CONTRACT 3474 - PERM Other CLOSED347 4
EMPLOYMENT AGREEMENT
THIS EMPLOYMENT AGREEMENT ( "AGREEMENT ") is entered into this 3rd
day of May, 2005, between the City of El Segundo ( "CITY ") and Jeffrey L. Stewart
( "EMPLOYEE ").
SECTION 1. TERM
EMPLOYEE will commence employment as city manager for CITY on July 1,
2005. EMPLOYEE's employment with CITY shall be on an at -will basis and will
continue until terminated as provided in this AGREEMENT.
SECTION 2. DUTIES
EMPLOYEE shall perform to his best ability the duties and functions of the City
Manager, as defined by California state law and CITY Ordinances, Resolutions and
Personnel Rules and Regulations, including without limitation acting as the CITY's
highest ranking administrative officer and management employee, and shall perform
such other legally permissible duties and acts as City Council may direct from time to
time.
SECTION 3. TERMINATION OF EMPLOYMENT
(A) By City Council action, CITY may terminate this AGREEMENT at any
time, with or without cause, upon written notice to EMPLOYEE. If CITY terminates this
AGREEMENT for any reason other than (i) EMPLOYEE's willful misconduct, including
without limitation, intentionally failing to fulfill EMPLOYEE's duties set forth in SECTION
2 of the AGREEMENT; or (ii) conviction of EMPLOYEE of a crime involving moral
turpitude, CITY shall pay EMPLOYEE on the effective date of such termination an
amount equal to the EMPLOYEE's base salary for a six -month period at EMPLOYEE's
rate of pay on the effective date of such termination. Additionally, CITY shall provide
EMPLOYEE with the health benefits provided to employee pursuant to Section 4 (C) of
this AGREEMENT for such six -month period;
(B) EMPLOYEE may terminate this AGREEMENT at any time upon thirty -
days written notice to the Mayor of CITY. EMPLOYEE shall not be entitled to any
compensation upon such a termination except as set forth in Section 3 (C);
(C) Upon any termination of this EMPLOYEE's employment, CITY shall pay
EMPLOYEE upon the effective date of such termination, an amount equal to the value
of the employee's accumulated, but unpaid and unused executive, vacation and sick
leave, calculated at EMPLOYEE's rate of pay on the date of termination.
SECTION 4. COMPENSATION
(A) EMPLOYEE's annual base salary is $154,500 which shall be paid in equal
bi- weekly payments. In addition, subject to the City Council's sole discretion, on July 1,
2006, EMPLOYEE shall be eligible to receive a single payment in an amount not to
exceed $15,000 based on the EMPLOYEE's performance during the first twelve month
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period of this Agreement. In addition, the City Council shall evaluate EMPLOYEE's
performance and salary annually following the effective date of this AGREEMENT and
determine in its sole discretion whether to increase EMPLOYEE's compensation. Any
increase in compensation must be in a writing and signed by the parties;
(B) CITY shall pay EMPLOYEE for professional membership dues and fees
as such may be budgeted by the CITY and pay the membership dues and annual
conference fees for EMPLOYEE's membership in the International City /County
Management Association. EMPLOYEE shall also be reimbursed upon presentation to
CITY of verified receipts for sums necessarily incurred by EMPLOYEE in the
performance of EMPLOYEE's duties or as otherwise budgeted for by CITY;
(C) EMPLOYEE shall be entitled to all other benefits of employment now in
effect (excluding salary increases which are governed by Section 4 (A) above), or as
hereafter approved by the City Council, which are provided to other management
employees of the CITY. EMPLOYEE shall accrue executive, vacation and sick leave at
the maximum rate provided for management employees.
SECTION 5. ENTIRE AGREEMENT AND AMENDMENTS
CITY and EMPLOYEE acknowledge that no representation, inducement, promise
or agreement, oral or written, has been made or is being relied upon which is not set
forth in this AGREEMENT. This AGREEMENT supercedes all prior agreements with
respect to the subject matter hereof and, to the extent permitted by law, any and all
CITY Ordinances, Resolutions or Personnel Rules and Regulations of CITY that have
been or may be adopted. No amendment or modification to this AGREEMENT shall be
effective unless such is in writing and signed by the parties.
SECTION 6. EFFECT OF WAIVE R/SEVE RABI LITY
Failure by either party to insist on strict compliance with any term or condition of
this AGREEMENT shall not be deemed a waiver of such term or condition, nor shall any
such failure be deemed a waiver of that right at any other time. If any provision of this
AGREEMENT is held by a court of competent jurisdiction to be unenforceable, the
remaining provisions shall remain in full force and effect.
SECTION 7. EMPLOYEE REPRESENTATION
EMPLOYEE represents that he has reviewed this AGREEMENT and has had the
opportunity to consult with legal counsel of EMPLOYEE's own choosing with respect to
this AGREEMENT.
SECTION 8. GOVERNING LAW
This AGREEMENT shall be governed by and construed in accordance with the
laws of the State of California and the venue for any legal action relating to this
AGREEMENT shall be the Superior Court of the State of California, County of Los
Angeles.
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SECTION 9. COUNTERPARTS
This AGREEMENT may be executed in counterparts, which counterparts shall
constitute the AGREEMENT.
IN WITNESS WHEREOF, CITY has caused this AGREEMENT to be executed
on its behalf by its Mayor and duly attested by its City Clerk; and EMPLOYEE has
executed this AGREEMENT on the date first written above.
ATTEST:
By: Cam&
Cindy M6Aesen, City Clerk
APPROVED AS TO FORM:
v
By:
Mark Hensley, City Attorney
Cl'
EMPLOYEE•
By:
e . Stewart