nishioka said. “The level of anger and misinformation being spread is genuinely disheartening.”

Contact reporter Joe Siess: [email protected] or 503-335-7790. Contact reporter Rachel Alexander: [email protected] or 503-575-1241.

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