Cincinnati City Manager Harry Black on Friday morning provided the "release and settlement agreement" between the city and now former Executive Assistant Police Chief David Bailey.
Bailey resigned from his position effective Friday, but will be on paid administrative leave and will continue to receive pay and benefits until he's eligible to retire. The city said his current salary is $126,245.64. Bailey would lose his city-provided health insurance coverage if he finds another job with similar coverage.
He has seven days to revoke the agreement.
Bailey will no longer have police powers, but does get to retain his badge and gun. He also gets $2,000 for his attorney fees.
He will also get a cash payout for accumulated vacation, sick, and comp time when he retires.
Bailey is in the Ohio Police and Fire Pension System DROP program. It allows eligible offers to "accumulate a lump sum of money for retirement."
But once officers are enrolled in DROP, they must agree to work for a period of time or they forfeit some of the money accumulated in the program. That provision is why the city is putting him on paid administrative leave and not asking him to retire now.
The city and Bailey agreed not to disparage each other.
The city's response is:
Lt. Col. David Bailey has loyally served the City of Cincinnati with distinction for over 30 years. The City thanks Lt. Col. David Bailey for his service.
Black said in a memo Friday that Bailey's duties will be split between the police chief and three other assistant police chiefs until a permanent replacement is named. Black will make that selection.
Bailey reportedly was told Thursday to either resign or he would be fired.
His departure came a day after Black said there was a "small, fringe element in the city's police department committed to disrupting what's good about the agency.
Black's comments came after an Enquirer report Tuesday questioning overtime spending by the police department.
Black said the internal department audit was improperly "leaked" to the newspaper, and shouldn't have been released because it wasn't complete. He said the police chief was reviewing a draft document of the audit.
Black suggested Wednesday in an e-mail he was considering having the U.S. Attorney's office investigate.
Bailey had written the cover letter for that overtime audit and the audit itself was done by Capt. Jeffrey Butler.
It revealed several issues with how department personnel are using overtime and said those problems are impacting the department's budget.
"A clear pattern of the failure to inspect and manage the process has been revealed in a number of districts/sections/units or by individual officers and supervisors," the audit report said. "The failure to adhere to the established processes has resulted in a significant negative financial impact and places extensive financial liability on the department."
District Five Commander Bridget Bardua and two sergeants under her commend were mentioned as having been "top overtime earners by rank."
On Monday before the audit was reported in the newspaper, Bardua filed a sexual discrimination complaint with the U.S. Equal Employment Opportunity Commission.
In that complaint, she alleged Bailey, Butler, and Assistant Chief Paul Neudigate were working to oust Police Chief Eliot Isaac.
Bailey in a Facebook post Thursday morning responded to the city manager's comments.
"In my view, these comments are reckless, unfortunate and grossly inaccurate," Bailey wrote. "They are not only self-serving, they are irresponsible and harmful to the agency."
In a statement shared on social media Wednesday, an attorney for Bailey and Butler said the men deny the allegation they were working to out Chief Isaac.