Cudahy

City Manager Gerald Caton, troubled by policy differences with several council members, has agreed to resign effective Sept. 1 in exchange for nearly $78,000 in pay and benefits.

A divided City Council voted 3 to 1 to draw up an agreement that will give Caton the money he would have earned during the remaining 10 months on his contract. Councilman Joseph Graffio opposed Caton’s resignation and Councilman John Robertson was on vacation.

The council is to examine the agreement document being drawn up by the city attorney and cast a final vote today.

Caton said he agreed to resign in part because of differences with three council members over their support of a card club planned for the city.

In addition, Caton said he was troubled by the council’s decision last month to hire a new finance director and allow him to operate independently of the city manager.

Graffio said he felt the city manager had been “forced out” by the council majority, adding that Caton had “done more than anyone else for this city” during three years as the top administrator.

Councilman Gabe Zippi, who joined Mayor Faye Dunlap and Councilman Lynwood Evans in accepting Caton’s resignation, said the city manager simply wanted to move on.