City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2024-01973 12/10/2024 Discussion Item 1.
Approval of an Amendment of the City Manager’s Employment Agreement File ID: 2024-01973
Location: Citywide
Recommendation: Adopt a Resolution 1) approving an amendment to the employment agreement for the City Manager extending its term to December 31, 2025; and 2) authorizing the Mayor to execute the amended employment agreement for the City Manager.
Contact: Jennifer Wilkinson, Program Specialist, (916) 808-5295, [email protected], Department of Human Resources
Presenter: Jennifer Wilkinson, Program Specialist, (916) 808-5295, [email protected], Department of Human Resources Attachments:
1-Description/Analysis
2-Resolution
3-Exhibit A - City Manager Employment Agreement Amendment Description/Analysis
Issue Detail: The City Manager’s employment agreement currently expires on December 31, 2024.
This agenda item is to determine if the City Council will add a one-year extension to the contract, so the new expiration date would be December 31, 2025. No other changes to the contract have been incorporated into the amendment to the agreement which is attached as Exhibit A to the attached Resolution.
Policy Considerations: Not Applicable.
Economic Impacts: None.
Environmental Considerations: This report concerns administrative activities that will not have a significant effect on the environment and does not constitute a “project” as defined by CEQA [CEQA guidelines Sections 15061(b)(3); 15378(b)(2)].
File ID: 2024-01973 12/10/2024 Discussion Item 1.
Sustainability: There are no sustainability considerations applicable to this action.
Commission/Committee Action: None.
Rationale for Recommendation: The City Manager’s employment agreement must align with the terms and conditions of his employment if the contract is extended through December 31, 2025.
Financial Considerations: None.
Local Business Enterprise (LBE): Not applicable.
Adopted by the Sacramento City Council
December 10, 2024
Approving an Amended Employment Agreement
for the City Manager
BACKGROUND
A. The employment agreement for the City Manager has been amended, such that the agreement expires December 31, 2025.
BASED ON THE FACTS SET FORTH IN THE BACKGROUND, THE CITY COUNCIL RESOLVES AS FOLLOWS:
Section 1. The amendment to the City Manager’s employment agreement attached to this Resolution as Exhibit A is adopted, and the Mayor is authorized to execute the amendment.
Section 2. Exhibit A is part of this Resolution.
Table of Contents
Exhibit A – Amendment to Employment Agreement
City Manager Employment Agreement December 10, 2024 Page | 1 AMENDMENT TO EMPLOYMENT AGREEMENT (CITY MANAGER) THIS AGREEMENT is made and entered into on December 10, 2024, by and between the City of Sacramento, a California charter city and municipal corporation ("City"), and Howard Chan ("Employee"). A. On February 7, 2017, the Sacramento City Council appointed Employee as City Manager effective February 7, 2017 ("Start Date"); and B. The City and Employee entered into an employment agreement designated City of Sacramento contract number 2017-0197, which memorializes certain benefits, terms, and conditions of employment of Employee as the City Manager. C. City and Employee executed an amendment to contract number 2017-0197 on December 18, 2018, which was designated contract number 2017-0197-01. D. City and Employee executed a second amendment to contract number 2017-0197 on September 3, 2019, which also rescinded contract number 2017-0197-01. The second amendment is designated contract number 2017-0197-02. E. City and Employee executed a third amendment to contract number 2017-0197 on October 13, 2020. The third amendment is designated contract number 2017-0197-03. F. City and Employee executed a fourth amendment to contract number 2017-0197 on May 4, 2021. The fourth amendment is designated contract number 2017-0197-04. G. City and Employee executed a fifth amendment to contract number 2017-0197 on January 25, 2022. The fifth amendment is designated contract number 2017-0197-05. H. City and Employee executed a sixth amendment to contract number 2017-0197 on November 1, 2022. The sixth amendment is designated contract number 2017-0197-06. I. City and Employee executed a seventh amendment to contract number 2017-0197 on October 15, 2024. The seventh amendment is designated contract number 2017-0197-07. J. For convenience, contract number 2017-0197, as amended by contract numbers 2017-0197-02, 2017-0197-03, 2017-0197-04, 2017-0197-05, 2017-0197-06, and 2017-0197-07 are collectively referred to herein as contract number 2017-0197. K. City and Employee now wish to further amend contract number 2017-0197 and rescind any portion of that contract that is inconsistent with this eighth amendment.
City Manager Employment Agreement December 10, 2024 Page | 2 NOW, THEREFORE, in consideration of the mutual covenants contained herein and the foregoing recitals, which are incorporated into this amendment, the parties agree as follows: 1. Paragraph 2 of contract number 2017-0197 is amended to read as follows: 2. Term. This Agreement shall be in effect until 11:50 p.m. on December 31, 2025, unless the Agreement is earlier terminated consistent with its terms. 2. Except as amended above, all terms of contract number 2017-0197 remain unchanged and in full effect. The parties have executed this contract amendment the day and year first written above. EMPLOYEE Howard Chan CITY OF SACRAMENTO By: Mayor of the City of Sacramento Approved as to Form: Susana Alcala Wood City Attorney Attest: Mindy Cuppy City Clerk