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HomeMy WebLinkAbout10 MANAGER CONTRACT 03-07-05 . AGENDA REPORT Agenda Item Reviewed: City Manager ~ Finance Director N/A 10 MEETING DATE: TO: MARCH 7, 2005 HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: SUBJECT: CITY ATTORNEY AMENDMENT NO.5 TO EMPLOYMENT AGREEMENT WITH THE CITY MANAGER SUMMARY: The City Attorney is recommending that the City Council adopt a resolution approving Amendment No.5 to the Employment Agreement with the City Manager. RECOMMENDATION: Motion to adopt the attached Resolution Approving Amendment No.5 to the Employment Agreement with the City Manager. FISCAL IMPACT: Within budget. BACKGROUND: The City Manager's Employment Agreement provides that the City Manager's salary and benefits shall be reviewed at least every two years. The City Council's authorized negotiator and Mr. Huston have reached a verbal agreement on a salary increase and benefit option for the City Manager. The City Manager's salary has not been adjusted since November of 2002. The Employment Agreement is also proposed to be amended to allow the City Manager, at his option, to convert his deferred compensation to base salary. This benefit has been approved for management and executive management employees effective February 21, 2005. The Employment Agreement needs to be amended to provide for these changes. In that regard, a resolution approving Amendment No.5 has been prepared for your consideration. ATTACHMENT: Resolution and Agreement. LOIS ~F~Y ~ LEJ/blw cc: William A. Huston, City Manager 19910'.1 March 2, 2005 RESOLUTION NO. 05-46 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, APPROVING AMENDMENT NO.5 TO THE EMPLOYMENT AGREEMENT WITH THE CITY MANAGER WHEREAS, the City Council approved an Employment Agreement with the City Manager in November of 1996 (the "Employment Agreement"); and WHEREAS, the Employment Agreement calls for periodic reviews of the City Manager's salary and benefits; and WHEREAS, after a favorable evaluation of the City Manager's performance, the City Council desires to increase the City Manager's salary and provide an optional benefit. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, finds, determines and orders as follows: SECTION 1. The City Council hereby approves the Employment Agreement as amended by Amendment No.5 attached hereto and incorporated by this reference. PASSED AND ADOPTED at a regular meeting of the City Council of the City of Tustin on the ¡th day of March 2005. LOU BONE Mayor PAMELA STOKER City Clerk Resolution No. 05-46 Page 1 of 4 STATE OF CALIFORNIA) COUNTY OF ORANGE) SS CITY OF TUSTIN ) I, Pamela Stoker, City Clerk and ex-officio Clerk of the City Council of the City of Tustin, California, do hereby certify that the whole number of the members of the City Council of the City of Tustin is five; that the above and foregoing Resolution No. 05-46 was duly passed and adopted at a regular meeting of the Tustin City Council, held on the 7th day of March, 2005, by the following vote: COUNCILMEMBER AYES: COUNCILMEMBER NOES: COUNCILMEMBER ABSTAINED: COUNCILMEMBER ABSENT: PAMELA STOKER City Clerk Resoiution No. 05-46 Page 2 of 4 WOOD'"". "'~'" "MAR> AHDR"YSATLAW OR"GE Js\mhuizar\Local 2 3 AMENDMENT NO.5 TO EMPLOYMENT AGREEMENT 4 5 This Amendment No.5 is made and entered into by and between the CITY OF TUSTIN, a municipal corporation ("City"), and WILLIAM A. HUSTON, ("Employee"). 6 7 WITNESSETH 8 9 WHEREAS, the City and Employee have entered into the Employment Agreement dated November 1, 1996, between the City of Tustin and William A. Huston, as amended. 10 11 ("the Employment Agreement") WHEREAS, the parties desire to amend the Employment Agreement to provide for a 12 13 salary increase. NOW, THEREFORE, in consideration of the mutual promises contained herein and 14 15 other good and valuable consideration, receipt of which is hereby acknowledged, it is hereby agreed by and between City and Employee as follows: 16 17 18 19 AGREEMENT 1. A sentence added to Section 5A of the Employment Agreement, as amended, 20 21 to read as follows: "Effective December 27, 2004, Employee's salary shall be increased by five and one quarter percent (5.25%). 22 23 Effective January 1, 2006, and January 1, 2007, Employee's salary shall be increased by five percent (5%). 24 25 III 26 III 27 28 11/ III WOOD,"". "'AD'" & SMART ATTORNõY$ mAW ORANGE Js\mhuizar\Local 2. A sentence is added to Section 6 of the Employment Agreement, as amended, 2 3 to read as follows: "At Employee's option, the City's contribution on behalf of Employee to the City's Deferred Compensation Plan 4 5 investment fund may be converted to salary." Except as expressly amended herein, all other terms and conditions of the 6 7 3. Employment Agreement shall remain in full force and effect. 8 9 Executed this - day of , 2005, at Tustin, California. 10 11 "City" 12 13 CITY OF TUSTIN, a municipal corporation 14 15 By: Lou Bone, Mayor 16 17 ATTEST: 18 19 Pamela Stoker City Clerk 20 21 APPROVED AS TO FORM: 22 23 24 25 Lois E. Jeffrey City Attorney "Employee" 26 27 28 William A. Huston -2-