Peterborough Town Administrator Nicole MacStay remains on paid administrative leave, but the town faces a deadline with her current contract set to expire at the end of the year.
MacStay was due for an annual performance evaluation in September, according to a copy of her contract reviewed by the Ledger-Transcript. Her current contract, which began in 2024, is set to expire on Dec. 31.
At the beginning of Tuesday’s select board meeting, Chair Tyler Ward told those in attendance the board would not answer any questions about the town administrator’s leave. Before entering a nonpublic meeting to discuss personnel matters, Ward again declined to comment on the leave timeline or provide updates.
MacStay has been on paid administrative leave for about two weeks and is the highest-earning town administrator in the Monadnock region with a salary of $151,424. She has not responded to previous requests for comment about her leave.
The town has not shared information about why she is on leave. Assistant Town Administrator Seth MacLean is currently serving as interim town administrator.
MacStay’s contract is set to end soon, though it typically automatically renews. Here’s a look at the contract:
The Town Administrator Contract of Employment outlines the responsibilities of the role as the town’s chief executive to follow town, state and federal law.
“The Employee shall perform the duties of Town Administrator of the Town with reasonable care, diligence and expertise,” the contract states.
MacStay has served as town administrator for five years. Her contract’s expiration date is Dec. 31 but is set to renew automatically, unless the select board gives MacStay written notice at least 120 days before its expiration, presents a new agreement or MacStay requests a modification for personal priorities.
Sept. 2 was 120 days before the agreement’s end date. MacStay was placed on leave on Oct. 29.
The Peterborough Town Employment Manual defines leave as “an authorized absence during which an employee does not work but is still considered to be in the employ of the Town.”
Recent evaluation
In her annual September evaluation, the select board and town administrator should have the opportunity to discuss goals and objectives for the previous and upcoming year and prepare a written evaluation and its results, according to the contract.
In her evaluation for the 2024-25 year, which was finalized last November and obtained by the Ledger-Transcript earlier this year, the select board weighed MacStay’s performance in six areas: cost savings, income generation, management skills, communications with the public, interaction with the select board and planning and oversight of projects.
In each category, the board listed MacStay’s accomplishments. They praised her for completing projects under budget, being “available 24/7” to board members, successfully justifying town expenses to the public and “inspiring the best performance” out of the people she works with, among other things. They awarded her a 2% merit-based salary increase.
Goals for the next year included “First Say Yes” and attempt to make the board’s wishes happen, as well as “strive for a reduction in the overall Budget.”
According to the contract, if MacStay resigns, she is required to provide a minimum of 90 days’ notice unless she and the select board agree otherwise.
The contract lists multiple potential reasons for termination, including a change in the form of government that no longer needs the role filled, or agreement between the select board and the town administrator. It can also occur if the town administrator does not follow the responsibilities outlined by the select board, but it must be preceded by notice to the employee and a select board hearing.
The select board has not commented on MacStay’s employment status or the reason for administrative leave.
Nonpublic sessions
RSA 91-A is New Hampshire’s Right-to-Know law and governs what matters and records can be exempt from public inspection. That specific section of the law lays out reasons that public officials can meet in nonpublic session, including for matters involving the “dismissal, promotion, or compensation of any public employee or the disciplining of such employee, or the investigation of any charges against him or her.”
Citing that exemption, the select board has met at least four times in the past three weeks for nonpublic meetings to discuss personnel matters, including Tuesday night.
Other meetings took place on Oct. 23, Oct. 28 and Oct. 30.
MacLean said the minutes from the nonpublic meetings have been sealed.
The Right-to-Know law states that the minutes from those sessions should be made public within 72 hours of the meeting, but the select board can vote to seal them if they believe the information in the minutes would “affect adversely the reputation of any person other than a member of the public body itself, or render the proposed action ineffective” or pertain to public safety matters.
To unseal the minutes, a majority of the board must decide that these circumstances no longer apply.
MacStay’s tenure
MacStay worked for the town for 14 years as an assistant and deputy to the town administrator before stepping up to the top role in 2021.
As stated on the Peterborough town website, the town administrator serves as chief administrative officer of the town, overseeing all departments, personnel, finances and purchasing policies.
“She performs the duties of the position independently on her own initiative, determining situations warranting the Select Board’s attention and presenting recommendations for corrective actions,” the website states.
Over the past five years, MacStay has overseen dozens of projects, including the completion of the Main Street bridge replacement, U.S. Route 202 reconstruction, the Peterborough Town Library expansion and the new Peterborough fire and rescue station, which is set to open later this month.