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5.2. SR 07-05-2011cty or El - River REQUEST FOR ACTION To Item Number Ma or and Ci Council 5.2. Agenda Section Meeting Date Prepared by Administration ul 5, 2011 Tim Simon, Finance Director Item Description Reviewed by Interim City Administrator Employment Agreement Reviewed by Action Requested Approval of Interim City Administrator Employment Agreement with Mr. Robert D. Thistle Background/Discussion On June 27`", the City Council authorized staff to work on an interim city administrator employment agreement with Mr. Thistle. Mark Mathison, Gray, Plant, and Mooty, has drafted the attached agreement for the Council to consider at tonight's meeting. Highlights of the agreement: • The agreement provides that Mr. Thistle will begin on July 6`". • The duties will be those set forth in the City Administrator Position Description, and as assigned by the Council or otherwise required by law. The agreement calls for the City to provide him with written duty priorities. • He will receive a guaranteed base salary of $495 per week for any week in which he performs services for the City. This $495 is used to satisfy the minimum guaranteed salary amount needed to treat an employee as exempt from the overtime requirements of the Fair Labor Standards Act • The agreement recognizes the City's statutory duties to indemnify and defend Mr. Thistle for claims arising in the performance of his duties -same as other employees. • The employment is at-will and may be ended upon two weeks' notice by the City or 30 days' notice by Mr. Thistle Financial Impact The hourly rate will be $55 per hour with a work schedule that will not be less than 30 hours per week, and not more than 40 hours per week. If additional hours are required above 40 hours per week, approval must be made by the Mayor. No fringe benefits will be earned/received. The funding will be in the administration budget. Attachments •Interim City Administrator Em loyment Agreement Action Motion by Second by Vote FOllow Up N:\Public Bodies\Ciry Council\Finance\Tim\intermAdminagreement.doc INTERIM CITY ADMINISTRATOR EMPLOYMENT AGREEMENT THIS INTERIM CITY ADMINISTRATOR EMPLOYMENT AGREEMENT ("Employment Agreement"), .is entered into this 5th day of July, 2011, by and between the CITY OF ELK RIVER, a Minnesota municipal corporation and statutory Plan B city under Minnesota law ("City") and ROBERT D. THISTLE, ("Interim Administrator"). RECITALS WHEREAS, City wishes to retain the services of an Interim City Administrator to perform the general duties of the City Administrator on atime-limited, interim basis, as such duties have been and may be determined by the City Council from time to time; and WHEREAS, the Interim Administrator has indicated that he is qualified and willing to accept and perform the job responsibilities as Interim City Administrator subject to the terms of this Employment Agreement; NOW, THEREFORE, for good and valuable mutual consideration, and intending to be legally bound, City and Interim Administrator agree as follows: AGREEMENT 1. EMPLOYMENT. Upon the terms and conditions set forth in this Employment Agreement, City agrees to employ the Interim Administrator on a temporary, interim basis to perform the duties of Interim City Administrator. 2. TERM OF EMPLOYMENT AGREEMENT. The term of the Employment Agreement shall be from July 6, 2011, through such date that the City fills the position of City Administrator and/or chooses to terminate this Employment Agreement as provided for below in Paragraph 6. This Employment Agreement may be extended or modified only upon the mutual written agreement of the City and the Interim Administrator. 3. DUTIES. The Interim Administrator shall provide oversight and management of City operations and support to the Mayor and City Council as described in the City of Elk River City Administrator Position Description attached here as Exhibit A ("Job Description") and shall perform such other legally permissible, proper, and required duties and functions as the City may assign from time to time. The Interim City Administrator position shall encompass the full range of duties and responsibilities within the Job Description; provided, however, that the City shall identify, and the parties shall agree on, priorities for the Interim City Administrator consistent .with the interim, temporary nature of the employment under this Employment Agreement. It is understood that the position of Interim City Administrator requires attendance at evening City Council and other meetings and occasionally at weekend meetings. Application of the Job Description requires the Interim Administrator to know and comply with, as well as to apply, state and federal laws, ordinances, and rules and regulations applicable to municipal government. In addition, the Interim Administrator is subject to the personnel policies and all other policies of the City applicable to employees generally, as such polices may be adopted and amended from time and set forth in the City of Elk River Personnel Policy Manual or other documents of the City, except to the extent of explicit conflict, if any, between such policies and this Employment Agreement. The parties intend that the Interim Administrator will also continue to be available, on a contractual basis, to assist the City and new City Administrator as needed after the City has a new City Administrator in place. Specific arrangements for such service by the Interim Administrator, if any, would be reflected either in a separate written agreement between the parties, or in a written agreement supplementing or modifying this Employment Agreement, which in either case must be signed by both parties to be effective. 4. SCHEDULE. The Interim Administrator's normal work schedule will not be less than 30 hours per week, nor more than 40 hours per week, unless otherwise directed by the City's Mayor. Such work time shall include approximately three to five hours per week for attending City Council meetings during weeks in which they occur. The Interim Administrator is not permitted to work more than 40 hours in a calendar week without the express prior authorization of the Mayor. Travel to and from work will not be counted as time worked; however, travel in connection with job duties shall be billed as time worked. The Interim Administrator will schedule himself to be at work at Elk River City Hall at such times as are necessary in his discretion to fulfill the job duties and responsibilities set out in this Employment Agreement, subject to the ultimate authority of the Mayor and City Council. 5. COMPENSATION AND NO BENEFITS. For his services under this Employment Agreement the Interim Administrator will be compensated as follows: • For each week in which he performs any services for the City under this Employment Agreement, the Interim Administrator shall receive a guaranteed base salary of $495 per week. • For every hour over nine (9) hours worked in a workweek ("Workweek") by the Interim Administrator pursuant to this Employment Agreement, he shall be paid at the gross rate of $55 per hour. The Workweek for purposes of this Employment Agreement shall be the calendar week, Sunday through Saturday. • The Interim Administrator's compensation shall be subject to federal and state income tax withholding, FICA and Medicare and such other deductions as the 2 City is required by law, or believes in good faith it is required by law, to make. The position of Interim City Administrator is an exempt executive position under the Fair Labor Standards Act (FLSA) and the Minnesota Fair Labor Standards Act (MFLSA) and, in accordance with those laws, shall not be subject to the payment of premium compensation, or to receiving compensatory time, for overtime. In recognition of the compensation structure of this Employment Agreement and the fact that the Interim Administrator's employment is temporary, the Interim Administrator shall not be eligible for nor shall he receive any fringe benefits of any kind from the City. Therefore, by way of example and without limitation, the Interim Administrator shall not be eligible for retirement benefits or contributions, group insurance benefits, paid holidays, vacation, sick leave, or severance. 6. EMPLOYMENT-AT-WILL/TERMINATION. City and Interim Administrator acknowledge and agree that employment hereunder in the position of Interim City Administrator is temporary and at-will. Neither the Interim Administrator nor the City is bound to continue the employment relationship if either chooses, at its or his will, to end the relationship. Accordingly, either party may do so at any time, with or without cause, in accordance with the terms of this Employment Agreement. Neither party shall be entitled to any type of due process or hearing for the purpose of appealing, disputing or challenging the determination of the other party to terminate the employment relationship. City shall be required to give the Interim Administrator not less than two weeks' advance notice of termination of employment under this Employment Agreement, unless the Interim Administrator agrees to a lesser amount of notice time. The Interim Administrator shall provide the City with thirty (30) days advance written notice of his intent to voluntarily terminate his employment with City, unless City agrees to a lesser amount of notice time. 7. INDEMNIFICATION. City shall defend and indemnify Interim City Administrator in accordance with to Minn. Stat. § 466.07 and § 465.76. Nothing in this paragraph shall be deemed to be a waiver by the City of any limitations on liability set forth in Minnesota Statutes, Chapter 466, or elsewhere in Minnesota or other applicable law. 8. GENERAL PROVISIONS: a. Notices. All notices, requests and demands given to or made pursuant to this Employment Agreement shall be in writing and personally delivered or mailed, postage prepaid, as follows: To City: Mayor John Dietz Elk River City Hall 13065 Orono Parkway Elk River MN 55330 To the Interim Administrator: Robert D. Thistle 12241 Sycamore St. NW Coon Rapids, MN 55448 b. Governing Law and Venue. This Employment Agreement shall be governed by and interpreted in accordance with the laws of the state of Minnesota and shall be heard in the state or federal courts of Minnesota and all parties to this Agreement waive any objection to the jurisdiction of these courts, whether based on convenience or otherwise. If the parties disagree upon the interpretation of this Employment Agreement, and cannot resolve their differences in good faith, the parties agree to request non-binding mediation from the Minnesota Bureau of Mediation Services. In any dispute between them, each party will be responsible for its own attorneys' fees, and the parties will split equally any other mediation fees. c. Legality. The parties covenant and agree that the provisions contained herein are reasonable and are not known or believed to be in violation of any federal or state law or regulation. In the event a court of competent jurisdiction finds any provision contained herein to be illegal or unenforceable, such court may modify such provision to make it valid and enforceable. Such modification shall not affect the remainder of this Agreement which shall continue at all times to be valid and enforceable. No payment may be made under this Agreement in excess of the maximum amount permitted by applicable law. d. Entire Agreement. This Agreement constitutes the entire agreement between the parties and supersedes any and all prior oral or written agreements between the parties. This Agreement can only be modified by written agreement signed by both parties. The parties agree that there were no inducements or representations leading to the execution of this Agreement except as herein contained. e. Counterparts. This Agreement may be executed simultaneously in two or more counterparts, each of which will be deemed an original, but .all of which together will constitute one and the same instrument. [The remainder o this page is intentionallyeft blank) 4 IN WITNESS WHEREOF, the parties hereto have caused this Interim City Administrator Employment Agreement to be executed and effective on July 5, 2011, intending to be legally bound. CITY OF ELK RIVER ay: Mayor And: City Clerk INTERIM ADMINISTRATOR GP:3003393 v3 5 Exhibit A City of Elk River City Administrator Position Description GP:3003393 v3 ~''' City of Elk River .~ City Administrator ver Position Description Department: Immediate Supervisor: Administration City Council Pay Grade: FLSA Status: Last Updated: (date) 3/2006 18 Exempt Positions Supervised: Finance Director, Prosecuting Attorney, Park and Recreation Director, Community Development Director, Police Chief, Fire Chief, Street Superintendent, Wastewater Chief Operator, City Clerk, Human Resource Re resentative and all ci staff indirect) . Position Summary The City Administrator is the chief administrative officer for the City. This position is responsible for the daily administration and coordination of all City affairs in accordance with the City Ordinance and directives from City Council. Essential Functions 1. Performs general city administration. A. Develops and issues such administrative rules, regulations and procedures as may be necessary for the proper functioning and coordination of the City's affairs consistent with state and local ordinances and City Council policy. B. Enforces and implements the City's laws and ordinances; recommends changes, amendments, or repeal of appropriate ordinances to the City Council. C. Recommends to the Council such measures as may be necessary or expedient for the health, safety and welfare of the community or for the improvement of the administration. D. Attends and participates in City Council meetings and attends other meetings of official bodies as directed by the City Council. E. Prepares agenda and appropriate supporting material for all City Council meetings. F. Monitors and enforces all contracts entered into by the City. Performs public relations activities. A. Represents the City at official or semi-official functions as deemed necessary for the purpose of public relations or as otherwise directed by the City Council. B. Promotes and develops cooperative inter-governmental business and community relations. C. Prepares news releases and developments other public relations material. Performs personnel activities. A. Supervises and directs all departments, offices, and divisions of the City consistent with City Council policy except as otherwise provided by law. B. Supervises and directs all City Council-appointed consultants. C. Ensures that supervisors provide written and oral performance evaluations of employees in their department. D. Performs timely annual performance reviews of all employees supervised. 4. Performs financial activities. A. Prepares an annual operating budget for all departments and funds of the City for submission to the City Council as required by law. B. Monitors the City's financial condition and keeps the City Council duly informed of said condition. Performs other essential job duties. A. Regular and timely work attendance. B. Follows all safety procedures. C. Participates in safety training. Required Knowledge, Skills, and Abilities ^ Knowledge of state and federal laws, ordinances and rules and regulations applicable to municipal government. ^ Knowledge of government processes and services. ^ Knowledge of management principles and practices as they apply to public sector management including personnel management and organizational development. ^ Ability to supervise staff and motivate employees to work to their full potential. ^ Ability to communicate effectively both orally and in writing. ^ Ability to respond quickly and decisively to emergency situations. ^ Ability to effectively meet citizens needs and demands by implementing City policy. ^ Ability to establish and maintain a working relationship with City Council, staff, other public officials, the public. ^ Ability to plan and analyze City operations; develop alternatives; determine the costs, advantages, disadvantages of various alternatives. ^ Ability to prioritize City needs, allocate resources effectively. ^ Ability to maintain confidentiality, mediate disputes, and negotiate contracts. Minimum Qualifications ^ Bachelor's degree in public administration, business administration or a related field with emphasis in public administration or finance and twelve years of public administration experience at a supervisory level or Master's degree and ten years of public administration experience at a supervisory level. ^ Valid driver's license. Preferred Qualification ^, Administration experience in a high growth city. [his Position Description is not intended to be all-inclusive. It i~ within the City of Elk River's discretion to assign additional duties aid responsibilities or remove duties and responsibilities at any time. This Yosition Description does not constitute a Contract of Employment.