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RESOLUTION NO. 7567
RESOLUTION OF THE COUNCIL OF THE CITY OF PALO ALTO
AMENDING THE COMPENSATION PLAN FOR MANAGEMENT AND
CONFIDENTIAL PERSONNEL AND COUNCIL APPOINTED
OFFICERS ADOPTED BY RESOLUTION NO. 7531 TO AMEND
THE SALARY AND BENEFITS FOR COUNCIL APPOINTED
OFFICERS
The Council of the City of Palo Alto does RESOLVE as
follows:
SECTION 1. Pursuant to the provisions of Section 12 of
Article II of the Charter of the City of Palo Alto, the salaries
and benefits of Council -Appointed Officers, adopted pursuant to
Resolution No. 7531, are hereby amended to be as shown in Exhibits
"A" and "B", attached hereto and incorporated herein by reference,
effective as of the dates referenced in the exhibits.
SECTION 2. The Management Compensation Plan, adopted by
Resolution No. 7531, is hereby amended to include said amended
salaries and benefits as set forth in Section 1.
SECTION 3. The Director of Finance is authorized to
implement the amended salaries and benefits as set forth in
Section 1.
SECTION 4. The Council finds that this is not a project
under the California Environmental Quality Act and, therefore, no
environmental impact assessment is necessary.
INTRODUCED AND PASSED: January 16, 1996
AYES: ANDERSEN, FAZZINO, HUBER, KNISS, MCCOWN, SCHNEIDER, SIMITLAN, WHEELER
NOES:
ABSENT: ROSENBAUM
ABSTENTIONS:
APPROVED AS TO FORM:
Senior Asst. City Attorney
Dep City Manager .\
nisi - 've Sezces
Dir
r of Human Resources
960110 lac 0031078
CITY OF PALO ALTO
Council -Appointed and Ele43ed Officers
CLASS CODE
TITLE
1995/96
ANNUAL
SALARY
13I -WEEKLY
EFFECTIVE
DATE
001
City Councilperson
$4,800
$184.62
January 1, 1982
002
City Manager
$136,572
$5,252.80
June 24, 1995
003
City Attorney „
$114,316
$4,396.80
June 24, 1995
004
City Auditor
$93,059
$3,579.20
June 24, 1995
005
City" Clerk
$77,355
$2,975.20
June 24, 1995
The 95/96 annual salary includes a base increase of 3.5% for the City Manager, City Auditor, and the City Clerk. The base salary
increase for the City Attorney is 10%, which results from the evaluation procedures in paragraph 2(b) of the attached Exh'bit B.
E HIBIT B
Council Appointed Officers
Benefits
1. Council Appointed Officers are eligible for all benefits
listed in the Compensation Plan for Management and
Confidential Personnel and Council Appointees (the
"Compensation Plan") effective July 1, 1995 through June 30,
1996, except Section II B, C and D.
2. City Attorney, Ariel Pierre Calonne, is granted the following
benefits in addition to the salary set forth in Exhibit A,and
those benefits described in paragraph 1 of this Exhibit B:
(a) Notwithstanding the provisions of Section II L.of the
Compensation Plan, the City will loan Mr. Calonne up to
$550,000 for the purchase of his principal residence in
Palo Alto, subject to the following terms and conditions:
(i) Interest and principal on the loan shall be payable
bi-weekly and amortized over thirty (30) years.
(ii) Interest shall be 5 percent per year for the first
five years. Interest for the remaining years shall
be equal to the annual average rate of return of
the City's invested funds plus 1/4 percent, not to
exceed 12 percent interest.
(iii) Payments for the first five years shall be made -on
an accelerated basis in order to achieve a
principal balance owing at the end of five years of
no more than 81.9 percent of the original purchase
price.
(iv) Mr. Calonne shall contribute not less than $30,000
to the purchase of his principal residence.
(v) Mr. Calonne shall agree not to accept other
employment for a period of five years from the loan
origination date. This provision shall not be
interpreted t� grant or imply, any specific term or
tenure of office.
(vi) Notwithstanding paragraph (v), the loan shall -be
due and payable in full within 18 months after
termination of :Mr. Calonne's employment with the
City of Palo Alto.
(vii) The City, shall pay all closing costs on the
purchase of Mr. Calonne's principal residence.
'"Closing costs" shall be defined in accordance with
Section II, L of the Compensation Plan.
(viii)
The Director of Human Resources is hereby directed
to prepare, and the Mayor is hereby authorized to
execute, any and all agreements and documents
necessary to effectuate a loan in accordance with
these conditions, upon Mr. Calonne's request.
(b) Mr. Calonne's fixed .salary shall not be increased or
decreased for the fiscal years 1993-94 and 1994-95. It
is the intent of this resolution that the dollar benefit
to Mr. Calonne of the five percent interest rate will be
approximately balanced by the dollar cost of the
reduction in salary growth over the five year period..
This balance will be evaluated at the time' of salary
review in 1995, 1996 and 1997. However, Mr. Calonne.will
be eligible for Variable Management Compensation (VMC)
consideration during the period his fixed salary is
capped. (rVMC program discontinued in 1994-95.)
(c) The benefits hereby granted shall supersede any special
benefits formerly granted to Mr. Calonne.
3. City Manager June Fleming may convert, on a one-time basis,
two weeks (80 hours) of her current vacation accrual balance
to pay or deferred compensation, with the provision that she
take at least four weeks vacation per year hereafter.
4. The vacation accrual rate for
completing less than four years
three calendar weeks per year.
years continuous service, the
calendar weeks per year.
Council Appointed Officers
continuous service shall be
For completing four or more
accrual rate shall be four