HANOVER — Departing Town Manager Alex Torpey will receive more than $135,000 in severance from the town, according to a separation agreement between Torpey and the Selectboard.

But the reason for the parting of ways remains unclear.

Last week, the Hanover Selectboard announced on the town website that Torpey would be “transitioning out of his role as town manager,” with a departure date of July 31. He still had one year remaining on his three-year contract when his departure was announced.

Torpey, 37, became the town’s administrative leader in June 2022 after the retirement of Julia Griffin, who had served as Hanover’s town manager for 25 years.

The town will pay Torpey severance benefits totaling $135,750, which includes $120,750 in “lost wages,” retirement contributions and compensation for benefits, and $15,000 to cover Torpey’s attorney fees in the contractual negotiations, according to the separation agreement signed by the parties on July 9.

Torpey also will receive $22,614 for accrued but unused vacation time, the agreement states.

Torpey will stop receiving employee benefits, including health insurance, at the end of the month, the agreement says.

The agreement does not offer a reason for the early end to Torpey’s tenure.

On Wednesday, Torpey said that “he decided to resign from the position,” but declined to discuss his reasons.

Selectboard Chairman Carey Callaghan also declined to comment on the reason behind the separation, in a phone interview on Wednesday.

Torpey’s resignation letter to the Selectboard, dated July 9, was one sentence in length; Torpey was required to submit the letter as a condition of the separation agreement.

Rob Houseman, the town’s planning and zoning director, was named interim town manager by the Selectboard, who voted unanimously for Houseman’s appointment at a meeting held in nonpublic session on July 9.

“I want to acknowledge that this (transition) is going to be a team effort,” Houseman said at a Selectboard meeting on Monday. “Our senior leadership team is going to be working to move us forward in a positive way and to continue to make the progress that we strive to make.”

The Selectboard intends to begin a search for a permanent town manager “in the coming weeks,” according to the online announcement.

On Monday, in his final Selectboard meeting as town manager, Torpey expressed his gratitude to town staff and residents for their support, cordiality and dedication.

Selectboard member and former board chairman Athos Rassias credited Torpey’s ability to think critically and from different perspectives, as well as for bringing in new ideas.

“Alex rolled up his sleeves and began applying his skills right away in areas such as communication, economic development, moving things along downtown,” Rassias said at Monday’s meeting. “The town is much affected and in a better place, and the impact that Alex has had is going to benefit the town in a lot of ways for many years to come.”

During his tenure, Torpey used digital media, including videos and a regular podcast series called “Hanover Happenings,” to provide updates on town projects and upcoming meetings, including budgetary items. He also worked with business owners and other community members on ways to increase economic activity and socialization in the downtown.

These conversations contributed to town initiatives including the placement of benches and tables outside Town Hall, street festivals on South Main Street and, currently, the Allen Street Placemaker Project, a study to determine the benefits of converting Allen Street, a commercial street in the downtown, into a pedestrian plaza.

Torpey’s administration also faced scrutiny this year for the town’s refusal to release the arrest records of two Dartmouth students who were taken into custody by Hanover police last October when staging a protest on campus.

Last month, Grafton County Superior Court Judge Steven Houran ordered the town to release the records and to pay the legal fees of the Valley News, which had made multiple requests for the records, since last December.

In the ruling, Houran rejected the town’s contention that releasing these records would violate the students’ privacy and affirmed that arrest reports are public records under the state’s right-to-know law.

After he leaves Hanover, Torpey plans to pursue new professional endeavors in consulting and media communications, which are both personal passions, he said in an interview on Wednesday.

“I’ve started an organization called Rethink Local, which will provide free workshops, meetups, best practices and webinars for governments, nonprofits, and people who are looking to get more involved in their towns,” Torpey said.

His new organization also will offer consulting and technical advising on topics such as economic development, budget planning, employee recruitment and retention and public outreach, Torpey added.

Torpey, who lived in New Jersey prior to accepting a job in Hanover, said that he is currently building a new home in South Royalton and intends to remain in the Upper Valley.

Patrick Adrian may be reached at padrian@vnews.com or 603-727-3216.