The Albert Lea City Council on Monday approved a separation agreement with City Manager Jim Norman, which includes Norman’s resignation, three months of severance pay and a request by the city to dismiss the criminal charges pending against Norman.

The agreement came at the end of the council’s regular Monday meeting, following a closed session earlier that night regarding ongoing allegations that Norman misused the city-issued credit card for personal purchases.

The agreement was reached after an in-depth process, which included discussion with lawyers for both the city and Norman and closed sessions by the council, Mayor Pro Tem Al “Minnow” Brooks said.

A joint statement issued by both the council and Norman states the following:

“It has been mutually agreed upon between Jim Norman and the Albert Lea City Council to reach a favorable resolution in the best interest of both the Albert Lea City Council and Mr. Norman.

“While both parties believe there are differences in interpretation, a settlement agreement has been agreed on by both parties.”

Norman’s resignation is effective Monday. He had only been in the position full time since May 3.

Under the agreement, the city shall pay Norman a lump sum cash payment equivalent to three months salary for Sept. 28 through Dec. 28, subject to state and federal withholdings and other taxes. He will continue to receive insurance benefits provided in his employment agreement through Dec. 31.

Norman will also be compensated for all accrued and unused vacation as of Monday.

In his resignation letter, Norman thanked the city council for hiring him, regardless of what has been the outcome of the issues leading up to his administrative leave.

He said The Brimeyer Group, the executive search firm that presented him as a candidate to the council, “vetted me properly and it found precisely what was detailed by follow-up media investigations. That I am a professional and a good fit for the city. The council’s investment was wise and appropriate.”

He said the decision the council made to place him on administrative leave after he was charged for the allegations in Freeborn County District was a professional move.

“It hurt me personally — and it hurt them politically as this is another action that will cost money,” Norman said. “But from a professional management perspective, they had no choice.”

He urged the council to continue operating in the honorable and professional manner that it has displayed recently as it continues to face many challenges.

The city is sending a letter to Special Assistant County Attorney Brenda Miller with Waseca County, who filed the criminal charges against Norman, asking that Norman’s criminal charges be dropped.

“Based on the agreement between the city of Albert Lea and Mr. Norman, the City Council formally requests that all criminal charges which are presently pending against Mr. Norman in Freeborn County District Court be dismissed and not re-filed,” states a letter from Brooks to the Waseca County Attorney’s Office.

It will ultimately be up to the prosecutor to determine if these charges will be dismissed.

Norman is scheduled to appear in court on the allegations Wednesday.

In the last part of the agreement, Norman agrees to release all claims he might have been able to make against the city in terms of a lawsuit or some other proceeding regarding damages against him, including breach of contract, fraud or misrepresentation, defamation, unlawful discrimination, intentional or negligent infliction of emotional distress, mental anguish, humiliation, embarrassment, pain and suffering, among others.

He may rescind this release of potential claims within 15 calendar days following the execution of the agreement.

The agreement itself will become effective after the cancellation period has expired. If Norman cancels the release of claims, the city may nullify the agreement in its entirety or keep portions not affected by the cancellation.

A cancellation, however, does not affect Norman’s separation from employment, the agreement states.

Norman, who moved to Albert Lea after working as Afton interim city administrator, said though he is concerned about the negative publicity this situation has had on his career, he will continue to look for employment in the field of public administration. He will remain in Albert Lea until he is able to find another opportunity.

Brooks said the council will begin to look “fairly soon” about its options for a new city manager, including whether to contact the remaining finalists from search firm The Brimeyer Group or other interested parties.

With the vacancy in the mayor seat, city manager seat and now finance director position in October, he said the stress on the staff level is getting to a point where it is pretty high.

The council hopes this agreement will give the city the chance to start over again.