Stephen Phillips will not return to his position as superintendent of the Newberg-Dundee school district.
That was the decision of the district’s board of directors during an abbreviated special session held this week at district headquarters. Deliberated in open session, the issue was first discussed during an hourlong executive session the board held prior to the open session.
“The Newberg-Dundee School District Board of Directors voted at its July 29 board meeting to exercise its right under Section 10(c) of Dr. Phillips’ employment contract, notifying him that he will no longer serve as superintendent, effective immediately, and that his contract will not be extended beyond the time of the current contractual commitment,” a release from the district said. “He will continue to receive his contractual compensation.”
The section of the document highlighted by the board covers the no-cause termination clause of Phillips’ contract, specifically that “the district may discharge the superintendent and terminate his agreement without any showing of cause for twenty-four (24) months of full pay.”
The contract also signifies that the district will continue to pay Phillips’ salary and fringe benefits for two full years or pay the balance of his salary and benefits in a lump sum, if agreed upon by the board and Phillips.
The board voted 6-1 in favor of terminating Phillips’ contract. Director Trevor DeHart was the lone nay vote. DeHart and the three former conservative members of the board were responsible for hiring Phillips in 2022 despite his record of being forced to resign as an assistant superintendent in the Beaverton School District for reposting allegedly racist rhetoric, and an investigation for his actions as a principal and superintendent in the Jewell School District.
Phillips was named in April as a co-defendant in a federal lawsuit that alleges he and two other administrators in the Jewell School District failed to properly protect a then-14-year-old student from a predatory teacher who has since been imprisoned. In a response filed in July, Phillips argued that he had acted properly and without error in handling the case of the student.
Some detractors in the district pointed to Phillips’ performance in the other districts and his alleged part in the district’s budget woes as reason for his dismissal. Phillips and former district finance director Heather Bixby became targets for scorn when it was announced in late April that the district had a multi-million-dollar budget shortfall. Bixby resigned soon after ; Phillips went on medical leave in early June but was expected to return in late July. His medical leave has been extended to early September.
When and if he returns, Phillips will remain an employee of the district, although in what capacity remains to be seen. He could serve as a consultant or assume an administrative role in the district.
“He is anticipated to return to work on Sept. 4,” the release said. “At that time, Dr. Phillips will report to the interim superintendent for his assignment.”
However, Phillips could be discharged from the district entirely as the board could still invoke the for-cause clause of his contract, which allows the district to terminate him without paying the remainder of his contract and benefits package.
Board member Nancy Woodward alluded that the body may be considering such a move.
“It’s my understanding that this doesn’t necessarily mean it’s the final decision,” she said via Zoom during the meeting. “The board still has an option for another decision at a later date if needed or desired.”
Former Superintendent Paula Radich has served in Phillips’ place for several months and is expected to continue as interim superintendent past the Aug. 13 end of her no-pay contract. The search to hire a long-term interim superintendent began Monday, July 29, when the board authorized board Chair Deb Bridges to identify search firms that could do the job.
Serious money at stake in honoring contract
Phillips’ contract when he was hired in May 2022 included a base salary of $180,000. That number ballooned to $215,000 when approved by the four conservative members of the board a year later — a 19% increase — with subsequent contracts destined to increase by 0.5% over that received by teachers in the district through their union contracts.
The fringe benefits in the contract included a tax-sheltered annuity that rose from $6,000 to $12,900 annually; a travel allowance that increased from $400 per month to $537 per month; a vacation allowance that stepped up from 20 to 30 days per year and cell phone options that were upgraded from being equivalent to what other administrators in the district received to including a stipend of an additional $3,600 annually.
All told, Woodward figured, Phillips salary and benefit package tops $266,000 during the 2023-24 school year.
“Now that’s a generous salary … and it goes up every year because it’s by percentage,” she said.
The contract also calls for Phillips to “receive a retention bonus of $30,000 for reward of continuous service to be paid by June 30, 2025.” Should the board continue Phillips’ employment for the remainder of his contract, he would receive the retention bonus.
Most Popular
Comments / 0