AMENDMENT NO. 1 TO
RESTATEMENT OF THE CITY ADMINISTRATOR'S EMPLOYMENT AGREEMENT DATED MARCH 21, 2023
This Amendment No. 1 ("Amendment") to the Restatement of the City Administrator's Employment Agreement dated March 21, 2023 is made and entered into effect the 16th day of April 2024, by and between the CITY OF PLACENTIA, a Charter City and Municipal Corporation ( "City"), and DAMIEN R. ARRULA, an individual (hereinafter "Administrator").
City and Administrator are sometimes individually referred to as "Party" and collectively as the "Parties."
Recitals:
WHEREAS, the City and Administrator entered into a Restatement of the City Administrator Employment Agreement effective March 21, 2023 ("the Agreement"), through which Administrator has been providing City Administrator Services as more fully explained in the Agreement; and WHEREAS, section 23 in the Agreement contains a provision that requires any modifications to the Agreement be in writing; and
WHEREAS, pursuant to the terms of the Agreement the City Council conducted an annual evaluation of the City Administrator, and the Parties now desire to amend the Agreement as provided herein.
NOW, THEREFORE, for valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree as follows:
1. Section 6, paragraph C of the Agreement is hereby amended to provide as follows:
Administrator shall only be entitled to receive cost -of -living adjustments or other similar across-the-board increases and/or benefit(s) when the same increase and/or benefit(s) has been approved for the other unrepresented executive management employees. Any cost -of -living adjustments or other across-the-board increases granted to City bargaining units shall not apply to Administrator.
Notwithstanding the preceding, Administrator has voluntarily agreed that he shall not be entitled to any increases authorized under this section for the 2025-2026 and 2026-2027 fiscal years. The intent is to temporarily suspend any increases that would otherwise be authorized in Section 6, paragraph C, for a limited period. Nothing in this section shall prevent Administrator from receiving the 3% cost -of -living increase the unrepresented executive management employees are already entitled to receive effective the first full pay period following July 1, 2024.
2. Section 10, paragraph 2 of the Agreement is hereby amended to provide as follows:
In addition, Administrator is authorized to be reimbursed up to $1,000 a year for an annual physical (not already covered by insurance), which may include a body
scan/cardiogram, or for any other expense directly associated with the maintenance/development of the Administrator's physical fitness.
3. Section 15D of the Agreement is hereby amended to provide as follows:
Administrator shall accrue alternative health and wellness leave at the same rate as other City employees. Administrator shall retain the same benefits and/or changes of alternative health and wellness leave as afforded to other City employees. The Administrator may convert up to 120 hours of AHW leave allowance on the last day of the fiscal year, which shall be credited to the Administrator's PTO leave balance.
Administrator's balance of AHW hours shall be reset each fiscal year to 182 hours, which is the same cap as other City employees.
4. Pursuant to Section 15A of the Agreement, Administrator shall receive a one- time grant of 232.00 hours of PTO leave time, valued at $20,000.00. The PTO bonus leave shall be distributed immediately upon execution of this Amendment.
5. Except as specifically modified herein, all the terms, conditions and provisions of the Agreement shall remain in full force and effect.
6. The Agreement, together with this Amendment No. 1 and all Exhibits attached thereto, if any, constitutes the entire Agreement between the Parties and supersedes all prior negotiations, arrangements, representations, and understandings, if any, made by or between the Parties with respect to the subject matter hereof. Other than the amendments included in Amendment No. 1, no other amendments or other modification of the Agreement shall be binding unless executed in writing by both Parties hereto, or their respective successors, assigns, or grantees.
7. Each of the undersigned represents and warrants that he is duly authorized to execute and deliver this Amendment No. 1 and that such execution is binding upon the entity for which he is executing this document.
IN WITNESS WHEREOF, the Parties have caused this Amendment No. 1 to the Restatement of the City Administrator Employment Agreement dated March 21, 2023 to be executed as of the date first day and year first above written.
ADMINISTRATOR CITY OF PLACENTIA
By: By:
Damien R. Arrula Jeremy Yamaguchi, Mayor
Date: Date:
ATTEST: APPROVED AS TO FORM:
By: By:
Robert S. McKinnell, City Clerk Christian L. Bettenhausen, City Attorney Date: Date: