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ATT 1 - Sixth Amendment

Murrieta City Council
August 29, 2023

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ATT 1 - Sixth Amendment
Meeting
August 29, 2023
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Murrieta City Council
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Text extracted from the city's file for reading and search. Open the original on murrieta.legistar1.com. That file is the official record.

CITY OF MURRIETA

SIXTH AMENDMENT TO

CITY MANAGER EMPLOYMENT AGREEMENT

This SIXTH AMENDMENT TO CITY MANAGER EMPLOYMENT AGREEMENT (the “Sixth Amendment”) is made and entered into August 1, 2023, by and between the CITY OF MURRIETA, a general law city and municipal corporation (the “City”) and KIMBERLEY SUMMERS, an individual (“City Manager”).

RECITALS
WHEREAS, on or about June 6, 2017, the City and City Manager entered into The City of Murrieta City Manager Employment Agreement (the “Agreement”) pursuant to which the City hired City Manager to serve as its city manager; and WHEREAS, on or about October 15, 2019, the City and City Manager entered into The City of Murrieta First Amendment to City Manager Employment Agreement (the “First Amendment”); and WHEREAS, on or about May 19, 2020, the City and City Manager entered into The City of Murrieta Second Amendment to City Manager Employment Agreement (the “Second Amendment”); and WHEREAS, on or about September 1, 2020, the City and City Manager entered into The City of Murrieta Third Amendment to City Manager Employment Agreement (the “Third Amendment”); and WHEREAS, on or about November 16, 2021, the City and City Manager entered into The City of Murrieta Fourth Amendment to City Manager Employment Agreement (the “Fourth Amendment”); and WHEREAS, on or about November 15, 2022 the City and City Manager entered into The City of Murrieta Fifth Amendment to City Manager Employment Agreement (the “Fifth Amendment”); and WHEREAS, the City Council and City Manager now desire to further amend the Agreement by this Sixth Amendment to: (i) increase the City Manager’s base compensation to $341,937.46 annually; (ii) add language provided for in the Agreement that was inadvertently deleted in the Fourth Amendment concerning providing cost of living adjustments equivalent to management employees; and (iii) provide for 3% annual cost of living increases on the City contribution to City Manager’s medical insurance after she is eligible for Medicare, if allowed pursuant to applicable laws and regulations and CalPERS requirements; and WHEREAS, City Manager desires to accept these employment terms from the City and agrees to the following terms and conditions in this Sixth Amendment.

NOW, THEREFORE, in consideration of the mutual covenants contained herein, City and City Manager hereby agree as follows:

AGREEMENT
SECTION 1. The above recitals are incorporated by reference as if set forth in full herein.

SECTION 2. Section 4.A.(1) of the Agreement shall be amended to read, in its entirety, as follows:
“A. Base Salary
(1) Effective the first full pay period following August 1, 2023, the City Manager shall have an annual salary of $341,937.46.

The City Manager is entitled to receive a cost of living salary increase equal to that of other management employees. In addition, the City agrees to increase Employee’s base salary and/or other benefits in such amounts and to such extent as the City Council may determine desirable on the basis of an annual performance review of the City.” SECTION 3. Section 5.E of the Agreement, entitled “Health Care Benefits After Separation,” shall be amended to read, in its entirety, as follows (added language in bold italics):
“E. Health Care Benefits After Separation
Provided City Manager retires from the City and remains enrolled in a CalPERS medical insurance plan, she shall receive City-funded medical insurance for herself and eligible dependents up to the date of eligibility to receive Medicare, in a dollar amount not to exceed the City’s monthly payment for her medical insurance plan as of the date of her retirement. This maximum amount shall be inclusive of any minimum contribution mandated by the Public Employees Medical & Hospital Care Act (PEMHCA).

Upon City Manager’s eligibility for Medicare, the City contribution to her medical insurance shall be in the maximum amount of $833.43 per month, inclusive of any mandated minimum PEMHCA contribution.

However, if permitted under applicable federal and state laws, regulations, and requirements, the City’s adopted resolutions pertaining to retiree health, and any CalPERS health requirements or regulations, then the City shall provide three percent (3%) cost of living adjustments annually to the City contribution to City Manager’s medical insurance upon eligibility for Medicare, beginning one full year following her eligibility for Medicare. In the event such cost of living adjustment is inconsistent with the requirements of applicable federal or state law, regulation or requirement, the City’s adopted resolutions pertaining to retiree health, or any CalPERS health requirements or regulations, then this paragraph shall be null and void. Employee acknowledges that such determination may be made by CalPERS at its sole discretion.

Additionally, for retiree dental coverage, the City shall make a contribution to City Manager’s Retiree Health Savings Plan in a dollar amount not to exceed the amount paid by the City for City Manager’s dental plan as of the date of her retirement.

City Manager shall not be eligible for retiree health in the event she accepts employment with another public agency following her retirement from the City.” SECTION 4. Except as expressly amended by the First Amendment, Second Amendment, Third Amendment, Fourth Amendment, Fifth Amendment, and this Sixth Amendment, the underlying terms, conditions, and compensation of City Manager by City as and for her employment as City Manager shall be as set forth in the Agreement.

IN WITNESS WHEREOF, the CITY OF MURRIETA has caused this Sixth Amendment to be signed and executed on its behalf by its Mayor, and duly attested by its officers thereunto duly authorized, and CITY MANAGER has signed and executed this Sixth Amendment, all in triplicate, the day first written above. [SIGNATURES ON FOLLOWING PAGE]

CITY OF MURRIETA
By: _______________________________
Lisa DeForest, Mayor
ATTEST:
_____________________________
Cristal McDonald, City Clerk
APPROVED AS TO FORM:
_____________________________
Tiffany Israel, City Attorney

CITY MANAGER
_____________________________
Kimberley Summers
[END OF SIGNATURES]
01375.0004/904602.4

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