| | | | | | | | Agenda Item - 5.c.
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
| To: | City Council
| From: | Omar Sandoval
| | Dept.: | City Council
| Dept.: | City Attorney
| | Subject: | Approval of the Amendment to the City Manager Employment Agreement to extend the expiration of Separation Pay for three years. (Action Item) | Date: | 3/8/2022 |
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| | | | | | | | OBJECTIVE
For the City Council to approve an amendment to the City Manager Employment Agreement to extend the expiration of Separation Pay for three years. This amendment does not affect salary, benefits, or other terms of the Agreement. The City Manager wishes to commit to employment with the City for an additional three years. |
| | | | | | | | BACKGROUND
The employment agreement with Scott Stiles was entered into on June 23, 2015, with Mr. Stiles’ employment commencing on August 3, 2015. The Agreement stipulates that Mr. Stiles serves “at-will” and either the City Council or Mr. Stiles may terminate the agreement at any time with or without cause. |
| | | | | | | | DISCUSSION
Section 7.01(a) of the Agreement provides Mr. Stiles Separation Pay (or severance pay) in the amount of 12 months of his then applicable Annual Salary in the event that the City Council terminates his employment without cause. The provision of Separation Pay terminates once Mr. Stiles has been employed by the City continuously for eight years. Thus, the provision of Separation Pay expires on August 3, 2023.
The attached amendment extends the expiration of the Separation Pay provision of the Agreement by three years, through August 3, 2026. The amendment does not affect any other provision of the Agreement. |
| | | | | | | | RECOMMENDATION
It is recommended that the City Council:
- Approve the Amendment to City Manager Employment Agreement extending the expiration of the Separation Pay provision by three years.
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| ATTACHMENTS: | | Description | Upload Date | Type | File Name | | Amendment | 3/4/2022 | Agreement | GG_First_Amendment_to_CM_Agreement.docx |
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