Meeting Date:
Item Number:
To:
From:
Subject:
Attachment:
RECOMMENDATION
AGENDA REPORT
June 23, 2026
The Honorable Mayor & City Council
Laurence S. Wiener, City Attorney
AMENDMENT NO. 4 TO THE EMPLOYMENT AGREEMENT
BETWEEN THE CITY OF BEVERLY HILLS AND NANCY HUNTCOFFEY TO PROVIDE PAY FOR PERFORMANCE AND TO ALLOCATE MS. HUNT-COFFEY’S LEAVE CASH-OUT PAY
1. Amendment No. 4
This item presents Amendment No. 4 to the Employment Agreement (Agreement”) between Nancy Hunt-Coffey and the City that provides pay for performance, and also includes a mandatory allocation of Ms. Hunt-Coffey’s leave cash-out pay.
The Amendment will amend the Agreement between City Manager Nancy HuntCoffey and the City of Beverly Hills made on June 21, 2022, and amended effective April 1, 2023, May 7, 2024, and August 5, 2025. The Amendment willaward Ms. Hunt-Coffey performance pay of 6% of her base salary and will set forth the allocation of her leave cash-out pay under Section 10 of the Agreement.The terms and conditions of Ms. Hunt-Coffey’s employment by the City as City Manager are specified in the Agreement. The Agreement provides that the City Council will review performance annually and provides the City Council with the option of granting performance pay up to 10% of the City Manager’s base pay.
Following this year’s review, this proposed Amendment to the Agreement provides for a 6% pay for performance award.
INTRODUCTIONDISCUSSION
B0785-030 I\3265484v I .doc
r
Meeting Date: June 23, 2026
Section 10 of the Agreement provides that certain unused leave accruals may be cashed out upon separation from City employment. The Amendment mandates that the cash-out pay be allocated as follows: (1) the maximum allowable contribution to Ms. Hunt-Coffey’s City 401(k) account; and (2) remaining funds allocated for the employee’s benefit to a 415(m) account.
FISCAL IMPACT
The performance pay will have a fiscal impact of $25,500 during this fiscal year.
The allocation of the cash-out will have no material fiscal impact because Ms.
Hunt-Coffey is already entitled to the payment under the Agreement. However, by converting a portion of the cash-out to a contribution to Ms. Hunt Coffey’s 401(k) account, the City will not pay Medicare taxes on that amount.
Laurence S. Wiener,
City Attorney
Approved By
Attachment
1 AMENDMENT NO. 4 TO THE EMPLOYMENT AGREEMENT
BETWEEN THE CITY OF BEVERLY HILLS AND NANCY HUNT-COFFEY TO PROVIDE PAY FOR PERFORMANCE AND TO ALLOCATE MS. HUNT-COFFEY’S
LEAVE CASH-OUT PAY
The Employment Agreement, made as of June 21, 2022, identified as Agreement No. 396-22, as previously amended by Amendment No. 1, Amendment No. 2, and Amendment No. 3 (referred to in its entirety as the “Agreement”), between the City of Beverly Hills (“City”) and Nancy Hunt-Coffey (“Employee”), is further amended by this Amendment No. 4, effective as of June 23, 2026.
A. On June 21, 2022, the City and Employee entered into the Agreement providing for employment of Employee as City Manager.
B. The Agreement was amended by Amendment No. 1, effective April 1, 2023, by Amendment No. 2, effective May 7, 2024, and by Amendment No. 3, effectiveAugust 5, 2025.
C. Section 3.C of the Agreement provides for a yearly salary and performance review, in which the City Council may approve performance pay up to andincluding 10% of Employee’s annual base salary.
D. Section 10.E of the Agreement provides for a cash-out payment of Employee’s vacation leave upon termination of employment.
E. The City Council and Employee have agreed to adjustments in the Agreement, and the parties desire to amend the Agreement to reflect such changes.
NOW, THEREFORE, the parties amend the Agreement as follows:
1. Sub-paragraph 3 is hereby added to Section 3, sub-paragraph C to read as follows:
“Based on its annual performance evaluation for the period ending inJune 2026, Employer grants Employee a one time, lump sum 6% pay-forperformance award pursuant to Section 3.C of the Agreement. The parties agree that the gross amount of performance pay is $25,500. Theperformance pay will be paid as part of the next available payroll cycle.
The performance pay is not an addition to base pay and does not alter the City’s salary schedule.”
2. Section 10 is retitled “Termination of Employment.”3. The following language is added to Section 10, sub-paragraph E to read as follows:
“Mandatory Allocation of Leave Cash Out Pay: Notwithstanding anyother provision of this Agreement, at the time of the Employee’sseparation from the City, the cash value of all leave accruals due to the Employee under this Section shall be allocated for the Employee’s benefit as follows:
B0785-0301\3264777v1.doc -1-
First Priority (401(k) Plan): The City shall first contribute to the Employee’s account under the City’s 401(k) plan the maximum amount that may then be contributed for 2026 under Internal Revenue Code Section 415(c). This contribution will be made as a mandatory employercontribution.
Second Priority (415 (m) Plan): After the maximum permissible 401(k) plan contribution has been made, the City shall credit or contribute anyremaining leave accruals to the Employee’s benefit under the City’s Governmental Excess Benefit Plan, a “qualified governmental excess benefit arrangement” under Internal Revenue Code Section 415 (m).
The above allocation is mandatory and will be applied by the City as a condition of this Agreement. The Employee may not elect to receive cash (or other benefits) in lieu of the allocations specified in paragraphs 1 and 2 above.”
4. Except as expressly amended by this Amendment, all of the provisions of the Agreement shall remain in full force and effect.
IN WITNESS WHEREOF, the parties have caused this Amendment to be signed and executed personally or on its behalf by its duly authorized representative.
EMPLOYEE
CITY
CITY OF BEVERLY HILLS,
A California Municipal Corporation
By:
_____________________
CRAIG A. CORMANMayor, City of Beverly Hills
ATTEST:
_____________________________(Seal)
HUMA AHMED
City Clerk
APPROVED AS TO FORM:
LAURENCE S. WIENER
City Attorney
B0785-0301\3264777v1 .doc -2-