HomeMy WebLinkAboutCity of Tamarac Resolution R-2011-004Temp. Reso. # 11977
January 12, 2011
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RESOLUTION NO.
A RESOLUTION OF THE CITY COMMISSION OF THE CITY
OF TAMARAC, FLORIDA APPROVING AND
AUTHORIZING THE EXECUTION OF THE EMPLOYMENT
AGREEMENT BETWEEN THE CITY OF TAMARAC AND
MICHAEL C. CERNECH, ATTACHED HERETO AS EXHIBIT
"A" AND INCORPORATED HEREIN; AUTHORIZING AND
DIRECTING THE APPROPRIATE CITY OFFICIALS TO
TAKE ANY AND ALL ACTION NECESSARY TO
EFFECTUATE THE INTENT OF THIS RESOLUTION;
PROVIDING FOR CONFLICT; PROVIDING FOR
SEVERABILITY; AND PROVIDING AN EFFECTIVE DATE.
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WHEREAS, the City of Tamarac ("City") seeks to retain Michael C. Cernech as its
City Manager, subject to the terms and conditions set forth in the Employment Agreement,
attached hereto as Exhibit "A" and incorporated herein; and
WHEREAS, the City Commission finds that approving and authorizing the
execution of the attached employment agreement is in the best interest of the citizens and
residents of the City of Tamarac.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE
CITY OF TAMARAC, FLORIDA THAT:
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Temp. Reso. # 11977
January12, 2011
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SECTION 1: The foregoing "WHEREAS" clauses are hereby ratified and confirmed
as being true and correct and are hereby made a specific part of this Resolution. All
exhibits referred to in the "WHEREAS" clauses are hereby attached hereto and
incorporated herein by reference.
SECTION 2: The City Commission of the City of Tamarac, Florida hereby
approves and authorizes the execution of the Employment Agreement between the City of
Tamarac and Michael C. Cernech, attached hereto as Exhibit "A" and incorporated herein.
SECTION 3: All appropriate City officials are hereby authorized and directed to
take any and all action necessary to effectuate the intent of this Resolution.
SECTION 4: All resolutions or parts of resolutions in conflict herewith are hereby
repealed to the extent of such conflict.
SECTION 5: If any clause, section, other part or application of this Resolution is
held by any court of competent jurisdiction to be unconstitutional or invalid, in part or
application, it shall not affect the validity of the remaining portions or applications of this
Resolution.
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Temp. Reso. # 11977
January 12, 2011
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SECTION 6: This resolution shall take effect immediately upon its adoption.
PASSED AND ADOPTED BY THE -,PITY COMMISSION OF THE CITY OF TAMARAC,
FLORIDA THIS %d DAY OF 2011.
PETER M. J. RIC DSON, CRM, CMC
CITY CLERK.
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I HEREBY CERTIFY THAT I HAVE
APPROVED THIS RESOLUTION
AS TO FORM.
SAMUEL S. GOREN
CITY ATTORNEY
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CITY OFZAARAC, F ORIDA
BETH TALABISCO, MAYO
RECORD OF COMMISSION VOTE:
MAYOR TALABISCO =-z-
DIST 1: V/M BUSHNELL Gam'
DIST 2: COMM. GOMEZ f.-
DIST 3: COMM. GLASSER��-
DIST 4: COMM. DRESSLER�--
EMPLOYMENT AGREEMENT
THIS AGREEMENT, made and entered into this 12th day of January, 2011 by and
between the CITY OF TAMARAC, a Florida municipal corporation, hereinafter called the
CITY, as party of the first part, and MICHAEL C. CERNECH, hereinafter called CITY
MANAGER, as party of the second part, both of whom understand as follows:
1`A1001219W.B1..I:A
WHEREAS, The CITY desires to employ the services of MICHAEL CERNECH, as
City Manager of the City of Tamarac pursuant to Article V of the City of Tamarac City Charter;
and
WHEREAS, it is the desire of the CITY to provide certain benefits, establish certain
conditions of employment and to set working conditions for the CITY MANAGER; and
WHEREAS, it is the desire of the CITY to (1) secure and retain the services of the CITY
MANAGER and to provide inducement for him to remain in such employment; (2) to make
possible full work productivity by assuring the CITY MANAGER's morale and peace of mind
with respect to future security; (3) to act as a deterrent against malfeasance or dishonesty for
personal gain on the part of the CITY MANAGER; and, (4) to provide a just means of
terminating the CITY MANAGER's services at such time as he may be unable fully to discharge
his duties for any reason or when the CITY may otherwise desire to terminate his employment;
and
WHEREAS, the CITY MANAGER desires to accept employment as City Manager of
the CITY;
NOW THEREFORE, in consideration of the mutual covenants herein contained, the
parties agree as follows:
1.0 DUTIES:
The CITY hereby agrees to employ MICHAEL CERNECH, as City Manager to perform the
functions and duties specified in the City Charter and City Code, and to perform other legally
permissible and proper duties and functions as the CITY shall from time to time assign.
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2.1 The commencement date of employment of the CITY MANAGER shall be January 29,
2011, ("Commencement Date") and shall continue as provided for in this Agreement
until January 31, 2016 ("Expiration Date") and subject to all of the terms, conditions, and
provisions hereof.
2.2 Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the
CITY to terminate the services of the CITY MANAGER at any time, subject only to the
provisions set forth in Section 10 of this Agreement.
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2.3 Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the
CITY MANAGER to resign at any time from his position with the CITY, subject only to
the provisions set forth in Section 10.5 and Section 10.6 of this Agreement.
2.4 This Agreement shall be extended for an additional 5 years on the same terms and
conditions as contained herein, including the severance provision of section 10.3 set forth
herein after unless either party to this Agreement provides written notice to the other
party of its intent not to extend this Agreement at least one hundred eighty (180) days
prior to the Expiration Date provided herein.
2.5 The CITY MANAGER shall from time to time appoint and designate a deputy city
manager, assistant city manager, assistant to the city manager, department head, or
department officer as the Acting City Manager, to exercise the powers of the CITY
MANAGER and to perform the duties of the CITY MANAGER during the CITY
MANAGER'S temporary absence or disability as provided for in Section 5.03 of the
Charter of the CITY.
2.6 The position of the CITY MANAGER is not and cannot be an hourly -type employment.
Hence, the CITY MANAGER shall do all things necessary and required to be available
to the CITY, its agents, servants and employees during the course of this Agreement on a
twenty-four (24) hour basis, seven (7) days a week for emergency, public utility, and
other public purposes, consistent with good and respectable management requirements
and as otherwise dictated and provided by the Charter and Code of Ordinances of the
CITY of Tamarac, as well as provided by General Law in the State of Florida, and the
management principles of the International City/County Management Association
("ICMA").
3.0 PERFORMANCE EVALUATION:
3.1 The CITY shall review and evaluate the performance of the CITY MANAGER initially
after twelve (12) months from the beginning date of this agreement and thereafter at least
once annually in advance of the annual anniversary date of this agreement. Said review
and evaluation shall be in accordance with specific criteria developed jointly by the City
Commission and the CITY MANAGER. Said criteria may be added to or deleted from
as the City Commission may from time to time determine, in consultation with the CITY
MANAGER. Further, the City Commission, during a public meeting, shall provide the
CITY MANAGER with a summary written statement of the findings of the City
Commission and provide an adequate opportunity for the CITY MANAGER to discuss
his evaluation with the City Commission, during such public meeting.
3.2 Annually, the City Commission and the CITY MANAGER shall define such goals and
performance objectives which they determine necessary for the proper operation of the
CITY and in the attainment of the CITY'S policy objectives and shall further establish a
relative priority among these various goals and objectives, said goals and objectives to be
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reduced to writing. They shall generally be attainable within the time limitations as
specified and consistent with the annual operating and capital budgets and appropriations
provided.
3.3 In effecting the provisions of this Section, the CITY and the CITY MANAGER mutually
agree to abide by the provisions of applicable law.
3.4 On January 29, 2012, and every year thereafter, for the term of this Agreement, the CITY
MANAGER's base salary shall be increased by three percent (3%) which shall be applied
to the CITY MANAGER's base salary as of January 29, 2012, and each year thereafter
for the term of this Agreement. At the City Commission's option, if the CITY
MANAGER is found to have exceeded the performance requirements, the City
Commission may award an additional amount up to three percent (3%) one time merit
bonus for the evaluation period.
4.0 SALARY:
4.1 The CITY agrees to pay the CITY MANAGER for his services rendered pursuant hereto
an annual base salary of two hundred two thousand five hundred dollars ($202,500.00)
payable in installments at the same time as other employees of the CITY are paid.
4.2 During the term of this Agreement, compensation of CITY MANAGER shall be
increased by an amount based upon the annual performance review as outlined in Section
3 of this Agreement. In addition, CITY agrees to increase the salary and other benefits of
CITY MANAGER in such amounts and to such an extent as the City Commission deems
appropriate on the basis of an annual performance review.
5.0 PENSION:
5.1 CITY MANAGER is a member of the CITY' S Elected and Appointed Officers and Non -
Represented Retirement Plan, and CITY will continue to pay on behalf of the CITY
MANAGER, his employee contribution required in Section 16-903(b) of the City Code.
5.2 Notwithstanding the foregoing, the CITY shall contribute the annual IRS maximum limit
including pre -retirement and catch-up limits into the CITY MANAGER'S 457 Deferred
Compensation Plan on or before April 15th of each year beginning in 2011 as specifically
determined by the CITY MANAGER.
6.0 BENEFITS:
6.1 CITY shall provide CITY MANAGER all the benefits approved by the CITY to be
provided to Appointed and Executive employees of the CITY.
6.2 Health and Dental Insurance — CITY to pay one hundred percent (100%) of the total
premium cost of the CITY MANAGER's health and dental insurance which is otherwise
offered and provided to regularly employed Appointed or Executive employees and
consistent with the individual or family needs of the CITY MANAGER, as a continuing
obligation in accordance with the benefits provided to CITY MANAGER under his
existing employment agreement with the CITY at the time of the execution of this
Agreement.
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6.3 Individual Life Insurance - CITY shall provide a Term Life Insurance policy in an
amount equal to $1,000,000 with a thirty (30) year guaranteed level premium and the
beneficiary named by CITY MANAGER to receive 100% of the proceeds. CITY agrees
to make the necessary premium payments directly on behalf of the CITY MANAGER
during his tenure with the CITY, and agrees to transfer ownership to the CITY
MANAGER upon his resignation or termination.
6.4 Public Official's Liability Insurance - CITY shall provide Public Officials Liability
Insurance coverage applicable for all acts or omissions of the CITY MANAGER arising
out of his employment, subject to and as provided for in the Annual Budget and as may
be otherwise provided to City Commission members, Department Heads, and based
solely upon existing policies of insurance currently held by the CITY.
6.5 Short Term Disability Insurance - The CITY shall provide and pay one hundred percent
(100%) of the required premium on a short term disability insurance policy for the CITY
MANAGER, as otherwise available to City employees, or which may be selected by the
CITY MANAGER from coverage offered through an appropriate source.
6.6 Bonding - CITY shall bear the full cost of any fidelity or other bonds required of the
CITY MANAGER under any statute, ordinance, or other law, as may be amended from
time to time.
6.7 The CITY shall provide CITY MANAGER, as of the Commencement Date of this
Agreement, an additional forty-nine (49) hours of personal leave per fiscal year. CITY
MANAGER, as of the Commencement Date of this Agreement, shall be entitled to
receive an additional one hundred twenty (120) hours of vacation leave annually to be
accrued via regular payroll. Absent a medical emergency, the CITY MANAGER shall
not be absent from City Hall for more than fourteen (14) consecutive calendar days
during any calendar year without notice to the CITY.
6.8 On or before April 15, 2011 and annually during each proceeding 12-month period from
April 15th each year for the term of this Agreement, the CITY MANAGER may direct the
CITY to cash out a total of up to two hundred forty (240) hours of his unused accrued
vacation and/or sick leave at one hundred percent (100%) of its cash value, or carry over
the unused accrued vacation and/or sick leave.
6.9 Should the CITY MANAGER voluntarily resign or be terminated, the CITY shall pay
CITY MANAGER in lieu of vacation and sick leave payout provisions available to
Appointed and Executive employees, accrued, unused vacation leave up to five hundred
(500) hours and accrued, unused sick leave up to five hundred (500) hours, each at one
hundred percent (100%) of cash value, and any other accrued benefits earned.
7.0 ALLOWANCES AND EQUIPMENT:
7.1 CITY agrees to budget and pay a car allowance of eight hundred ($800.00) dollars per
month to CITY MANAGER.
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7.2 CITY shall pay an allowance of one hundred twenty ($120.00) dollars per month for the
CITY MANAGER's mobile telephone and/or other communication equipment that the
CITY agrees is required for the CITY MANAGER to perform his duties and
responsibilities.
7.3 CITY MANAGER has the sole discretion to determine what computer equipment is
required for him to fully discharge his duties, and the CITY agrees to provide such
equipment to the CITY MANAGER, including but not limited to a lap -top computer,
Wad, digital camera, and other peripherals for out -of -office use with a printer with
compatible software and provision of a high-speed communications line for his home
which serve to enhance the performance of his City duties and responsibilities, such
equipment to remain the property of the CITY at the termination of this Agreement
unless otherwise negotiated in a Separation Agreement to the satisfaction of the parties.
8.0 GENERAL EXPENSES:
8.1 The CITY recognizes that certain expenses of a non -personal and generally job -affiliated
nature are incurred by the CITY MANAGER, and hereby agrees to reimburse or to pay
said general expenses, and the Finance Director is hereby authorized to disburse such
monies upon receipt of duly executed expense or petty cash vouchers, receipts,
statements or personal affidavits, subject to and as provided for in the CITY
MANAGER'S annual budget.
9.0 PROFESSIONAL DEVELOPMENT:
9.1 The CITY agrees to budget and pay the travel and subsistence expenses of the CITY
MANAGER for professional and official travel, meetings and occasions adequate to
continue the professional development of the CITY MANAGER and to adequately
pursue necessary official and other functions for the CITY, including but not limited to
the Annual Conference of the International City Management Association, the State and
National League of Cities, and FCCMA, and such other national, regional, state and local
governmental groups and committees thereof which the CITY MANAGER serves as a
member.
9.2 The CITY agrees to budget and pay for the professional dues and subscriptions of the
CITY MANAGER necessary for his continuation and full participation in national,
regional, state and local associations and organizations necessary and desirable for his
continued professional participation, growth and advancement, and for the good of the
CITY, including, but not limited to BCCMA, FCCMA, and ICMA.
9.3 Subject to approval by the City Commission on a case -by -case basis, the CITY
MANAGER may spend up to ten (10) hours per month in teaching, consulting, and other
non -CITY related business so long as the non -CITY related business does not conflict
with his CITY duties and responsibilities.
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10.0 TERMINATION AND SEVERANCE:
10.1 In the event the employment of the CITY MANAGER is terminated by the City Commis-
sion prior to January 29, 2013, and during such time as CITY MANAGER is willing to
perform the duties under this Agreement, then and in that event, CITY agrees to pay
CITY MANAGER a lump sum cash payment, to be paid within ninety (90) days of the
date of termination as specifically determined by the CITY MANAGER in one or more
installments, equal to the amount which would have been paid for salary and cash
allowances for one hundred eighty (180) days, in addition to payment for all other CITY
benefits described herein. CITY MANAGER shall be entitled to continue his 100%
CITY paid health and dental insurance benefits, for either three hundred sixty-five (365)
days or the date upon which CITY MANAGER becomes eligible for health and dental
insurance benefits in subsequent employment, whichever date first occurs.
10.2 In the event the employment of the CITY MANAGER is terminated by the City Commis-
sion on or after January 29, 2013, but prior to January 29, 2015, and during such time as
CITY MANAGER is willing to perform the duties under this Agreement, then and in that
event, CITY agrees to pay CITY MANAGER a lump sum cash payment, to be paid
within ninety (90) days of the date of termination as specifically determined by the CITY
MANAGER in one or more installments, equal to the amount which would have been
paid for salary and cash allowances for two hundred seventy (270) days, in addition to
payment for all other CITY benefits described herein. CITY MANAGER shall be entitled
to continue his one hundred percent (100%) CITY paid health and dental insurance
benefits, for either three hundred sixty-five days (365) or the date upon which CITY
MANAGER becomes eligible for health and dental insurance benefits in subsequent
employment, whichever date first occurs.
10.3 In the event the employment of the CITY MANAGER is terminated by the City Commis-
sion on or after January 29, 2015, but prior to the expiration of the aforesaid term of
employment and during such time as CITY MANAGER is willing to perform the duties
under this Agreement, then and in that event, CITY agrees to pay CITY MANAGER a
lump sum cash payment, to be paid within ninety (90) days of the date of termination as
specifically determined by the CITY MANAGER in one or more installments, equal to
the amount which would have been paid for salary and cash allowances for three hundred
sixty-five (365) days, in addition to payment for all other CITY benefits described herein.
CITY MANAGER shall be entitled to continue his one hundred percent (100%) CITY
paid health and dental insurance benefits, for either three hundred sixty-five (365) days or
the date upon which CITY MANAGER becomes eligible for health and dental insurance
benefits in subsequent employment, whichever date first occurs.
10.4 In the event CITY MANAGER is terminated because of his conviction of any criminal
act, CITY shall have no obligation to pay the aggregate severance benefit designated in
this section.
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10.5 In the event the CITY at any time during the employment term:
(i) reduces the salary or other benefits of CITY MANAGER in a greater percentage
than an applicable across-the-board reduction for all CITY employees; or
(ii) in the event the CITY refuses, following written notice, to comply with any other
contract provisions benefiting CITY MANAGER; or
(iii) the CITY MANAGER elects to resign following a public suggestion by one or
more members of the City Commission at a public meeting, whether formal or
informal, that he resign;
then and in that event, CITY MANAGER may, at his option, be deemed to be
"terminated" within the meaning and context of this Section 10 effective at the date of
such reduction or such refusal to comply or resignation of CITY MANAGER. For the
resignation provision at the suggestion of City Commission to apply pursuant to this
section, CITY MANAGER must provide written notice to the City Commission of his
intent to resign within fourteen (14) calendar days of the public meeting where the
suggestion to resign was made and therein state with particularity a date certain upon
which the CITY MANAGER shall vacate his position.
10.6 In the event CITY MANAGER voluntarily resigns his position with the CITY before
expiration of the aforesaid term of employment, then CITY MANAGER shall give the
CITY ninety (90) calendar days' written notice unless the parties otherwise agree. Upon
such voluntary resignation with notice, all deferred compensation contributions made on
his behalf shall remain the benefit of the CITY MANAGER. Further, the CITY
MANAGER shall be entitled to a lump -sum settlement on any unpaid compensation and
any unused accrued leave benefits pursuant to Section 6 of this Agreement.
11.0 INDEMNIFICATION:
11.1 To the extent permitted by law, the CITY shall defend, save harmless and indemnify the
CITY MANAGER against any tort, professional liability claim or demand or other legal
action arising out of an alleged act or omission occurring in the performance of his duties
as the CITY MANAGER. CITY will pay the amount of any settlement or judgment
rendered as a result of any claim or suit. This indemnification provision shall survive the
termination of this Agreement.
12.0 OTHER TERMS AND CONDITIONS OF EMPLOYMENT:
12.1 The City Commission, in consultation with the CITY MANAGER, shall fix any such
other terms and conditions of employment, as it may determine from time to time,
relating to the performance of the CITY MANAGER, provided such terms and
conditions are not inconsistent with, or in conflict with, the provisions of this Agreement,
the City Charter, or any other law.
CI
12.2 All provisions of the City Charter and Code, and regulations and rules of the CITY
relating to salary, cost of living adjustments, longevity, vacation and sick leave, holidays
and other fringe benefits and working conditions as they now exist or hereafter may be
amended, shall apply to the CITY MANAGER as they would to other Appointed or
Executive employees of the CITY, in addition to the benefits enumerated specifically for
the benefit of the CITY MANAGER except as herein provided.
13.0 REDUCTION OF BENEFITS:
13.1 The CITY shall not at any time during the term of this Agreement reduce the salary,
compensation or other financial benefits of the CITY MANAGER, except to the degree
of such a reduction across-the-board for all the employees of the CITY.
14.0 MISCELLANEOUS:
14.1 Final Agreement:
It is understood and agreed that this document incorporates and includes all prior
negotiations, correspondence, conversations, agreements, or understandings applicable to
the matters contained herein and that the parties agree that there are no commitments,
agreements, or understandings concerning the subject matter of this Agreement that are
not contained in this document. Accordingly, it is agreed that no deviation from the
terms hereof shall be predicated upon any prior representations or agreements whether
oral or written.
14.2 Modification of Agreement:
It is further agreed that no modification, amendment or alteration in the terms or
conditions contained herein shall be effective unless contained in a written document
executed with the same formality and with equal dignity herewith.
14.3 Counterparts:
This document shall be executed in at least three (3) counterparts each of which shall be
deemed to be a duplicate original.
14.4 Florida Law:
This Agreement is executed and is to, be performed in the State of Florida, and shall be
governed by and construed with the laws of the State of Florida. Venue for any legal
action shall be set in Broward County, Florida.
14.5 Litigation:
In connection with any litigation arising out of this Agreement, including any
administrative, trial level or appellate proceedings, the prevailing party shall be entitled to
recover all costs incurred, including a reasonable attorneys fee.
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14.6 Counsel:
The Parties acknowledge that they have reviewed this Agreement with independent
counsel or have had sufficient opportunity to do so, and that neither party has been
otherwise coerced into agreeing to any provisions of this Agreement.
14.7 Severability/Integration:
If any clause, section or other part or application of this Agreement shall be held by any
court of competent jurisdiction to be unconstitutional or invalid, such unconstitutional or
invalid part or application shall be considered as eliminated and so not affecting the
validity of the remaining portions or applications remaining in full force and effect.
IN WITNESS WHEREOF, the parties hereto have made and executed this Employment
Agreement on the respective dates under each signature:
CIT MA AGER-
MICHAEL C. CERNECH
ATTES
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PETER J. RICHA SON, CRM, CM —
PETER
CLERK
APPROVED AS TO LEGAL FORM:
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SAMU L S. GORE
CITY ATTORNEY
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CITY OF TAMARAC:
6VO'W
- --BETH TALABISCO