An exodus is underway at Lake Elmo City Hall — with the third resignation since a new city council took over in January.

Assistant City Administrator Adam Bell is resigning in protest, citing a “hostile environment” created by the city council.

The two other staffers — receptionist Stacy Bodsberg and taxpayer relations manager Alyssa MacLeod — left their jobs earlier this year. They couldn’t be reached for comment Monday, but officials have said they quit for similar reasons.

Four other staff members are trying to find other jobs as well, according to city council member Justin Bloyer.

“We are on the precipice of the entire staff walking out,” Bloyer said. “Morale is horrible, absolutely horrible.”

Contacted Monday, City Administrator Dean Zuleger said that Bell will be missed. “This is a devastating blow to the organization,” he said.

He would make only one comment about morale: “This has been a very difficult place to work since the first of the year.”

The first allegation of a hostile work environment came from a draft complaint written by Zuleger in November, in which he alleged two years of harassment and bullying by council member Ann Smith.

Smith has denied any wrongdoing, and Bell did not respond to phone messages left Monday.

The mood of City Hall employees has soured since January. That’s when newly elected Jill Lundgren and Julie Fliflet — both political allies of council member Smith — took office.

At a closed meeting Feb. 24, Zuleger asked the council to remedy the “hostile work environment” or negotiate a separation agreement with him. At that meeting, Fliflet, Lundgren and Smith said they wanted to end Zuleger’s employment.

The move was a surprise, because in December the previous council gave Zuleger a positive job review and recommended giving him a $15,000 raise.

The public outcry was fierce. Supporters rushed to sign an 800-signature petition, and 200 of them came to support Zuleger at a rally.

On March 24, the council reversed itself and unanimously voted to extend Zuleger’s employment.

Morale has not yet rebounded, however. “It has actually become worse,” council member Bloyer said.

In his resignation letter, Bell said — without giving specifics — that behavior of city council members was an ongoing problem.

“I realized it was time to end my service to the city because I can no longer honestly tell potential applicants that this is a good place to work,” he wrote.

“I am greatly concerned about the current treatment of and lack of support for staff by elected officials.”

Bell said he was not leaving for another job. “I will be leaving to spend more time with my family and repair the toll this job has taken on my health, both physical and mental,” he wrote.

Council members and the mayor praised Bell but wouldn’t elaborate about a general morale problem.

“I am very sorry to lose Adam,” Mayor Mike Pearson said. “We had assembled quite a team, and I was happy with their output and the service provided. It seems we have run into a wrinkle here.”

Lundgren said she would miss Bell. “He was always pleasant to me and I was always pleasant to him,” she said.

Council member Smith said that aside from attending city council meetings, “I have not been in City Hall for many months.” She said she has had no communication with Bell.

In an email, Fliflet responded specifically to a statement by Bell that the staff was overburdened.

She said the city has added five new positions in the past three years and that she has seen an employee napping during working hours.

“So when we hear these comments that staff is overburdened, yet we’ve had an increase of 30 percent in FTEs in the last three years and we see a staff member taking a nap at their desk during the day, it is hard to know what to believe,” Fliflet said.

Turnover can have an upside, she said.

“Turnover can often be an opportunity to consolidate, reorganize or readjust. This is just good management,” she said.

Bob Shaw can be reached at 651-228-5433. Follow him at twitter.com/BshawPP.