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HomeMy WebLinkAboutResolutions - No. 2019-141RESOLUTTON NO. 2019-141 A RESOLUTION OF THE LODI CITY COUNCIL RATIFYING THE EMPLOYMENT AGREEMENT BETWEEN THE CITY MANAGER AND ELECTRIC UTILITY DIRECTOR JEFFREY D. BERKHEIMER NOW, THEREFORE, BE lT RESOLVED that the Lodi City Council does hereby ratify the Employment Agreement entered into between the City Manager and Electric Utility Director Jeffrey D. Berkheimer, as shown on Exhibit "4" attached hereto and made a part hereof. Dated: July 17,2019 I hereby certify that Resolution No. 2019-141 was passed and adopted by the City Council of the City of Lodi in a regular meeting held July 17,2019, by the following vote: AYES COUNCIL MEMBERS - Johnson, Kuehne, Nakanishi, and Mayor Chandler COUNCIL MEMBERS - Mounce COUNCIL MEMBERS - None COUNCIL MEMBERS - None NOES NIFER FERRAIOLO City Clerk ABSENT: ABSTAIN 2019-141 Exhibit A EMPLOYilIENT AGREEITIENT Executive Management (Exempt Service) Electrlc Ut¡l¡ty Dlreçtor THIS AGREEMENT entered into effective July 19, 2019, by and between the CITY OF LODI, a municipalcorporation (hereinafter referred to as "City") and JEFFREY D, BERKHEIMER, an individual (hereinafter referred tdas "Employee"), WHEREAS, Employee desires to be employed as the Electric Utility Dlrector and City desires to employ the services of Employee as the Electric Utility Director; and WHEREAS, City and Employee agree In writing to the terms and conditions of employment as Electric Utility Director; and WHEREAS, Employee and City agree and acknowledge that Employee's employment as the Electric Utility Director is his sole and exclusive employment with City, and that their employment relationship is governed solely and exclusively by this Agreement. NOW, THEREFORE, in consideration of the promises and conditions set forth herein, the parties mutually agree as follows: 1. Emplsvment; City agrees to employ Employee as the Electric Utility Director, in accordance with the following provisions: (a) Employee shall serve as the Electric Utility Director, and shall be responsible for managing and directing the operations of the Electrið Utility in accordance with an agreed upon performance plan, (b) Employee shall pêrform his duties to the best of his ability in accordance with the highést professional and ethical standards of the profession and shall comply with all general rules and regulations established by the City. (c) Employee shall not engage in any activity which is or may become a conflict of interest, prohibited contract, or which may create an incompatibility of office as defined under California law. Employee shall comply fully with his reporting and disclosure obligations under regulations promulgated by the Fair Political Practices Commlssion (FPPC), (d) Employee agrees to remain in the exclusive employ of the City during the term of this Agreement. Employee shall dedicate his full energies and qualificaiions tı nis employment as Electric Utility Director, and shall not engage in any other employment. (e) Employee acknowledges that he is subject to City of Lodi's Rules for Personnel Administration, amended October 6, 2010, and Administrative Policies and Procedure Manual, as each may be amended from time to time by actíon of the City Council. 2. Start Date: Employee shall begin work as the Electric Utility Director effective August 12,2019. 3. lUlaintenance of Professional Exp"pÉiqg! To promote continued professional growth and benef¡t to the City, Employee shall, at City expense and consistent with budgetary -1- constreints: maintain membership in professional organizations related to electric utility administration and related professional disciplines; attend workshops, seminars and other similar activities designed to advance Employee's professional development; and, represent the Gity in professional associations and other organizations. 4. Reslgnatlon or Termination: (a) Employee may resign at any time and agrees to give City at least 30 days advance written notice of the effective date of his resignation. ln such event, Employee shall not be entitled to severance pay as provided in Paragraph 5 herein. (b) The parties recognize and affirm that Employee may be terminated by the City Manager of the City of Lodi ("City Manager") with cause, which shall mean gross insubordination, incapacity, dereliction of duty, violation of state or federal employment practice laws or regulations, conviction of a crime involving acts of moral turpitude or involving personal gain to him, or material breach of this Agreement. ln such event, Employee shall not be entitled to severance pay es provided in Paragraph 5 herein. (c) The parties recognize and affirm that Employee may be terminated by the City Manager without cause. ln such event, Employee shall be entitted to severance pay as provided in Paragraph 5 herein. (d) In the event of termination and in recognition of Employee's professional status and integrity, Employee and the City Manager shall prepare a publíc statement to be made by the City. This employment relationship is based on the mutual respect between the parties and a desire to maintain the highest degree of professionalism. ln communicating with third.parties about the parties'employment relationship and the circumstences under which it may have been severed, the parties shall (a) protect and advance their mutual respect and professionalism, and (b) refrain from making statements that would negatively impact either party. (e) Employee may choose to resign or retire his office instead of being terminated if agreed to by the City Manager. ln such an event the public announcement, as provided for in Paragraph 4 (d) above, will note Employee has resigned or retired. The provisions of Paragraph 4 (d) shall remain applicable. ln such event, Employee shall not be entitled to severance pay as provided in Paragraph 5 herein. 5. $everance Pav: lf Employee is terminated by the City Manager without cause while still willing and able to perform the duties of the Electric Utility Directoi, City agrees to pay Employee a cash payment equal to six (6) months' aggregate salary and the City's cost of six (6) months' health insurance benefits subject to reduction as set forth in this Paragraph 5. The severance payment will be paid over time at the same time as other employees of the City are paid and subject to customary withholdings. ln the event Employee retains new employment during the six month severance period, any remaining severance payment will be foÉeited as of the date Employee begins his new Employment. To be eligible for such severance pay, Employee shall fulfill all of his obligations under this Agreement, and shall sign an Acknowledgment and Release of Claims against the City. Payment under this paragraph will release City from any further obligations under this Agreement, or any other transaction between the parties. 6. Emplovmçnt as Department Head is Sale Emplovment with City¡ Employee further represents and acknowledges that his employment as the Electric Utility Director is his sole and exclusive employment with the City. Employee has no right to any other exempt position with the City or to any employment in the classified service. -2- 7. Sslary: (a) City agrees to pay Employee $179,000.00 in salary per annum for his services, payable in installments at the same time as other employees of the City are paid and subject to customary withholding. The City may reduce base salary compensation or other financial benefits of Employee as part of general salary reduction in pay among and common to all City employees. 8. Bsnefits: The Gity shall provide Employee the same benefits as provided to management employees in accordance with the terms of the Executive Management Statement of Benefits dated 2A12, and as may from time to time be amended by the Clty Council, increased or decreased, except as modified herein ('Executive Statement of Benefits"). These are the sole and exclusive benefits to be provided to Employee, Any improvement or modification of such benefits may only be made by written instrument signed by the City Manager. As used herein, benefits include, but are not limited to: vacatlon, sick leave, holidays, administrative leave, retirement, vision insurance, health insurance, dêntal insurance, and lÍfe insurance, Employee shall receive a bank of 40 hours of vacation leave concurrent with his start date that can only be used during Employee's first 12-months of Employment. Employee's vacation leave shall be calculated as if he were in his sixth year of continuous service to the City (i.e. Employee will accrue 120.12 hours of paid vacation leave per calendar year), increasing from there as provided in the Executive Management Statement of Benefits. 9. Performance Evaluationl The City Manager shall review and evaluate the performance of Employee each year and set goals and objectives for the ensuing year. Such review and evaluatíon shall be in accordance w¡th specific criteria developed in the performance plan in consultation with Employee and the City Manager. 10, Agslonment: Employee shall not assign any of the duties and responsibilities, or obligations of this Agreement except with the express written consent of the City Manager. 11, Authorlty to l/UorLln the United $tatsq! Employee represents, under penalty of perjury, that he is authorized to work in the United States. ln accordance with S2744 (8 USC 1324) of the lmmlgration Reform and Control Act of 1986 before this Agreement can become efiective, Employee must provide documentary evidence to City consistent with the Act, that he is legally entitled to work in the United States, and must execute the verification requlred by that Act. 12. Cell PhonelVehicle; Employee will be provided with a Cell Phone for employment related use at the City's expense or a monthly stipend, at Employee's option, on terms consistent with other Executive Managers. Employee will also be provided with access to the Electric Utility Pool Car for work related use on an as available basis. 13. Notlce: All notices required herein shall be sent first class mail to the parties as follows: To GITY:City of Lodi Attn: City Manager's Office P. O. Box 3006 Lodi, CA 95241-1910 Jeffrey D, Berkheimer'7410 Acaso Court Rancho Murrieta, CA 95683 3 To EMPLOYEE: Notice shall be deemed effectively served upon deposit In the United States mail. Either party may ohange the "Notice" address by notifying the other party in writing of such change. 14, Entire Aaraement: This Agreement contains the entire agreement between the parties hereto. No promise, representation, warranty, or covenant not included in this Agreement has been or is relied on by any party hereto. This Agreement may only be amended by written instrument signed by Employee and the City Manager and approved by the City Council in open session. 15. Severabilltv: lf any provision of this Agreement is invalid or unenforceable, it shall be cons¡dered deleted herefrom and the remainder of this Agreement shall be unaffected and shall continue in fullforce and effect. tN WTTNESS WHEREOF, the parties have executed this Agreement the day and year written above, EMPLOYEE D. BERKHEIMER CITY OF LODI, a municipalcorporation Ëy: ER City Manager ATTEST: By: toLo City APPROVED AS TO FORM: D. MAGDICH City Attorney By: I -4-