CITY OF LAGUNA NIGUEL
CITY COUNCIL AGENDA ITEM
To: Honorable Mayor and Council Members
FROM: Justin J. Martin, Assistant City Manager
DATE: August 6, 2024
SUBJECT: Fourth Amendment to the City Manager Employment Agreement
RECOMMENDATION
Staff recommends that the City Council adopt Resolution No. 2024-1488, approving the Fourth Amendment to the City Manager Employment Agreement with Tamara S.
Letourneau.
BACKGROUND
On July 16, 2019, the City Council adopted Resolution No. 2019-1295, appointing Tamara S. Letourneau to the position of City Manager effective August 12, 2019. Since that time, City Manager Letourneau has successfully directed and managed City operations. Upon completion of her first year of service, the City Council completed her evaluation.
However, in consideration of the COVID-19 global pandemic, the City Council and City Manager Letourneau did not consider adjustments to her contract at that time. Upon completion of her second and third year of service, the City Council approved the first and second amendment to the City Manager Employment Agreement on September 7, 2021 and August 16, 2022, respectively. Last year, after the completion of her fourth year of service, the City Council approved the third amendment to the City Manager on August 15, 2023.
The City Council conducted the current annual evaluation of City Manager Letourneau on July 16, 2024. The City Council gave direction to make proposed amendments to provisions of the City Manager Employment Agreement. Resolution No. 2024-1488 (Attachment A) details the changes to the City Manager Employment Agreement and adoption would approve those changes.
ANALYSIS
Under City Manager Letourneau's leadership during the evaluation period, the City has accomplished many achievements. These achievements are included in Attachment B, Fiscal Year 2023-24 Accomplishments.
Given these accomplishments, the City Council has provided direction to amend the City Manager Employment Agreement. The Fourth Amendment to the Agreement includes provisions that reflect the Council's direction, and which are based on performance over the past year. Those provisions are as follows:
• A 3.0% salary adjustment increase (as was provided to all employees on July 1, 2024) and a 5.0% merit increase, from $283,992 per year to $307,128 per year, effective August 12, 2024.
• A one-time lump sum performance bonus of $10,000.
All items listed above would be effective to City Manager Letourneau's anniversary date with the City on August 12, 2024. It is important to note that City Manager Letourneau is a PEPRA employee under CaPERS, and as such, none of these items listed will affect the amount of her pensionable compensation under CaPERS.
ALTERNATIVES CONSIDERED
The City Council may consider not to approve Resolution No. 2024-1488. However, this alternative is not recommended, as this Fourth Amendment is the result of negotiated adjustments to the Agreement.
FISCAL REVIEW
The total cost for Fiscal Year 2024-25 of this contract amendment is approximately $30,466. The adopted budget has sufficient appropriated funds to carry out the terms of this contract amendment.
LEGAL REVIEW
The City Attorney's Office has reviewed this staff report and resolution and has approved them as to form.
CONCLUSION
Staff recommends that the City Council adopt Resolution No. 2024-1488, approving the Fourth Amendment to the City Manager Employment Agreement with Tamara S.
Letourneau.
Let KniC
Justin J. Martin Scott C. Smith
Assistant City Manager City Attorney
Dorna Farhadi
Human Resources Manager
Attachments:
A. Resolution No. 2024-1488, Approving the Fourth Amendment to the City Manager Employment Agreement with Tamara S. Letourneau
B. Fiscal Year 2023-24 Accomplishments
ATTACHMENT A
Resolution No. 2024-1488 Approving the Fourth Amendment to the City Manager Employment Agreement with Tamara S. Letourneau
RESOLUTION NO. 2024-1488
RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF LAGUNA NIGUEL, CALIFORNIA,
APPROVING THE FOURTH AMENDMENT TO THE CITY MANAGER
EMPLOYMENT AGREEMENT WITH TAMARA S. LETOURNEAU
WHEREAS, at the City Council regular meeting on July 16, 2019, the Council adopted Resolution 2019-1295, appointing Tamara S. Letourneau to the position of City Manager effective August 12, 2019, approving an Employment Agreement in connection therewith, and fixing the compensation of the City Manager; and WHEREAS, at the City Council regular meeting on September 7, 2021, based upon the City Manager's annual performance evaluation, the Council adopted Resolution 2021-1368, approving the First Amendment to the City Manager Employment Agreement; and
WHEREAS, at the City Council regular meeting on August 16, 2022, based upon the City Manager's annual performance evaluation, the Council adopted Resolution 2022- 1405, approving the Second Amendment to the City Manager Employment Agreement; and
WHEREAS, at the City Council regular meeting on August 15, 2023, based upon the City Manager's annual performance evaluation, the Council adopted Resolution 2023- 1448, approving the Third Amendment to the City Manager Employment Agreement; and WHEREAS, on July 16, 2024, the City Council concluded the City Manager's annual performance evaluation; and
WHEREAS, Government Code Section 36506 provides that the City Council shall fix the compensation of all appointive offices and employees by ordinance or resolution; and
WHEREAS, the City Council desires to further amend the City Manager Employment Agreement to implement a salary adjustment providing a merit increase, and;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LAGUNA NIGUEL AS FOLLOWS:
SECTION 1. The City Council approves the Fourth Amendment to the Employment Agreement between the City of Laguna Niguel and Tamara S. Letourneau, attached hereto as Exhibit A, effective August 6, 2024.
SECTION 2. The salary rate for the position of City Manager shall be $25,594 per month, effective August 12, 2024. The City's Salary Schedule is amended accordingly and the Salary Schedule is duly approved and adopted by the City Council.
SECTION 3. The City Council hereby grants a one-time, lump sum performance bonus in the amount of $10,000 to the City Manager reflective of her performance over the last year.
SECTION. 4. The Mayor is authorized to execute the Fourth Amendment to the Employment Agreement between the City of Laguna Niguel and Tamara S. Letourneau.
PASSED, APPROVED AND ADOPTED this 6th day of August, 2024.
Kelly Jennings, Mayor
ATTEST:
Marissa J. Asistin, City Clerk
Exhibit A: Fourth Amendment to Employment Agreement between City of Laguna Niguel and Tamara S. Letourneau
Exhibit A
Fourth Amendment to Employment Agreement
City Manager - City of Laguna Niguel
FOURTH AMENDMENT TO EMPLOYMENT AGREEMENT
CITY MANAGER - CITY OF LAGUNA NIGUEL
This Fourth Amendment ("Fourth Amendment") is entered into this 6th day of August, 2024, and is an amendment to the original Employment Agreement that was made and entered into as of the 16th day of July 2019, by and between the City of Laguna Niguel, a municipal corporation (the "City"), and Tamara S. Letourneau ("Letourneau") (individual "Party, and collectively the "Parties") (the "Agreement"), as amended most recently by the Third Amendment approved on the 15th day of August 2023.
RECITALS
A. On July 16, 2019, the City and Letourneau entered into the Agreement for Letourneau to serve as the City Manager.
B. On September 7, 2021, the First Amendment to the City Manager Employment Agreement was approved by the City Council.
C. On August 16, 2022, the Second Amendment to the City Manager Employment Agreement was approved by the City Council.
D. On August 15, 2023, the Third Amendment to the City Manager Employment Agreement was approved by the City Council.
On July 16, 2024, the City Council completed Letourneau's annual performance evaluation and the Parties now desire to make certain adjustments in the Agreement.
This Fourth Amendment is intended to provide for an adjustment to Letourneau's salary and to memorialize the award of a performance bonus authorized under the Agreement.
This Fourth Amendment was approved by the City Council at its regular meeting on August 6, 2024.
AGREEMENT
NOW, THEREFORE, in consideration of the mutual covenants contained herein, the Parties agree to amend the Agreement as follows:
1. Section 6.1 of the Agreement is amended to read as follows:
6.1 City agrees to pay Letourneau an annual base salary of $307,128 payable in equal installments at the same time and in the same manner that other City employees are paid.
This salary shall be effective as of August 12, 2024.
2. Section 7.2 of the Agreement permits the City to grant Letourneau with a one-time, lump sum performance bonus. The City has decided to grant Letourneau with a bonus of $10,000 for her performance over the last year.
Except as revised by this Fourth Amendment, all other provisions of the Agreement shall remain in full force and effect.
IN WITNESS WHEREOF, the Parties have executed this Fourth Amendment to the Agreement as of the date first herein written above.
CITY OF LAGUNA NIGUEL
By:
Kelly Jennings
Mayor
ATTEST:
Marissa J. Asistin
City Clerk
APPROVED AS TO FORM BY THE
CITY ATTORNEY FOR THE
CITY OF LAGUNA NIGUEL
Scott C. Smith
City Attorney
By:
Tamara S. Letourneau
City Manager
-2-
ATTACHMENT B
Fiscal Year 2023-24 Accomplishments
ATTACHMENT B
Fiscal Year 2023-24
Accomplishments
Strategic Plan Goal 1: Public Safety
Strategy Status
Continue enhancing public safety education throughout the complete & Ongoing community
• Enhanced Laguna Niguel Police Services on social
media platforms to increase awareness in the
community.
• Increased e-bike education and the You Are Not Alone
Program.
• Quarterly Police Services and OCFA presentations at
• Reconfiguration of the Special Enforcement Team Unit
deployment for daily coverage and directed
enforcement.
• Implemented PACT Bike Patrol to amplify trail and retail visibility and deterrence.
• Conducted a 12 week Citizen's Academy
• Conducted CERT Team training.
• Implemented the monthly Chief's Brief and monthly
video messages to the community.
• Hosted and provided training and community education
torums, including, but not limited to: Neighborhood
Watch, Stop the Bleed, Car Seat Installation,
Emergency Preparedness, and numerous public
safety/crime prevention presentations.
Continue enhancing neighborhood watch Complete & Ongoing • Continued the implementation of Neighborhood Watch
meetings in multi-family and single-family
neighborhoods through small group meetings,
captain meetings and community-wide safety meetings.
• Continued outreach efforts to the HOA's.
Monitor implementation of the trail safety camera pilot Complete & Ongoing program
• 12 cameras installed along the Colinas Bluff Trail.
• Evaluation of pilot program is ongoing.
Continue implementation of the Business Enhancement Complete & Ongoing Team
• The Business Enhancement Team educates business
owners on security, safety implementation plans and
educations regarding crime prevention and reporting.
Strategic Plan Goal 2: Fiscal
Strategy Status
Produce a clean audit for FY 22-23 Complete
• Provided a "clean" financial audit for FY 22-23 with no audit findings.
• Ended the fiscal year with $1.8 million surplus.
Present a balanced budget for FY 24-25 Complete
• Presented a balanced but at to cy 202 May
Continue implementation of organizational efficiencies that Completed & Ongoing save both money and staff resources
• Increased the number of credit card payments to
vendors, which saves staff time processing checks and
allows the City to capture additional revenue cash back rates on the City's credit card ($85,000 in savings in FY 23-24).
• Implemented various cost-saving measures via early
payment discounts.
Awards •
Association.
For the first time in the history of the City, Laguna
Niguel won the Government Finance Officers
Association Budget Award for the FY 23-24 Operating
& Capital Improvement Budget.
Strategic Plan Goal 3: Open Space & Environmental Preservation Strategy Status
Complete open space inventory Ongoing
: These 2 here of this rope space siace come ete
be completed by December 2024.
Complete the Trail & Open Space Maintenance Plan Ongoing • RFP released in FY 23-24 and no responses were
received.
• The RFP will be recirculated in 2025.
Continue open space and environmental preservation Ongoing public education.
• Enhanced the City's website to provide critical
information to the public regarding the City's
Strategic Plan Goal 4: Infrastructure & Technology
Strategy Status
Complete the Energy Efficiency Evaluation In Progress
• Energy Efficiency Study is in the process of being
completed. It is scheduled to be presented to the City
Council in Summer 2024.
Develop and implement a short and long-term plan to Complete & Ongoing address the landslide under La Paz Road and make the
permanent repairs • Plans developed and approved for both short and long- term La Paz Road Repair.
• Construction on the short term plan is underway and
will be completed in Fall 2024.
• $15.5 million grant obtained for the long term repair and the design is underway for that project.
Continue implementation of the Total Cost of Ownership In Progress Program (City Infrastructure Analysis)
• Parks inventory completed.
• Facilities inventory will be completed in 2024.
• Streets inventory will be completed in 2025.
Begin the Active Transportation Study In Progress
• Study is underway.
• Community engagement and outreach is in process.
• Study is expected to be completed in 2025.
Complete the Crown Valley Park Outdoor WiFi Project Complete • Outdoor WiFi enhancement project is complete.
• WiFi is now available for all visitors throughout Crown Valley Park.
Strategic Plan Goal 5: Economic & Community Development Strategy Status
Complete the Gateway Specific Plan Update In Process
• Assessment of the current plan is complete.
• Studies have been commissioned to address areas
under review.
• Projected completion date is 2026.
Status
General Plan - Award contract to consultant to assist with in Progress the public engagement, draft General Plan documents and Environmental Impact Report : Sunses ave beined and public engagement has been completed.
• Vision Plan is in progress.
• Estimated General Pian Update completion - Summer
Complete the Trails Master Plan In Progress
• Trail inventory and trail design standards complete.
• Draft document is in the process of being completed.
• Estimated completion date 2026.
Municipal Code - Begin implementation of the update of In Progress the Municipal Code
• Consultant retained and municipal code review
underway.
• Estimated completion 2025.
Cer lenter - Continue working with the developer for City In Progress • Regular meetings with City staff and developer
continue.
• Developer is committed to the project.
• Developer is hopeful that they will break ground in
approximately 2 years.
General Services A ministaton regangie ale of eras In Progress property and the future development of this site • Staff regularly meets with GSA representatives and potential bidders.
• Auction begins in June 2024.
Implement the new online permitting system Completed
• Successfully launched the new online permit system.
• Customers can schedule inspections, access the
inlinetion results, and view permit status information
• The new system also offers online payment
processing to increase the efficiency of the permit
process.
Achieve certification of the City's Housing Element by the * The City received Housing Element certication by State
HCD in February 2024.
Continue Economic Development Efforts to Attract New Complete & In Progress Businesses to the Community
• 15 new notable restaurants & retail opened in the
City in 2023.
• Two new residential developments opened in 2023:
Blu lI & Watermark
Strategic Plan Goal 6: Communication & Community Outreach Strategy Status
Continue enhancing community education and outreach Completed & Ongoing through various forms of social media, videos and printed materials • Launched the new quarterly City newsletter - The • Implemented successful community outreach
campaigns, including: City Council events, the City's
mobile app, Laguna Niguel Restaurants Summer
Contest, Sea Country Festival, Organic Waste,
Economic Development, E-Bike Education, La Paz
• Surpassed over 5,000 downloads on the City's
mobile app.
• Significantly increase in social media outreach on all platforms.
Continue enhancing HOA community education and Ongoing
outreach
• Continued to provide in person HOA educational
opportunities.
• Continued to prepare HOA quarterly newsletters and
HOA Board Education roundtables.
Additional Items/Projects Completed
Human Resources
Completed compensation study.
Streamlined the employee new hire process.
• Conducted numerous employee training programs.
Conducted numerous leadership, employee development and engagement trainings and programs throughout the year.
Information Technology
Provided bi-annual staff training on ransomware, spyware & virtual threats.
Implemented a new backup system for all on-premises and cloud-based servers to protect the City from ransomware and other threats to City data.
Implemented Multi Factor Authentication for all City employees.
Planning/Building
Continued to coordinate the Coastal Fire Rebuild.
Obtained entitlement approvals for the Village Shopping Center.
Obtained entitlement approvals for the Griffin Senior Living/Grace Church.
Parks & Recreation
Hosted numerous events for participants of all ages with record attendance.
Crown Valley Community Center record revenue achieved - $150,000 from July 1, 2023 through May 1, 2024.
Capital Improvement Projects Completed
7 Park modernization projects.
Citywide Sports Field Grass Turf Rehabilitation Program - 3 natural grass soccer fields and two natural grass baseballs fields.
• Residential Annual Resurfacing Program - Zones 3 & 4. • Chapparosa Park Soccer Field Synthetic Turf Replacement.