Interim City Manager Employment Agreement Interim City Manager Employment Agreement
Introduction
This Interim City Manager Employment Agreement ("Agreement") is made and entered
into this 18`h day of June 2018, by and between the City of Salina, Kansas, a municipal
corporation, ("Employer") and Michael D. Schrage{"Employee"), an individual who
currently serves the Employer as its Deputy City Manager; who has education, training
and experience in local government management; and who, as a member of ICMA, is
subject to the ICMA Code of Ethics. This Agreement is made for the limited purpose
and within the limited scope of addressing the terms of Employee's temporary
appointment and service as Interim City Manager pending Employer's permanent
appointment of a City Manager pursuant to terms appropriate for such appointment.
Employer and Employee agree as follows:
Section 1: Term of Agreement
This Agreement shall remain in full force and effect from the date first stated above and
shall remain in effect as long as necessary to fulfill its terms.
Section 2: Term of Employment as Interim City Manager, Duties and Authority
A. Interim Appointment: Employer agrees to appoint Employee as Interim City Manager
commencing July 30, 2018 to perform the functions and duties specified in the City
Charter, city ordinances, and applicable Kansas statutes, and to perform other legally
permissible and proper duties and functions as the Employer's governing body may
assign; and ending upon either (1) Employer's permanent appointment and the
commencement of employment of a city manager or (2) the decision of the Employer,
the Employee, or the Employer and Employee mutually to terminate the Employee's
employment as Interim City Manager prior to the commencement of employment of a
city manager. Under either scenario (1), if a person other than Employee is
permanently appointed city manager, or scenario (2), Employee shall be offered
reinstatement as deputy city manager effective upon completion of Employee's term as
Interim City Manager.
B. Additional Assistance: In recognition of Employee's current role and Employee's role
while serving as Interim City Manager, Employee is authorized in anticipation of and
while serving as Interim City Manager to contract for or otherwise procure additional
assistance in performing the functions of the office of the City Manager.
Section 3: Compensation
A. Salary: In recognition of the roles Employee will be performing, both in anticipation of
and while serving as Interim City Manager, Employer agrees to pay Employee his
annual base salary as Deputy City Manager plus the additional sum of$2,500 per
month commencing as of the date of this Agreement and continuing until and for so long
as Employee is employed as Interim City Manager, payable in installments at the same
time that the other management employees of the Employer are paid.
B. Pay Plan Adjustments: Employee's base salary under this agreement shall be
automatically adjusted by the same percentage and at the same time as any
adjustments to the Employer's overall pay plan approved by the Employer's governing
body.
C. Periodic Review: Employee's current periodic review date is December 15, 2018.
Considering Employee's modified role and supervision along with the inherent
modification of Employee's previously established performance objectives, Employee
shall receive an increase in base salary of 2.5% as of December 15, 2018 if Employee
continues to serve as Interim City Manager as of that date.
Section 4: Health, Disability and Life Insurance Benefits
A. Health Insurance: The Employer agrees to provide and pay the premiums for the
City's group health, hospitalization, and dental benefit plan for the Employee and his
dependents equal to that which is provided to all other employees of the Employer.
B. Life Insurance: Employer agrees to provide the Employer's group term life insurance
policy to the Employee upon the same basis as all other employees of the Employer
and to pay the premiums thereon.
C. Disability Insurance: Employer agrees to provide the Employee with disability
insurance coverage on the same basis as all other employees of the Employer.
Section 5: Vacation and Sick Leave
A. Vacation: Employee shall continue to accrue, and have credited to his personal
account, paid vacation leave at the rate of one hundred and twenty-eight (128) hours
per year. Employer acknowledges that Employee has a family vacation scheduled from
July 14 through July 24, 2018.
B. Sick Leave: Employee shall accrue and be entitled to use and/or be compensated for
sick leave at the same rate as other employees of the Employer.
Section 6: Automobile Allowance
Employee shall continue to receive an allowance of $436 per month for business use of
his vehicle. For business trips outside the City, Employee shall receive additional
compensation for each mile driven pursuant to the city mileage reimbursement policy.
Section 7. Retirement
Employer participates in the Kansas Public Employees Retirement System (KPERS).
Employee qualifies for participation under KPERS. Employer agrees to pay on behalf
of Employee all KPERS determined costs on the same basis as all other employees of
the Employer.
Section 8: General Business Expenses
A. Dues and Subscriptions: Employer agrees to budget for and to pay for professional
dues and subscriptions of the Employee necessary for continuation and full participation
in national, regional, state, and local associations, and organizations necessary and
desirable for the Employee's continued professional participation, growth and
advancement, and for the good of the Employer.
B. Professional Development: Employer agrees to budget for and to pay for travel and
subsistence expenses of Employee for professional and official travel, meetings, and
occasions to adequately continue the professional development of employee and to
pursue necessary official functions for employer, including, but not limited to the ICMA
Annual Conference, the League of Kansas Municipalities (LKM), Kansas Association of
City/County Management (KACM), and such other national, regional, state, and local
governmental groups and committees in which Employee serves as a member.
Employee agrees to annually attend a professional or personal development seminar in
addition to the ICMA, LKM, and KACM annual conferences.
C. Civic Club Dues: The Employer acknowledges the value of having Employee
participate and be directly involved in local civic clubs or organizations. Accordingly,
Employer shall pay for the reasonable membership fees and/or dues to enable the
Employee to continue his membership in the local chapter of Ambucs.
Section 9: Termination
For the purpose of this agreement, termination shall occur:
1. If a majority of the governing body votes to terminate the Employee at a duly
authorized public meeting;
2. If the Employer, citizens or legislature acts to amend any provisions of the City
Charter, city ordinances, or Kansas law pertaining to the role, powers, duties, authority,
responsibilities of the Employee's position that substantially changes the form of
government, the employee shall have the right to declare that such amendments
constitute termination;
3. If the Employer reduces the base salary, compensation or any other financial benefit
of the Employee, unless it is applied in no greater percentage than the average
reduction of all department heads, such action shall constitute a breach of this
agreement and will be regarded as a termination:
4. If the Employee resigns following an offer to accept resignation, whether formal or
informal, by the employer as representative of the majority of the governing body that
the employee resign, then the Employee may declare a termination as of the date of the
suggestion;
5. If Employer fails to otherwise comply with the terms of this Agreement after 30 days-
written notice from Employee of Employer's failure to comply;
6. If Employee is not fully reinstated to his employment as Deputy City Manager
following his service as Interim City Manager; or
7. If, following Employee's reinstatement to his employment as Deputy City Manager
under Section 2.A., Employee is terminated within nine (9) months following the date of
his reinstatement as Deputy City Manager, whether at the direction of the Employer's
governing body or at the discretion of the City Manager.
Section 10: Severance
If termination of the Employee occurs as defined in Section 9 above during such time
that Employee is willing and able to perform his duties under this Agreement, then in
that event, Employer agrees to:
1. Pay Employee a cash payment equal to nine (9) months base salary and car
allowance, to be paid in a lump sum unless otherwise agreed by Employer and
Employee;
2. Pay the cost to continue for a pe'riod of nine (9) months the health, hospitalization,
dental and life insurance benefits referred to in Section 4 above; and
3. Pay Employee for all accrued vacation and sick leave in accordance with Employer's
policy.
If the Employee is terminated, however, because of a conviction or either a felony or
any illegal act involving personal gain to him, then the Employer is not obligated to pay
severance under this section.
Section 11: Resignation
In the event that the Employee voluntarily resigns his position with he Employer, the
Employee shall provide a minimum of 30 days-notice, unless the parties agree
otherwise.
Section 12: Evaluations
The Employer and the Employee shall semi-annually define and evaluate goals and
performance objectives which they determine necessary for the proper operation of the
City and for the attainment of the governing body's policy objectives. Definition and
evaluation of such goals and performance objectives shall be subject to a process,
form, criteria, and format which shall b mutually agreed upon by the Employer and
Employee.
Section 13: Hours of Work
It is recognized that the Employee must devote a great deal of time outside the normal
office hours on business for the Employer, and to that end Employee shall be allowed to
establish an appropriate work schedule.
Section 14: Outside Activities
The employment provided for by this Agreement shall be the Employee's sole
employment. Employee may engage in specific teaching roles, with he Employer's
advance consent.
Section 15: Bonding
Employer shall bear the full cost of any fidelity or other bonds required of the Employee
under any law or ordinance.
Section 16: Other Terms and Conditions of Employment
A. Terms and Conditions: The Employer, only upon agreement with Employee, shall fix
any such other terms and conditions of employment, as it may determine from time to
time, relating to the performance of the Employee, provided such terms and conditions
are not inconsistent with or in conflict with the provision s of the Agreement, the City
Charter or any other law.
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B. Other Benefits: Except as otherwise provide in this Agreement, the Employee shall
be entitled to the highest level of benefits that are enjoyed by other employees of the
Employer as provided in the City Charter, city ordinances, personnel policies, or by
practice.
Section 17: General Provisions •
A. Integration: This Agreement sets forth and establishes the entire understanding
between the Employer and the Employee relating to the employment of the Employee
by the Employer. Any prior discussions or representations by or between the parties
are merged into and rendered null and void by this Agreement. The parties, by mutual
written agreement, may amend any provision of this Agreement during the term of this
Agreement. Such amendments shall be incorporated and made a part of this
Agreement.
B. Binding Effect: This Agreement shall be binding on the Employer and the Employee
as well as their heirs, assigns, executors, personal representatives and successors in
interest.
C. Severability: The invalidity or partial invalidity of any portion of this Agreement will not
affect the validity of any other provision. In the event that any provision of this
Agreement is held to be invalid, the remaining provisions shall be deemed to be in full
force and effect as if they have been executed by both parties subsequent to the
expungement or judicial modification of the invalid provision.
EXECUTED by the duly authorized representatives of the parties on the day and year
first stated above.
CITY OF SALINA, KANSAS
By: .. - t,--
Karl F. Ryan, Mayor
ATTEST:
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By: 1/14andi ince
Shandi Wicks, City Clerk, CMC
MICHAEL D. SCHRAGE
Mi hael D. Sc .ge