April 29, 2008 — “I guess we’ll have to call you Mr. General Manager now.” That’s how several directors of the Lassen Municipal Utility District good-naturedly joked with Ray Luhring after the board unanimously approved elevating Luhring to the publicly owned utility district’s top management position.

Luhring, who’s worked at LMUD for about four years, was appointed acting general manager after Frank Cady, the former general manager, was fired without cause on Jan. 4.

“I’m very excited,” Luhring said. “I really appreciate the support I’ve received from the board for giving me this opportunity. I’m looking forward to it. The Lassen Municipal Utility District has so much to offer, so much potential. We’ve got a really good bunch of employees, and I think the district is going to go in a really good direction. We’re here to be your local, hometown electric company.”

While Director Wayne Langston said the timing of the decision to consider making Luhring, the district’s acting general manager, the permanent general manager was “dead on,” he said he’d like an opportunity to review the contract and “dissect it more.”

Director Jay Dow said he didn’t know Luhring’s background and wondered if the board should do an evaluation before hiring the general manager.

President Bud Bowden said it was time to “get the man off the hot seat and let him get to work.”

In the end, the board unanimously approved Luhring’s hiring. There was no public comment.

“Congratulations, Mr. General Manager,” Bowden said.

“My condolences,” quipped Director Fred Nagel.

General manager contract
Luhring said the contract presented to the board was based on the contract approved for the previous two general managers.

According to the contract, Luhring will “serve as the district’s general manager” and “perform all services necessary to manage and administer the business and business affairs of the district.”

Those services include statutory duties and powers set forth in the Municipal Utility District Act; the laws, rules and regulations of the state of California; and the policies adopted by the board. Luhring also will be responsible for implementing or amending existing administrative policies as needed.

According to the contract, Luhring will be paid $12,348 per month ($148,176 per year) plus “all benefits of employment generally available to the district’s regular permanent employees.”

Luhring also will receive vacation, sick and family leave as provided in the district’s current International Brotherhood of Electrical Workers union contract and shall accrue 25 vacation days per year to start.

Luhring will devote “the whole of employee’s working time, skill, experience, knowledge, labor, energy and attention exclusively to the business and affairs of the district.”

The general manager may be terminated for cause by the district. Should that occur, “the employee shall neither be entitled to nor shall receive any future payment of compensation beyond the termination date.”

If the general manager is terminated without cause, he shall be entitled to 12 months of base pay salary only, paid on the district’s normal payroll schedule or as a lump sum on the next pay period after the date of termination.

The general manager also may resign with 60 days notice. If he resigns, the general manager will not be entitled to any further compensation.