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The city of Charlottetown has announced that Peter Kelly, who served as mayor of Halifax until 2012, has been hired permanently as the city’s chief administrative officer.

Kelly had been appointed on May 1, 2016, by Charlottetown to serve in the same role on a probationary basis.

READ MORE: Former Halifax mayor Peter Kelly chosen as new CAO for City of Charlottetown

“Mr. Kelly has assisted council and staff in careful budget oversight, which allowed us to mitigate our projected deficit of $1.5 million and start 2017 with a balanced budget,” said Clifford Lee, mayor of Charlottetown, in a press release on Thursday. “Because of his performance over the past 12 months, and the successes achieved during that time, Council felt it was only fair to make him a permanent employee.

Kelly has had a long career in public service. He’s been elected as mayor of the Town of Bedford, served one term as a councillor in the new Halifax Regional Municipality, and was elected mayor of Halifax in 2000.

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In February 2012, Kelly announced he would not seek re-election. The decision was made after a string of scandals, including his duties as executor of the will of his late friend, Mary Thibeault.

Kelly had not fulfilled Thibeault’s wishes to divide her estate among beneficiaries, including organizations such as the Canadian National Institute for the Blind and the Salvation Army. Kelly eventually reached a settlement over his actions.

READ MORE: Peter Kelly reaches settlement over will with Thibeault heirs

Charlottetown’s press release did not mention the issues that led to him leaving politics though it did indicate that the city was being cautious.

“Council did indicate in the offer to Mr. Kelly that should he be convicted of being in violation of any law, his employment status would be reviewed,” said Lee in the press release.

— With files from Rhonda Brown and Nick Logan, Global News