HomeMy WebLinkAboutContracts & Agreements_268-2017 (4) SIXTH AMENDMENT TO EMPLOYMENT AGREEMENT
This Sixth Amendment to Employment Agreement is entered into this 5th day of
Decembei,2017 ("Effective Date"),by and between the City of Redlands, a municipal corporation
(hereinafter the "City") and N Enrique Martinez (hereinafter the "City Manager"}
RECITALS
WHEREAS, the City and the City Manager have entered into an Employment Agreement
dated May 5, 2009, wherein the City expressed its desire to employ the services of the City
Manager as provided for in Government Code Section 36506, and
WHEREAS,the City and the City Managei on May 4,2010,May 19,2015,March 1, 2016,
April 5, 2016, and July 5, 2017, amended certain provisions of the Employment Agreement, and
WHEREAS, now that the City Council has recently completed labor negotiations with
respect to the various employee bargaining groups of City, as has been their past practice, it is the
desire of the City and the City Manager to amend the City Manager's Employment Agreement
relating to compensation and benefits, and
NOW, THEREFORE, in consideration of the mutual promises contained herein, the City
of Redlands and N Enrique Martinez agree as follows
Section 1 Section 2 of the Employment Agreement,entitled"Salary,"is hereby amended
by the addition of Subsections E,F, and G which shall read as follows
E Commencing with the first full payroll period following June 30, 2018, the City
Manager's annual base salary shall be Increased by the amount of three percent (3%)
F Commencing with the first frill payroll period following June 30, 2019, the City
Manager's then-existing annual base salary shall be increased by the additional amount of
three percent (3%)
G Commencing with the first full payroll period following June 30, 2020, the City
Manager's then-existing annual base salary shall be increased by the additional amount of
three percent (3%)
Section 2 This Sixth Amendment to Employment Agreement shall affect only the sections
referred to herein, and all other terms and conditions of the Employment Agreement between City
and the City Manager, as amended, shall remain in full force and effect
Section 3 City and Employee hereby expressly confirm that Employee's retirement health
benefits relating to medical and dental coverage as set forth in Employee's Employment
Agreement were vested as of December 5, 2017 and shall remain a vested benefit for Employee
because such retiree medical and dental benefits are included within City's policies pertaining to
employment, evidence exists that such benefits were an inducement for employee to seek and
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obtain employment with City that such benefits are a form of compensation and were important
to employee in continuing and advancing to his long-term employment with City, and that such
benefits remain an inducement for Employee to continue to be employed by City
In witness hereof the Parties have executed this Second Amendment to Employment
Agreement on the 5th day of December, 2017
CITY OF REDLANDS CITY MANAGER
Paul W Foster, Mayor N Enrique artinez
ATTEST
�!,Ene Donaldson, City Clerk
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EXHIBIT"A}'
• HEALTH INSURANCE-The City Managei will be provided a one-time payment foi his past
"Health Allotment" insurance benefit in the amount of thirty thousand dollars ($30,000)
The City shall pay such amount in the first full payroll period following May 19, 2015 In
consideration foi the City Manager's termination of his health allotment as of May 20,
2015
• LIFE INSURANCE-$25,000, with premium paid by the City on behalf of the City Manages
• MEDICAL INSURANCE—The City pays the entire monthly premium for the City Managel
and his eligible dependents foi the City Manager's chosen CalPERS health plan
• Insurance Adjustment -- The City shall pay the City Managei the amount of$150 each
July as an offset to the City Manager's payment of co-payments and deductibles foi
medical insurance
• ACCIDENTAL DEATH & DISMEMBERMENT - $25,000, with premium pard by the City on
behalf of the City Manager
• Vision Reimbursement -- City provided vision insurance through Medical Eye Services
of other similar provider
• DEFERRED COMPENSATION —401A Plan and 457 Plan—Annual contribution paid by the
City on behalf of the City Manager in the amount of$1,125 + 2% of salary to either plan
as designated by the City Manager
• PUBLIC EMPLOYEES RETIREMENT SYSTEM-Formula to equal City of Redlands "classic"
miscellaneous employees (2% @ 55) for the CalPERS retirement system Commencing
with the first full payroll period following May 19, 2015, the City Manager shall pay seven
percent (7%) of the City Manager's salary as the employee member contribution amount
As an offset to the City Manager's payment of the foregoing employee member
contribution amount, the City Manager's annual base salary amount shall be increased by
seven percent(7%) commencing with the first full payroll period following May 19, 2015
• ANNUAL LEAVE — 402 hours annually, and increased equivalently to any subsequent
increase the City might provide to the members of RADD
• HOLIDAYS— 12 City designated holidays
• FLEXIBLE SAVINGS PLAN
• YMCA Family membership provided at no cost to the employee
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® Dental Insurance-The monthly premium will be paid by the City foi Managei and eligible
dependents Dental insurance is included in the Lifetime Medical package
® 401 (A) City will deposit, annually, two (2%) percent of base pay plus an additional
$112500
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