LAUSD Superintendent Roy Romer has fired General Counsel Hal Kwalwasser, who will receive a severance package worth up to $342,000, officials said Monday.

Kwalwasser, who had been with the Los Angeles Unified School District since November 2000 and earned $228,375 a year, was told late last week that his contract was being terminated "for the good of the institution."

His contract contained an "evergreen" clause, which kept the agreement in effect until it was terminated by one or both parties.

The contract includes a provision that Kwalwasser be paid until he finds a new job, or for up to 18 months, after termination.

Romer issued a statement saying he felt the need to make a change in the Office of the General Counsel. "Mr. Kwalwasser was hired to reorganize the Office of the General Counsel at the time the district underwent a major restructuring. He has successfully completed the legal reorganization plan."

Kwalwasser, 56, who was a consultant on Romer's successful 1994 campaign for Colorado governor, said Romer told him he was acting "for the good of the institution."

"We built a good law office here. It was in total disarray before," said Kwalwasser, who said he was caught off guard by Romer's decision. "It's a first-rate public law office."

But the district's top lawyer had been the subject of criticism over his management style, and for escalating fees the district is paying outside law firms.

Some members of the school board questioned getting rid of Kwalwasser at such a high price -- and as the district is facing a budget crisis.

"It's absolutely unconscionable to give a huge severance," board member Julie Korenstein said. "I'm not big on paying people hundreds of thousands of dollars to have them leave. That's not the best use of our money."

Board President Caprice Young said Kwalwasser had done a "yeoman's job" with the office, and had been instrumental in stopping the district's hemorrhaging of money in lawsuits against it. But she, too, was critical of the severance package, which the district is contractually bound to pay.

"I certainly don't think the school district should do anything like that again," Young said.

Board member Jose Huizar, who had questioned escalating legal costs and other managerial matters for months, said Romer notified him Thursday evening that he had terminated Kwalwasser.

"He said he had his own reasons," Huizar said.

Huizar said he questioned Kwalwasser's use of dozens of outside law firms, after getting assurances a couple of years ago the number would be curtailed.

"I was always concerned about the amount we were spending on legal services," Huizar said, adding he was worried legal fees were actually higher than reflected in the general budget and being paid out of bond and other funds.

District budget documents show the general fund expenditures for Kwalwasser's office increased from $20 million in fiscal 2000 to $36 million in 2002.

Kwalwasser said spending on outside law firms increased only slightly, from $13.6 million in fiscal 2001 to $14.7 million in fiscal 2003, and that other budget increases reflected cyclical costs associated with the district's ambitious school construction program.

Board member David Tokofsky complained about having to pay a large severance package as the district is contemplating furloughing district staff to save money.

Former Superintendent Ruben Zacarias' severance package in November 1999 included up to $277,000 in salary compensation, plus $150,000 for accrued vacation.

"It's ironic that this board complained, as it was waiting to come into power, that Zacarias was being paid a large amount of money, and it's about to do the same thing," Tokofsky said. "I think Hal is fine. I would vote to keep him.

"You can't get a brain like that that easily," Tokofsky said.