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Bozeman City Commission approves severance offer for City Manager Jeff Mihelich

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BOZEMAN — In a 5-0 vote, the Bozeman City Commission agreed to the terms of a severance offer for City Manager Jeff Mihelich, who has been on paid leave since Feb. 1 after a leaked video call showed him disparaging Mayor Terry Cunningham and other city commissioners.

The severance agreement will give Mihelich eight months of salary and eight months of retirement calculated at 18% of the monthly salary, down from the 12 months stipulated in the terms of the city manager's employee contract.

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The agreement also makes Tuesday, March 5 Mihelich's last day of employment with the City of Bozeman.

The eight-month salary agreement totals $171,824.64, and the retirement contribution adds an additional $30,928.44.

As part of the agreement, the Bozeman City Commission also agrees not to go forward with filing an ethics complaint against Mihelich.

It's not clear what the timeline will be for hiring a new, permanent city manager. Assistant City Manager Chuck Winn will continue to serve as Acting City Manager in the interim.