Loading...
HomeMy WebLinkAboutCC AG PKT 2012-08-13 #F AGENDA STAFF REPORT =- DATE: August 13, 2012 TO: Honorable Mayor and City Council FROM: Jill R. Ingram, City Manager rv.) SUBJECT: EMPLOYMENT AGREEMENT WITH VICTORIA L. BEATLEY FOR DIRECTOR OF FINANCE /CITY • TREASURER POSITION SUMMARY OF REQUEST: It is requested that the City Council adopt Resolution No. 6301 authorizing the City Manager to execute an employment agreement with Victoria L. Beatley for the position of Director of Finance/City Treasurer. BACKGROUND AND ANALYSIS: At the October 10, 2011 City Council meeting, the City Council adopted Resolution No. 6190, approving the reclassification of the position from Director of Administrative Services to Director of Finance/City Treasurer and filled the position with an interim candidate while recruitment for the permanent replacement occurred. After a comprehensive and extensive search, the City Manager has appointed Victoria L. Beatley to serve as the City's next Director of Finance/City Treasurer. Ms. Beatley comes to the City with nearly 20 years of extensive financial experience, including 15 years in financial leadership positions in the public sector. Director positions within the City of Seal Beach (including the Director of Finance) are at-will positions. The City Manager desires to enter into an employment agreement that formalizes the terms between the City and the Director of Finance. Although City Council approval is necessary to authorize the City Manager to execute an employment agreement, the City Manager remains the sole appointing authority for executive management positions. Significant cost savings of the compensation package between this employment agreement and the previous Director of Administrative Services include a 10% reduction in salary, discontinuation of auto allowance, and employee contribution to the California Public Employees Retirement System (Cal PERS). • Agenda Item F ENVIRONMENTAL IMPACT: There is no Environmental Impact related to this item. LEGAL ANALYSIS: The City Attorney has reviewed and approved as to form. FINANCIAL IMPACT: The costs associated with this.agreement have been budgeted. RECOMMENDATION: It is recommended that the City Council adopt Resolution No. 6301 authorizing the City Manager to execute an employment agreement with Victoria L. Beatley for the position of Director of Finance/City Treasurer. Attachments: A. Resolution No.6301 B. Draft Agreement Page 2 RESOLUTION NUMBER 6301 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING AN EMPLOYMENT AGREEMENT BETWEEN THE CITY AND VICTORIA L. BEATLEY FOR THE POSITION OF DIRECTOR OF FINANCE/CITY TREASURER THE CITY COUNCIL HEREBY RESOLVES AS FOLLOWS: SECTION 1. The City Council hereby approves that certain employment agreement ("Agreement") dated August 13, 2012 between the City and Victoria L. Beatley effective August 13, 2012 at an initial salary of $147,632.28 with benefits. SECTION 2. The City Council hereby authorizes and directs the City Manager to execute the Agreement on behalf of the City. SECTION 3. The City Clerk shall certify to the passage and adoption of this resolution. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 13th day of August ,2012 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Mayor ATTEST: City Clerk STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } I, Linda Devine, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution Number 6301 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 13th day of August ,2012. City Clerk EMPLOYMENT AGREEMENT Between SEAL B'`• \��pRPORgTFO rq��ll, s r i0� rj ,l0 Q'' k�,0t/NTy_--__- City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 Victoria L. Beatley 211 - 8th Street Seal Beach, CA 90740 This Agreement is made as of August 13, 2012, by and between the City of Seal Beach, a California charter city ("City"), and Victoria Beatley, an individual. -1- • RECITALS A. The City of Seal Beach ("City") desires to hire a Director of Finance/City Treasurer. B. Victoria L. Beatley ("Employee") represents that she is qualified to perform the duties of Director of Finance/City Treasurer. C. City and Employee wish to enter into an Employment Agreement that sets forth the rights and obligations of both parties. NOW, THEREFORE, for and in consideration of the mutual covenants and conditions herein contained, City and Employee agree as follows: 1. TERM. Employee shall commence her services on August 14, 2012, which shall also be deemed the effective date of this Agreement. This Agreement shall be effective throughout the tenure of the Employee. 2. DUTIES AND AUTHORITY. Employee shall exercise the powers and perform the duties of the position of Employee as set forth in the City Charter, City Municipal Code, personnel rules, regulations and procedures and Employee job description. Employee shall exercise such other powers and perform such other duties as the City Manager assigns. 3. EMPLOYEE'S OBLIGATIONS. Employee shall devote her full energies, interests, abilities and productive time to the performance of this Agreement, and utilize her best efforts to promote City's interests. Employee shall not engage in any activity, consulting service or enterprise, for compensation or otherwise, which is actually or potentially in conflict with or inimical to, or which materially interferes, with her duties and responsibilities to City. 4. COMPENSATION AND REIMBURSEMENT FOR EXPENSES A. Gross Monthly Base Salary. City shall pay Employee for the performance of her duties under this Agreement a gross monthly salary of $12,302.69, less any legally required deductions. On February 14, 2013, the City Manager may consider a merit adjustment after conducting a performance evaluation in accordance with the evaluation process pursuant to Section 6 of this Agreement. Employee's salary shall be subject to withholding and other applicable taxes, and shall be payable to Employee at the same time as other employees of City are paid. Employee shall be exempt from the overtime pay provisions of California and federal law. B. Expenses. City shall reimburse Employee for actual and necessary expenses incurred in the performance of her official duties that are supported by expense receipts in accordance with AB 1234 and any applicable City ordinances, resolutions, rules, policies or procedures. -2- 5. BENEFITS. A. Health Insurance Coverage 1. The City shall provide Employee a group hospital, medical and dental insurance plan. 2. The City shall contribute to the cost of medical coverage for Employee and her dependents, an amount not to exceed the California Public Employees' Medical and Hospital Care Act (PEMHCA) minimum contribution. 3. The City has implemented a full flex cafeteria plan for employees. If Employee opts to participate in the City's full flex cafeteria plan, she shall receive a monthly flex dollar allowance to be used for the purchase of benefits under the full flex cafeteria plan. The monthly flex dollar allowance shall be: For Employee $643.34/month For Employee and 1 dependent $994.16/month For Employee and 2 or more dependents $1,285.64/month 4. A portion of the monthly flex dollar allowance is identified as the City's contribution towards PEMHCA. Thus, for example, in calendar year 2012, a single employee's monthly flex dollar allowance is $643.34; of that amount, $112 has been designated by the City as its required PEMHCA contribution to CaIPERS. The monthly flex dollar allowance may only be used in accordance with the terms of the full flex cafeteria plan. 5. Effective January 1, 2013, and every January 1st during the term of this agreement, the City may increase the contribution amounts above by the percentage of increase for basic plans published in the CaIPERS circular letter setting health insurance premiums for the coverage year. 6. Employee is required to pay any premium amount in excess of the above City contribution. Such amount will be deducted from her payroll check on the 1st 2 pay periods for each month. 7. The minimum employer contribution for participating in the PEMHCA will be adjusted annually to reflect any change in the medical care component of the Consumer Price Index. 8. If Employee meets the waiver criteria and elects to waive enrollment in the City's full flex cafeteria plan, she is eligible to receive $310 per month (upon showing proof of health insurance coverage under an alternative plan). Election forms are available in the Personnel Office. -3- 9. After the Employee has completed 30 days of uninterrupted service she shall be enrolled in the full flex cafeteria plan on the 1st day of the next succeeding month. 10. The City shall not contribute a flex dollar amount for Employee during any month she is on leave of absence without pay or is absent from regular duties without authorization, for a full calendar month. B. Life Insurance Program 1. Employee shall receive a $50,000 life insurance policy paid by the City. 2. Said insurance shall become effective after Employee has completed 30 days of uninterrupted service. City shall enroll Employee in the program on the 1st day of the next succeeding month. C. Income Continuation Program 1. Employee shall receive an income continuation policy to provide for income continuation of 66.67% of her monthly salary, up to a maximum of $5,000 per month, whichever is lesser. 2. Said insurance shall become effective after Employee has completed 30 days of uninterrupted service. City shall enroll Employee in the program on the 1st day of the next succeeding month. 3. Said income continuation shall commence on the 31st day of sickness or other bona fide absence or upon expiration of sick leave, whichever occurs later, and continuing thereafter while Employee is absent from work for a period of up to age 65. D. Retiree Health Insurance 1. Employee shall have the option upon retirement, to continue participating in the City's health insurance program at her expense. 2. In the event Employee retires from the City, she shall be eligible to receive a City contribution not to exceed the PEMHCA minimum employer contribution towards health coverage under CaIPERS, as determined by CaIPERS from time to time. 3. City's contribution for eligible dependent coverage for retirees shall terminate with the death of Employee. -4- 4. In the event Employee resides in an area where the health plans provided by the City are not in effect, she shall be entitled to receive in cash each month an amount equal to the monthly contribution the City would otherwise have contributed to her toward health and dental insurance premiums. E. Sick Leave 1. Employee shall accrue sick leave at the rate of 1 day per month (8 hours). The maximum accrual of sick leave hours shall be 520 hours. 2. Sick leave accrual balances will be paid to Employee upon termination at 25% of her base rate of pay. 3. Employee shall not accrue sick leave hours during authorized leaves of absence, without pay. F. Leaves of Absence 1. Authorized Leave of Absence Without Pay a. Upon the approval of the City Manager, Employee may be granted a leave of absence without pay in cases of an emergency or where such absence would not be contrary to the best interest of the City, for a period not to exceed 180 working days per Government Code. b. Upon written request of Employee, the City Council may grant a leave of absence, with or without pay, for a period not to exceed one year. c. At the expiration of the approved leave, after notice to return to duty, Employee shall be reinstated to the position she held at the time leave was granted. Failure on the part of Employee to report promptly at such leave's expiration and receipt of notice to return to duty shall be cause for discharge. d. During any authorized leave of absence without pay, Employee shall not be eligible to accumulate or receive benefits, except as specifically provided for in this resolution, except that the City shall contribute to an employee's medical and dental health plan, disability insurance plan, and life insurance plan for the first 30 days of leave of absence. 2. Bereavement Leave a. In case of death within the immediate family of an employee, Employee shall be entitled to remain absent from duty with pay in order to attend the funeral or memorial service for a maximum of 24 consecutive work hours (i.e., up to 3 consecutive work days). Vacation, comp time or other leaves, as available, may be used to supplement Bereavement Leave to allow to absence to span 3 shifts. The bereavement leave shall not be chargeable to or accumulate as sick time. -5- • b. If the funeral or memorial services are outside the state of California, Employee will be allowed up to 16 additional hours leave with pay. c. For the purpose of this section, immediate family is defined as husband, wife, domestic partner as defined by that State of California, father, mother, grandfather, grandmother, sister, brother, son, daughter, mother-in-law, father- in-law, stepchild, stepmother, stepfather, or such person who has served in the place of Employee's parent. d. Such leave shall not be charged against Employee's sick leave accrual. 3. Military Leave of Absence a. Military leave shall be granted in accordance with the provisions of State law. Employee shall give the City Manager an opportunity within the limits of military regulations to determine when such leave shall be taken. If possible, Employee shall notify the City Manager of such leave request 10 working days in advance of the beginning of the leave. b. In addition to provision of State law, the City shall continue to provide Employee the current health benefits (medical, dental, disability and life insurance and retirement (if applicable) for the first 3 months of military leave. During said period, Employee shall be required to pay to the City the same co-payments as required of other employees. After the first 3 months of military leave, Employee may continue said benefits at her cost. 4. Pregnancy Disability Leave of Absence a. If Employee is disabled due to pregnancy, she shall be granted a pregnancy disability leave as provided by the State of California and the Federal Family Medical Leave Act. Employee may elect to take a lesser period of leave. b. Disabilities arising out of pregnancy shall be treated the same as other temporary disabilities in terms of eligibility for, or entitlement to, leave with or without pay. 5. Family Leave: Upon a demonstration of need and subject to the following conditions, Employee may take leave or unpaid leave to care for her newborn infant, whether through parentage or adoption, or to care for a seriously ill or injured member of Employees "immediate family" as defined in Section 2c. a. Proof of the birth or adoption of a newborn infant or the serious illness/injury of the family member must be submitted to the City. b. Requests for family leave must be submitted in writing to the City Manager at the earliest possible date proceeding the time when the leave is to begin. -6- c. Operational needs of the City shall be relevant in determinations regarding the granting of family leave in accordance with the provisions of State and Federal Family Leave laws. d. In the event of an extended family leave, Employee may be required to periodically report on the status of the situation giving rise to the leave. e. Family leave may be granted only upon the approval of the City Manager consistent with the provisions of State and Federal Family Leave laws. f. A maximum of 400 working hours of family leave in any combination of sick leave and unpaid leave may be taken during any 2 year period unless a greater amount is prescribed by state or federal law. G. Vacation 1. Employee shall accrue 120 hours vacation leave after one year's continuous service as a full time employee. Employees shall accrue 8 additional hours of vacation leave for each year of full-time continuous service each year after her first year. 2. Employee shall only be allowed to accrue a maximum of 320 hours of vacation. This maximum can only be exceeded with approval of the City Manager. 3. Vacation shall not accrue during the period Employee is on any leave of absence without pay. 4. Employee is encouraged to use at least the amount of vacation hours earned each fiscal year. 5. The City will not approve vacation leave time prior to it has been earned, unless prior, special arrangements have been made with the City Manager. Employee shall not take any vacation leave unless the City Manager has provided prior written approval. City Manager may consider departmental workload and other staffing considerations, such as but not limited to, the previously approved vacation schedule of other employees, sick leave and position vacancies. 6. After completing one year of continuous service, but not more than once in each fiscal year, Employee may, upon request, receive compensation for up to 50 hours of accrued vacation time provided that Employee has taken an equal amount of vacation time off within that fiscal year. -7- H. Holidays 1. City shall grant Employee the following holidays with pay: • Holiday Date New Year's Day January 1st Martin Luther King Day 3rd Monday in January President's Day 3rd Monday in February Memorial Day Last Monday in May Independence Day July 4th Labor Day First Monday in September Veteran's Day November 11th Thanksgiving Day Fourth Thursday in November Calendar day following Thanksgiving Day Christmas Eve December 24th Christmas Day December 25th *Floating Holiday (discretion of employee) Total of 12 holidays annually *Floating Holiday must be taken during each fiscal year (July 1st through June 30th) and may not be carried forward beyond the term of this agreement. 2. Holiday Closures: The City Manager may designate up to five specific work days in each calendar year between Christmas Day and New Year's Day during which all employees, including Employee, may be required to take time off, charged to leave without pay, Employee's accumulated compensatory time, vacation, floating holidays, or a combination thereof, as determined by Employee. The days must be consecutive for Employee. If Employee does not have sufficient accumulated time off in her account to cover the required time off, she may request, and will be granted, sufficient advance on her vacation accrual to cover the uncovered balance. This advance will be recovered with the next vacation accruals earned by Employee. Time off of work under this provision shall not be deemed a layoff. I. Retirement System 1. The retirement program provided by the City shall consist of a pooled Public Employees' Retirement System (PERS) plan which includes the following provisions: Section 20024.2 - One Year Final Compensation Section 20862.9 - Credit of Unused Sick Leave Section 20930.0 - Military Service Credit -8- 2. Retirement Plan. Employee is required to participate in City's California Public Employees' Retirement System (CaIPERS) retirement program and to make an employee contribution toward the program in the amount of seven percent (7%) of her compensation earnable. The City will pay, on behalf of Employee, a portion of the required employee contribution to CaIPERS, as follows. City shall contribute the following amounts toward the required employee contribution to CaIPERS: four percent (4%) of Employee's compensation earnable in fiscal year 2012- 13; and thereafter, Employee shall make the entire required employee contribution to CaIPERS. 3. City shall include Employee in CaIPERS Section 21251.32 - 2% @ 55 for miscellaneous members. J. Seniority Bonus Employee shall receive a 5% increase in base salary effective on the 10th anniversary of her uninterrupted employment with the City. K. Mobile Phone Allowance Employee shall receive a monthly mobile phone allowance in accordance with City Policy 200-19 (currently $75) per month. L. Administrative Leave Employee shall receive 96 hours of administrative leave each fiscal year. Administrative leave days may not be carried forward to succeeding years nor may they be turned in for cash value. M. Deferred Compensation The City shall contribute the equivalent to 3.5% of base salary per payroll period into a deferred compensation program for Employee. 6. ANNUAL EVALUATIONS AND SALARY REVIEW. On or before February 28, 2013, and on or before every June 30 thereafter, the City Manager may conduct an evaluation of Employee's performance.. During that evaluation, City Manager and Employee shall mutually establish performance goals and objectives to be met by Employee during the following year. In addition, the City Manager shall review Employee's salary and benefits as part of the evaluation process and may do so at any other time. 7. INDEMNIFICATION. Except as otherwise permitted, provided, limited or required by law, including without limitation California Government Code Sections 825, 995, and 995.2 through 995.8, the City will defend and pay any costs and judgments assessed against Employee arising out of an act or omission by Employee occurring in the course and scope of Employee's performance of her duties under this Agreement. -9- 8. OTHER TERMS AND CONDITIONS OF EMPLOYMENT. A. The City Manager may from time to time fix other terms and conditions of employment relating to the performance of Employee provided such terms and conditions are not inconsistent with or in conflict with the provision of this Agreement or other applicable law. 9. TERMINATION. A. Termination by City without Cause. Employee is employed at the pleasure of the City Manager, and is thus an at-will employee. The City Manager may terminate this Agreement and the employment relationship at any time without cause. Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the City to terminate the employment of Employee. City shall pay Employee for all services through the effective date of termination. In addition, Employee shall receive severance to the extent provided in Section 10 and shall receive no other compensation or payment. B. Termination by City with Cause. City may terminate this agreement and Employee's employment with the City if: a. Employee refuses or fails to perform the powers and duties of Employee as specified in Sections 2 and 3 of this Agreement, the City Charter or Municipal Code; b. Employee has engaged in: corrupt or willful misconduct in office, any illegal act involving personal gain or willful malfeasance constituting grounds for removal from office due to an indictment of the grand jury; any act of dishonesty; actions that have or may have a substantial and adverse effect on City's interest; or is convicted of any felony or any misdemeanor involving moral turpitude. In no event shall a minor traffic offense or moving violation be considered a misdemeanor involving moral turpitude. In the event Employee is under investigation for any of the foregoing reasons, City may withhold part or all of any severance payment, until it is determined if charges will be filed, and if charges are filed, until final judgment is rendered. If charges are not filed, or if Employee is found innocent, City shall pay any severance to which Employee is entitled; or c. Employee breaches this Agreement, including, without limitation, any provision set forth in Section 2, "Duties and Authority," of this Agreement. C. Employee initiated Termination. Employee may terminate this agreement by providing the City 90 days' prior written notice. 10. SEVERANCE. A. If City terminates this Agreement (thereby terminating Employee's employment with City) without cause pursuant to Section 8A, City shall: -10- a. Pay employee all vacation benefits earned, and b. Pay Employee an amount equal to her then-monthly base salary for a period of 4 months; and B. Notwithstanding any other provision or the term of this Agreement, the maximum severance and health benefits that Employee may receive under this Agreement as a result of termination, shall not exceed the limitations provided in Government Code §§ 53260-53264. 11. INTEGRATION OF AGREEMENT. This Agreement contains the entire Agreement between the parties and supersedes all prior oral and written agreements, understandings, commitments, and practices between the parties concerning Employee's employment. Each party to this Agreement acknowledges that no representations, inducements, promises or agreements, oral or written, have been made by any party, or anyone acting on behalf of any party, which is not embodied herein, and that no other agreement, statement, or promise not contained in this Agreement shall be valid or binding on either party. 12. METHOD OF AMENDMENT. Amendments to this Agreement are effective only upon City Council and Employee written approval. 13. NOTICES. All notices pertaining to this Agreement shall be sent to: EMPLOYEE: Victoria L. Beatley City of Seal Beach 211 - 8th Street Seal Beach, California 90740 CITY: City Clerk City of Seal Beach 211 - 8th Street Seal Beach, California 90740 Such notice shall be deemed made when personally delivered, transmitted by facsimile, or when mailed, 48 hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. 14. GENERAL PROVISIONS. A. If any provision of this Agreement is held invalid or unenforceable, the remainder of this Agreement shall nevertheless remain in full force and effect. If any provision is held invalid or unenforceable with respect to particular circumstances, it shall nevertheless remain in full force and effect in all other circumstances. • -11- B. This Agreement shall be interpreted and construed pursuant to and in accordance with the City Charter, applicable laws of the State of California and all applicable City Codes, Ordinances and Resolutions. Executed by the parties as of the date below at Seal Beach, California. City of Seal Beach Victoria L. Beatley ( n r By: City Manager Date: Zr,1 ATTEST: City Clerk APPROVED AS TO FORM City Attorney -12-