DATE: Tuesday, October 7, 1997              TAG: 9710070291

SECTION: LOCAL                   PAGE: B1   EDITION: FINAL 

SOURCE: BY MATTHEW DOLAN, STAFF WRITER 

DATELINE: CHESAPEAKE                        LENGTH:   32 lines

HOUSING AGENCY RAISES PAY OF INTERIM DIRECTOR

The Redevelopment and Housing Authority voted unanimously Monday night to increase the salary of its interim executive director while it searches for a permanent replacement for Douglas Falkner.

The board fired Falkner, the authority's executive director for the past six months, on Sept. 22 and decided by a 6-3 vote last Thursday not to rehire him.

In a unanimous decision on Oct. 2, the board of commissioners voted to give Falkner three months' worth of his $71,000 annual salary and health insurance and 30 days' use of his staff car as a severance package.

According to his termination letter from the board's attorney, Falkner was fired because he subjected the authority to possible litigation resulting from accusations of sexual harassment, racial discrimination and an effort to pay someone to take a college class for him. Falkner has denied those allegations.

Teresa Brewer, the authority's director of administration and finance, was immediately appointed interim executive director in the wake of Falkner's termination. Brewer's $39,400 annual salary was increased to $65,000 Monday night while the search for a permanent executive director continues.

Officials said it took the authority six months to find its last executive director, a search that drew candidates from around the country.

Authority Chairman Roland L. Thornton said he will meet with acting City Manager Clarence V. Cuffee today to discuss how the authority will search for its new executive director. Several board members have said they would like to use a job candidate selection system similar to the city's.

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