Staff Report – Second Amendment to Employment Contract with Dan Barros Page 1 of 2
STAFF REPORT
T
O: Mayor and Members of the City Council
FROM: Christopher J. Diaz, City Attorney
MEETING DATE: August 27, 2025
SUBJECT: Second Amendment to Employment Contract for City Manager
RECOMMENDATION
Staff recommends that the City Council adopt the following:
RESOLUTION APPROVING SECOND AMENDMENT TO EMPLOYMENT CONTRACT WITH
DAN BARROS TO PROVIDE FOR A SALARY ADJUSTMENT AND CELL PHONE STIPEND PURSUANT TO CEQA GUIDELINE 15378
COUNCIL ADOPTED VALUES
T
he City Council’s action in considering a salary adjustment for the City Manager is consistent with the value of fairness as the City Council recently provided raises to all Town employees and providing a similar salary adjustment for the City Manager is a fair thing to do.
BA
CKGROUND
On July 9, 2025, the City Council met in closed session to negotiate a salary adjustment for the City Manager. At the conclusion of those negotiations, the City Council approved a salary adjustment for the City Manager and directed staff to return with a contract amendment to formalize the increase in the City Manager’s salary by 7% which includes two cost of living adjustments of 2% consistent with what was provided to other Town employees, and a raise of 3%.
ANALYSIS
On July 26, 2023, the City Council adopted a resolution appointing Daniel Barros as City Manager and approving an employment agreement to be effective on August 21, 2023.
In 2024, the City Council approved salary increases for all Town employees, with some exceptions, with an initial increase in salary of 3.8%. Consistent with other Town employees, the City Council, on October 23, 2024, amended the City Manager’s contract to adjust his base salary by 3.8%, rounded to $250,000.
AGENDA ITEM #7
Staff Report – Second Amendment to Employment Contract with Dan Barros Page 2 of 2 On July 9, 2025 the City Council met in closed session to consider a salary adjustment for the City Manager and other contract changes. At the conclusion of that closed session, the City Council noted it had approved a compensation adjustment for the City Manager by 7% which includes two cost of living adjustments of 2% consistent with what was provided to other Town employees, and a raise of 3%. The City Council also noted it agreed to provide a stipend to the City Manager for use of his personal cell phone in lieu of using a Town owned cell phone. The City Council directed the City Attorney’s office to formalize these changes through a future contract amendment.
Consistent with the City Council’s recent direction , a second amendment to the City Manager’s employment contract has been prepared adjusting the salary from $250,000 per year to $267,500 per year (and adjustment of 7%) along with the requested cellphone stipend.
FISCAL IMPACT
Adjusting the City Manager’s salary will have a financial impact on the Town of $17,500 per year for the base salary, $600 per year for the cell phone stipend, and a single $500 maximum payment for a new phone. However, sufficient funds are included in the FY 2025-2026 budget to allow for this adjustment.
ENVIRONMENTAL
The City Council’s action in adjusting the City Manager’s salary is exempt from environmental review pursuant to the California Environmental Quality Act (CEQA) pursuant to CEQA Guideline 15378 as this action is a government al fiscal activity without any commitment to any specific project which may result in a potentially significant impact on the environment.
ALTERNATIVES
The City Council could choose not to adopt the resolution adjusting the City Manager’s salary.
However, the City Council specifically provided direction to staff seeking the preparation of the second amendment adjusting the City Manager’s salary, so if the City Council is inclined to change course, an additional closed session to negotiate those changes may be warranted.
CONCLUSION
The City Council should adopt the resolution approving the second amendment to the City Manager’s employment contract to provide a salary adjustment.
ATTACHMENTS
A. Resolution
B. Second Amendment
C. First Amendment
D. Employment Contract
Res. 2025-__, Second Amendment to Employment Contract with Dan Barros Page 1 of 2 RESOLUTION NO.
OF THE CITY COUNCIL OF THE TOWN OF COLMA
RE
SOLUTION APPROVING SECOND AMENDMENT TO
EMPLOYMENT CONTRACT WITH DAN BARROS TO PROVIDE FOR A SALARY ADJUSTMENT AND CELL PHONE STIPEND PURSUANT TO CEQA GUIDELINE 15378 The City Council of the Town of Colma does hereby resolve as follows:
1. Background
(a) On July 26, 2023, the City Council adopted a resolution appointing Daniel Barros as City Manager and approving an employment agreement to be effective on August 21, 2023. (b) On October 23, 2024, the City Council amended the City Manager’s contract to adjust his b
ase salary by $10,000 to a new salary of $250,000.
(c) The City Council now seeks to amend the City Manager’s contract to (i) adjust his base salary by $17,500 for a new total of $267,500, and (ii) provide for a $50/month cell phone stipend and a one-time reimbursement of 50% of the cost of a new phone up to $500.
2. Order
(a) The Second Amendment to the employment contract between the Town of Colma and Dan Barros, a copy of which is on file with the City Clerk, shall be and hereby is approved by the City Council of the Town of Colma.
(b) The Mayor shall be, and hereby is, authorized to execute this Second Amendment on behalf of the Town of Colma, with such technical amendments as may be deemed appropriate by the Mayor and the City Attorney.
Certification of Adoption
I certify that the foregoing Resolution No. 2025-___ was duly adopted at a regular meeting of the City Council of the Town of Colma held on _______ ___, 2025, by the following vote:
Name Voting Present, Not Voting Absent
Aye No Abstain Not Participating
Ken Gonzalez, Mayor
Carrie Slaughter
Joanne F. del Rosario
Helen Fisicaro
Thomas Walsh
Voting Tally
ATTACHMENT A
Res. 2025-__, Second Amendment to Employment Contract with Dan Barros Page 2 of 2 Dated ______________________ ___________________________________ Ken Gonzalez, Mayor
Attest: ____________________________
Michelle Estabillo, City Clerk
Second Amendment to Employment Contract with Dan Barros Page 1 of 2
SECOND AMENDMENT TO
EMPLOYMENT CONTRACT WITH DAN BARROS
This Second Amendment is made and entered into on July 9, 2025 by and between the Town of Colma, a municipal corporation and general law city (“Employer”), and Dan Barros (“Employee”), who are sometimes individually referred to as a "Party" and collectively as "Parties" in this Second Amendment.
a) On July 26, 2023, the City Council adopted a resolution appointing Daniel Barros as City Manager and approving an employment agreement to be effective on August 21, 2023.
b) On October 23, 2024, the City Council amended the City Manager’s contract to adjust his base salary by $10,000 for a new compensation amount of $250,000. c) The City Council now seeks to amend the City Manager’s contract to (i) adjust his base salary by $17,500 for a new total of $267,500, and (ii) provide for a $50/month cell phone stipend and a one-time reimbursement of 50% of the cost of a new phone up to $500.
NOW, THEREFORE, BASED ON THE MUTUAL PROMISES AND CONSIDERATION S
CONTAINED IN THIS SECOND AMENDMENT AND THE CONTRACT, THE PARTIES HEREBY AGREE AS FOLLOWS:
1. Subsection (a) of Section 4, “Salary and Benefits,” of the Contract is hereby modified as follows:
a)
Salary. Employer shall pay Employee a salary of $267,500 per year, which shall be s
ubject to all appropriate deductions and withholdings, and which shall be paid at the same time and in the same manner as salaries are usually paid to Miscellaneous Employees of the Town.
2. Subsection (c) of Section 5 , “ Expenses and Allowances,” of the Contract is hereby modified as follows:
c) Technology. Employer shall, at Employer’s expense, provid e Employee with a laptop. Employer shall pay Employee a one-time reimbursement of 50% of the cost of a new personal cell phone up to $500. Employer shall also provide the Employee a $50.00 monthly stipend for the use of a personal cell phone for work purposes.
Execution. In Witness thereof, the parties hereto have signed this Second Amendment on the respective dates shown below and this Second Amendment and the Contract constitutes the entire Agreement between the Parties.
D
ated: ___________________ _________________________________ Dan Barros, Employee
ATTACHMENT B
Second Amendment to Employment Contract with Dan Barros Page 2 of 2 D
ated: __________________ TOWN OF COLMA (Employer)
By
_______________________________
Ken Gonzalez, Mayor
First Amendment to Employment Contract with Daniel Barros Page 1 of 1
FIRST AMENDMENT TO
EMPLOYMENT CONTRACT WITH DAN BARROS
This First Amendment is made and entered into on October 23, 2024 by and between the Town of Colma, a municipal corporation and general law city (“Employer”), and Dan Barros (“Employee”), who are sometimes individually referred to as a "Party" and collectively as "Parties" in this First Amendment.
(a) O n July 26, 2023, the City Council adopted a resolution appointing Daniel Barros as City Manager and approving an employment agreement to be effective on August 21, 2023.
(b) The City Council now seeks to amend the City Manager’s contract to adjust his base salary by $10,000.
NOW, THEREFORE, BASED ON THE MUTUAL PROMISES AND CONSIDERATION S
CONTAINED IN THIS FIRST AMENDMENT AND THE CONTRACT, THE PARTIES HEREBY AGREE AS FOLLOWS:
1. Subsection (a) of Section 4, “Salary and Benefits,” of the Contract is hereby modified as follows:
(a)
Salary. Employer shall pay Employee a salary of $250,000 per year, which shall be subject to all appropriate deductions and withholdings, and which shall be paid at the same time and in the same manner as salaries are usually paid to Miscellaneous Employees of the Town.
Execution. In Witness thereof, the parties hereto have signed this First Amendment on the respective dates shown below and this First Amendment and the Contract constitutes the entire Agreement between the Parties.
D
ated: ___________________ _________________________________ Dan Barros, Employee
D
ated: __________________ TOWN OF COLMA (Employer)
B
y _______________________________
John Irish Goodwin, Mayor
ATTACHMENT C
EMPLOYMENT CONTRACT WITH DANIEL BARROS
This Employment Contract ['Contract'') is made and entered into by and between the Town of Colma, a municipal corporation and general law city (''Employer''), and Daniel Barros (''Employee" or "City Manager''), who are sometimes individually referred to as a "Party" and collectively as "Parties" in this Contract. For reference purposes, this Contract is effective August 21, 2023.
1. Recitals. This Contract is made with reference to the following facts:
(a) Employer desires to employ the services of Employee as City Manager, as provided by the Municipal Code of the Town of Colma and by the laws of the State of California; and
(b) Employee desires to serve as City Manager of the Town of Colma on the terms and conditions set forth herein.
2. Employment and Duties
(a) Beginning August 21, 2023, Employer shall employ Employee as City Manager on the terms and conditions set forth herein, and Employee shall serve in said employment on these terms and conditions. Employment under this Contract shall continue until either party gives notice of termination as provided below.
(b) Employee shall perform the functions and duties of a City Manager, as specified in the laws of the State of California and the ordinances and resolutions of the Town of Colma. Employee shall also perform such other legally permissible and proper duties and functions as the City Council shall, from time to time, assign. (c) Employee is expected to devote necessary time, within and outside normal business hours, to the business of the Town and to fulfill the duties of the City Manager, and Employee shall be allowed flexibility in setting his own office hours to accommodate such activities.
( d) Employee has a duty of loyalty and a general fiduciary duty to the Town. Employee shall devote the whole of Employee's working time, skill, experience, knowledge, ability, labor, energy, attention and best effort exclusively to the Town's business and affairs.
Employee shall remain in the exclusive employ of Employer until termination of employment as hereinafter provided
(e) Employee shall not engage in any employment, activity, consulting service, or other enterprise, for compensation or otherwise, which is actually or potentially in conflict with or which interferes with the performance of Employee's duties to the Town. Further, Employee shall not, during the term of this Agreement, engage in any activity which is or may become a conflict of interest, prohibited contract, or which may create an incompatibility of office under California law. Employee will complete annual disclosure forms required by law.
Employment Contract with Daniel Barros
25977.00100\41474412.2
ATTACHMENT D