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031522 HR Interim Agreements Agenda Report

City Council - Successor Agency - Housing Authority
March 15, 2022

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031522 HR Interim Agreements Agenda Report
Meeting
March 15, 2022
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City Council - Successor Agency - Housing Authority
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Agenda Report
Fullerton City Council
MEETING DATE: MARCH 15, 2022
TO: CITY COUNCIL / SUCCESSOR AGENCY
SUBMITTED BY: JEFFREY W. COLLIER, ACTING City Manager
PREPARED BY: LAURA GIANNETTI-MERCER, HUMAN RESOURCES MANAGER II SUBJECT: INTERIM DIRECTOR OF COMMUNITY AND ECONOMIC DEVELOPMENT AND INTERIM DIRECTOR OF HUMAN RESOURCES EMPLOYMENT AGREEMENTS

SUMMARY
Ratification of employment agreements with Greg Pfost to serve as Interim Director of Community and Economic Development and Eddie Manfro to serve as Interim Director of Human Resources.

RECOMMENDATION
Adopt the following resolutions:

RESOLUTION NO. 2022-XXX – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FULLERTON, CALIFORNIA, APPROVING AN AGREEMENT RETAINING GREG PFOST AS THE INTERIM DIRECTOR OF COMMUNITY AND ECONOMIC DEVELOPMENT IN ACCORDANCE WITH GOVERNMENT CODE SECTIONS 7522.56 AND 21221(h) RESOLUTION NO. 2022-XXX – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FULLERTON, CALIFORNIA, APPROVING AN AGREEMENT RETAINING EDDIE MANFRO AS THE INTERIM DIRECTOR OF HUMAN RESOURCES IN ACCORDANCE WITH GOVERNMENT CODE SECTIONS 7522.56 AND 21221(h)

PRIORITY POLICY STATEMENT
This item matches the following Priority Policy Statement:

Fiscal and Organizational Stability.

FISCAL IMPACT
The cost of the agreement for Interim Director of Community and Economic Development totals an estimated $80,640. The Community and Economic Development Department budget has funds available to absorb the cost.

The cost of the agreement for Interim Director of Human Resources totals an estimated $76,000. The Human Resources Department budget has funds available to absorb the cost.

DISCUSSION
Community and Economic Development
The Director of Community and Economic Development position has been vacant since the resignation of the incumbent director on June 4, 2021. City Council charged then-Acting City Manager Danley with appointing an interim director while the City conducts a recruitment to fill the position on a regular basis. On July 20, 2021, City Council approved an Employment Agreement with PERS retiree Mr. Greg Pfost to serve as the Interim Director of Community and Economic Development for an eight-month period, which staff believed sufficient time for the City to conduct its recruitment. Mr. Pfost’s agreement called for the City to pay him at the rate of $84.00 per hour, which falls within the salary range for this position and meets the requirements of the California Public Employees Retirement System (CalPERS) for hiring CalPERS retires. Mr. Pfost has worked approximately 30 hours per week.

Human Resources
The Director of Human Resources position has been vacant since February 21, 2020 due to the resignation of the incumbent director. At that time, the Director of Administrative Services assumed responsibility over Human Resources (HR). Staffing reductions and the COVID-19 pandemic increased HR staff responsibilities and prevented the execution or implementation of much needed HR specific projects and programs. In September 2020, the City hired retired annuitant Eddie Manfro as a Consultant / Specialist to provide assistance with the backlog of work including assisting with pending labor negotiations. Mr. Manfro served as an HR Director prior to retiring as a City Manager for the City of Westminster.

Due to the demanding nature of the City’s fiscal challenges and the impact of overseeing two departments, Acting City Manager Danley looked to Mr. Manfro to provide assistance in overseeing the Human Resources Department in July 2021, allowing the Director of Administrative Services to focus on City finances.

Due to this increased responsibility, in accordance with CalPERS rules and given the nature of the work being performed, the City appointed Mr. Manfro as the Interim Director of Human Resources by approval of his employment agreement on July 20, 2021. Pursuant to the terms of the agreement, Mr. Manfro has served as the Interim Director of Human Resources for an eight-month period, which staff had hoped would provide sufficient time for Mr. Manfro and the City to conduct its executive level recruitments. The City pays Mr. Manfro at the rate of $76.00 per hour, which falls within the salary range for this position and meets the requirements of CalPERS for hiring CalPERS retires. Mr. Manfro works approximately 30 hours per week.

Due largely to the COVID-19 pandemic, and other factors beyond the City’s control, the City has not had success to date with efforts to recruit permanent employees for these two critical positions. With the City scheduled to hire a new City Manager soon, and pandemic restrictions easing, City staff will re-double efforts to recruit for these two and other key vacant positions in the organization. In the meantime, based on temporary rule changes for CalPERS’ retirees, the City has requested that Mr. Pfost and Mr. Manfro continue in their interim positions while recruitment efforts to fill these vacancies continue.

Under pre-pandemic rules, the City could not reappoint either Mr. Pfost nor Mr. Manfro or have their interim positions extended beyond the current terms. However, under Emergency Executive Orders, the City may reappoint each position [or “have their interim terms extended”]. Once the proposed terms of their Agreements [or Amended and Restated Agreements] expires, the City may make no further extensions.

In accordance with CalPERS rules, this item requires City Council consideration and approval Attachments:

Attachment 1: Draft Resolution No. 2022-XXX Pfost
Attachment 2: Draft Resolution No, 2022-XXX Manfro
Interim Director Employment Agreements
March 15, 2022 - Page 3

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