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HomeMy WebLinkAbout21. 17-64 FEBRUARY 14, 2017 17-64 RESOLUTION (CARRIED____5-0___ LOST________LAID OVER________WITHDRAWN________) PURPOSE: APPROVE CITY MANAGER PERFORMANCE EVALUATION FOR 2016 & AMENDMENT TO EMPLOYMENT AGREEMENT FOR 2017 COMPENSATION INITIATED BY: CITY COUNCIL WHEREAS, the Common Council previously approved an Employment Agreement for the City Manager which provided that the Council together with the City Manager would develop a Performance Evaluation Process for yearly evaluations of the City Manager; and WHEREAS, the Council approved a Handbook for Evaluating the City Manager; and WHEREAS, the Council has completed its evaluation of the City Manager in accordance with the Contract and Handbook and met with the City Manager to review his performance for 2016. NOW, THEREFORE, BE IT RESOLVED that based upon the Council’s review and consideration of compensation provided in the marketplace for this position, the annual salary of the City Manager shall be adjusted to $145,000 effective for the pay period encompassing January 1, 2017. BE IT FURTHER RESOLVED that the attached Employment Agreement for the City Manager is hereby approved and the proper City officials are hereby authorized to execute and deliver the agreement in substantially the same form, any changes in the execution copy being deemed approved by their respective signatures, and said City officials are authorized and directed to take those steps necessary to implement the terms and conditions of the Agreement. EMPLOYMENT AGREEMENT THIS EMPLOYMENT AGREEMENT (“Agreement”), is made and entered into this ___ day of February, 2017, by and between the City of Oshkosh, a Wisconsin municipal corporation, hereinafter called “Employer or City” and Mark A. Rohloff hereinafter called “Employee or City Manager.” This Agreement is intended to encompass and amend the Employment Agreement entered into June 11, 2008 between the City and City Manager. WITNESSETH WHEREAS, Employer desires to employ the services of Mark A. Rohloff as City Manager of the City of Oshkosh, as provided for in Wisconsin Statutes and Ordinance of the City of Oshkosh; and WHEREAS, the parties acknowledge that Employee is or will become a member of the International City-County Management Association (ICMA) and that Employee is subject to the ICMA Code of Ethics. See Attached Exhibit “A”; and WHEREAS, it is the desire of the Common Council of the City of Oshkosh to provide certain benefits and to establish certain conditions of employment of said Employee as set forth in this Employment Agreement; and WHEREAS, Employee desires to accept employment as City Manager of Oshkosh, Wisconsin pursuant to the terms and conditions set forth in this Employment Agreement, NOW, THEREFORE, in consideration of the mutual covenants herein contained, the parties agree as follows: Section 1. Powers and Duties of the City Manager A. Employer hereby agrees to employ Mark A. Rohloff as City Manager of the City of Oshkosh to perform the functions and duties specified in Chapter 64 of the Wisconsin Statutes and Chapter 3, Article IV of the City of Oshkosh Municipal Code, and to perform such other legally permissible and proper duties and functions as the Common Council shall from time to time assign, subject to this Agreement. The effective date of employment shall be retroactive to th the 4 day of August, 2008. Section 2. Term of Agreement A. The City Manager shall serve at the pleasure of the Common Council. B. Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the City Manager to resign at any time from his position with Employer. C. The City Manager agrees to remain in the exclusive employ of the City of Oshkosh, Wisconsin, while employed by the City of Oshkosh. He shall not perform consulting activities unless he has received prior approval from the Mayor and Common Council. Section 3. Termination and Severance Pay A. In the event the City Manager is terminated by the City, then the City shall pay Employee his regular base salary for a period of nine (9) months. Employee will be paid his salary in accordance with the City’s payroll practices and payroll dates. Employee shall also be compensated for all earned vacation and other accrued benefits to date, calculated at the rate of pay in accordance with the personnel rules for management employees. The accrual of other benefits, including but not limited to, vacation, sick leave, and holidays, will be discontinued at the time of termination. The employee will receive nine months of City paid health insurance after termination. In the event Employee commences employment during the nine (9) months after termination, the City shall pay any remaining salary (between the date Employee commences employment and the end of the nine (9) month time period after termination) in a lump sum as of the date Employee commences employment. B. In the event the City at any time reduces the salary, compensation or other benefits of the City Manager in a greater amount than an applicable across-the-board reduction for all employees of the City, or in the event the City fails to comply with any other provision of this Employment Agreement, or if the Employee resigns following a suggestion by the Common Council then, in that event, Employee may, at his/her option, be deemed to be “terminated” at the date of such reduction, such refusal to comply, or such resignation within the meaning and context of the herein severance pay provision. C. In the event the City Manager is terminated because of his conviction of any illegal act involving personal gain to himself or felony, then in that event Employer shall have no obligation to pay the termination and severance payment designated herein; if the City Manager is awaiting trial on a charge of committing an illegal act involving personal gain to himself, or the commission of a felony, at the time he is terminated, then the City shall have no obligation to pay the termination and severance pay unless the charges are dismissed or the City Manager is acquitted, in which case the City shall make the severance and termination set forth herein. D. Contemporaneously with the delivery of the severance pay set forth in this Agreement, Employee shall execute and deliver to Employer a release, releasing Employer of all claims that Employee may have against Employer. E. If the City Manager resigns voluntarily or retires, he will provide forty-five (45) days’ written notice to the City. Section 4. Salary A. Employer agrees to pay Employee for his services rendered pursuant hereto as City Manager an annual base salary of One Hundred Forty-Five Thousand Dollars ($145,000.00) payable in installments at the same time as other management employees of the City are paid. Page 2 of 10 B. The City desires to reward Employee for his service to the City and provide an incentive for Employee to remain with the City. Accordingly, the City agrees to make a “Deferred Compensation” payment to Employee in the amount, at the time and upon the following terms and conditions: 1. Upon obtaining a satisfactory annual performance evaluation at the end of each twelve month period (2016, 2017, 2018, 2019 and 2020), as determined by the City, the City will pay Deferred Compensation to Employee equal to Five Thousand Dollars ($5,000.00) per year – The total amount of Deferred Compensation shall not exceed $25,000.00. In the event Employee does not receive a satisfactory annual performance evaluation at the conclusion of any year(s) referenced hereinabove, the total amount of Deferred Compensation shall be reduced by $5,000.00 per year. 2. The Deferred Compensation shall be paid to Employee in a lump sum on or before December 31, 2020, unless: a. Employee resigns voluntarily or retires at any time prior to December 31, 2020, in which case Employee shall forfeit all Deferred Compensation he may otherwise be entitled to. b. Employee is terminated because of his conviction for any illegal act involving personal gain to himself or felony or is terminated while awaiting trial on a charge of committing any illegal act involving personal gain to himself or felony, in which case Employee shall forfeit all Deferred Compensation he may otherwise be entitled to (unless the charges are ultimately dismissed or Employee is acquitted). 3. In the event Employee is terminated by the City (not because of an arrest or conviction for any illegal act involving personal gain to himself or felony) or Employee resigns because the City reduces his salary, compensation or other benefits in a greater amount then an applicable across-the-board reduction for all employees of the City, the City fails to comply with any provisions of his Employment Agreement or a suggestion by the Common Council to resign, Employee shall be entitled to Deferred Compensation in an amount equal to what he is eligible for at the time of termination or resignation (e.g., if he is terminated after two (2) satisfactory annual performance reviews, he would be entitled to $10,000.00). 4. Employee shall not have the election to defer receipt of the Deferred Compensation. 5. Employee may designate a beneficiary to receive Deferred Compensation payments due to him on a form provided by the City and delivered to the City before his death. If no such beneficiary shall have been designated, or if no designated beneficiary shall survive Employee, all payments Employee is eligible for shall be payable to Employee’s estate. Page 3 of 10 6. Any Deferred Compensation payable under this Agreement shall not be deemed salary or other compensation to Employee for the purpose of computing benefits to which he may be entitled (e.g., WRS). 7. Payment of the Deferred Compensation made or deemed made by the City hereunder is subject to withholding or payroll taxes and to such other deduction(s) as shall, at the time of such payment, be required under any income tax or other law, and the amount of the Deferred Compensation paid shall be reduced by such withholding, payroll taxes or other deduction. 8. Deferred Compensation does not give Employee any rights to employment or continued employment with the City. Section 5. Retirement Benefits The City Manager shall be covered and governed by the same retirement system (Wisconsin Retirement System – WRS) as all other non-public safety employees. In addition the City will contribute Three Hundred Dollars ($300.00) per month to a deferred compensation plan for the benefit of the employee. Section 6. Insurance Coverages The City Manager shall be covered by the same insurance plans as all other employees and shall be subject to the same terms and conditions thereof including, but not limited to, becoming eligible for the City medical insurance program in accordance with the practice for other City employees. Section 7. Automobile Employer shall provide a car allowance of Five Hundred Dollars ($500.00) per month to the City Manager. Said car allowance shall be intended to reimburse him for local travel only, defined as travel within the Oshkosh Area. All travel outside of the Oshkosh Metropolitan Area for the benefit of Oshkosh shall be reimbursed at a per mile rate equal to the IRS allowable rate then in effect. The City Manager shall provide a certificate of insurance with a minimum of One Million Dollars ($1,000,000.00) per occurrence liability coverage. Section 8. Other Benefits A. The City Manager shall receive ten (10) days of vacation for 2008. Thereafter, for purposes of vacation accrual, the City Manager shall be credited with 15 years of service as of August 4, 2008. B. As an inducement to Employee to become City Manager, Employee shall be credited with thirty (30) days of sick leave. Employee shall not accrue sick leave during the first thirty Page 4 of 10 (30) months of his employment. After thirty (30) months of employment, Employee shall accrue sick leave the same as other management employees of the City. C. The City shall pay or reimburse the City Manager for all costs associated with memberships to civic or service clubs within the City. Section 9. Professional Development Employer agrees to budget for and to pay the professional dues for the City Manager to be a member of professional associations including, but not limited to, Wisconsin League of Municipalities, International City-County Management Association (ICMA), Kansas University City Management Trainees (KUCIMAT) and Wisconsin City Managers Association. Employer agrees to budget and pay the reasonable expenses incurred as a result of the City Manager’s attendance at meetings of these professional associations, including any sub-committees or sub- groups thereof and at least one (1) annual state conference and one (1) national conference, to include reasonable costs for travel, lodging and meals as per City policy for reimbursement of travel expenses. The aforesaid attendance at conferences shall be considered part of the City Manager’s employment and days spent at said conferences shall not constitute vacation or personal days. Section 10. General Expenses Employer shall bear the full cost of any fidelity or other bonds required of the City Manager under any law or ordinance. Section 11. Cell Phone The City shall provide for a cellular phone replacement every two (2) years and reimbursement equal to One Hundred Twenty Dollars ($120.00) per month. Section 12. Performance Evaluation At the end of each twelve months of employment, the Common Council shall review and evaluate the performance of the City Manager as provided in the Oshkosh City Manager Evaluation Process. See Attached Exhibit “B”. The Common Council shall consider increasing base salary and/or other benefits of the City Manager based upon said evaluation and review and may make any such increases effective on the employment anniversary date. Section 13. Indemnification Employer shall defend, indemnify and hold Employee harmless within the scope of employment, from and against any and all torts, claims, causes of action, demands, costs, expenses or other legal action, including all attorneys fees, whether groundless or otherwise, arising out of any alleged act or omission occurring during or arising out of Employee’s performance of duties as City Manager. Employer shall have the right to compromise and settle any such claim or suit and shall pay the amount of any settlement or judgment rendered thereon. Said indemnification Page 5 of 10 shall extend beyond Employee’s termination of employment, and the otherwise expiration of this Agreement, to provide full and complete protection to Employee by the City of Oshkosh, as described herein, for any acts undertaken or committed in his/her capacity as City Manager, regardless of whether the filing of a lawsuit for such tort, claim, cause of action, demand, or other legal action occurs during or following Employee’s employment with Employer. Section 14. Notices Notices pursuant to this Agreement shall be given by deposit in the custody of the United States Postal Service, postage prepaid, addressed as follows: EMPLOYER: Mayor City of Oshkosh 215 Church Street Oshkosh, WI 54901 With copy to: City Attorney City of Oshkosh 215 Church Street Oshkosh, WI 54901 EMPLOYEE: Mark A. Rohloff 465 Windingbrook Drive Oshkosh, WI 54904 Alternatively, notices required pursuant to this Agreement may be personally served in the same manner as is applicable to civil judicial practice. Notice shall be deemed given as of the date of personal service or as of the date of deposit of such written notice in the course of transmission in the United States Postal Service. Section 15. General Provisions A. The text herein shall constitute the entire Agreement between the parties. B. This Agreement shall be binding upon and inure to the benefit of the heirs at law and executors of the Employee. C. This Agreement shall become effective upon adoption and approval by the Common Council of the City of Oshkosh. D. If any provision, or any portion thereof, contained in this Agreement is held unconstitutional, invalid or unenforceable, the remainder of this Agreement, or portions thereof, shall not be affected and shall remain in full force and effect. Page 6 of 10 IN WITNESS WHEREOF, the City of Oshkosh has caused this Agreement to be signed and executed in its behalf by its Mayor and duly attested by its Council Clerk, and the City Manager has signed and executed this Agreement, the day and year first written above. CITY OF OSHKOSH, WISCONSIN CITY MANAGER By: ___________________________ ___________________________ Steve Cummings, Mayor Mark A. Rohloff ATTEST: _______________________________ Pamela R. Ubrig, City Clerk APPROVED AS TO FORM: _______________________________ Lynn A. Lorenson, City Attorney Page 7 of 10 Exhibit “A” ICMA Code of Ethics The ICMA Code of Ethics was adopted by the ICMA membership in 1924, and most recently amended by the membership in May 1998. The mission of ICMA is to create excellence in local governance by developing and fostering professional local government management worldwide. To further this mission, certain principles, as enforced by the Rules of Procedure, shall govern the conduct of every member of ICMA, who shall: 1. Be dedicated to the concepts of effective and democratic local government by responsible elected officials and believe that professional general management is essential to the achievement of this objective. 2. Affirm the dignity and worth of the services rendered by government and maintain a constructive, creative and practical attitude toward local government affairs and a deep sense of social responsibility as a trusted public servant. 3. Be dedicated to the highest ideals of honor and integrity in all public and personal relationships in order that the member may merit the respect and confidence of the elected officials, of other officials and employees and of the public. 4. Recognize that the chief function of local government at all times is to serve the best interests of all of the people. 5. Submit policy proposals to elected officials; provide them with facts and advice on matters of policy as a basis for making decisions and setting community goals; and uphold and implement local government policies adopted by elected officials. 6. Recognize that elected representatives of the people are entitled to the credit for the establishment of local government policies; responsibility for policy execution rests with the members. 7. Refrain from all political activities which undermine public confidence in professional administrators. Refrain from participation in the election of the members of the employing legislative body. 8. Make it a duty continually to improve the member’s professional ability and to develop the competence of associates in the use of management techniques. 9. Keep the community informed on local government affairs; encourage communication between the citizens and all local government officers; emphasize friendly and courteous service to the public; and seek to improve the quality and image of public service. Page 8 of 10 10. Resist any encroachment on professional responsibilities, believing the member should be free to carry out official policies without interference, and handle each problem without discrimination on the basis of principle and justice. 11. Handle all matters of personnel on the basis of merit so that fairness and impartiality govern a member’s decisions pertaining to appointments, pay adjustments, promotions and discipline. 12. Seek no favor; believe that personal aggrandizement or profit secured by confidential information or by misuse of public time is dishonest. Page 9 of 10 Exhibit “B” Oshkosh City Manager Evaluation Process The City Manager’s evaluation process shall be as follows: 1. The Deputy Mayor (or his/her designee) shall meet with the City Manager prior to the evaluation process to review the prior year’s documentation of the evaluation process and feedback to confirm whether any changes in the process shall be necessary. 2. The first week of December, the Deputy Mayor (or his/her designee) shall distribute the most current version of the City’s strategic plan, City Manager Employment Agreement, the prior year’s Council Feedback, as compiled from the Oshkosh City Manager Evaluation Form, and the feedback Oshkosh Department Communication Assessment Form for distribution to council members for their review. 3. The Deputy Mayor (or his/her designee) shall also distribute the most current version of the Oshkosh City Manager Evaluation Form, to be completed by the individual council members in preparation for the evaluation meeting. This document will not be collected, rather it is meant to focus Council discussion and consensus regarding the City Manager’s performance evaluation and expectations. 4. The City Manager’s Administrative Assistant shall distribute the Oshkosh Department Communication Assessment to Departments, along with an envelope addressed to the home address of the Deputy Mayor (or his/her designee). The Deputy Mayor (or his/her designee) shall tally the feedback results from the Communication Assessment received prior to the evaluation meeting to distribute to Council members, along with maintaining a file of the original forms received from the Departments. 5, The Council shall schedule the evaluation meetings as necessary to review information compiled and perform the evaluation. The Deputy Mayor (or his/her designee) shall take notes with regard to the tally or results from council members’ responses to the evaluation form to produce a Council Feedback Form. The Deputy Mayor (or his/her designee) shall also take notes of council member comments and recommendations for future action by the City Manager to improve performance. The Deputy Mayor (or his/her designee) shall prepare a global comment section as agreed upon by the Council during the evaluation session, and attach the same to the Council Feedback Form. 6. The Council shall schedule a meeting with the City Manager to review the Council Feedback Form and distribute the feedback results from the Communication Assessment. This meeting is conducted as a conversation between the Council and City Manager. Page 10 of 10 7. The Deputy Mayor (or his/her designee) shall submit the final version of the Council Feedback Form and the feedback results and individual responses from the Communication Assessment to the Personnel Department, along with the recommendations regarding adjustments in salary and/or other benefits. Page 11 of 10