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00-070 David Knapp Employment agreement Reso 00-177 ..,¡ RESOLUTION NO. 00-177 n v A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CUPERTINO AUTHORIZING EXECUTION AGREEMENT OF EMPLOYMENT BETWEEN THE CITY OF CUPERTINO AND DAVID KNAPP, CITY MANAGER WHEREAS, there has been presented to the City Council a proposed Agreement of Employment between the City of Cupertino and David Knapp; and WHEREAS, the terms, conditions and provisions of the agreement have been reviewed and approved by the Director of Administrative Services and the City Attorney. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Cupertino hereby approves the aforementioned agreement and authorizes the Mayor to execute said agreement on behalf of the City of Cupertino. PASSED AND ADOPTED at a regular meeting of the City Council of the City of Cupertino this 19th day of June 2000, by the following vote: Vote Members ofthe City Council AYES: NOES: ABSENT: ABSTAIN: Burnett, Chang, James, Lowenthal, Statton None None None ATTEST: APPROVED: IslKimberly Smith City Clerk Is/John Statton Mayor, City of Cupertino AGREEMENT OF EMPLOYMENT BE1WEEN THE CITY OF CUPERTINO AND DAVID KNAPP CITY MANAGER Agreement made this 11.¡4- day of f1tvr, p _ ,2000, between the City of Cupertino hereinafter merred to as theJ'City" and David Knapp, hereinafter refem:d to as the "City Manager." Section 1. EmDlovrncnt and Duties The City agrees to employ David :Knapp as the City Manager of the City of Cupertino to perform the functions and duties speciñed in Section 2.28.040 of the City's ordinance code, and to perform other legally permissible and proper duties and functions as the City Council shall from time to time assign. 'The City Manager agrees that to the best of his ability and exverience he will at all times loyally and conscientiously perform all of the duties Bnd obligations required of him either expressly or implicitly by the terms of this Agreement. Section 2. Term - Termination The provisions of this Agreement shall commence upon its ~ecution, and shall cOllÛnue until terminated by mutual agreentent or as otherwise provided for hereindel'. A Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the City Council to terminate the services of the City Manager at any time by a four-fifths (4/5) vote of the City Council as provided in Section 2.28.090 of the City's ordinance code. B. Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the City Manager to resign at any time from bis position with the City, provided that he shall give the City four weeks written notice in advance, unless the parties agree otherwise. C. The City Maneger agrees to remain in the exclusive employ of the City during the term of this Agreement, and not become employed by any other employer until this Agreement is terminated. The term "employed" shall not be constrUed to include occasional teaching, writing, consulting, or military reserve service performed on the City Manager's time off. Section 3. Sl!MII1Ißce Pay A In the event that the City terminates this Agn!ement as provided in Section 2 above, for cav.., au defined herein, then such termination may occur immediately, and, in that event, the City wìl\ have no further obligation, PCIDIIIIIanA I financial or otherwise, to the City Manager under the terms of this Aøreement. B. In the event that the City terminates this Agreement as provided in Section 2 above for any reason other than for cause, then the City agrees to pay to the City Manager a cash payment equal to six months aggregate salary to be paid at the option of the City Maneger in a) lump sum upon the date of termination; b) lump sum on January 2 of the year following termination; or c) six equal monthly payments. C. As used in this section, the term ''for cause" means 2nlx the following: I) Death of the City Manager. 2) The continued incapacity on the part of the City Manager to perform his duties for a period of ninety (90) consecutive days or more. 3) The willful breach of duty by the City Manager in the course and scope of his duties as City Manager, as specified in Section 2.28.040 of the City's ordinance code. 4) At times other than medical incapacitation, the habitual neglect by the City Manager of his dutie.s, as specified in Section 2.28.040 of the City's ordinance code. 5) The willful or permanent material breach of any obligations contained in this Agreement. 6) The conviction of the City Manager of any crime involving moral turpitude. Section 4. S tlørv and Benefits The City qrees to pay the City Manager for his services hereto an annual base salary ofSl60,ooo.OO, payable in installments at the same time as other employees of the City are paid. Said base salary may be modified by the City Council on an annual basis effective on each one year anniversary of the City Manager's employment. In addition, the City shall also pay to, or on behalf of the City Manager all benefits, which are available, or which will become available, to the City's other senior tnanegement employees based upon his base salary including, but not limited to, PBRS retirement benefits, health and dental benefits, life insurance, disability, deferred compensation program, and administrative leave pay out. The City Manager will also receive a car allowance ofS3S0 per month. The City Manager shall receive IS days paid vacation per year, plus sick days, holidays, and administrative leave ~ 2 under the same program as is available to other senior management employees. In addition, the City Manager will receive 15 days of paid vacation credit at the commencement of employment with the City. Section S. Performance Evaluation A. The City Council shall review and evaluate the performance of the City Manager at least annually. Said review and evaluation shall be in IICCOrdance with specific criteria developed jointly by the City and the City Manager. Said criteria may be added to or deleted from as the City Council from time to time determines, in consultation with the City Manager. B. At least annually, the City Council and the City Manager shall define such goals and performance objectives which they may determine necessary for the proper operation of the City, and in the attainment of the City Council's policy objectives and shall further establish a relative priority among mous goals and objectives. They shall be attainable within the time limitations as specified and the annual operating and capital budgets and appropriations provided. Section 6. Residency - Housina Allowam:e A. As required by Section 2.28.020 of the City's ordinance code, within 180 days of his appointment, the City Manager must become a resident of the City. Continued residence in the City is a condition of the City Manager's employment. B. The City Manøger shall be reimbursed, or the City may pay directly, for the reasonable and custoll1Sl)' expense of packing and moving himself, his family, and his personal property from his current residence to the City of Cupertino, which sball include unpacking, any storage costs necessary and insurance charges. C. In the event that the City is wil\íng and able to purchase the former City Manager's equity interest in the residence located at 10346 Scenic Blvd., Cupertino, California, the City Manager shall be allowed to purchase an equity interest therein under the terms and conditions set forth in the attached "Agreement for Housing Assistanoc." D. In the event that either the City Manager or the City is unwilling or unable to ~ecute the "Agreement for Housing Assistance," the City will provide the City Manager, lit minimum, with the same housing assistance provided to thc City'. Department Heeds or with other enhanced housing assistBnce as the parties may agree. rc'DIRIICDIICA 3 Section 7. Professional Develooment A. The City hereby agrees to budget for and to pay the travel and subsistence expenses of the City Manager for professional and official travel, meetings and occasions adequate to continue the professional development of the City Mllllllier and to pursue necessary official functions for the City, including, but not limited to, the annual conference of the International City Management Association, the League of California Cities, and such other national, regional, state and local governmental groups and committees thereofwbich the City Manager serves as a member. In addition, the City shall pay the membership dues for such groups B. The City also agrees to budget and to pay for the travel and subsistence expenses of the City Manager for short courses, institutes, and seminars which are necessary for his professional development and for thc good of the City. Section 8. Indemnification 'The City shall defend, hold harmless and indemnify the City Manager against any tort, professional liability claim or dernand or other legal action, whether groundless or otherwise, Brisin¡ out of an alleged act or omission occurring in the performance of the City Manager's duties as defined berein except for those arisin¡ out of intentional wrongful acts. Section 9. Bondina The City shall bear the full cost of any fidelity or other bonds required of the City Manager under any law or ordinance. Section 10. ADOlicablc Laws and Ordinances All provisions of the City ordinance code, and regulations and rules of the City related to vacation and sick leave, retirement and pension system contributions, holidays, and other fringe benefits and working conditions as they now exist or hereafter may be amended, also shall apply to the City Manager as they would to other senior management cmployees of the City. Section 11. Entire ARreement This .Agrec:ment constitutes the entire Agreement of the parties and supersedes any and all agreements, either oral or written, between the parties with respect to the subject matter of this Agreement. Any modification of this Agreement shall be effective only if in writing and signed by both parties. I'CIIJØIJ( )IKA 4 Dated: Dilled: c..). oD ATIEST f' ~ City~ PCIDIR.IXDIkA TI:\~ David Knapp 5