Grand Haven utility fires general manager amid ongoing whistleblower investigation


GRAND HAVEN — The Grand Haven Board of Light and Power fired its general manager Thursday, saying allegations of discrimination and harassment he leveled against a board member were baseless, while the conclusion of a whistleblower investigation draws near.

It was the latest move in a years-long series of cross-allegations involving GHBLP General Manager Dave Walters, GHBLP board members and, at times, members of Grand Haven City Council.

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Walters submitted his notice of resignation in October, planning to retire as of Jan. 19. It came just days after Grand Haven City Council voted to approve hiring an outside attorney to lead an independent review of whistle-blower allegations that allege the utility attempted to destroy documents and pressured employees to participate in a political campaign last year to keep the utility separate from the city, amongst other claims.

David Walters, general manager of the Grand Haven Board of Light & Power, addresses city council after whistleblower claims against the GHBLP were made public on Monday, Sept. 18, 2023.

There also have been allegations against Walters that he violated state campaign finance rules that prohibit public entities and employees from advocating for the outcome of a political campaign, according to a complaint filed with the Michigan Secretary of State Office against the GHBLP. A second complaint to the SOS claims the GHBLP board “used public funds or resources for campaign purposes,” according to documents obtained by The Sentinel.

Walters rescinded his planned January resignation shortly after the November election when GHBLP board member Andrea Hendrick lost her mayoral race bid. He has accused Hendrick of creating a “toxic workplace,” and complained to city council in September that his grievances against Hendrick — who is still on the GHBLP board — were not taken seriously.

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Walters and GHBLP Board Chair Michael Westbrook have refused to provide documentation or details of Walters’ allegations against Hendrick.

When asked for documentation of Walters’ complaint, GHBLP Board Chair Michael Westbrook told The Sentinel in a Sept. 30 email: “The general manager’s longstanding whistleblower complaint was filed appropriately and was in the process of being investigated confidentially as appropriate.”

This week, the board approved a resolution 4-1 saying the entity “has done an internal investigation of the General Manager’s claims and has not found any basis for them.” It further laid out that the board was terminating Walters’ employment and would adhere to the terms of his most recent contract, which was approved in July 2022.

Walters was given 90 days’ notice that his retirement will be effective April 24 — his contract stated he would retire at the end of 2026. He will receive approximately $233,000 in pay and benefits and will serve the remainder of his employment with the utility on paid administrative leave.

He told the board Thursday that he didn’t know the move was coming.

“You took me entirely off guard,” he said.

Walters has been trying to obtain Hendrick’s personal emails, claiming the messages would support his allegations that Hendrick discriminated, harassed and retaliated against him, although specific allegations have not been made clear.

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The board said Thursday that if evidence from Walters’ FOIA request provide evidence that support his claims, “the BLP will seek to negotiate more generous terms of separation” for Walters.

Meanwhile, the whistleblower investigation is expected to be completed within the next month. The complainant, who remains anonymous, turned over approximately 200,000 emails that allegedly support that the GHBLP:

  • Conducted a coordinated attempt to destroy documents to circumvent a Freedom of Information Act request.

  • Repeated false and misleading statements to employees regarding a proposed charter amendment to dissolve the BLP.

  • Attempted to avoid compliance with the requirements of the Open Meetings Act.

  • Pressured employees to sign a letter to contribute funds and distribute door signs, all opposed to the charter amendment — potentially in violation of state law.

The charter amendment to dissolve the GHBLP was handily rejected by voters in the November 2023 election. About 70% of the votes were against dissolving the entity.

In its resolution to terminate Walters’ contract, the board said if the whistleblower accusations against Walters provides evidence that the BLP had cause to fire him under the terms of his contract, the GHBLP reserves the right to not pay him the benefits he is set to receive — all subject to a vote of the board.

Walters told board members Thursday there are no allegations against him in the whistleblower complaint.

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“That part of the resolution is incorrect,” he said.

He said he plans to evaluate his legal options.

“This is what I wanted,” he said. “This provides me the opportunity to dispute it appropriately — in the courts, if necessary.”

— Sarah Leach is executive editor of The Holland Sentinel. Contact her at sarah.leach@hollandsentinel.com. Follow her on Twitter@SentinelLeach.

This article originally appeared on The Holland Sentinel: Grand Haven utility fires GM amid ongoing whistleblower investigation



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