Item 28/2026
Final
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
To:
Lisa L. Kim From: Jany Lee
Dept:
City Manager Dept: Human Resources
Date: 1/27/2026
Subject: Approval of an Amendment to the City Manager Employment Agreement and adoption of a Resolution amending the Salary Schedule. (Action Item)
OBJECTIVE
To obtain City Council approval of an Amendment to City Manager Employment Agreement and adoption of a resolution amending the Salary Schedule.
BACKGROUND
City Council met in Closed Session on November 5, 2025, to conduct a performance evaluation of the City Manager and on January 13, 2026 to discuss adjustments to the City Manager’s compensation and benefits. Ms. Kim’s initial term of employment as City Manager was three (3) years, beginning on February 28, 2023, with automatic renewals to the Agreement so that there shall remain at least one year left in the term at all times.
DISCUSSION
The proposed Amendment updates specific sections of the existing employment agreement to be effective January 1, 2026, as follows:
1. The Amendment revises Section 4.01(a) to provide an annual salary of $346,433.00.
2. The Amendment confirms the City Manager will continue to receive benefits consistent with Central Management staff, and additionally provides:
a. Maximum annual 457(b) deferred compensation contribution permitted by law; and
b. A lump sum of 80 hours of vacation beginning in March 2026, and every March thereafter.
Item 28/2026
3. The Amendment updates language in Section 6.01 to clarify that the City will budget and allocate funds for the City Manager’s professional membership and necessary travel-related expenses.
All other provisions of the February 28, 2023 Employment Agreement remain unchanged.
Since Ms. Kim’s appointment as City Manager, the City has continued to make measurable progress in key organizational priorities, including strengthening the City’s financial position, advancing major capital and revitalization projects, accelerating infrastructure improvements, and supporting economic development efforts such as business attraction and the establishment of new businesses in the City. The City has also maintained a strong focus on service delivery and quality-of-life initiatives through enhanced public safety staffing efforts, continued homelessness response coordination, and the ongoing delivery of recreational and community-based programs and events.
The proposed Amendment is intended to recognize Ms. Kim’s sustained perform ance and executive leadership, maintain a competitive employment package, and support retention of experienced leadership to ensure continued progress of City Council priorities.
FINANCIAL IMPACT
The estimated financial impact for the second half of Fiscal Year 2025 -26 related to the proposed amendment to the City Manager Employment Agreement is $28,335, which includes approximately $12,100 in salary and $16,250 for the City’s Deferred Compensation plan, excluding any potential special catch-up provisions. The General Fund portion of the cost for the current fiscal year is approximately $5,200 in salary and $7,000 (or $16,400 if special catch-up provisions are applied) for the Deferred Compensation plan.
Any additional appropriations required for Fiscal Year 2025-26 to implement the Agreement will be allocated as needed. Budget impact in future fiscal years will be addressed through the City’s normal budget amendment and adoption processes.
RECOMMENDATION
It is recommended that the City Council:
Approve the Amendment to City Manager Employment Agreement for Lisa L.
Kim as attached and authorize the Mayor to execute the agreement; and
Adopt the attached Resolution amending the Salary Schedule to include newly approved salary adjustment for the City Manager.
ATTACHMENT(S)
1. Amendment to City Manager Employment Agreement
2. Resolution
3. Amended Salary Schedule