Agenda Report
Fullerton City Council
MEETING DATE: MARCH 15, 2022
TO: CITY COUNCIL/ CITY MANAGER
SUBMITTED BY: JEFFREY W. COLLIER, ACTING CITY MANAGER
PREPARED BY: EDDIE MANFRO, INTERIM HUMAN RESOURCES DIRECTOR SUBJECT: CITY MANAGER EMPLOYMENT AGREEMENT AND CITY COUNCIL APPOINTED SALARY SCHEDULE
SUMMARY
An employment agreement with Eric Levitt on the terms of his employment as Fullerton City Manager and ratification of a City Council Appointed Salary Schedule.
RECOMMENDATION
Authorize the Mayor to execute an Employment Agreement appointing Eric Levitt as City Manager effective May 10, 2022 and setting forth terms and conditions of employment.
Adopt Resolution No. 2022-XXX
RESOLUTION NO. 2022-XXX – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FULLERTON, CALIFORNIA, APPROVING A SALARY SCHEDULE FOR CITY COUNCIL APPOINTED POSITIONS IN ACCORDANCE WITH THE REQUIREMENTS OF CALIFORNIA CODE OF REGULATIONS TITLE 2, SECTION 570.5
FISCAL IMPACT
Staff projects the fiscal impact of the employment agreement will total approximately $67,000 in Fiscal Year 2021-22 and $360,000 in Fiscal Year 2022-23.
The current budget has adequate funding available for the cost during the 2021-22 fiscal year.
DISCUSSION
Following an extensive search and selection process, City Council interviewed final candidates on January 29, 2022 and identified Eric Levitt as the candidate best suited to lead the City of Fullerton as its City Manager. Mr. Levitt currently serves as City Manager in the City of Alameda. He has previously served as City Manager in the cities of Simi Valley, Janesville, Wisconsin and Sedona, Arizona. Attachment 2 includes Mr. Levitt’s resume.
City Council provided direction to staff following the interviews to negotiate an employment agreement, reflecting authorized parameters, with Mr. Levitt for City Council consideration.
Key provisions in the agreement include:
Appointment date: Effective May 10, 2022, conditioned on completion of a post-offer-of employment medical exam and finalization of the background check.
Salary terms: Base salary of $250,000; base salary will be evaluated annually.
Deferred Compensation: An annual City contribution of $6,000.
CalPERS Retirement: Mr. Levitt is classified as a “new” member of CalPERS (PEPRA). He shall be enrolled in the City of Fullerton’s CalPERS plan for miscellaneous employees with the benefit formula determined by the City’s contract with CalPERS. The City’s contribution and Mr. Levitt’s contribution towards CalPERS shall be made as outlined in the Executive Compensation Resolution. Mr. Levitt’s status as a PEPRA employee results in an annual savings of approximately $40,000 per year to the City compared to a CalPERS “classic” member.
Health Insurance: Mr. Levitt will receive a City contribution in the amount of $1,500 per month for health insurance, $145 per month for dental insurance and $25 per month for vision insurance.
Retiree Health: $125 per pay period City contribution into a retiree health savings account in lieu of a City contribution to health insurance after retirement from the City.
Vehicle Use: Mr. Levitt shall receive $275 per pay period for use of his personal vehicle for City business.
Moving Allowance: $10,000 on the condition that Mr. Levitt resides in the City of Fullerton.
Paid Leave - Vacation: Mr. Levitt shall receive an initial balance of 80 hours vacation leave and accrue 160 hours per year. His maximum accrual will be 320 hours and vacation cash out will be consistent with the Executive Compensation Resolution.
Paid Leave – Sick: Mr. Levitt shall receive an initial balance of 40 hours of sick leave and accruals shall be consistent with City practices thereafter.
Paid Leave – Other: Mr. Levitt shall receive all other leaves provided to executive employees and will be subject to the same provisions as those in the Executive Compensation Resolution.
At Will Status: Mr. Levitt will serve at the pleasure of the City Council. City Council may terminate the agreement pursuant to notice requirement provisions and limitations to periods outside of 90 days before and after a City Council election.
Severance: Mr. Levitt will be eligible to receive severance pay equal to the value of six months of base salary and deferred compensation and be provided with six months of medical coverage (if enrolled and receiving medical coverage through the City at time of termination) if terminated without cause.
Staff will also establish a City Council Appointed Salary Schedule to meet the requirements for a publicly available pay schedule set forth by the California Code of Regulations, Title 2, Section 570.5. The attached salary schedule will include positions appointed by the City Council with benefits and terms and conditions of employment established and executed by employment agreement. Currently this applies to two such positions, Chief of Police and City Manager.
Attachment:
Attachment 1 – Levitt Employment Agreement
Attachment 2 – Levitt Resume
Attachment 3 – Draft Resolution 2022-XXX
City Manager Employment Agreement
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