REVISED EMPLOYMENT AGREEMENT
THIS EMPLOYMENT AGREEMENT is made and entered into this day of May, 2014, by and between the City of Lawrence, Kansas, a municipal corporation (the “City”), and David L. Corliss, a resident of the City of Lawrence, Kansas (the “Employee”).
WHEREAS, the City initially hired the Employee as its City Manager on September 29, 2006, pursuant to the terms and conditions of a written Employment Agreement dated October 10, 2006; and Employee has continued his employment as such City Manager to the present date; and
WHEREAS, following the execution of the October 10, 2006 Employment Agreement, Employee and City have agreed to written modifications of the Employment Agreement, as set forth in an Addendum to Contract on March 6, 2007; the Second Addendum to contract on April 14, 2009, the Third Addendum to Contract on February 8, 2011, and the Fourth Addendum to Contract on April 2, 2013, and
WHEREAS, the City and the Employee agree that it is appropriate and good practice to combine into this Revised Employment Agreement the terms, conditions and agreements set forth in the March 10, 2006 Employment Agreement, and each of the four separate addenda thereto, together with all changes, additions and modifications presently agreed upon by the parties.
NOW THEREFORE, in consideration of the mutual promises herein set forth, the parties agree as follows:
Section 1. The Recitals set forth above are incorporated herein by reference.
Section 2. Duties; Working Hours.
a. The City employs the Employee as its City Manager to perform the functions and duties as its chief administrative officer with all of the authority and powers provided therefore under the laws of the State of Kansas and the ordinances of the City and to perform such other legally permissible and proper functions and duties as the Governing body of the City may from time to time assign.
b. Because the parties anticipate that the Employee will perform many of his official duties outside the normal working hours for other City employees, the Employee shall be permitted to take compensatory time off, at his discretion, during normal working hours.
Section 3. Term.
a. The City has continuously employed the Employee as its City Manager pursuant to the terms of the Employment Agreement dated October 10, 2006, and all subsequent Addenda. The term of this Revised Employment Agreement shall be for a period of one year commencing on the date the Revised Employment Agreement is fully executed, and shall automatically be renewed for successive one year terms unless the City gives the Employee written notice of its intent not to renew this Employment Agreement at least thirty (30) days prior to the end of the present term or any renewal term hereof.
b. Subject to the provisions of Section 4 hereof, nothing in this Revised Employment Agreement shall be construed to prevent, limit, or otherwise interfere with the right of the Governing Body of the City to non-renew the employment of the Employee at the expiration of the term or to terminate the services of the Employee at any time or with the right of the Employee to resign from his position as City Manager of the City at any time.
c. The Employee shall be in the exclusive employ of the City, and shall neither accept other employment or become employed by any other employer during the term of this Revised Employment Agreement or any renewal term thereof.
Section 4. Termination and Severance Pay.
a. In the event
the City terminates this Revised Employment Agreement, or non-renews the
employment of the Employee in his capacity as City Manager, under Section 4c,
below, or if the Employee is permitted to declare a termination pursuant to
Section 4c, below, notwithstanding the Employee’s willingness to continue
performing such services for the City, the City shall pay to the Employee all
contractual obligations remaining due under this Revised Employment Agreement,
if any, and in addition thereto, shall pay as severance pay a lump sum cash
payment equal to not more than nine months’ aggregate salary, as
provided in Section 7e hereof, together with all accrued vacation, and all
other benefits available to City employees and shall, for the same period that
Employee receives severance pay following such termination, continue to
underwrite the Employee’s participation in the City’s health care plan to the
same extent as prevailed immediately prior to such termination, provided, that
should the Employee be terminated after being convicted of any felony, any
crime involving personal gain or any crime of moral turpitude, the City shall
have no obligations to pay any such severance pay.
b. Except as otherwise agreed by the parties, the Employee shall give the City six weeks’ written notice of any voluntary resignation from employment hereunder. In the event of such voluntary resignation and subject to Section 4c below, the provisions of Section 4a above shall not apply and this Revised Employment Agreement shall expire on the effective date of such resignation.
c. If at any time during the term of this Employment Agreement:
1) A majority of
the Governing Body votes to terminate Employee at a duly authorized public
meeting for any reason other than conviction of any felony, and crime involving
personal gain or any crime of moral turpitude, when Employee is ready, willing,
and able to perform the duties of City Manager;
2) If the City or Legislature acts to amend any provision of the State Statutes, City Charter, or City Code pertaining to the role, powers, duties, authority, and responsibilities of the office of City Manager that substantially changes the role, powers, duties, authority, and responsibility of said position, Employee shall have the right to declare such amendments to constitute termination;
3) If the City reduces the base salary, compensation, or other financial benefits applicable to Employee, unless such reduction applies no greater percentage than the average reduction of all department heads and fulltime employees of the City, Employee shall have the right to declare that such reduction constitutes termination;
4) If Employee resigns following an offer to accept resignation, whether formally or informally, by a commissioner as a representative of the majority of the Governing Body that he resign at any time Employee is ready, willing, and able to perform the duties of City Manager, then Employee may declare a termination as of the date of such resignation;
5) If the City suspends Employee with or without pay for a period of ten (10) or more business days during any calendar year, when Employee is ready, willing, and able to perform the duties of City Manager, then Employee shall have the right to declare that such suspension constitutes termination, unless such suspension occurs as the result of a criminal investigation of Employee or other internal investigation of allegations of fiscal impropriety;
6) If the City breaches any provisions of this Revised Employment Agreement and has not remedied such breach within ten (10) business days of written notice from Employee, then Employee may declare a termination as of the date of such notice;
The Employee may at his election deem his employment hereunder to have been terminated within the meaning of subsection “a” of this section, and, upon receipt of notice of such election, the City shall forthwith make the payments and provide the benefits required under such subsection “a.”
Section 5. Salary.
The City shall pay to Employee during the term of this revised Employment Agreement as compensation for his services hereunder an annual base salary of $145,000.00, payable in installments at such intervals as other City employees are paid. Any increase in the Employee’s base salary shall occur only upon a majority vote of the Governing Body of the City during the initial or any renewal term of this Revised Employment Agreement and shall be retroactive to the first pay period of the year in which the increase in Employee’s base salary shall be approved.
Section 6. Other Monetary Benefits.
a. Vehicle allowance. The City shall provide the Employee with a vehicle allowance of $5,000 per year for official use of his private vehicle within Douglas County payable in installments on a pro-rata basis at such intervals as other City employees are paid. The Employee shall, in addition, be reimbursed for use of such vehicle for official travel to destinations outside Douglas County at the rate paid to other City employees for similar travel. All operating, maintenance, and other expenses incurred by the Employee in connection with his official duties shall be borne by the Employee.
b. Deferred compensation. The City shall, in addition to other compensation provided for in this revised Employment Agreement, contribute $23,000.00 per year payable in installments on a pro-rata basis on behalf of the Employee to a deferred compensation program of the Employee’s choice retroactive to the first pay period of 2014. Any amount over the $23,000.00 that can be legally deferred and that the Employee chooses will be deducted from the base salary the Employee.
c. The City shall pay the full amount of the health insurance premium for the Employee and the same portion of the family health insurance premium as all other City employees.
d. The City shall pay the sum of $1,000.00 during each year of this Revised Employment Agreement, and all renewal periods thereof, toward the purchase of a policy of insurance on the Employee’s life, with the beneficiary(ies) thereof to be designated by the Employee. This payment shall be in addition to all other premiums paid by the City for insurance on the life the Employee. The insurer under this policy shall be selected by the Employee.
e. The City shall pay the sum of $1,000.00 during each year of this Revised Employment Agreement, and all renewal periods thereof, toward the purchase of a policy of disability insurance on behalf of the Employee. This payment shall be in addition to all other premiums paid by the City for disability insurance for the benefit of the Employee. The insurer under this policy shall be selected by the Employee.
f. The City shall provide the Employee with an allowance of $90.00 per month for the professional and personal use of one (1) cellular phone and email device.
Section 7. Leaves and Other Benefits.
a. The Employee shall have credited to his personal account, at the same rate or rates applicable to such other employees, all leaves afforded to management employees of the City. The employee may accrue up to 900 hours of vacation leave.
b. The Employee may elect, subject to the Mayor’s approval that the City’s payment procedures have been followed, to exchange any or all of Employee’s accrued vacation leave in excess of 600 hours for compensation on a pro rata basis at the Employee’s hourly rate of pay. The Employee may make such request to exchange Employee’s accrued vacation leave over and above 600 hours for compensation no more frequently than once per calendar quarter. Said compensation shall be subject to all applicable taxes and withholdings.
c. Group insurance and all other benefits provided to other employees of the City shall be made available to the Employee on like terms and conditions.
d. In addition to any deferred compensation payment made pursuant to Section 6(b) of this Employment Agreement, the Employee may elect to allocate any part of his total compensation to a retirement, deferred compensation or similar program of his choice. The Employee will also receive any benefits that other employees receive including but not limited to workers’ compensation insurance, unemployment insurance, KPERS, personal/family leave, and FICA.
e. During the term of this Agreement the Employee shall be entitled to severance pay equal to nine (9) months of his base salary, together with all other contractual obligations afforded the Employee by this Agreement. The Employee’s entitlement to severance pay shall be governed by the terms and conditions set forth in Section 4 of this Agreement.
Section 8. Professional Development.
a. The City shall budget for and pay the professional dues and subscriptions incurred by the Employee for his participation in such national, regional, state and local associations or organizations as he deems necessary or desirable for his continued professional group and advancement and for the good of the City; provided, that with respect to local associations and organizations, the City’s obligation shall be for payment for one civic club of Employee’s choice.
b. The City shall budget for and pay the travel, registration and subsistence expenses incurred by the Employee in the course of his attendance at or participation in such meetings, conferences, or other function as he deems necessary to adequately discharge official and ceremonial functions on behalf of the City, including but not limited to the annual conferences or conventions of the International City Management Association, the National League of Cities, the League of Kansas Municipalities and any such national, regional, state, and local groups and committee thereof upon which the Employee serves as a member.
c. The City shall budget and pay for travel and subsistence expenses incurred by the Employee for short courses, seminars, and institutes which he deems necessary for his professional development and for the good of the City.
Section 9. Other Terms and Conditions of Employment.
a. In addition to benefits specifically enumerated in this Agreement, all provisions of the City Code and other rules and regulations of the City relating to vacation and sick leave, retirement and pension system contributions, holidays and other benefits and working conditions, as they now exist or may hereafter be amended, shall apply to the Employee in the same way as to other management employees of the City.
b. The City, in consultation with the Employee, may fix any such other terms and conditions of employment relating to the performance of the Employee as it deems appropriate from time to time; provided, that such terms and conditions are not inconsistent with or in conflict with the express provisions of this Agreement, the City charter or any other law or regulation. No such additional terms or conditions shall be effective unless first reduced to writing and mutually agreed to and signed by the Employee and the City.
Section 10. Risk Allocation.
a. The parties acknowledge the applicability of the Kansas Tort Claims Act, K.S.A. 75-6101, et seq. (the “KTCA”), to the Employee. The Employee shall be afforded all of the rights and protections afforded public employees generally pursuant to the KTCA, including but not limited to those rights and protections relating to alleged violations of state or federal civil rights laws. The Employee may be afforded such additional rights and protections with respect to civil actions to which he is made a party, as the City may from time and time deep appropriate.
b. The Employee shall keep all personal vehicles used for official business in good cosmetic and operating condition, and shall maintain continuously in force with respect to all such vehicles a policy of liability insurance having a limit of at least $500,000 per occurrence for bodily injury and $50,000 per occurrence for property damage. The Employee shall provide the City’s Risk Management office with appropriate proof of compliance with the insurance requirements of this section, with such proof of compliance to be so furnished upon the renewal date of such policy or upon the date a new policy shall be issued.
Section 11. Performance Evaluation.
a. The Governing Body of the City shall provide such review and consultation with the Employee as it determines necessary to ensure adequate communication and direction on performance of the Employee, however, not less than annually.
b. In implementing the provisions of this Section, the parties agree to abide by all applicable law.
Section 12. Bond.
The City shall bear the full cost of any fidelity or other bonds required of the Employee.
Section 13. General Provisions.
a. The text hereof shall constitute the entire agreement between the parties.
b. Other than those provisions relating to the Employee’s obligation to serve as the City Manager, this Agreement shall be binding upon and inure to the benefit of the heirs and executors of the Employee.
c. Except as expressly provided herein, neither party shall assign rights or delegate duties arising from this Agreement without first obtaining the express written consent of the other.
d. Should any provision of this Agreement or any portion thereof, be held unconstitutional, invalid, or unenforceable, the remainder of this Agreement shall be deemed as severable, shall not be affected and shall remain in full force and effect.
e. This Agreement is governed by Kansas law.
f. The Employment Agreement dated October 10, 2006, the Addendum to Contract dated March 6, 2007, the Second Addendum to Contract dated April 14, 2009, the Third Addendum to Contract dated February 8, 2011, and the Fourth Addendum to Contract dated April 2, 2013 are hereby repealed, it being the intent of the parties that this Revised Employment Agreement supersedes them.
IN WITNESS WHEREOF, the parties have caused this Agreement to be executed the day and year first above written.
CITY OF LAWRENCE, KANSAS
By:
Mike Amyx, Mayor
ATTEST:
Diane Trybom, Acting City Clerk
EMPLOYEE
David L. Corliss