Loading...
HomeMy WebLinkAbout124-08 RESOLUTION NO. 124-2008 AMENDING THE EMPLOYMENT AGREEMENT AND ADJUSTING COMPENSATION OF TOWN MANAGER WHEREAS, on April 8, 1993, the Town of Danville retained Joseph A. Calabrigo as Town Manager and entered into a Professional Services Employment Agreement for that purpose; and WHEREAS, said Agreement provides that Joseph A. Calabrigo will be considered for a performance-based increase in compensation at least once a year with any change in compensation to be effective on the anniversary date of the Agreement; and WHEREAS, the Danville Town Council has evaluated the Town Manager's performance over the past year and has determined that Joseph A. Calabrigo has performed his duties in a diligent, professional and highly satisfactory manner; and WHEREAS, based upon such evaluation, the Town Council has determined that it is appropriate to increase the Town Manager's compensation; now, therefore, be it RESOLVED by the Danville Town Council that the compensation level of the Town Manager is hereby adjusted to provide for a salary increase of 4.6%; and be it further RESOLVED that the Mayor is hereby authorized to execute, on behalf of the Town, the amended Employment Agreement with Joseph A. Calabrigo in the form as lodged with the City Clerk, together with such changes as may hereafter become necessary. APPROVED by the Danville Town Council at a regular meeting on October 21, 2008, by the following vote: AYES: NOES: ABSTAINED: ABSENT: Andersen, Arnerich, Doyle, Shimansky, Stepper None None None dLPL:l MAYOR 1l::::? AS TO FORM: ~ITY ATTO~EY-.e.1- EMPLOYMENT AGREEMENT This Employment Agreement is entered into by and between the Town of Danville, a municipal corporation (hereinafter referred to as "Town") and Joseph A. Calabrigo (hereinafter referred to as "Manager"). A. Recitals 1. Manager was appointed chief executive officer of the Town effective April 8, 1993. 2. Town desires to provide certain benefits, establish certain conditions of employment, and set forth working conditions of said Manager. 3. Town desires to (1) secure and retain the services of Manager and to provide inducement for him to remain in such employment, (2) to make possible full work productivity by assuring Manager's morale and peace of mind with respect to future security, and (3) to provide just means for terminating Manager's services. 4. This agreement is effective as of August 3, 2008. 5. In order to more clearly state the original intent of the parties with respect to allocation of Manager's supplemental benefit allowance, Town and Manager desire to reform their agreement by adding clarifying language to paragraph 7 herein. B. Agreement N ow therefore, the parties agree as follows: 1. Term: (a) Town Manager agrees to remain in the exclusive employ of the Town for a three-year period beginning August 3, 2008, and shall not seek other employment prior to expiration of that date. (b) Nothing in this agreement shall prevent, limit or otherwise interfere with the right of the Town Council to terminate the services of the Town Manager at any time, subject to the provisions set forth in Section 3 of this Agreement. (c) Nothing in this agreement shall prevent, limit or otherwise interfere with the right of the Town Manager to resign at any time from this position with the Town, subject only to the provisions set forth in Section 4 of this Agreement. 2. Duties: Manager shall discharge the duties and obligations required by Chapter 2, Title 2, Sections 2-201 through 2-110 of the Danville Municipal Code. Manager is also employed to serve in the capacity of Executive Director of the Danville Community Development Agency. 3. Termination and Severance Pay: The Town Council shall have the right to terminate this Agreement at any time by four-fifths (4/5) vote of such Council. Notwithstanding the foregoing, this Agreement shall not be terminated by the Town within six (6) months following any municipal election at which any seat or seats on the Town Council are contested, it being the purpose hereof to allow the Council adequate time to objectively assess Manager's performance. In the event this Agreement is terminated by the Town, Town shall pay Manager the equivalent of six (6) months current aggregate salary and accrued benefits plus one (1) month's current aggregate salary and accrued benefits for each completed year of service commencing April 8, 1993, to a maximum of twelve (12) additional months. Town may terminate this Agreement without obligation to make any cash payment to Manager, upon Manager's conviction of any illegal act involving personal gain to him or moral turpitude. If Manager commences employment with another governmental agency, severance amounts shall be limited to time elapsed between termination of employment with the Town and start of new employment. 4. Resignation: In the event Manager voluntarily resigns his position with the Town, then the Manager shall give the Town sixty (60) days written notice, unless the parties agree otherwise. 5. Salary: Manager shall be paid a base salary of seventeen thousand two hundred and seventy six dollars ($17,276) per month. Manager agrees to use 12% of this base salary to establish and pay into an education savings plan to be selected by Manager. Town agrees to increase said base compensation, benefit allowances, and other benefits from time to time, by Town Council Resolution, based upon Manager's performance and economic considerations made by the Town Council. The Manager shall receive consideration for a performance-based increase in compensation at least once per year at a time determined by the Town Council, with any change in compensation effective on the anniversary date of this agreement. 6. Health Benefits: Manager shall be entitled to the same health benefits authorized by the Town Council for other employees. Page 2 of 5 7. Supplemental Benefit Allowance: Town shall provide a monthly benefit allowance equivalent to 35% of Manager's base pay. Of that amount, up to 35% shall represent the Town's contribution to the Town's pension plan, while any remainder shall be used by the Manager to purchase other fringe benefits of his choice, not otherwise provided by the Town for regular employees. Subject to approval by the Town, Manager may convert some or all of the supplemental benefit allowance to cash. 8. Automobile Allowance: Town shall provide an automobile allowance in the amount of four hundred and fifty ($450.00) dollars per month. This shall be the sole obligation of the Town to reimburse Manager for use of his personal vehicle for official business. 9. Expense Reimbursement: Manager shall be reimbursed by Town for reasonable actual expenses incurred in performance on behalf of the Town, including necessary expenses for authorized travel. 10. Leave: Manager shall be provided with General Leave for vacation, illness or other purposes totaling 40 days per year. Manager shall be entitled to the same number of paid holidays and administrative leave days authorized by the Town Council for other employees. Manager may, at his option: 1) convert a maximum of four weeks accrued General Leave per year to the full cash value of such converted General Leave; and/ or 2) utilize accrued General Leave to make current or retroactive 457 contributions as allowed by I.R.S. Regulations 11. Retirement Medical Insurance: Subject to the limitations contained in this paragraph, Town shall provide Manager with medical insurance upon his retirement. In order to pay for this medical insurance, the Town shall establish a fund for this purpose in an amount equal to 4 % of Manager's annual compensation. This fund shall be under the control of the Town at all times, and shall remain an asset of the Town subject to the claims of its general creditors. The fund shall be invested by the Town Treasurer until the Manager's retirement. At that time, the fund shall be used to purchase medical insurance for the Manager. The Town's obligation to provide medical insurance to the Manager shall be limited to the amount in the fund, including earnings. Should the Manager die before the amount in the fund is fully spent, any balance remaining shall be paid to the Manager's spouse or heirs as a death benefit. For purposes of this paragraph, retirement shall be defined as described in the Town of Danville's Personnel Policies and Procedures. For the contract year from August 3,2008 to August 3,2009, Town and Manager agree that this 4 % shall be used by Manager to pay into the education savings plan established by Manager provided in Section 5 of this Agreement. Page 3 of 5 All monies previously paid into Manager's retirement medical account shall remain in that account subject to the restrictions otherwise provided for in this section. 12. Professional Development. Town shall pay for professional dues and subscriptions of Manager for his continued participation in organizations necessary for his professional growth and advancement and for the good of the Town. Town shall pay travel and subsistence expenses of Manager to participate in the annual Conference of the International City Management Association, provided such conference shall take place within the United States or Canada. 13. Outside Employment: Manager shall not engage in outside employment without prior approval of the Town Council. 14. Economic Necessity: In the event that Town at any time during the term of this agreement reduces the compensation of all employees because of economic necessity, the Town Council may, at its discretion, reduce the Manager's compensation by the equivalent percentage applicable to all other employees. 15. Performance Review: Town Council shall review and evaluate the performance of the Manager at least once annually. Said review and evaluation shall be based upon goals and objectives of the Town and performance objectives of the Manager as jointly developed by the Town Council and the Manager. The objective of said performance reviews shall be to maintain an optimal working relationship, and a mutual understanding and agreement on duties, responsibilities and priorities between Manager and Town Council. The form of review shall be that which is mutually agreeable to the parties. 16. Hold Harmless: Town shall hold harmless and defend Manager from any claim or judgment made against the Manager and/ or the Town and the Manager to the extent that the claim or judgment results from the Manager's performance of his lawful duties in accordance with Chapter 2, Title 2, et al of the Danville Municipal Code. 17. Legal Costs: Should either party seek to enforce this agreement or any provision or provisions of the agreement in a court of law and prevail therein, that party shall be entitled to recover from the other party reasonable court costs and attorney's fees as may be fixed by the court. 18. Entire Agreement: If any provision or any portion thereof, contained in this agreement is held unconstitutional, invalid or unenforceable, the remainder of this agreement shall not be affected and shall remain in full force and effect. Page 4 of 5 Approved by the Danville Town Council through Resolution No. 124-2008, on October 21, 2008. In witness whereof, the parties hereto have executed this agreement. 6:@ Mayor ATTEST: ~.~ Robert B. Ewing l City Attorney Page 5 of 5