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HomeMy WebLinkAboutR-2011-133 City Manager Employment Agreement re: Donald B. Cooper; YMC AmendmentRESOLUTION NO. R-2011- 13.3 A RESOLUTION authorizing the Mayor of the City of Yakima to execute an Employment Agreement for City Manager with Donald B. Cooper WHEREAS, the City Council has selected Donald B. Cooper to be the City Manager of the City of Yakima; and WHEREAS, the City and Donald B. Cooper are willing to enter into an employment agreement in accordance with the terms and conditions of the attached Agreement, pursuant to which Donald B. Cooper will become the City Manager of the City of Yakima on September 6, 2011, and WHEREAS, the City Council deems it to be in the best interest of the City of Yakima to authorize the Mayor to execute the attached Employment Agreement for City Manager with Donald B. Cooper; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: The City Council authorizes the Mayor of the City of Yakima to execute the attached Employment Agreement for City Manager with Donald B. Cooper. ADOPTED BY THE CITY COUNCIL this II, day of August, 2011. ATTEST la_ City Clerk C Micah Cawley,,/j1ayor EMPLOYMENT AGREEMENT FOR CITY MANAGER THIS EMPLOYMENT AGREEMENT (hereafter referred to as "Agreement"), is by and between the City of Yakima, Washington, a Washington municipal corporation (hereafter referred to as "City"), and Donald B. Cooper (hereafter referred to by name or as "City Manager"). WHEREAS, the City desires to employ Donald B. Cooper as City Manager of the City of Yakima, as provided for in Article II of the City Charter of the City of Yakima (hereafter referred to as "City Charter"); and WHEREAS, the City, through its City Council, desires to provide for certain benefits and compensation for the City Manager and to establish conditions of employment applicable to the City Manager; and WHEREAS, Donald B. Cooper desires to accept employment as City Manager of the City of Yakima under the terms and conditions set forth herein; NOW, THEREFORE, in consideration of the mutual promises as set forth in this Agreement, the parties agree as follows: Section 1. Employment. A. The City of Yakima hereby employs and appoints Donald B. Cooper as its City Manager, effective on the date provided in Section 1B and under the terms of this Agreement, to perform the duties and functions specified in the City Charter, the Yakima Municipal Code, and Washington law, and to perfonn such other legally pernlissible and proper duties and functions as the City Council shall from time to time assign. B. The City's employment of Donald B. Cooper as City Manager shall be effective on September 6, 2011. This Agreement shall remain in effect until terminated by the City or by the City Manager as provided herein. Section 2. Salary and Evaluation. A. For the performance of services pursuant to this Agreement, the City agrees to pay the City Manager an annual base salary of $155,000 payable in installments at the same time as other City employees are paid. 1 of 8 B. After the first year of the contract, should the management employees receive pay and compensation adjustments pursuant to YMC 2.20.115-.116, the City Manager will receive the same increase pursuant to the YMC. C. The City may also increase said base salary and/or other benefits of the City Manager in such amounts and to such an extent as the City Council may determine desirable on the basis of an annual performance evaluation of the City Manager. Such evaluation shall be in such form as the Council deems appropriate and shall be made between March 1st and April 30th of each year in which this Agreement is effective. D. Nothing in this Section shall require the City to increase the base salary or other benefits of the City Manager. Furthermore, the City's failure to conduct any of the scheduled evaluations shall not constitute non-compliance with a material provision of this Agreement. Section 3. Duties and Obligations. A. The City Manager shall have the duties, responsibilities and powers of said office under the City Charter, the Yakima Municipal Code, and Washington law. The City Manager agrees to perform all duties and responsibilities faithfully, industriously, and to the best of his ability and in a professional and competent manner. B. The City Manager shall remain in the exclusive employ of the City and shall devote all such time, attention, knowledge and skills necessary to faithfully perform his duties under this Agreement. The City Manager may, however, engage in educational and professional activities upon receipt of approval by the City Council, provided that such activities shall not interfere with his primary obligation to the City as its City Manager. The City Manager shall dedicate no less than an average of forty (40) hours per week in the performance of his duties hereunder. C. If the City Manager serves on any appointed boards or elected boards of any professional organization, or serves on any committees related to his professional activities, in the event any monies are paid, or gifts received, by the City Manager related to such service, such money or property shall be paid over to or delivered to the City, unless otherwise provided by the City Council. D. In the event the City Manager is temporarily unable to perform his duties, he shall designate an Acting City Manager. Section 4. Automobile Allowance and Communication Equipment. A. Pursuant to YMC 2.20.097, the City Manager shall be paid the amount of $300.00 each month as a vehicle allowance, and the City Manager shall purchase, maintain, and insure his vehicle. The payment will be included with the City Manager's monthly compensation amount as a separate item. The vehicle allowance will be Page 2 of 8 treated as a taxable benefit and will be subject to normal withholding taxes. The automobile allowance will not be included in any calculations as base pay. B. The City Manager will receive a City -issued cell phone to be used for City business in accordance with City policy. Section 5. Dues and Subscriptions. Pursuant to YMC 2.20.085(6), the City will pay the City Manager's professional dues for memberships in the International City/County Management Association ("ICMA"), the Government Finance Officers Association ("GFOA"), and the Washington City/County Management Association. Other appropriate dues and subscriptions on behalf of the City Manager will be paid by the City if funds are available in the City's annual budget. Section 6. Professional Development. Pursuant to YMC 2.20.085(5), and in accordance with the City's travel policy, the City agrees to pay reasonable and customary travel and subsistence expenses for the City Manager's travel to and attendance at the International City/County Management Association's annual conference, the Washington City/County Management Association's annual conference and the Association of Washington Cities' ("AWC") annual conference and/ or regional conferences. Mr. Cooper is an ICMA Credentialed Manager ("ICMA-CM"), and to maintain the credential members must submit an annual report describing 40 hours of professional development during the previous year. The City will pay reasonable and customary travel and subsistence expenses relating to that professional development. The City may choose to pay for the City Manager's attendance at other seminars, conferences, and committee meetings as it deems appropriate and approves by City Council action. Section 7. Community Involvement. The City recognizes the desirability of representation in and before local civic and other organizations, and encourages the City Manager to participate in these organizations to foster a continuing awareness of the City's activities as well as the community's attitudes and ideas. Section 8. Vacation and Sick Leave. The City Manager shall accrue annual leave, which increases depending on length of service, at the same accrual rate as provided in YMC 2.40.020. In addition, 80 hours of annual leave will be placed in the City Manager's annual leave account one time at the time of his employment with the City, which may be used at the time(s) of his option in communication with the City Council. Accrual of annual, leave and sick leave shall be as provided by YMC 2.40.020 and YMC 2.40.030. Page 3 of 8 Section 9. Holidays. The City Manager is entitled to specified holidays with pay pursuant to YMC 2.40.080. Section 10. Health, Dental, Life and Disability Insurance. The City of Yakima has an employee Health Care Plan. Health care coverage, including limited vision care and limited dental insurance, is available for City employees and their dependents for which the City cost shares. The employee's participation in the Health Care Plan is required. Pursuant to YMC Chapter 2.04, the City Manager will be covered by the City of Yakima employee Health Care Plan consistent with City management employees. Management employees pay medical expenses according to a rate schedule, and premium rates may be adjusted annually. The City will provide other insurance, or the availability for other insurance, for the City Manager as it does for management employees. Section 11. Residency. The City Council prefers that the City Manager resides within the City of Yakima. Section 12. Retirement. The City shall contribute 8.81% of the City Manager's base monthly salary each month into the International City/County Management Association Retirement Corporation 401 Plan. The City shall make a 3% contribution of the City Manager's base monthly salary each month to the City Manager's ICMA 457 plan pursuant to YMC 2.20.130. The City further agrees to execute all necessary agreements provided by the International City/County Management Association Retirement Corporation ("ICMA-RC") for the City Manager's participation in the ICMA-RC 401 and 457 plans. Mr. Cooper prefers to participate in the ICMA retirement system and not to participate in the Washington State retirement system, which is authorized by RCW 41.40.023(17), and the City will not make a contribution for him to the PERS retirement system. Section 13. Termination by the City and Severance Pay. A. Pursuant to Article II, Section 8 of the City Charter, and as provided herein, the City Manager shall serve at the pleasure of the City Council, and the City Council may terminate this Agreement and the City Manager's employment with the City at any time, for any reason or for no reason. B. Should a majority of the entire City Council (four members) vote to teiminate the services of the City Manager "without cause", then at the next regular City payroll following such vote, the Council shall cause the City Manager to be paid any accrued and unpaid salary and benefits earned (including annual leave, sick leave and Page 4 of 8 insurance but excluding such items and allowances as are used in conducting City business such as, but not limited to, the automobile allowance and use of a City -issued cell phone) prior to the date of termination based on a forty (40) hour work week. Within forty-five (45) calendar days following the vote to terminate the City Manager's employment, the Council shall cause the City Manager to be paid a lump sum severance pay equal to six (6) months of his base salary as full and complete payment and satisfaction of any claims of the City Manager of whatsoever nature arising out of this Agreement or otherwise. As consideration for such payment, the City Manager shall, prior to receipt thereof, execute and deliver to the City a general release of the City and its Council members and its officers, agents, and employees for all acts and actions (whether accrued or subsequently accruing) from the beginning of time until the date of release, said release to be prepared by the City Attorney. C. In the event the City Manager is terminated for "just cause," the City shall have no obligation to pay the amounts outlined in Section 13, Paragraph B of this Agreement. For purposes of this Agreement, "just cause" is defined and limited for purposes of this Agreement to any of the following: 1. Misfeasance, malfeasance and/or nonfeasance in performance of the City Manager's duties and responsibilities. 2. Conviction or a plea of guilty or no contest to a felony crime, whether or not adjudication is withheld. 3. Neglect of duty, including the inability or unwillingness to properly discharge the responsibilities of office. 4. Violation of any substantive City policy, rule, or regulation, which. would subject any other City employee to termination. 5. The commission of any fraudulent act against the interest of the City. 6. The commission of any act which involves moral turpitude, or which causes the City disrepute. 7. Violation of the International City/County Management Association Code of Ethics. 8. Any other act of a similar nature of the same or greater seriousness. D. In the event the City Council, at any time during the employment term, reduces the salary or other benefits of the City Manager, as identified herein, in a greater percentage than an equivalent across-the-board reduction for all full-time City employees, or in the event the City allegedly refuses to comply with any other material provision of this Agreement benefiting the City Manager, the City Manager shall notify the Council in writing of the alleged violation. The Council shall have forty - Page 5 of 8 five (45) days from such notice within which to cure the violation; otherwise, the City Manager may at his option, consider such violation as termination "without cause" as of the date of such alleged reduction or refusal, and the severance pay provision and other termination provisions contained herein shall become applicable at the annual salary and benefit level in effect prior to the reduction or refusal. Section 14. Termination by the City Manager. The City Manager may terminate this Agreement at any time by delivering to the City Council a written notice of termination not later than ninety (90) days prior to the effective date of the termination. If the City Manager terminates this Agreement, then the provisions of Section 13, Paragraph B above, shall not apply. If the City Manager voluntarily resigns pursuant to this Section, the City shall pay to the City Manager all accrued compensation due to the City Manager up to the City Manager's final day of employment. Payout of accumulated annual and sick leave shall be governed by the same Ordinances and policies as those for City management employees. The City shall have no further financial obligation to Employee pursuant to this Agreement. This Section shall not prevent the City Manager from collecting any money earned as a result of participation in the City's deferred retirement program. Section 15. Disability. If the City Manager becomes permanently disabled or is otherwise unable to perform his duties because of sickness, accident, injury, mental incapacity or health for a period of four consecutive weeks beyond any accrued leave, or for a period of time the employee is otherwise legally entitled to, the City shall have the option to teiminate this Agreement, subject to the severance pay provision outlined in Section 13, Paragraph B of this Agreement. Section 16. Relocation Expenses. The City agrees to pay the City Manager up to $10,000 to reimburse the City Manager for the costs associated with the cost of the relocation of himself and his family. Pursuant to YMC 2.20.085, the relocation expenses are for the cost of moving the household goods and personal effects of the City Manager from his place of residence to the City of Yakima. Reasonable and necessary moving expenses shall be reimbursed only when the City Manager can produce receipts to document the expenditure, or when the invoices are submitted so that the City can pay the moving company directly. Should the City Manager resign within two years of his employment with the City to retire or accept a position elsewhere, he will return to the City a prorated share of any expenses it has paid to assist with his relocation based on the number of months remaining in the twenty-four month period. A percentage of the total relocation expenses paid by the City will be returned to the City that equals the percentage of months remaining in the first twenty- four months commencing from the beginning of employment. Page 6 of 8 Reimbursement to the City of relocation expenses is not required if the Manager should die within the first two (2) years or resign within such time due to disability. Section 17. Indemnification. A. The City Manager shall be entitled to the benefits and subject to the responsibilities in City of Yakima Resolution No. D-5820, entitled "Resolution providing for indemnification against personal liability for City personnel", and any protections provided by State of Washington law, including RCW 4.96.041. B. Said indemnification referred to in Section 17 shall extend beyond the tennination of employment and the expiration of this Agreement to provide protection for any such acts undertaken or committed in the capacity as City Manager, regardless of whether the notice of claim or filing of a lawsuit occurs during or following employment with the City. Section 18. Bonding. The City agrees to bear the full cost of any fidelity or other bonds required of the City Manager under any policy, regulation, ordinance or law. Section 19. General Terms and Conditions. A. If any provision, or any portion thereof, contained in this Agreement is held by a court of competent jurisdiction to be unconstitutional, illegal, invalid or unenforceable, the remainder of this Agreement, or portion thereof, shall not be affected and shall remain in full force and effect. B. The waiver by either party of a breach of any provision of this Agreement by the other shall not operate or be construed as a waiver of any subsequent breach by that party. C. This Agreement shall be binding upon and inure to the benefit of the heirs at law or personal representative of City Manager. D. This Agreement contains the entire Agreement of the parties. It may not be changed verbally, but only by an Agreement in writing signed by the parties. E. Washington law shall govern this Agreement and any litigation that may arise from this Agreement, shall be filed and litigated in Yakima, Washington. F. Upon the City Manager's death, the City's obligations under this Agreement shall terminate except for: 1. Transfer of ownership of retirement funds, if any, to his designated beneficiaries; Page 7 of 8 2. Payment of accrued leave balances in accordance with this Agreement; 3. Payment of all outstanding hospitalization, medical and dental bills in accordance with City's insurance policies or plans, if applicable; and 4. Payment of all life insurance benefits in accordance with the City's insurance policies or plans. G. The parties acknowledge that each has shared equally in the drafting and preparation of this Agreement and, accordingly, no court construing this Agreement shall construe it more strictly against one party that the other and every covenant, term and provision of this Agreement shall be construed simply according to its fair meaning. H. This Agreement may be executed in duplicate or counterparts, each of which shall be deemed an original and all of which together shall be deemed one and the same instrument. No term, condition or covenant of this Agreement shall be binding on either party until both parties have signed it. I. The effective date of this Agreement shall be the last date it is executed by either of the parties to this Agreement. EXECUTED by the City of Yakima this / Io day of August, 2011. ATTEST: By City Clerk CITY OF YAKIMA By:1441,j G EXECUTED by Donald B. Cooper this City Contract No.: ao 11 r 7 Resolution No.: (L"do t ( -13 Micah Cawloy, Mayor day of August, 2011. yki-o(-eie ‘7114. -- Donald B. Cooper Page 8 of 8 BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT ® Item No. ITEM TITLE: For Meeting of August 16, 2011 A. Consideration of a Resolution authorizing the Mayor to execute an Employment Agreement for City Manager with Donald B. Cooper B. Consideration of an Ordinance amending the Compensation Plan for Pay Code 960/City Manager and specifically amending subsection 2.20.100A, 2.20.110A and 2.20.110B of the City of Yakima Municipal Code SUBMITTED BY: Mayor Micah Cawley CONTACT PERSON/TELEPHONE: Helen A. Harvey, 575-6030 Cindy Epperson, 575-6070 SUMMARY EXPLANATION: A. Employment Agreement for City Manager After a recruitment, application and evaluation process for the City Manager, the City Council has selected Donald B. Cooper to be the City Manager of the City of Yakima. At the Council business meeting on August 2, 2011, the Council directed staff to prepare an employment agreement with Donald B. Cooper for the City Council's review and consideration at the next Council business meeting. Attached for Council's consideration is an Employment Agreement for City Manager with Donald B. Cooper, pursuant to which Mr. Cooper will become the City Manager for the City of Yakima on Tuesday, September 6, 2011. B. Classification and Compensation Ordinance Pursuant to Council direction at the meeting on August 2, 2011, and the terms of the Employment Agreement for City Manager, the salary of the City Manager is to be $155,000 per year. The classification and compensation ordinance reflects an allocation adjustment to Pay Code 960 for the City Manager position. The City of Yakima classification and compensation ordinance includes pay steps "A" through "E". Two option adjustments to the compensation ordinance are attached for the Council's consideration. Option 1 reflects a salary of approximately $155,000 a year at Step B for Pay Code 960/City Manager, with a range of $147,614.76 (Step A) to $179,438.16 (Step E), and option 2 reflects a salary of approximately $155,000 a year at Step C with a range of $ 140,584.44 (Step A) to $170,889.48 (Step E). Attached for Council's consideration is 2011 salary data gathered by the Association of Washington Cities ("AWC"). This data is provided for comparison information only. Resolution X Ordinance X Other (Specify) Contract X Mail to (name and address): Phone: Funding Source General Fund APPROVED FOR SUBMITTAL: �iInterim City Manager STAFF RECOMMENDATION: This issue is a City Council decision, and staff respectfully defers to the City Council's direction regarding these matters. COUNCIL ACTION: Cities Insurance .AsSticiation: Woshirigtotl ...... ... . . CERTIFICATE OF INSURANCE_ ....... THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE MEMORANDUM OF COVERAGE (MOC) BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT If the certificate holder is an ADDITIONAL INSURED, the MOC must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the MOC, certain coverage may re uire an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement s . 0ionotk. Oti.w.O.pE wfi0P-ioits CANFIELD 18106 140TH AVENUE N.E WOODINVILLE, WA 98072-6874 PHONE (425) 482-6767 FAX (425) 482-2777 GENERAL LIABILITY CIAW / Munich Re AUTOMOBILE LIABILITY CIAW / Munich Re PROPERTY CIAW / Munich Re CRIME I PUBLIC EMPLOYEE DISHONESTY CIAW / Munich Re • . •• — " INSURED City of Yakima 129 N 2nd Street Yakima, WA 98901 COVERAGES THIS IS TO CERTIFY THAT THE COVERAGES LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE COVERAGE PERIOD INDICATED, NOT WTHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF CONTRACT OR OTHER DOCUMENT WTH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN. THE INSURANCE AFFORDED BY THE MOC DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH MOC. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. •TYP.EiOF.,MVRAN;a: .N10q,li V. NW11 :M0;.,:gfff ' MOC EXP -otttRipI . lb0 :LtMITS.. . ........... .. .. . .. .. :-.G.ENERALLIABILITY• .. ... .. .. ... ....... ... COMMERCIAL GENERAL LIABILITY CIAW111234514 09/01/2011 OCCURRENCE FORM INCLUDES STOP GAP (LIABILITY IS SUBJECT TO A $ 100,000 SIR PAYABLE FROM PROGRAM FUNDS) 09/01/2012 GENERAL AGGREGATE PRODUCT-COMP/OP AGG PERSONAL & ADV INJURY EACH OCCURRENCE ANNUAL PROGRAM AGGREGATE $25,000,000 $25,000,000 $15,000,000 $15,000,000 $50,000,000 .AUTO ................... ANY AUTO CIAW111234514 09/01/2011 (LIABILITY IS SUBJECT TO A $ 100,000 SIR PAYABLE FROM PROGRAM FUNDS) 09/01/2012 COMBINED SINGLE LIMIT ANNUAL PROGRAM AGGREGATE $15,000,000 $50,000,000 ...:060EitTY. . 1 CIAW111234514 09/01/2011 (PROPERTY IS SUBJECT TO A $ N/A SIR PAYABLE FROM PROGRAM FUNDS) 09/01/2012 ALL RISK PER OCC EXCL EQ & FL EARTHQUAKE PER OCC FLOOD PER OCC ANNUAL PROGRAM AGGREGATE EXCLUDED Declined Declined NONE --.CR.(EIP.U.P.1.40;•EMPLO.YEISH6NESTY . CIAW111234514 09/01/2011 09/01/2012 PER LOSS $1,000,000 ••• DEtkIP.tioN:0FioRtikATION$!'11:016ATI.ON$OEHICLt tbiAL ITEMS Regarding City Manager Donald B. Cooper as respects Faithful Performance coverage of the above referenced Crime coverage. CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED COVERAGE BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE PROVISIONS OF THE MOC. Attn. City Clerk City of Yakima 129 N 2nd Street Yakima, WA 98901 2563762