James Palermo missed out on a pension, but he can cash in $44,000 of sick leave.
By DAVID KARP
Published May 10, 2003
TAMPA - On his last day in office, former Mayor Dick Greco changed city policy to allow his top lawyer to receive the same sick leave benefits as other city employees.
The change allowed City Attorney James Palermo to cash in on about $44,000 in unused sick leave.
Greco made the change only after consulting with incoming City Attorney Fred Karl, who didn't oppose the decision.
Karl wrote in a memo that the change appeared to erase an "unfair and discriminatory" hardship on Palermo, who had worked for the city for 36 years.
City policy says any employee with a pension may cash in on unusued sick leave when they retire. But Palermo did not sign up for a pension years ago, so he could not collect his unused sick leave.
Palermo is the only person out of 4,800 employees who would have been denied his sick leave pay, according to Karl.
Palermo argued that he was being denied a benefit because of a technicality. The policy was intended to benefit all longtime city employees, he said.
Palermo asked for Karl's permission to make the change.
Karl didn't object but said Greco would have to do it.
The reason was procedural, Karl wrote. Greco was still the mayor, and once Iorio took office, Palermo wouldn't be a city employee any longer.
Greco made the change on his last day in office. When she took office the next day, Iorio didn't try to undo the move.
Karl told her that Palermo's argument had merit. "There didn't seem to be any inequity in it," he said.
However, Karl denied Palermo's attempt to obtain a city pension, saying he repeatedly passed up his chance to qualify.
Palermo has attempted to obtain a city pension for years. Four times during Greco's term, the Legislature has refused requests to change state law to allow Palermo to buy into the pension system.
- Times staff writer Bill Varian contributed to this report.
