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CC - Item 4F - Amendment to the City Clerk Employment AgreementROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: JEFF ALLRED, CITY MANAGER DATE: JUNE 12, 2012 SUBJECT: AMENDMENT TO THE CITY CLERK EMPLOYMENT AGREEMENT SUMMARY On May 22, 2012, the City Council conducted an annual review of the City Clerk's job performance and provided a rating of Substantially Exceeds Expectations. The City's established policies and procedures for merit salary adjustments apply to the City Clerk in the same manner as all other full -time employees. Under the City's compensation system, a performance rating of Substantially Exceeds Expectations equates to a merit salary adjustment of 5% within the salary range. However, in light of current economic conditions, the City Clerk has forgone the 5% merit increase and accepted an additional 3 months' of severance pay. Staff Recommendation Staff recommends that the City Council approve the Fourth Amendment to City Clerk Employment Agreement. PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process. Prepared by: GLORIA MOLLEDA CITY CLERK Attachment A - Fourth Amendment to City Clerk Employment Agreement ITEM NUMBER: NF FOURTH AMENDMENT TO CITY CLERK EMPLOYMENT AGREEMENT 1. Parties and Date. THIS FOURTH AMENDMENT TO THE CITY CLERK EMPLOYMENT AGREEMENT (hereinafter "Fourth Amendment ") is made and entered into this 12" day of June, 2012 by and between the City of Rosemead, a California municipal corporation (hereinafter "City"), and City Clerk Gloria Molleda (hereinafter "Employee "). 2. Recitals. 2.1 City and Employee entered into that certain Employment Agreement dated January 8, 2008 (hereinafter "Employment Agreement "), whereby Employee agreed to serve as the City Clerk of the City of Rosemead. 2.2 City and Employee executed the First Amendment of that Employment Agreement on May 27, 2008. 2.3 City and Employee executed the Second Amendment of that Employment Agreement on June, 1, 2010. 2.4 City and Employee executed the Third Amendment of that Employment Agreement on June 12, 2011. 2.5 City and Employee now desire to make a Fourth Amendment to certain provisions of the City Clerk Employment Agreement relating to severance pay. 3. Severance Pay. 5.0 Section 5.0 of the Employment Agreement is hereby amended by restating Section 5D to read as follows: (1) In the event the City Clerk is terminated by the City Council during such time that the City Clerk is willing and able to perform the City Clerk's duties under this Agreement, then in that event the City agrees to pay the City Clerk a severance payment equivalent to (9) months of compensation in effect as provided herein. (2) All payments required under Sections 5D (1) are subject to and shall be interpreted to comply with the limitations set forth in Government Code Section 53260. 4. Force and Effect. 4.1 Except as amended by this Fourth Amendment, all provisions of the Employment Agreement and Third Amendment to City Clerk Employment Agreement shall remain in full force and effect and shall govern the actions of the City and Employee under this Fourth Amendment. IN WITNESS WHEREOF, City has caused this Fourth Amendment to be signed and duly executed on its behalf by its Mayor, and duly attested by its City Manager, and Employee has signed and executed this Amendment, to be effective as of the day and year first above written. CITY Sandra Armenta, Mayor ATTEST: Jeffry Allred, City Manager EMPLOYEE wLti -1 1� toLX.SCd�'� Gloria Molleda APPROVE AS TOFORM: Rachel Richman, City Attorney