Pleasantville paid its departing business administrator $165,000, and she keeps half
In August 2024, Pleasantville City Council authorized $165,724 in sick leave and severance for departing Business Administrator Linda Peyton. In a Nov. 7, 2025 letter, the New Jersey Office of the State Comptroller found the $83,987 sick-leave payout improper because Peyton resigned without retiring and took another state job, and called the city's severance policy, about six months' base salary after five years of service, 'unnecessary, wasteful, and ripe for fraud and abuse.' The city sued to recover the sick pay, and in April 2026 an Atlantic County Superior Court judge ordered Peyton to repay $83,987. She keeps the $81,737 severance, which OSC called wasteful but not illegal. OSC blamed confusion among senior city officials and the lack of a written payout policy, and recommended eliminating the severance policy. Coverage does not report that the city has done so.
The office suggested the policy be eliminated as part of a required corrective action plan.
The City of Pleasantville made wasteful sick leave and severance payments of more than $165,000 to its Business Administrator upon her resignation.
In response to OSC's findings, the City submitted a CAP outlining steps to recoup the improperly paid funds.
Submitted a corrective action plan and sued to recover the sick-leave payout.
Not yet contacted for this story.
Told the judge she should have been notified sooner.
No outcome recorded yet.