September 22, 2026
Human Resources
DATE: September 22, 2026
TO: Mayor Martinez and Members of the City Council
FROM: Shannon Moore, Interim City Attorney
Nickie Mastay, Deputy City Manager – Internal Services
Sharrone Taylor, Director of Human Resources
Subject: Appointment of Retired Annuitant as the Interim City Manager
FINANCIAL IMPACT: There is no new fiscal impact or budget action necessary resulting from the recommended appointment. The
proposed expenditures will be funded by salary savings
in the respective département’s approved FY 2026/2027
budgets – (City Manager’s Office Budget – 400000)
PREVIOUS COUNCIL
ACTION:
None.
STATEMENT OF THE
ISSUE:
City Council approval is required to appoint retired
annuitant Mark Scott to the role of Interim City Manager.
RECOMMENDED ACTION: APPROVE the appointment of Mark Scott as interim city manager for a limited term not to exceed six (6) months; ADOPT a resolution approving the interim appointment;
APPROVE the employment agreement with Mark Scott
for service as interim city manager; and AUTHORIZE the
city attorney to execute the employment agreement on
behalf of the City – Human Resources/City Attorney’s
Office (Shannon Moore/Nickie Mastay/Sharrone Taylor
510-620-6602).
AGENDA
REPORT
September 22, 2026
DISCUSSION:
The City Council directed Human Resources to initiate the recruitment of an Interim City Manager. Following a thorough search and evaluation process, the City Council unanimously selected retired annuitant Mark Scott to serve as Interim City Manager for a term not to exceed six months (October 3, 2026 – April 3, 2027), as approved in closed session on September 15, 2026.
The City is actively recruiting for a permanent City Manager. During this period, Mr.
Scott will oversee daily operations and ensure continuity of leadership until the recruitment process concludes and a permanent appointment is made. Mr. Scott brings significant experience and expertise essential to fulfilling the responsibilities of Interim City Manager.
The requirements for retired annuitant appointments are based on California Public Employee Retirement Law (PERL) and federal tax law for post-retirement services provided by a retired annuitant. These laws allow employment of a retired annuitant in two (2) specific circumstances — (1) to provide "extra help"; or (2) to work in a vacant position on an interim basis during the recruitment process. The appointment of a CalPERS retiree serving as a retired annuitant in an interim vacant position (such as a city manager, department head, or director) must comply with California Government Code sections 7522.56 and 21221(h).
According to CalPERS requirements, retired annuitants in interim department head appointments must have:
Specialized skills
There must be an open, active, concurrent recruitment process underway. The position must be genuinely vacant, with no other employees working in the exact position.
The employment contract must specify a firm end date that aligns with the end of recruitment.
The appointment must be approved by the employer’s governing body via formal resolution during an open meeting (not on the consent calendar) The resolution must be filed with CalPERS before the retiree's first day of employment.
Additional restrictions for all retired annuitant appointments include:
Compensation may be no more than another employee would receive for similar work
The annuitant’s work must not exceed 960 hours in any fiscal year; and The assignment is a limited-term assignment
Accordingly, staff recommend that the City Council adopt a resolution appointing Mark Scott as Interim City Manager for a term not to exceed six months (October 3, 2026 –
September 22, 2026
April 3, 2027) and approve the employment agreement and authorize the City Attorney to execute the employment agreement.
RECOMMENDATION:
Staff recommend that the City Council:
1. Adopt the resolution approving the interim appointment of Mark Scott as Interim City Manager.
2. Approve the employment agreement between the City and Mark Scott and authorize the City Attorney to execute the employment agreement.
DOCUMENTS ATTACHED:
Attachment 1 – Interim Appointment Resolution for Mark Scott Attachment 2 – Employment Agreement for Mark Scott