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HomeMy WebLinkAboutStaff Report 300-09TO: HONOR1-\BLE CITY COUNCIL CITY MANAGER DATE: JULY 6, 2009 SUBJECT: Approval of At-Will Employment Position of Deputy City Manager CITY MANAGER ClVIR: 300:09 ..... "'-".Illl""'JlJl .. with Stephen Emslie for the I an1 pleased to request your approval of the elnplo)'lnent agreelnent for Stephen Emslie who is being prolnoted to the position of Deputy City Manager for the City. Mr. Elnslie has over 25 years experience in local govermnent specializing in land use and development related experience. Since May 2008, he has been working as Interim Deputy City Manager reporting to City Managers Frank Benest and James Previous to this, Mr. Elnslie served as the City's Planning Director for six years. has extensive experience with In any of the challenges facing Palo Alto, including Planning and Transportation and Econolnic Development, managing the City's tean1S for the High Speed Rail implelnentation, and Stanford's Hospital expansion. Mr. Elnslie will work closely with Planning COlmnission, liaison with Planning and COlmnunity Enviromnent, and with the City ~Aanager. He will focus on projects that have a cOlmnunity developlnent or planning elnphasis and will oversee the new Assistant to City Manager Sustainability position. Other duties for Mr. Elnslie will include responding to Council and citizen inquiries and will staff appointed task forces or cOlnmissions as required. While perfonning the duties of Deputy City Manager, Mr. Elnslie shall receive an initial base annual salary of $173,908.80. Under this employment agreelnent, any increase in salary is within the sole discretion of the City Manager. Steve will begin his position on July 7th . CMR:300:09 Page 1 of 1 EMPLOYMENT AGREEMENT BETWEEN CITY OF PALO ALTO AND STEPHEN EMSLIE THIS AGREEMENT is between the City of Palo Alto, a California lTIunicipal corporation and chartered city ("City") and Stephen Emslie, its Deputy City Manager ("Emslie"). It is effective on the latest date next to the signatures on the last page. This Agreement is entered into on the basis of the following facts, among others: A. City, acting by and through its duly appointed City Manager, desires to employ Emslie as its Deputy City Manager, subject to the terms and conditions set forth in this Agreement, the Palo Alto Municipal Code, and in the Charter of the City of Palo Alto (the "Charter") . B. Emslie desires to be employed by the City as its Deputy City Manager subject to the terms and conditions set forth in this Agreement, the Palo Alto Municipal Code, and in the Charter. C. City and Emslie desire to establish specific terms and conditions relating to compensation and benefits, performance evaluations, and related lTIatiers. D. Notwithstanding any provision of the City of Palo Alto Merit System Rules and Regulations, the City desires Enlslie to serve, and Emslie agrees to serve, on an at-will basis, with no expectation of continued employment, and with no right to pre-or post-separation due process or appeal. E. Emslie desires a predictable amount of severance notice and severance pay should his employment be tenninated with or without cause or notice. BASED UPON FOREGOING, CITY AND EMSLIE AGREE AS FOLLOWS: 1. Employment. City will appoint and employ Emslie as Deputy City Manager with the City of Palo Alto and Emslie will accept the appointment and employment as Deputy City Manager for an indefinite term to begin on July 7, 2009. In the event Emslie does not actually report for or commence work as Deputy City Manager on July 7, 2009, the Employment Start Date will be the date, if any, as otherwise mutually agreed by the parties. 2. Duties of Deputy City Manager. Emslie shall perform the duties established for the Deputy City Manager by the Charter, Palo Alto Municipal Code, direction of the City Manager, job description, or as otherwise provided by law, ordinance, or regulation. 2.1. Full Energy and Skill. Emslie shall devote his full energy, skill, ability, and productive time to the performance of his duties. -1- 090629 mb 8261066 2.2. Emslie shall not engage in any emploYlnent, activity, consulting service, or other enterprise, for compensation or otherwise, which is actually or potentially in conflict with, inimical to, or which interferes with the performance of his duties. Emslie acknowledges that he is subject to the various conflict of interest requirements found in the California Government Code and state and local policies and regulations. 2.3. Permission Required For Outside Activities. Emslie shall not engage in any employment, activity, consulting service, or other enterprise, for compensation or otherwise, without the express, written permission of the City Manager. 3. Compensation. While perfonning the duties of Deputy City Manager, Emslie shall be compensated as provided in this Section 3. 3.1. Emslie shall receive an initial base annual salary of one hundred seventy three thousand nine hundred and eight dollars and eighty cents ($173,908.80) cOlnmencing on the effective date of the contract. 3.2. Salary AdjustInents. Not less than once each year, the City Manager shall meet with Emslie for the express purpose of evaluating Emslie's performance. The City Manager will act in good faith in determining whether to increase the salary of Emslie, but the ultimate decision in this regard is within the sole discretion of the City Manager. 3.3. Variable Management Compensation. Emslie shall be entitled to receive Variable Managenlent C0111pensation ("VMC") pursuant to the terms of the City Council approved Management Compensation Plan. 4. Regular Benefits and Allowances. Emslie will maintain his existing benefit accruals and continue to be eligible for, and shall receive, all regular benefits (i.e., health insurance, PERS contribution paid by City, etc.) and vacation, sick leave, and management leave as are generally provided to management employees pursuant to the City Council-approved Management Compensation Plan. 5. Additional Expenses of Employment. City shall pay the following usual and customary employment expenses: 5.1. The cost of any fidelity or other bonds required by law for Emslie. 6. Duration of Employment. Emslie understands and agrees that effective with his appointment to Deputy City Manager on July 7, 2009, he is voluntarily resigning all previous positions held with the City and has no constitutionally protected property or other interest in his employment as Deputy City Manager. He understands that notwithstanding any provision in the Merit Systelu Rules and Regulations, he has no right to pre-or post-disciplinary due process. He understands and agrees that he works at the will and pleasure of the City Manager and that he may be terminated, or asked to resign, at any time, with or without cause, upon 30 days written notice to Emslie. Eluslie may terminate this agreement upon 30 days written notice to the City Manager. 090629 mb 8261066 6.1. Severance Pay. If Elnslie is asked to resign or is terminated as Deputy City Manager, he shall receive a cash severance payment, or payments (without interest) at intervals specified by Emslie, equaling 6 months salary and benefits. 6.2. Non-Payment of Severance Under Certain Conditions. the tennination of Emslie is the result of conviction of a felony, he shall not be paid any severance pay. 7. Miscellaneous. 7.1. Notices given under this Agreement shall be in writing and shall be either: a) served personally; or b) sent by facsimile (provided a hard copy is n1ailed within one (1) business day); or c) delivered by first-class United States mail, certified, with postage prepaid and a return receipt requested; or d) sent by Federal Express, or some equivalent private mail delivery service. Notices shall be deenled received at the earlier of actual receipt or three (3) days following deposit in the United States mail, postage prepaid. Notices shall be directed to the addresses shown below, provided that a party may change such party's address for notice by giving written notice to the other party in accordance with this subsection. CITY: EMSLIE: Attn: City Manager City of Palo Alto 250 Hamilton Avenue Palo Alto, CA 95901 Phone: (650) 329-2226 FAX: (650) 328-3631 Stephen Emslie 250 Hamilton Avenue Palo Alto, CA 94301 Phone: 650-329-2392 FAX: 650-325-5025 7.2. Entire Agreement/Alnendment. This Agreement constitutes the entire understanding and agreement between the parties as to those matters contained in it, and supersedes any and all prior or contemporaneous agreements, representations and understandings of the parties. This Agreement may be amended at any tiIne by muiual agreement of the parties, but any such amendment must be in writing, dated, and signed by the parties and attached hereto. 7.3. Applicable Law and Venue. This Agreement shall be interpreted according to the laws of the State of California. Venue of any action regarding this Agreement shall be in the proper court in Santa Clara County. 7.4. Severability. In the event any portion of this Agreement is declared void, such portion shall be severed from this Agreement and the relnaining provisions shall 090629 mb 8261066 remain in effect, unless the result of such severance would be to substantially alter this Agreement or the obligations of the parties, in which case this Agreelnent shall be inlmediately terminated. 7.5. Waiver. Any failure of a party to insist upon strict conlpliance with any term, undertaking, or condition of this Agreement shall not be deemed to be a waiver of such term, undertaking, or condition. To be effective, a waiver must be in writing, signed and dated by the parties. 7.6. Representation by Counsel. Emslie and City acknowledge that they each did, or had the opportunity to, consult with legal counsel of their respective choices with respect to the matters that are the subject of this Agreement prior to executing it. 7.7. Section Headings. The headings on each of the sections and subsections of this Agreelnent are for the convenience of the parties only and do not limit or expand the contents of any such section or subsection. Dated: CITY OF PALO ALTO ------ Dated: ------ Attest: City Clerk Approved as to Fonn: Sr. Deputy City Attorney -4- 090629 m b 8261066