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Resolution No. 88-95 RV1;0L(J110N NO. 88 AN EMPLOYMLINJ- AUW[:FMLN1- (Revi,ed le.xt As Amended through August, 1987) THIS EMijLOYM1,-NF AGREUMEN 1, made and Qritur,od into Lhis 19Lh day of September-, 1988, by and the CIly Of (IGOI;'r, OR(Umlkl, ho,o i na f ter re er- refi,r r tid to as "CITY", and PA 1 RICK J. RE 11,LY, hereinafter rofor,r*(�d to as "FMPLOYEL W I A N E IS S I- I H: WHEREAS, CIly and Empl.,UY EE 6(4 s i r-e a written re:=meat creating a pt-a f e s 5 i o j-iz-i I and bus i nose 1 i ko relationship, se­v ing a,; is f<:r effective communication and to avoid misunderstanding; .irid, WILREAS, by not having tL. w,�i i, �Aboti L p�)r-sorial f i naric e e: or fam i I v security, the EMPLOYEE cart effectively concentrate L;n thc. (ATY'13 business; THCREF ORE, in consideration of mutual covenaiiU; herein contained, and for Carisider,ation h',reirl spocifj.ed, tho CITY and I.-MPLOYFF mutually ayr-oo: SECTION I - IMPLOYM11\11, DLLFJAAND P(I-iffOR11Y: lise cf1y h"A, ayteed to employ PATRICK J. REILLY Ci Ly Administrator. The EMPLOYEE AL3rOUS to accept said employment. The authority of EMPLOYLE, cons i.stent with state low, City Charteror ar'dinance, shall in,!,,­. but ;vt 14-1 limit�,d 1- the followinq: the over-all management, aciminist ration and di re,tion of City opor,aLiuns; the f-.,j r,i I,j, disciplining and firing of all City employees except Municipal Judge and City Attor-nQy; the nogot i z,.tion, execution and ad;-ii i ri.i.s t r,,A I i on of City contracts within budget appropriations pursuant to City policy and ordinance; policy advice to electod officials and open communication with the community ;c) as to fuster- responsive and COLO-tQk)US public service. Any reduction or, r'ovocatwn of either- the duti"s or authority, except by mutual written agreement to the contrary, shall constitute a breach of this Agreement. The Mayor, and Council agree to th2 principle of noninter,rererice in the administration as necessary to the orderly Arid efficient implomentat!'on of Council policy . The Mayor and council Aqv-ee to direct, their- concerns and communications to the administration through the City Administr',Ator-, The EMPLOYEE agrees to resoonci promptly to R11 inquir-itis from the Council whether- made individually or collectively. SECTION 2 ­ TERM: 1ho term of this revised agreement; shall be for one year commencing on October 3, 1988, with annual renewals as herein provided. A. Nothing in this Agreement shall. prevent, limit., or otherwise i rite r�fer-e with the right' of th-a City Council to terminate the ser-vices of EMPLOYEE at any time, subject only to the provision:: set forth in this Agrec-mcrit. 9. Nothing in this acar(amont shall prevent, limit or� other-wise inter,fer,o with the right of the EMPLOYEE to resign, at any time from his position with the CITY, subject only to the provisions set forth in this Agr•eoiiront. C. EMPLOYF-F aarees to remain in the exclusive employ of the CI(Y during th,, ter-in of this Agreement, and neither to accept, nor to become employed by any othic-r efo;:>loyer­ until said contract ter-m ini.4.tion date, unless said ter-minati,)r, is effected as hereinafter pr-ovidi?41. The term "employed" shall not; bL construed to include occasionaI teaching or- const 1 ting on the EMPLOYEE'S time off, whi,,;h shall be at the EMPLOYEF'S discretion upon the advice of the Mayor. EMPLOYMENTAGRIFEMENT - PAGE t SECTION 3 — ANNUAL. RENEWALS: Unless the CITY notifies tho E:MP!_OYEE to the contrary in writing thirty (30) days befur•e the start of each remaining agreement year, it: shall be deemed that the City has renewed this Agreement for one (1) year beyond the term of that current agreement. Unless the EMPI..OYEE notifies the CITY to the contrary in writing thiirty (30) days before the start of the remaining agreement year,, EMPLOYEE agrees to accept renewal of this Agreement as heretofore stated. If the term of the aTrecameni: is nut extended as herein provided, it shall be allowed to reach it-' existing effective ending date. Renewal shall at.Itomatically OCCur' unless specific action to the contrary is taken or a mutually agreed upon change made to this Agreement. SECTIO!1i 4 — TERMINFlI"I:ON AND SE:'JERANCE:: A. Termination Without Ca+.Ase. This Agroement may be terminated by either the CITY or EMPLOYEE:: for any reason whatoe+ver• upon the giving of thirty (30) days written notice to the other ;.Tarty. B. Termination for' Cause. In the eventof a For Cause termination, this Agreement shall not he dceined to constr'ua any waiver of r•.i hts or r•enx_dy available to any employee. This Agreement may be terminated immediat,ily For' Cause in the sole discretion of the CITY upon the occurrence of any one of the f-ollowinq events: (1) EM _OYE: willfully arid r :: willfullancontinuously fails Or' efuses ti+ P' comply with the policies, standards and regulations of the CITY as are from time to time established: (2) EMPLOYEE shall be guilty of fraud, dishonesty, misappropriation of funds, embezzlement, Orother act of misconduct in the rendering of services on behalf of the CITY: (3) EMPLOYEE shall fail to refuse to perform faithfully Or diligently arty of the provisions of this Agreement. (4) EMPLOYEE shall be found unfit for the position per- Federal, State and City rules and regulations applicable to all employees in a For- Cause termination. C. Not For Cause termination. "In the event EMPLOYEE'. is involuntarily terminated not For, Cause by the City Council before expiration of the term Of employment and during such time as the EMPLOYEE is willing -And able to perform the assigned duties, then in that event the CITY agrees to pay EMPLOYEE on a monthly basis and at the EMPLOYEE'S highest rate of base salary during his term of City employment-, according to the following schedule: 6 month's pay if termination occurs during first year of EMPLOYEE'S employment with the CITY; 5 month's pay if termination occurs during year 2; 4 months pay if termination occurs during year 3; and 4 month's pay if termination occurs during any period thereafter. Monthly severance payments by CITY shall. cease if, during t'.•ae period of the above scheduled payments EMPLOYEE accepts employment with another City, or another- employer of any other type, and receives- compensation for his services. However, if EMPLOYEE is terminated For Cause per Section 46 of this agreement reement or convicted of any illegal act involving personal gain to him, then CITY shall have no obligation to pay the severance pay. EMPLOYMENT AGREEMENT — PAGE 2 D. If the CITY redu"s the salary or other financial benefits of EMPLOYEE 1, a greater percentage than an applicable across--the-board reduction for all unclassified employees of the City, or if the CITY refuses folluwincl written notice requesting compliance with any other• provision benefiting EMPLOYEE: herein, or if EMPLOYEE resigns following public suggestion, whether formal or informal, by a majority of the City Council that he resign, then the EMPLOYEE may, athis option, deem the Agreement to be involuntarily ter'minate.d without cause at the date of such reduction or refusal to comply with the meaning and context of this Agreement, and the severance pay provision under paragraph C of this section shall apply. Termination or, ros.ignation in good standing shall entitle EAPL.OYC:F: to a lump sum payment equivalent to all accrued vacation and other entitlement benefits, except that in ro event will these benefits exceed similar bwnfits accorded other unclassified employees. E. If EMPLOYEE voluntarily resigns his position with the C:ETY before expiration of said term of employment, then EMPL.OYEV shall give. the C11Y at, least thirty (30) days' written notice in Mvance, and LMPLOYEE shall be present to serve during the period. SECTION 5 - SALARY, HOURS OF WORK, VACA-I[ON AND STICK 1_1,AVE: A. Salary -- The CITY agrees to pay the EMPL.,OYLE: For his ser-vices in an amount as set by the City Council, payable in the some installments and in the some manner as other employees are paid. There may be performance evaluations as often as the Council deems appropriate and as provided in Sect"ion 8 of Lhis Agreement. There shall be a merit pay increase review annually at least. thirty (30) days before the effective annual renewal date of this Agreement. Apart from any merit--pay increases, lump sum or merit bonus as City Council deers appropriate, the CETY ag rces to compensate the FMP10YFF with an anneal increase for cast--of-living at least in the same percentage and manner as awarded to the unclassified employees of the CITY. EMPLOYEE shall be paid $4,584/month ($55,000 annual equivalent) effective 10/3:88. C. Hours of 'Work: Because the EMPL.OYEE will devote a great deal of time outside normal office hours to the business of the CITY and because flexibility in hours worked and work schedules benefit both the C:IT'Y and E"MPLOYEE, the EMPLOYEES has sole discretion as to his work schedule and hour's worked. C. Vacation: The City recognizes that EMPLOYEE had education and experience equivalent to ten (10) years employment with the CITY at date of hire on October 3, 1988. EMPLOYEE shall therefore accrue vacation at fifteen (15) days per• year to be used as he deems appropriate, and shall henceforth accrue vacation at said rate equivalent to other unclassified employees. D. Payroll Reporting: EMPLOYEE shall. be on straight salary as per, this section of the Agreement: and shill be paid automatically by the CT!Y as per this Agreement. Any vacation or sick leave used sha.Il, be reported to the CITY in the same manner as for other City employees. SECTION 6 - RETIREMENT, DISABIL-TTY AND HEALTH INSURANCE: A. Retirement: The CITY agrees to contribute into either the !CMA Retirement, Corporation or the CITY'S retirement program, on EMPLOYEE'S behalf, an amount at least equal to that -same percentage of salary contributed for the City's other management/professional employees. B. Health Insurance: The CITY agrees to provide a comprehensive annual physical for EMPLOYEE. The CITY agrees to continue to provide coverage and make required premium payments for EMPLOYEE and his da pendQnts for comprehensive medical and dental plans equivalent to other programs provided other regular unclassified employees. C. I.,ife Insurance: CITY agrees to purchase $110,000 of Group Term Life Insurance through the ICMA Life Insurance Program on EMPLOYEE'S behalf for beneficiary to be named by EMPLOYEE. EMPLOYMENT AGREEMENT - PAGE 3 SECTION 7 - PROFESSIONAL DEVELOPMENT AND EXPENSES: A. The CITY encourages the professional growth and development of the EMPLOYEE and encouracles participation as he deems appropriate in professional association, short courses, seminars arid conferences including, but not limited to: the International City Managemerst Association and its annual conference, and the State Municipal League Conference. The C11Y shall permit a reasorable amount of time for EMPLOYF=E to attend and the CITY shall pay for the direct: costs necescar•y for, travel, subsistence arid registration subject to reasonable availability of funds arid as approved in the annual budget. The CITY shall pay ICMA Conference registration, expenses, except transportation costs for EMPLOYLE'S spouse, if actively participating in cunfor•ence. B. The City shall provide $250 per, month vehicle allowance to Employee who shall provide his own vehicle, insurance, operation and maintenance. Employee shall provide for oil and gasoline within the. Portland Metro area. City shall reimburse for gasoline expens_s on City business outside the Portland Metra area. C. The CITY recognizes that ceriain expenses of a lob affiliated nature are incurred by EMPLOYEE on behalf of the CIFY and Etereby agr�aes to reim*aurse or pay said general expenses on a monthly reimbursement basis, and the CITY shall disburse s,,ch monies per receipts or personal affidavit's. Any civic service club memberships taken out at CITY expense shall be upon the approval of the Mayor. SECTION B - ANNUAL GOAL-SETTING AND PEREORMANCL EVALUATION: The Mayor and individual members of the Cz;un:,il .hall be encouraged to periodically identify their concerns to the EMPLOYEE by either informal discussions with the EMPLOYEE or by more formal means during Council meetings. the council shall meet with the EMPLOYEE at least annually for the purpose of setting council goals and priorities. The council and the EMPLOYEE shall meet at least annually to evaluate and assess the performance of the EMPLOYEE in meeting or- progressing rprogressing towards the goals formally adopted by Council as well as the exercise of authority granted in Section I of this Agreement. These annual evaluations shall be in closed Executive Sessions and shall be conducted at least one hundred and twenty (120) days prior to the annual renewal date of this Agreement. In the event the C11 Y determines that the performance of the EMPLOYEE. is unsatisfactory in any respector needs significant improvement in any area, the CITY shall describe these concerns in writing and in reasonable detail or with specific examples so as to be objective and positive in nature. As provided in Section 5 of this Agreement, the EMPLOYEE'S salary shall be revieweu at least annually after the performance evaluation. SECTION 9 - GENERAL PROVISION': A. Professional Liability: The CITY agree_ to defend, hold harmless, and indemnify the EMPLOYEE from any and all demands, claims, suits, actions i and legal proceedings brought against EMPLOYEE in his individual capacity, or in his official capacity as agent and EMPLOYEE of the CITY, if EMPLOYEE was acting within the scope of his employment. The CITY agrees to pay premiums on �ippropi­iate insurance policies through the CITY'S normal insurance program and through the Public Officials' Liability Insurance Program of the International City Management Association. EMPLOYMENT AGREEMENT - PAGE 4 .B. OtherTerms and Conditions of employment: rI!,-xy be determined by the CITY relating_ to the duties and per•fornrance of the EMPLOYEE provided that such terms and conditions ar-e not inconsistent with the provisions of this Agreement, tha City Charter- u any other- lawsMPTOYLE shall receive benefits equal to those provided tj other' City mana.3omont: employcts, except. where specifically addr-essed in this Agreement. Nothing shall restrict the ability of the CITY arid E.MPLOYE::E. to nrut.ually arid in writing amend or, adjust. the terms of this Agr'eement.. EMPLOYFE reserves the right to discuss the t0rrns or, termination of this Agreemexrt with the Council as a whole in either- closed Executive Session or open Regular- Session as state law allows and as the EMPLOYEE deans appropriate. C. Except as otherwise specifically pr-ovided by t-his Flgree.ment, tyre Employee shall be entitled to receive the same sal.ar'y, comperrsatiun, vacation, sick leave and other benefits as ac c or'doei any other- uric.las sified Ci.Ly employee, including provisions governing accrual and payment therefore un termination _f c.:=,.rloyrre.:•ri. A11 Provisions of the City Charter and other City pro�3rams relate 3 u t ;a:.uyee benefits and wurkirny condition's as they now exist or- as amended, shall also apply to the E:MPL.OYEEI. as to other un 1.xssifikd employees, and ar'e in addition to any benefits to Che EMPE_OYL.E specifically identified in this agreement. D. the EMPLOYEE. is required to maintain r-esidence, in the city in accordance to City Code requirements. Temporary r-elocation circumstances may be approved by the Mayor' with Council consent. E. The text herein shall consLiLute the entire Agreement between the parties and any ural or, other understandings +.vr­ not binding upon the parties, unless specifically amended in wr-iting by mutual agreement:. This Agreement shall be binding and inure to the benefit of the. heirs at law and executor's of EMPLOYEE. This Agreement snail become effective as of October 3, 1988 arrd shall remain in effect through October 3, 1989, except: if renewed pursuant to this Agreement. F. Severability: If any provision, or any portion thereof, contained in this Agreement is held to be unconstitutional, invalid or unenforceable, the remainder- of oris Agreement or' portion thereof shall be deemed severable and shall not be affected, and shall remain in full forco and effoct. IN WITNESS WHERL.OF, the CITY OF "FIGARD, OR[:GON has caused this Agreoment to be signed and executed and the EMPI._OYCE has signed and executed this Agreement, both in duplicate, the day am-,d yc,xr• first above written. 171, Mayor — City of Tigard Pat ick J. R.il yy Em loyc �� � ATf'LST: Deputy City Recorder A A RUVED A^ TO FORI1--- City Attorney (ht/0580p/5p) EMPLOYMENT AGREEMENT" — PAGE 5