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2008/10/14 City Council Resolution 2008-165RESOLUTION NO. 2008 -165 APPROVING AND AUTHORIZING EXECUTION OF EMPLOYMENT AGREEMENT FOR INTERIM CITY MANAGER POSITION WHEREAS, the City Manager, Stephen Donley, is a reserve officer of the United States Coast Guard; WHEREAS, Mr. Donley has been called to service for a period up to one year, effective October 1, 2008; WHEREAS, the City Council has determined that Daniel Schwarz is qualified to serve as Interim City Manager during Mr. Donley's absence; and WHEREAS, the City Council desires to enter into an employment agreement with Daniel Schwarz, NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Rohnert Park approves the attached employment agreement between the City and Daniel Schwarz. DULY AND REGULARLY ADOPTED by the City Council of the City of Rohnert Park this 14th day of October, 2008. CITY OF ROHNERT PARK 1�qyor Ja e Mackenzie BREEZE: AYE SMITH: AYE STAFFORD: AYE VIDAK- MARTINEZ: AYE MACKENZIE: AYE AYES: (5) NOES: (0) ABSENT: (0) ABSTAIN: (0) EMPLOYMENT AGREEMENT between CITY OF ROHNERT PARK AND DANIEL SCHWARZ THIS AGREEMENT between the CITY OF ROHNERT PARK ( "City ") and DANIEL SCHWARZ ( "Employee ") is dated for reference purposes this day of October, 2008 and is deemed effective October 1, 2008 ( "Effective Date "). RECITALS WHEREAS, The City Manager of the City is taking a temporary military leave of absence for an undetermined period of time. WHEREAS, City desires to retain the services of Employee to serve as the Interim City Manager while the City Manager is away on a temporary military leave of absence. WHEREAS, Employee desires to serve as Interim City Manager of the City of Rohnert Park. WHEREAS, The City Council, as appointing power, and Employee desire to agree in writing to the terms and conditions of Employee's employment as Interim City Manager. AGREEMENT NOW, THEREFORE, THE PARTIES HERETO AGREE AS FOLLOWS: 1. DUTIES. (a) City agrees to employ Employee as Interim City Manager of the City of Rohnert Park to perform the functions and duties specified in the ordinances and resolutions of City and to perform other legally permissible and proper duties and functions as the City Council may from time to time assign. (b) Employee shall perform his duties to the best of his ability in accordance with the highest professional and ethical standards of the profession and shall comply with all general rules and regulations established by 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. Prior to performing any services under this Agreement and annually thereafter, Employee must complete disclosure forms required by law. 2. TERM. (a) The term of this Agreement shall be from the Effective Date and ending on the date on which the City Manager ends his temporary military leave of absence and resumes 1136997v1A 80078/0012 his employment with the City, unless terminated earlier by either party in accordance with the provisions set forth in Paragraph 3 or by the event of the death or permanent disability of Employee. (b) Employee agrees to remain in the exclusive employ of City during the term of this Agreement and not to be otherwise employed during the term of this Agreement. 3. RESIGNATION AND TERMINATION. (a) Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of Employee to resign at any time from his position as Interim City Manager of City. Employee may terminate this Agreement by submitting written notice of his resignation to City. Employee shall give the City thirty (30) days written notice of his intention to resign. (b) Employee serves at the pleasure of the City and nothing herein shall be taken to prevent, limit or otherwise interfere with the right of the City to terminate the services of Employee as Interim City Manager with or without cause. There is no express or implied promise made to Employee for any form of continued employment as the Interim City Manager. (c) In the event the City requests Employee to resign from his position as Interim City Manager, or the Employee chooses to do so, the Employee shall have the option of returning to his position as Assistant City Manager at the same terms and conditions of employment that Employee received prior to the effective date of this Agreement, including any cost of living adjustments normally received during Employee's tenure as Interim City Manager. 4. COMPENSATION AND BENEFITS. (a) City agrees to pay Employee for his services rendered pursuant hereto as Interim City Manager a monthly salary of fifteen thousand nine hundred dollars and no cents ($15,900.00) payable in installments at the same time as other employees of the City are paid. (b) City will provide Employee with the same holidays, sick leave and long term disability benefits, retirement benefits, insurance benefits including but not limited to life, health and dental coverage, vacation and administrative leave in the same manner provided to him as Assistant City Manager. 5. SUPPLEMENTAL BENEFITS. City shall pay to Employee the same automobile, residency, cell phone allowances in the same manner provided to him as Assistant City Manager. 6. INDEMNIFICATION. City shall defend, save harmless, and indemnify Employee against any tort, professional liability claim or demand or other legal action, whether groundless or otherwise, arising out of an alleged act or, omission occurring in the performance of Employee's duties as 1136997v1A 80078/0012 Interim City Manager. City will compromise and settle any such claim or suit and the amount of any settlement or judgment rendered thereon. Said indemnification shall extend beyond termination of employment, and the otherwise expiration of this Agreement, to provide full and complete protection to Employee as described herein, for any acts undertaken or committed in his capacity as Interim City Manager, regardless of whether the notice of filing of a lawsuit for such tort, claim, demand, or other legal action occurs during or following Employee's employment with City as Interim City Manager. Further, following employment with City, City agrees to pay Employee reasonable consulting fees and travel expenses in the event Employee serves as a witness, advisor and or consultant to City regarding any pending litigation involving City. 7. CONFLICT OF INTEREST PROHIBITION. It is further understood and agreed that because of the duties of the Interim City Manager within and on behalf of the City of Rohnert Park, and its citizenry, the Employee shall not, during the term of this Agreement, individually, as a partner, joint venturer, officer or shareholder, invest or participate in any business venture conduction business in the corporate limits of the City of Rohnert Park except for stock ownership in any company whose capital stock is publicly held and regularly traded, without prior approval of the City. For and during the term of this Agreement, Employee further agrees, except for a personal residence or residential property acquired or held for future use as his personal residence, not to invest in any other real estate property improvements within the corporate limits of the City of Rohnert Park, without the prior consent of the City Council. 8. OTHER TERMS AND CONDITION OF EMPLOYMENT. The City Council, by resolution, shall fix any other terms and conditions of employment, as it may determine from time to time, relating to the performance of Employee, provided such terms and conditions are not inconsistent with provisions of this Agreement or law. 9. GENERAL EXPENSES. City recognizes and agrees to pay the job - related expenses incurred by Employee in the course of his duties as approved by the City Council. 1136997v1A 80078/0012 10. NOTICES. Any notices required by this Agreement shall be in writing and either given in person or by first class mail with postage prepaid and addressed as follows: TO CITY: Mayor City of Rohnert Park 6750 Commerce Blvd. Rohnert Park, CA 94928 TO EMPLOYEE: Daniel Schwarz 3629 Jomar Drive Napa, CA 94558 11. ATTORNEY'S FEES. In the event of any mediation, arbitration or litigation to enforce any of the provisions of this Agreement, each party shall bear its own attorney's fees and costs. 12. ENTIRE AGREEMENT. This Agreement is the final expression of the complete agreement of the parties with respect to the matters specified herein and supersedes all prior oral or written understandings. Except as prescribed herein, this Agreement cannot be modified except by written mutual agreement signed by the parties. 13. ASSIGNMENT. This Agreement is not assignable by either City or Employee. 14. SEVERABILITY. In the event that any provision of this Agreement is finally held or determined to be illegal or void by a court having jurisdiction over the parties, the remainder of the Agreement shall remain in full force and effect unless the parts found to be void are wholly inseparable from the remaining portion of the Agreement. 1136997v1A 80078/0012 15. EFFECTIVE DATE. This Agreement shall be deemed effective on the Effective Date. IN WITNESS WHEREOF, the City has caused the Agreement to be signed and executed on its behalf by its Mayor. It has also been executed by the Employee on the date first above written. CITY OF ROHNERT PARK By: Jake MacKenzie Mayor EMPLOYEE By: Daniel Schwarz APPROVED AS TO FORM: Ul-A James J. Atencio Assistant City Attorney 1136997v1A 80078/0012