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Home My WebLink About6.p. Approve Revised Employment Agreement with City AdministratorAGENDA ITEM: Approve Revised Employment Agreement with City Administrator AGENDA SECTION: Consent PREPARED BY: Dawn Weitzel, Assistant City Administrator AGENDA NO. 6p ATTACHMENTS: Contract APPROVED BY: RECOMMENDED ACTION: Motion to approve the revised Employment Agr ment with James Verbrugge as City Administrator ROSE MOUNT CITY COUNCIL City Council Regular Meeting July 11, 2006 EXECUTIVE SUMMARY ISSUE The City Administrator is an at -will employee of the City Council. The terms of employment are detailed m an employment agreement between the City Council and City Administrator The agreement was first negotiated in February 2003 BACKGROUND The Rosemount City Council conducted an annual performance evaluation of the City Administrator in a closed executive session, as allowed under State Law, on Tuesday, June 20, 2006. Following the evaluation, the City Administrator requested several modifications to the employment agreement. The requested revisions have to do with the calculation and application of service years, as well as restructuring the manner in which vacation and sick leave are accrued. The proposed revisions do not change the basic pay system for the City Administrator, which remains consistent with the City's compensation for non -union employees. The revised language credits years of service to all benefits, rather than limiting the calculation to vacation leave. The revised accrual of annual leave will be deposited at the beginning of the year with no additional accrual throughout the calendar year. The City Administrator is required under the terns of the revised language to stay within the City's maximum accrual for vacation leave by the end of each calendar year. The effective date for the revisions Is January 1, 2007. The City Attorney has reviewed the amended contract and finds the language to be acceptable. SUMMARY Council is asked to approve the revised employment agreement AGREEMENT made this 20 day of February, 2003, and amended this 11th day of July, 2006 by and between the CITY OF ROSEMOUNT, a Minnesota municipal corporation "Employer and JAMES D. VERBRUGGE "Employee The parties agree as follows• EMPLOYMENT AGREEMENT 1. POSITION. Employer agrees to employ Employee as its City Administrator Employee agrees to serve as City Administrator in accordance with state statutes and City ordinances and to perform such other legally permissible and proper duties and functions as the City Council shall from time to time assign 2. PENSION PLAN. Employer shall contribute to PERA as required by State law for Employee or an alternate pension plan, if selected by Employee, authonzed by State law 3. SALARY. Employer shall pay Employee a salary ofS85,860 per year starting March 14, 2003 Employee shall be given an initial performance review in six (6) months and prior to completing the one year probationary penod Performance reviews shall occur annually thereafter The Employee's probationary period is one year in length in accordance with City personnel policies Future salary adjustments shall be made in the same manner as provided to other non -union employees 4. SENIORITY. For purposes of the employment benefits- of- vaeatiorr- leave, the Employee will be credited with having completed eight (8) years of employment with the City upon his first day of employment 5. SICK LEAVE. Effective upon -Empl- oyee' s- €iest flay- o€- empleyrnent,- Employee shall e b e d ted wih- tei�O) -d i n- addrtiem Employee shall accrue annual „��t wn ays of aefnred- src.�aveI�= sick leave in accordance at a rate consistent with the City's personnel policies based on p a r a g r a p h 4 Such annual rate of sick leave will be credited to Employee on the first dayof every calendar year, with no additional accrual of sick leave on a bi- weekly basis 6. VACATIONS. Effeetivc upon Employee=s -first day of empleyme be- credited -v with ten- (3-0)-- days -ofac- crated- vaeationleave In-- adr#itien, Employee shall accrue annual vacation leave i-n accordance at a rate consistent with the City's personnel policies based on 4 Such annual rate of vacation leave will be credited to Employee on-the first day of every calendar year, with no additional accrual of vacation leave on a bi- weekly basis Employee must comply with the City's maximum accrual of vacation hours by the end of each calendar year 7. HOLIDAYS. Employer shall provide Employee the same holidays as enjoyed by other non -union employees 8. GENERAL INSURANCE. Employer shall provide Employee the same group hospital, medical, dental, life and disability insurance benefits as provided to all other non -union employees 9. DUES AND SUBSCRIPTIONS. Employer shall budget and pay the professional dues and subscriptions for Employee which are necessary for Employee's continued participation in national, regional, state and local associations necessary and desirable for Employee's continued professional participation, growth and advancement 10. PROFESSIONAL DEVELOPMENT. Employee shall budget and pay the travel and subsistence expenses of Employee for professional and official travel, meetings and occasions adequate to continue the professional development of Employee and to adequately pursue necessary official and other committees thereof which Employee serves as a member. Employee shall use good Judgment in his outside activities so he will not neglect his pnmary duties to the Employer 11. CIVIC CLUB MEMBERSHIPS Employer recognizes the desirability of representation in and before local civic and other organizations Employee is authorized to become a member of such civic clubs or organizations as deemed appropriate by him and at Employer's expense 12. AUTOMOBILE. Employee shall be paid a monthly allowance of $300.00 per month for use of his personal automobile for Employer business 13. GENERAL EXPENSES. Employer shall reimburse Employee miscellaneous job related expenses which it is anticipated Employee will incur from time to time when provided appropriate documentation 14. HOURS OF WORK. It is understood that the position of City Administrator requires attendance at evening meetings and occasionally at weekend meetings It is understood by Employee that additional compensation and compensatory time shall not be allowed for such additional expenditures of time It is further understood that Employee may absent himself from the office to a reasonable extent in consideration of extraordinary time expenditures for evening and weekend meetings at other than normal working hours 15. TERMINATION BENEFITS. In the event that Employee is terminated by the Employer during such time that Employee is willing and able to perform the duties of City Administrator, then in that event, Employer agrees to pay Employee at the time of receipt of his last pay check a lump sum cash payment equal to 6 months aggregate salary and to continue to provide and pay for the benefits set forth in paragraph 8 for a period of 6 months following termination However, in the event Employee is terminated because of his conviction for an illegal act involving personal gain to Employee, then Employer shall have no obligation to pay the termination benefits If Employer at any time during the employment term reduces the salary or other financial benefits of Employee in a greater percentage than across- the -board reduction for all non -union employees, or if Employer refuses, following written notice, to comply with any other provisions of this Agreement benefiting Employee or Employee resigns following a formal suggestion by Employer that he resign, then Employee may, at his option, be deemed to be "terminated" on the effective date of Employee's resignation and the Employee shall also be entitled to receive the termination benefits set forth above If Employee voluntarily resigns his position with Employer, Employee agrees to give the Employer thirty (30) days advance notice If Employee voluntarily resigns his position with Employer, there shall be no termination pay due to Employee 16. GENERAL CONDITIONS OF EMPLOYMENT. Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of Employer to terminate the services of Employee at any time, for any reason, subject only to the provisions of this Agreement and statutory requirements Furthermore, nothing in this Agreement shall prevent, limit or otherwise interfere with the right of Employee to resign at any time from his position imth Employer, subject only to the provisions of this agreement 17. LENGTH OF CONTRACT. The initial term of this contract is a period of one year and shall automatically renew unless the Employee and /or the Employer make issue with its terms A one -month notice to the Employer and /or the Employee is required to modify terms of this agreement 18. EFFECTIVE DATE. For the purpose of calculating benefits, the amendments agreed herein are effective January 1, 2007 IN WITNESS WHEREOF, Employer has caused this Agreement to be signed and executed on its behalf by its Mayor and its City Clerk, and Employee has signed this Agreement, in duplicate, the day and year first wntten above EMPLOYER: CITY OF ROSEMOUNT BY AND William H Droste James D Verbrugge Its Mayor Amy Domeier Its Clerk EMPLOYEE: