Committee delays CEO performance scoring, discusses contract timeline and metrics

Christy Smith, chair of the CEO Performance Evaluation Committee, said the group would postpone final scoring of the fiscal 2024 CEO review so she and newly appointed member David Esquivel could meet with the CEO and review materials before voting. The committee also discussed how to set clearer, more objective CEO metrics for fiscal year 2025 and reviewed the timeline and options for negotiating or replacing the CEO's contract, which runs through June 30, 2025.

The committee tabled immediate action on the 2024 evaluation and agreed members should have individual meetings with Dr. Webb as needed before finalizing scores. "I would prefer to do that," Smith said, explaining she wanted to speak directly with Dr. Webb about specific metrics before assigning scores and to give Mr. Esquivel time to review the materials. Esquivel, a new committee member, said he appreciated the chance to orient with the CEO before voting.

Members agreed the committee should avoid making major changes mid‑fiscal‑year and use existing FY24/FY25 materials as a baseline while working to refine longer‑term metrics for FY26 and beyond. The committee reviewed example evaluation frameworks provided in packets — including documents drawn from Nashville Electric Service and the BNA (Nashville International Airport) evaluation — and discussed validating measures with third parties where appropriate.

The group turned to contract issues and compensation history after Chair Smith noted Dr. Webb's current agreement expires on June 30, 2025. A committee member asked for a full compensation history, including past bonuses and retirement benefits; a staff member said the records exist and would be provided. The chief human resources officer told the committee there were periods with no board evaluations and that the organization retained legal counsel when evaluations lagged to determine contractual obligations. "We have the complete history," the chief human resources officer said, noting earlier gaps in evaluations and that some compensation adjustments were made to address missed reviews.

Derek, the committee's representative from Metro Legal, clarified the contract structure and timing. He said Metro budget decisions determine regular salary adjustments, while the CEO contract's performance evaluation is tied to a discretionary bonus that does not become permanent salary. Committee members noted contractual deadlines, including a provision that requires parties to address amendments within a specified post‑expiration window; members identified late March as a helpful internal target to develop conceptual changes well in advance of the June 30 expiration.

Members also discussed recruitment options if the board chose to run a national search for a CEO. The committee reviewed the authority's prior use of BE Smith (now part of AMN) for executive searches and discussed whether the board should run a new RFP or piggyback on an existing Metro contract to expedite procurement. Derek advised that using an existing Metro contract could shorten the process but that the full board would need to approve any solicitation.

The committee scheduled additional meetings and asked staff to circulate homework and documentation in advance. The committee approved the minutes from its Dec. 9 meeting by voice vote earlier in the session. The committee will reconvene with updated materials and proposed timelines to finalize the FY24 scores, confirm FY25 metrics, and determine next steps on contract negotiations.