Loading...
CC - Item 6A - Approval of Second Amendment to City Manager Employment Agreement and Adoption of Salary Schedule Resolution No. 2024-24ROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: RACHEL RICHMAN, CITY ATTORNE)V� DATE: MAY 28, 2024 SUBJECT: APPROVAL OF SECOND AMENDMENT TO CITY MANAGER EMPLOYMENT AGREEMENT AND APPROVAL OF SALARY SCHEDULE RESOLUTION NO. 2024-24 The City and the City Manager entered into an Employment Agreement ("Agreement") on April 26, 2022. Section 6 of the Agreement permits the City Council to conduct performance evaluations and grant increases in salary. Pursuant to Section 6 (c) of the Agreement, the City Council conducted the City Manager's performance evaluation. The City Manager received a "substantially exceeds expectations" review with a 5 rating. The City Council directed that an agreement be provided to the Council for consideration of approval for a 9% salary increase effective May 14, 2024 to the amount of $249,504.00 and a 3% COLA salary increase with all other City Employees on July 1, 2024 to an amount of $256,992.00. In addition, the Second Amendment would provide an increase to the City Manager's severance from 6 months to 12 months and change the vacation accrual cap from 320 to 400. Last, the contract would reflect the Rosemead Municipal Code language that provides the City Manager contract will be for an indeterminate term, but the City Manager remains an at -will employee of the City Council. As required by Government Code 54953 prior to final action on the City Manager's salary or compensation and benefits there must be an oral report of the change. The City Attorney will orally report the changes as required. STAFF RECOMMENDATION That the City Council take the following actions: 1. Authorize the Mayor to execute the Second Amendment to City Manager Agreement with Ben Kim on behalf of the City Council. 2. Approve Resolution No. 2024-24, amending the Comprehensive Salary Schedule for Fiscal Year 2023-24 effective May 28, 2024, and Fiscal Year 2024-25 effective July 1, 2024. Ex" 4017:11YY91uL-II:\ City Council Meeting May 28, 2024 Page 2 of 2 STRATEGIC PLAN IMPACT - None PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process. Attachment A: Second Amendment to the City Manager Employee Agreement Attachment B: Resolution No. 2024-24 - amending the Comprehensive Salary Schedule for Fiscal Year 2023-24 effective May 28, 2024, and Fiscal Year 2024-25 effective July 1, 2024 Attachment A Second Amendment to City Manager Employee Agreement SECOND AMENDMENT TO CITY MANAGER EMPLOYMENT AGREEMENT BETWEEN THE CITY OF ROSEMEAD AND BEN HIM AMENDMENT NO.2 This Second Amendment (the "Second Amendment") is made and entered into effective May 28, 2024, by and between the City of Rosemead, California, a municipal corporation (the "City") and Ben Kim, an individual (the "City Manager"). The City and the City Manager are sometimes individually referred to as a "Party" and collectively as "Parties." RECITALS A. The Parties entered into an Employment Agreement (the "Agreement") on April 26, 2022. B. On May 14, 2024, the City Council conducted the City Manager's performance evaluation. The City Manager received a "substantially exceeds expectations" review. C. The City Council also directed a contract amendment come back for approval to provide a 9% increase based on that performance evaluation and to bring the salary within midrange of the salaries for city managers in the Region. The Council also agreed to provide the City Manager a 3% cost of living increase (COLA) to go into effect July 1, along with the COLA for all other City employees. D. The City Council desires to implement a 9% increase in the City Manager's annual salary to a total of $249,504.00 and a 3% COLA increase on July 1 to a total of $256,992.00. E. The Parties now desire to amend the Agreement to reflect the increases in the City Manager's annual salary as well as make additional amendments relating to the term of the Agreement, increasing severance from 6 to 12 months and increasing the vacation accrual cap from 320 to 400 as provided below. OPERATIVE PROVISIONS 1�4110 101►1Bid 191►Y 161 The following amendments are made to the Agreement as follows: (a) Section 3 of the Agreement is hereby amended in full to now read as follows: Effective May 14, 2024, Employee shall remain as an exclusive employee of the City for an indefinite term subject to the provisions contained in this Agreement and the Rosemead Municipal Code concerning separation from service. (b) Section 6(a) of the Agreement is hereby amended to read as follows: Effective May 14, 2024, City agrees to pay City Manager $249,504.00 as an annual base salary per year ($20,792.00 per month) during the term of this Agreement for his 4876-7139-3640 v I services. One July 1, 2024, the City Manager will receive a COLA increase of 3% for an annual salary of $256,992.00. All salary payments to City Manager shall be payable in installments at the same time as other City employees of the City are paid and subject to the customary withholding. (c) Subsection 7(c) Accruals is amended to read: c. Accruals: City Manager shall accrue vacation at a rate of 160 hours per year or 6.15 hours per pay period. City Manager vacation hours shall be capped to a total of 400 hours. (d) Subsection 8(e) Severance is amended to read as follows: e. Upon the effective date of the written waiver under d., City agrees to provide City Manager with a one-time cash payment equal to twelve (12) months of base salary plus the value of twelve (12) months of City -paid health benefits, minus any required withholding. Such payment shall release City from any further obligations under this Agreement and any amendments thereto. 2. REMAINDER UNCHANGED Except as specifically modified and amended in this Second Amendment, the Agreement remains in full force and effect and binding upon the parties. 3. INTEGRATION This Second Amendment constitutes the entire understanding and agreement of the parties and supersedes all negotiations or previous agreements between the parties with respect to all or any part of the transaction discussed in this Second Amendment. 4. EFFECTIVE DATE This Second Amendment shall not become effective until the date it has been formally approved by the City Council and executed by the Parties. 5. APPLICABLE LAW The laws of the State of California shall govern the interpretation and enforcement of this Second Amendment. 6. REFERENCES All references to the Agreement include all their respective terms and provisions. All defined terms utilized in this Second Amendment have the same meaning as provided in the Agreement, unless expressly stated to the contrary in this Second Amendment. 4876-7139-3640 v 1 2 IN WITNESS WHEREOF, the Parties have executed this Agreement, as of the date first indicated above. City City Manager CITY OF ROSEMEAD Ben Kim A Municipal Corporation An Individual By: Steven Ly Mayor ATTEST: By: Ericka Hernandez City Clerk 4876-7139-3640 v I 3 RA Ben Kim City Manager APPROVED AS TO FORM: Rachel H. Richman City Attorney Attachment B Resolution No. 2024-24 RESOLUTION NO. 2024-24 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD, CALIFORNIA, AMENDING THE COMPREHENSIVE SALARY SCHEDULE TO MEET THE CALIFORNIA CODE OF REGULATIONS TITLE 2, SECTION 570.5 AND 571 TO REFLECT APPROVED RATES FROM MAY 28, 2024 THROUGH JUNE 30, 2025 WHEREAS, the City Council has the authority to create, classify, and design salary scales/ranges for all City of Rosemead employee positions; and WHEREAS, California Code of Regulation (CCR) Title 2, Section 570.5 and amendment to CCR Section 571 requires a consolidated Salary Schedule that is publicly available showing all City classifications and salary ranges; and WHEREAS, the City Council wishes to meet the requirements of these regulations by adopting a Salary Schedule, which sets forth the salary scales/ranges for all City of Rosemead employee classifications; and WHEREAS, Exhibit A includes the Citywide Salary Schedule that reflects the new salary rates for all classifications. NOW THEREFORE, BE IT RESOLVED that hereby adopts the Salary Schedule for all City of Rosemead employee classifications as set forth in the attached Exhibit A to reflect the new salary rates for Fiscal Year 2023-24 effective May 28, 2024, and Fiscal Year 2024-25 effective July 1, 2024. PASSED, APPROVED, AND ADOPTED this 28a' day of May, 2024. Steven Ly, Mayor APPROVED AS TO FORM: ATTEST: Rachel Richman, City Attorney Ericka Hernandez, City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES) § CITY OF ROSEMEAD ) I, Ericka Hernandez, City Clerk of the City Council of the City of Rosemead, California, do hereby certify that the foregoing City Council Resolution No. 2024-24, was duly adopted by the City Council of the City of Rosemead, California, at a regular meeting thereof held on the 28'x' day of May 2024, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: Ericka Hernandez, City Clerk w w w w w E f f u u u W z W W z z W z z z z z z 'a a'L$'u$'u$'lS W -,si ����� Eidaiidncin cic a -M0u0 WU' WU' U' w u 0 0 0 0 7E �. .o+��mSe �mmm`n"�mevmin vmionnumir.e+r ourvi�� N��ao��wmreimn °�'i ,+ OO N m N b N N fV OO OO OO N m O ri N b °i 1� ri b 1� n Ci r n n N ui b n tO VI vi N VI � n vl VI N N N .4 ti ti N N N ei .yp4 '1 'I '1 .4 q E € g m a v mm p A! N N N b T N N It m e m T li O O 1� T e b m p C T �O N. M n O m O '1 I W 0 . . . . . . . . . . . . . . . . T n a m O N E o f D I N . ry 'I °1 m N �G m 1� 1� N O G O p mM 10 O O I� O 10 m I° n QL Pm 1° C o + i E O N N O P T ... 10 b V W n P n YI N b n P P N V m ri 1p P P Y a ^ ° i 2 Z 8 ° 0= E H o a V m m Ol N °1 O DJ m YI N N DJ P_ ti_ �_ O N Nm_ N �_ O_ n O_ Vel_ n N O E g Y d a i `v Y E `v O� P P P P n P n m N n m m b mmp m l0 b n t mp V1 m n 1° VmI Vl N m b b Vpgl c a 2 E pm mp mQO C p p �p p m ri � b b m pe V V b b N O F '- i ud A c y a vEi W val O�� Oi Oi Oi °i lO m VI lC l0 vi l0 lG iG Yf e Vi lD N P O c o E 'b.- o o d a E w o o 3 U - c w` _<< E E o v v '°" ^' E` Pmmggemn n n m� nen vmi�mo V7 a�n 8ivry to .m, a Vl c .+ P m Pan P m M P m e to vi a e n to a s d e vi � vi a vi a vi n to < vi V N m O T O C m C W a m eV W ul vl T N O m C imp G pm app C Qml N m n C m O T 9 v O N vtOi O O e1Oi VOl Oml Vii 01 O O 01 m- P 0 F m l0 N Yt 0 l0 lO VI VI b n lG b b 10 O °mi O O� e1Oi 1� O O VI b N O O O Vf N b Y m rct�i/� v "•• °• O� l° H N T n N em1 e01 fnV lD n N e,D1 N m N N Vl e1 eei n m�Pm.+em m.rz T N T �pp N W u� w W .rv+n m m.6.6 .6 °io006 a6 as of n eee via zuer,PPna le le It -i r"iEnmmm devieaaa aaeviaa i E w � H InuT+ o .P+ m m n ry S n ffi n n . P o o m m m � m m m P e n m P m P P n P e m _ _ _ . e e P P e e e e e m ul e e N M N ry n m m VI VI l° m n n n m P o e M m P P r m o n o P b b b e Q n a Vl Uf 1� W O N P N N n t° VPl P V1 T T P � .y ac of °i acn aan urovime� vi ui vi vi viemuie aePuiaaamaeviae LL n.Ni ..���w w w w w w E f f u u u W z W W z z W z z z z z z 'a a'L$'u$'u$'lS W -,si ����� Eidaiidncin cic a -M0u0 WU' WU' U' w u 0 0 0 0 7E E O N q E € g m a v 0 i Y E o f D n o + i E m 9 a .. = N a s v: Y a c 3 E ° i 2 Z 8 ° 0= E H o a E g Y d a i `v Y E `v m c a 2 E q c �. v °' a` a E `o '- i ud A c y a vEi W val O c o E 'b.- o o d a E w o o 3 o o a - c w` _<< E E o v v '°" ^' E` �°'�i,m mm.71y��n2{Monng25 'n bN.3 devmi_m mma$ nmo Id.�g��g.N.,m uni,m .n+ v O O N m N m N m N m n N N n N� m O T ry p M v OM1 W W P b N W N O n n VI n N N O N b 0 d p P N pp my m i d Jnl O m O O 111 Of ti P N M n N N OO O Oi W n V N Omi h n N 1p� r P n n n 'i Z Od N vi iG r IO N N N N f0 ri vi N pO O O b T W n T N N. m N. In11 N INl1 T d N T V O O 111 '1 N N O N O Omi O n 4qO NO O1 n n 10 1m0Np d �O N e'1 O a( O IN/1 0 10 n N N N NO N mm n Np N C� O C O� b q .mi eni N N n m .Mi pi T N �O .Pi T e'I i^ n N O n T O N 1V O O1 O OI W Oi 1� N N 01 n n N b b W n n n N� d O n O �O W t0 n X11 N VI b n N N Yf V N n 1O Yf N N T N T 1� 01 0� 4O IN"I O� N� b� Id/IVPI N OJ P ti e0'I O f4py W N W Q n O N 1� N Q b m m P N O e'1 e'I O� P P Oi n OmI n rO N p m n IO m IO IpO 0 10 pb F vl Vl IO 1O N O N V Vf n b N VI IQII O Q O b m b O P W 1N11 b P T Q O b n P P W O b T np N p N m N Q m O M M N O T C� ti P 0± P m n P t0 N N m b b N m b .616 N m d Q IG V V1 d N V N n 10 vi VI IO P m Q „'1 n 10 1V Q i� O r N n Q N 1� m Ie O1 O N b M Q eNi 1"I T OMIT M S 1N'I 1d'1 T I� M N O ti '1 O� W O� b n 01 N VI VI W V ID N N N h 10 IO b O< V1 N VI O VvI V vi ri N d N i(O1 N N O Q O M^ 0 N N O eb1 N T �D P O Ib11 111 Q Ybl b VI m N O O T T O 01 rb'I n n m m Of O O Oi m T m m 10 II1 Vf m 10 V N N1p I� b IO b O d N b N Q Q O VI ID N d e .n uoi_ iq n o to m m w m 'I a m m OO n n Imil M� .Ni m Q m O P m W N m n P m m d o O m m m m n m m N e n m 10 N N VI IG IO b e O VI N a a a e C 10 V1 e e gm$mn^y a o'n"loir_m u�in d Q tP`I INTI P P N^ N m m T n^ vT-I N N 1"I N O N N P O O W m n b m m N O N N N N n N 10 10 d O N N d d d d V b N O O W W W W w V V U U U U U V V U U U U W W Z W z W W W z Z z Z 6 6 W X. W W n Gi fy d� 6 6 6 6 6 6 6 w Q Q W 3 r E f 9 p q O V � C g v H E E m n N O° 3 V yO C6 ^ 2 o_ '` .° 01 A ° q 10.i> m E u ffi 9 - w° a d u $ ° i m E .E V O O O O V •d �, �. H V d N d .� t G N j N j 6 j V 9 9 N uI d i O w 2 2 N d V O°V yQu� ° U m y O V 9 O O V C Q A 1 d w V V Q O C O O m lJ 0 'u S 6 6 6 0 0 0 G Q 6' Q Q Q u 6 6 C Vi