It sounds as if it was a mutual agreement for Bazza to be allowed to leave.
As for costing them their place in the league, if they lose their appeal next week they will be deducted 10 points and as good as down. From past experience of FA appeals, I wouldn't be optimistic if I was a St Albans supporter.
I've no problem over the timing of S&H leaving (the manner of it could have been better, but the timing makes sense). From our point of view, better now than wait until the close season - you need to be re-signing the players you want to keep as soon as the season ends, so if they'd left in May we could have been in limbo and lost players whilst we tried to find a new manager.