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November 13, 2023
TO: City Council
FROM: Mayor Victor Gordo
SUBJECT: APPROVAL OF FIRST AMENDMENT TO EMPLOYMENT AGREEMENT
FOR CITY MANAGER
RECOMMENDATION:
It is recommended that the City Council:
1. Find that the proposed action herein is exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA guidelines Section 15061 (b)(3) (Common Sense Exemption); and
2. Approve a first amendment to the employment agreement for City Manager Miguel Marquez to provide an increase to salary and the classification's salary control rate. It is further recommended that the Mayor be authorized to sign the first amendment to the employment agreement to reflect City Council-approved changes.
BACKGROUND:
On July 11, 2022, the City entered into an employment agreement (Contract No.
I 23,680) with Miguel Marquez as City Manager. The agreement commenced on August j 29,2022. As a result of the City Manager's recently completed performance evaluation covering 2022-2023, the Council recommends approving the attached first contract amendment (Contract No. 23,680-1) for Miguel Marquez with the following modifications:
1. Compensation/Salary - Effective June 19, 2023, the City Manager will be paid a base annual salary of $339,900 representing a 3% general wage increase, and the salary control rate for the City Manager classification shall also be $339,900. p
MEETING OF.11/13/2023AGENDA ITEM NO.4
APPROVAL OF FIRST AMENDMENT CITY MANAGER EMPLOYMENT AGREEMENT NOVEMBER 13, 2023
2. This aligns with the effective date and salary increase other non-represented employees received as part of the non-represented Salary Resolutions.
Effective August 28, 2023, the City Manager will be paid a base annual salary of $363,693 representing a 7% merit increase, and the salary control rate for the City Manager classification shall also be $363,693. The merit increase provides alignment with the regional labor market and an appropriate internal salary differential between the position and direct reports.
Bonus Pay - The City Manager will receive a one-time, lump sum payment of $40,006 (11 % of salary) in recognition of his superior performance and accomplishments during this evaluation period.
COUNCIL POLICY CONSIDERATION:
The approval of the amendment to the employment agreement supports the City Council's strategic goal of maintaining fiscal responsibility and stability.
APPROVAL OF FIRST AMENDMENT CITY MANAGER EMPLOYMENT AGREEMENT NOVEMBER 13, 2023
FISCAL IMPACT:
The approval of the amendment to the employment agreement for the City Manager is estimated to have an overall FY 2024 fiscal impact of $94,000 which includes a one- time cost of $40,006. This position is budgeted to the General Fund (101), and the City Manager Department's FY 2024 Operating Budget includes appropriations for anticipated wage increases. However, staff will monitor personnel expenses and request additional appropriations during the fiscal year if necessary.
Respectfully Submitte
(m2F"y
VltTOR^.GORD
Mayor
Prepared by:
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Tiffany Jacojbs-Quinn
Directo^-ofl-luman Resources
Attachment A - FIRST AMENDMENT TO CITY MANAGER EMPLOYMENT
AGREEMENT