8.6. SR 12-19-2005
Item # 8.6.
MEMORANDUM
TO: Mayor and City Council
FROM: Paul Motin, Council member
DATE: December 19,2005
SUBJECT: City Administrator Position
Lori Johnson and I have been working towards negotiating the terms of employment relating to Ms.
Johnson's taking over the City Administrator Position. To that end, the following is a breakdown of
the terms we have agreed upon (subject to Council approval). The actual contract will be prepared
by an attorney for the City (with regular employment terminology):
Terms in previous City Administrator Proposed Terms
Contract
TERMINATION ISSUES
4/5 vote of Council to terminate (90 days 4/5 vote of Council to terminate (90 days
written notice). written notice).
Retention of Employee for 6 months
following a municipal election. Deleted.
Automatic extensions of 2 years. Deleted (indefmite term subject to
termination).
Severance upon termination: 6 months
aggregate salary, plus accrued vacation,
plus 1/3 accrued sick leave. Same.
Upon voluntary resignation: unclear (we
had given him the same as severance, plus No salary. Accrued vacation. Sick leave to the
medical insurance for 6 months if he took extent allowed for other employees.
salary over 6 months).
In case of resignation, Employee shall give In case of resignation, Employee should give
45 days advance notice. 45 days advance notice.
COMPENSATION ISSUES (All are retroactive to date Lori became
Interim City Administrator).
Pat was at level 15E, step E ($101,808.94). As Finance Director, Lori was at level 12E,
step E ($90,074.04). As City Administrator,
she will move to level 15E, step D
($95,698.32). Cost of living increase at
1/1/2006. Another step (to step E) at 7/1/06.
Car allowance - $300/ month. Deleted (but mileage reimbursement OK).
Long term disability for 100% of salary Deleted.
(about $2,500 per year).
-- $400 per month to deferred compensation.
Sabbatical (five weeks paid leave of
absence every 5 years). Deleted.
-- Personal time previously earned may be used
until 12/31/2010, at which time it will be lost
if not used. This is an extension of
approximately 2 years. Personal time will not
be paid in cash under any circumstance.
Vacation: same as other employees.
Other benefits (pension, life-health-dental-
disability insurance, medical/dependent care,
etc.) same as other employees.
Discretionary performance incentive (up to
5% of salary). Deleted.
PERA or deferred compensation fund PERA
OTHER
If Lori determines on or before 12/31/2007,
she can decide not to continue as City
Administrator and can return to a position
similar to the current Finance and
Administrative Services Director (the contract
would cease and salary and benefits would
change to those applicable to the Director
position).
The Council understands that family
commitments may come up which may cause
Lori to miss an occasional meeting. The
Council needs to consider who should act in
Lori's absence.
Not more than 10 hours per week may be
spent in teaching or writing or other non-
employer connected business without prior Deleted (no teaching / writing / non-employer
approval of Council. time without approval).
Action Requested
The Council is asked to consider adoption of the above contract provisions appointing Lori Johnson
as City Administrator.