HomeMy WebLinkAboutL- 5 City Manager Agreement I
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AZUSA
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: SONIA R. CARVALHO, CITY ATTORNEY
VIA: RICK COLE, CITY MANAGER
DATE: JULY 15, 2002
SUBJECT: CITY MANAGER AGREEMENT
RECOMMENDATION:
The City Attorney recommends that the City Council adopt a resolution approving an Amended and Restated
Employment Agreement for the City Manager to provide for his continued employment with the City of Azusa.
BACKGROUND:
The City Council entered into an employment contract with Mr. Cole in July of 1998. Following a performance
evaluation in 1999,the City Council approved an amendment to the employment contract. The employment contract
provides that the City Council shall conduct an annual evaluation of the city manager based on the terms of his
agreement,the City's work plan approved by the City Council and directives given to the city manager by the City
Council. The contract provides that the City Council may renegotiate the contract from year to year.
Recently, Mayor Madrid and Councilmember Chagnon have met to discuss the City Manager's contract issues and
recommended adoption of an Amended and Restated Agreement("Agreement"). The Agreement contains the
following new terms:
1. Revises the term of the Agreement so that it runs from July 1, 2002 to July 1, 2003 and provides for automatic
1-year extensions unless the City Council votes not to extend the Agreement.
2. Establishes a salary(step)range for future increases to the City Manager's salary and establishes the City
Manager's salary at Step 2 of that range($120,750). The salary(step) range was developed by surveying the
salaries of city managers in comparable cities. The survey shows that the Azusa City Manager would go from the
lowest paid city manager in the surveyed cities to the second lowest paid (See Attached Survey).
3. Provides the City Manager with a maximum of$180 per month toward City's deferred compensation benefit
plan.
4. Provides that the City Manager may carry-over or cash-out 40 hours of vacation time per year upon reaching 5
years of service time and 80 hours upon reaching 10 years of service time.
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. 5. Authorizes sabbatical leave time of up 3 weeks per year and provides a stipend of up to$7,500 per year for
professional and personal development during the sabbatical.
All other terms in the Agreement remain unchanged. The attached resolution has been prepared to confirm the City
Council's approval of the Agreement. The resolution also authorizes a retroactive salary payment to coincide with
the City Manager's due date for performance review under the current agreement.
FISCAL IMPACT:
The merit increase in salary represents an increase of$12,390 per year. Upon reaching five years of service credit,
the Agreement also provides additional benefits(Deferred Compensation, vacation accrual and sabbatical expenses)
that could add approximately$11,982 in potential costs per year depending upon the use of vacation cash-outs and
sabbaticals.
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RESOLUTION NO. 02-C79
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
AZUSA, CALIFORNIA, APPROVING AN AMENDED AND
RESTATED EMPLOYMENT AGREEMENT FOR THE CITY
MANAGER
WHEREAS, the City Council recently conducted an evaluation of the city manager
and concluded that the city manager's job performance exceeds all or most of the established
measures for the job; and
WHEREAS, the City is committed to attracting and retaining top-performing staff
at all levels of the City's organization; and
WHEREAS, a recent city manager salary survey of comparable local cities
indicates that the Azusa City Manager's compensation package is among the lowest of the
seventeen cities surveyed; and
WHEREAS, as a result of the review and compensation comparison, the
City Council desires to enter into an Amended and Restated Employment Agreement providing for
a revised salary range and modified benefits; and
WHEREAS, the City Council wishes to make the City Manager's salary
retroactive to January 1, 2002 to coincide with the due date for performance review under the
current terms of the City Manager's agreement; and
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AZUSA,
CALIFORNIA, DOES FIND AND DECLARE THAT:
SECTION 1. The Amended and Restated Employment Agreement between the
City of Azusa and Frederick "Rick" Cole attached hereto as Exhibit"A" is hereby approved.
SECTION 2. The salary adjustment provided for in Section 2 of the Agreement shall
be retroactive to January 1, 2002.
SECTION 3. This Resolution shall become effective immediately upon its passage.
PASSED, APPROVED AND ADOPTED 15th day of July, 2002.
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Cristina C. Madrid
Mayor
ATTEST:
Vera endoza
City Clerk
APPROVED AS TO FORM:
.4frute;-E . e#144,014
City Attorney
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