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Home My WebLink AboutRESO7616410 RESOLUTION NO. 7616 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 AND AMENDED BY RESOLUTION NOS. 7567, 7578, AND 7600 TO AMEND THE SALARY AND BENEFITS FOR COUNCIL APPOINTED OFFICERS TO AUTHORIZE ADVANCE PAYMENT FOR ACCUMULATED SICK LEAVE FOR THE CITY MANAGER 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 the Council -Appointed Officers, adopted pursuant to Resolution No. 7531, and amended by Resolution Nos. 7567, 7578, and 7600 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, and amended by Resolution Nos. 7567, 7578, and 7600 is hereby amended to include said amended salaries and benefits as set forth in Section 1. SECTION 3. The Deputy City Manager, Administrative Services, 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: August 12, 1996 AYES: ANDERSEN, HUBER, KNISS, ROSENBAUM, SIMITIAN, WHEELER NOES: ABSENT: FAZZINO, MCCOWN, SCHNEIDER .ABSTENTIONS: ATTEST: APPROVED: D1pcily City Cpl r APPROVED AS TOE FORM: j,A . C' ----- Senior Asst. City Attorney Dep y City Manager inistrative Services Di ctor of Human Resources 960807 lac 0031405 CITY OF PALO ALTO Council -Appointed and Elected Officers CLASS CODE TITLE 1995/96 ANNUAL SALARY BI -WEEKLY 001 City Counciiperson $4,800 EFFECTIVE DATE $184.62 002 City Manager $136,572 $5,252.80 January 1, 1982 June 24, 1995 003 004 City Attorney $114,316 $4,396.80 City Auditor $93,059 005 City. Clerk $77,355 $3,579.20 $2,975.20 June 24, 1995 June 24, 1995 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 Exhibit 13. EXHIBIT 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 to 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. 1 960807 lac 0031406 • • (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. (VMC program discontinued in 1994-95.) (c) The benefits hereby granted shall supersede any special benefits formerlygranted 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 5. City Manager, June Fleming is granted the following benefit in addition to the salary set forth in Exhibit A and those benefits described in paragraphs 1, 3 and 4 of this Exhibit B: Notwithstanding the provisions of Section II K of the Compensation Plan, the City will loan Ms. Fleming Two Hundred Forty Thousand Dollars ($240,000) in connection with the sale of her principal residence in Los Altos Hills and purchase of her new principal residence in Palo Alto, subject to the following terms and conditions: (a) Interest and principal on the loan shall be payable bi- weekly, in accordance with the payment schedule set forth in a Promissory Note dated February 13, 1996. (b) Interest shall be equal to the portfolio rate, which is defined as the average annual rate of return on the 2 960807 lac 0031406 City's invested funds plus one quarter percent (1/4%), not to exceed twelve percent (12%) per annum. (c) The loan shall be due and payable on or before the earliest of the following: (i) Ten (10) years from the date of the aforementioned Promissory Note; (ii) Six (6) months following termination of employment; . or (iii) Sale or other conveyance of the Palo Alto residence. (d) The loan shall be secured by a deed of trust on the Palo Alto residence. 6. City Manager, June Fleming, may convert and receive compensation for unused sick leave hours in a sum equal to her unused sick leave hours multiplied by seventy-five percent of her basic hourly rate at the time of exercising such conversion; provided, that such conversion of sick leave shall not result in a balance of less than eighty (80) hours of unused sick leave. This benefit may be exercised only until June 30, 1997. This benefit allows the City Manager to advance the right to convert unused sick leave, and will not preclude her right to compensation for unused sick leave in accordance with Section 609 of the Merit System Rules & Regulations, upon her actual separation from service. 3 960807 lac 0031406