Staff Reportww o MEETING DATE: 03/17/15
ITEM NO:
X08 s��oe COUNCIL AGENDA REPORT
DATE: MARCH 11, 2015
TO: MAYOR AND TOWN COUNCIL
FROM: RUMI PORTILLO, HUMAN RESOURCES IRECTOR
ROBERT SCHULTZ, TOWN ATTORNE }�
SUBJECT: RESCIND AGREEMENT APPROVED BY THE TOWN COUNCIL ON
MARCH 3, 2015 BETWEEN THE TOWN OF LOS GATOS AND LESLIE R.
WHITE AND APPROVE A REVISED AGREEMENT WITH LESLIE R.
WHITE AS INTERIM TOWN MANAGER
RECOMMENDATION:
Staff recommends that the Town Council rescind the agreement approved on March 3, 2015 and
approve the revised attached Employment Agreement between the Town and Leslie R. White as
Interim Town Manager.
BACKGROUND:
The Town Council approved an Employment Agreement with Leslie R. White to serve as an
Interim Town Manager until a new Town Manager is appointed. As a result of amendments and
additions to the Government Code by Senate Bill (SB) 1021, Assembly Bill (AB) 340, the Public
Employees' Pension Reform Act of 2013 ( PEPRA), and Senate Bill (SB) 13, the Town needs to
rescind the approval of the previous agreement between the Town and Leslie R. White and
approve the revised attached agreement.
DISCUSSION:
PEPRA added sections 7522.56 and 7522.57 to the Government Code (GC) effective January 1,
2013 which set forth post- retirement employment requirements applicable to all retirees who are
employed by CalPERS employers on or after January 1, 2013. The changes to the law require the
compensation paid to retirees to "equal an hourly rate" and retirees cannot receive any benefit,
incentive, compensation in lieu of benefits, or other form of compensation in addition to the
hourly pay rate.
Prepared bv: Rumi Portillo Robert Schultz
Human Resources Director Town Attorney
Reviewed by: Assistant Town Manager inance
NAMGR\AdminWorkFi1es\2015 Council Reports\March 17 \Council Report LesWhiteAgreement 15031 Ldoc
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MAYOR AND TOWN COUNCIL
SUBJECT: APPROVE AN EMPLOYMENT AGREEMENT TO APPOINT LESLIE R.
WHITE AS INTERIM TOWN MANAGER
MARCH 11, 2015
DISCUSSION (cont'd):
The revised agreement attached hereto makes certain that the agreement with Leslie R. White
complies with PEPRA by making changes to Paragraph 4 to describe the revised negotiated
hourly rate and eliminates any benefits. The revised negotiated hourly rate does not increase the
overall compensation paid to Mr. White since benefits have been eliminated.
CONCLUSION:
The rescission of the previously approved agreement and replacement with the attached
agreement will make certain the Town is in compliance with PEPRA.
ENVIRONMENTAL ASSESSMENT:
This is not a project defined under CEQA, and no further action is required.
FISCAL IMPACT:
There is no fiscal impact between the previously approved agreement and the revised agreement
attached.
Attachments:
1. Agreement for Employment Interim Town Manager — Leslie R. White