By LARRY HILLIARD

Ledger Staff Writer

Gaffney Board of Public Works commissioners approved a new 4-year contract Tuesday for their general manager that includes a 2 percent cap on annual raises.

The contract, which was prepared by the Columbia-based McNair Law Firm, was reviewed over the weekend at the commissioners’ long-range planning and budget workshop.

General Manager Donnie Hardin’s current base salary is about $110,344.

Commissioners Joe Dean Knuckles and Grady Randolph, who were appointed by commission chairman Roger Harris to review the contract, recommended its approval.

Reading from a prepared statement, Randolph said, “Mr. Knuckles and myself recommend the Board approve the 4-year agreement, drafted by the McNair Law Firm, which would not add any years to the general manager’s current approved employment agreement.”

Hardin’s annual raises, which could climb to as much as 6 percent in the old contract, are capped at 2 percent in the new deal.

The contract also includes the removal of a harassment clause and a 2-year option that allows Hardin to continue his employment at the Board after his retirement from the state retirement system. His salary would be reduced in the option years from about $145,000 to $50,000 - the maximum annual amount he can earn without forfeiting his state retirement benefits.

Hardin’s old deal, which ran through 2009, was worth about $250,000 after adding mandatory employer contributions for the South Carolina Retirement Fund, FICA and insurance premiums.

Hardin’s contract has been a hot-button issue, especially for commissioner Brenda Earls, who voted against the new contract.

She cited her pending litigation with the Board and the failure of Randolph and Knuckles to provide a breakdown in dollars of the contract as reasons for her vote.

She also questioned why there was no record of Randolph and Knuckles meeting to review the contract.