BY EMILY MIBACH
Daily Post Staff Writer
The sewage processing agency that paid its former general manager $875,000 to leave his job without suing has now received two bids for the Emerald Hills home the agency bought for him.
Silicon Valley Clean Water bought the house for former General Manager Dan Child for $2.54 million in 2010 — and nine years later, the agency is bound to make a seven-digit profit.
The agency’s board will discuss the two bids for the house at 379 Greendale Way at its meeting on Monday (Nov. 18).
The two bidders are identified on the agency’s agenda only as “Ishida” and “Wall.”
The house has been on the market since June. The initial asking price was $4.5 million. But the list price appears to have fallen. Online real estate sites now show the listing price is $3.9 million.
Still, if Silicon Valley Clean Water got $3.9 million for the house, that would represent a $1.36 million profit.
The home has six bedrooms and five-and-a-half bathrooms with 6,183 square feet of living space. There are two laundry rooms, one on each level of the home, a hot tub, emergency generator and built-in sound system. The garage fits four cars.
The Greendale Way home was actually the second home the agency had bought for Child. According to previous employment agreements between Child and the agency, when Child was hired in 2006, the district agreed to pay for half of a home in an amount not to exceed $750,000.
As a result, Child bought a home at 551 Highland Ave. in Half Moon Bay.
In 2010, Child wanted to move, and got the agency to agree to buy him the Greendale house for $2.54 million.
Child’s employment contract indicates that upon leaving the district, he would get 38% of the appreciation in a home at 379 Greendale Way. Under the employment contract, his equity in the home increases year by year. He personally didn’t contribute to the purchase price of the home.
Child goes to court to keep documents secret
Child left the district in May 2018 for reasons that remain unclear.
The Post asked the sewer agency for a separation agreement of another employee, which might shed light on why Child was paid to resign. The employee’s complaint against Child was serious enough that it was mentioned in Child’s separation agreement.
Silicon Valley Clean Water decided to release that document and others to the Post. Then Child filed a lawsuit to stop the Post from getting the documents. Child claimed in his lawsuit that his reputation would be “irreparably” damaged if the separation agreement of the other employee becomes public.
Attorneys for the Post have notified the court that they intend to intervene in the lawsuit in order to get a judge to rule whether the documents should be released.
A hearing is set for Jan. 7 in Santa Clara County Superior Court.