03 Staff Report - Mayor to Sign Amendment on Behalf of Town~pW N 06
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DATE:
TO:
FROM:
SUBJECT
MEETING DATE: 3/6/2006
ITEM NO. 3
COUNCIL AGENDA REPORT
MARCH 1, 2006
MAYOR AND TOWN COUNCIL
RUMI PORTILLO, HUMAN RESOURCES DIRECTOR
ADOPT RESOLUTION AMENDING AGREEMENT BETWEEN THE TOWN
OF LOS GATOS AND THE TOWN MANAGER AND AUTHORIZING THE
MAYOR TO SIGN AMENDMENT ON BEHALF OF TOWN OF LOS
GATOS
RECOMMENDATION:
Adopt resolution amending agreement between the Town of Los Gatos and the Town Manager and
authorizing the Mayor to sign amendment on behalf of Town of Los Gatos.
DISCUSSION:
The Town Council approved an agreement with the Town Manager, effective November 13, 2000,
which provides for an annual performance evaluation and possible salary adjustments.
To assist the Town during the economic downturn, the Town Manager declined a salary adjustment
in 2003 and received only a lump sum bonus in 2004. Thus, the Town Manager's base salary and
coverage for health insurance premiums have not been adjusted since the 2002 review period.
Council has now completed a review of the Town Manager's performance for the period November
2004 through November 2005. Based upon this review, the following adjustments shall be made:
The annual salary shall be increased by 5%, from $172, 872 to $181,514, retroactive to
November 6, 2005, which is the start of the pay period that includes her anniversary date of
November 13; and
Town's contribution to health insurance premiums shall increase from $913 per month to $1,256
per month, effective with the beginning of the 2006 plan year (January 1, 2006).
PREPARED BY: RUMI PORTILLO
Human Resources Director
RP:pg
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Reviewed by: k~Assistant Town Manager "'A Town Attorney Clerk Administrator
~inance Community Development Revised: 3/1/06 5:37 pm
Reformatted: 5/30/02
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: ADOPT RESOLUTION AMENDING AGREEMENT BETWEEN THE TOWN
OF LOS GATOS AND THE TOWN MANAGER AND AUTHORIZING THE
MAYOR TO SIGN AMENDMENT ON BEHALF OF TOWN OF LOS GATOS
March 1, 2006
ENVIRONMENTAL ASSESSMENT:
Is not a project defined under CEQA, and no further action is required.
FISCAL IMPACT:
Funding for the Town Manager's compensation is included in the FY 2005-2006 adopted budget.
Attachment: Resolution amending agreement between the Town of Los Gatos and the Town
Manager and authorizing the Mayor to sign amendment on behalf of Town of Los
Gatos
RESOLUTION
RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
AMENDING AGREEMENT BETWEEN THE TOWN OF LOS GATOS AND TOWN
MANAGER AND AUTHORIZING THE MAYOR TO SIGN AMENDMENT ON BEHALF OF
THE TOWN OF LOS GATOS
WHEREAS, an Agreement between the Town of Los Gatos and the Town
Manager, Debra Figone, was approved by the Town Council on October 16, 2000; and
WHEREAS, the Agreement provides that the Town Council shall evaluate the
Manager's performance annually and may adjust the base salary or provide a one-time, lump sum
payment or some combination of both, based upon an assessment of the Manager's performance;
and;
WHEREAS, after completing a review of the Town Manager's performance
between November 6, 2004 and November 6, 2005, the Town Council has determined the Town
Manager's salary will be increased by 5% effective November 6, 2005, and effective January 1,
2006, the Town's contribution to health insurance premiums for the Town Manager shall be
increased to $1,256.
RESOLVED, by the Town Council of the Town of Los Gatos, County of Santa
Clara, State of California, that the Town of Los Gatos enter into an amendment to the Agreement
with the Town Manager (a copy of which is attached and incorporated herein).
BE IT FURTHER RESOLVED, that the Mayor is authorized and hereby directed
to execute said Amendment to the Agreement in the name and behalf of the Town of Los Gatos.
PASSED AND ADOPTED at a meeting of the Town Council of the Town
of Los Gatos, California, held on the day of March, 2006 by the following vote:
COUNCIL MEMBERS:
AYES:
NAYS:
ABSENT:
ABSTAIN:
SIGNED:
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
ATTEST:
CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
N:\MGR\AdminWorkFiles\2006 Council Reports\3-6Town Manager Agreement Resolution.wpd
AMENDMENT TO THE TOWN MANAGER AGREEMENT
This Amendment to Town Agreement AGR02-338 is entered into this _ day of March
2006, and is effective as of November 6, 2005, by and between the Town of Los Gatos, a
municipal corporation ("Town") and Debra Figone.
RECITALS:
WHEREAS, Town and Debra Figone executed an Agreement approved on October 16,
2000; and
WHEREAS, the Town Council evaluated Debra Figone's performance for the period
between November 6, 2004 and November 6, 2005, and determined the Town Manager
compensation shall be adjusted.
IT IS THEREFORE AGREED by the parties as follows:
1. Item 4 subsections (a) and (d) of the Agreement are amended to read as follows: .
4. Compensation.
(a) Effective November 6, 2005 Town shall pay Figone the annual base salary
of one hundred eighty-one thousand five hundred and fourteen dollars
($181,514.00) ("Base Salary"), in installments at the same time as other
employees of Town are paid.
(d) Management Benefits. Except as otherwise set forth in this Agreement, in
addition to the benefits specified herein, Figone shall receive any and all
employee benefits otherwise accorded Town's executive management
employees, including without limitation paid retirement benefits consistent
with Town policy through the Public Employees Retirement System and
health benefits, and as those benefits may be changed from time to time.
(i) Effective January 1, 2006, the Town will contribute up to $1,256 for
the Family Medical Insurance Plan which can be applied on a pre-tax
basis to medical, vision and dental insurance.
(ii) As an alternative to the Family Medical Insurance Plan, the Town
Manager may choose to receive a cash allotment consistent with
Group I Managers in the Town's Management Compensation Plan.
NAMGR\AdminWorkFiles\2006 Council Reports\3-6-06 Town Manager Agreement.wpd
2. The terms and conditions of the Agreement, except as herein amended, shall remain
in full force and effect.
IN WITNESS WHEREOF, the parties have executed this Amendment to the Town
Manager Agreement on the date written above.
TOWN OF LOS GATOS
DEBRA FIGONE
BY:
Diane McNutt, Mayor
APPROVED AS TO FORM:
Orry P. Korb, Town Attorney
Debra Figone, Town Manager
ATTEST BY:
Marlyn Rasmussen, Clerk Administrator
NAMGR\AdminWorkFiles\2006 Council Reports\3-6-06 Town Manager Agreement.wpd