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Item 7 - Approval of Amendment to Employment Agreement for the City ManagerDATE: TO: FROM: CONTACT: SUBJECT: Summary: AGENDA RE PO RT City of Poway March 16, 2021 Honorable Mayor and Members of the City Council Alan Fenstermacher, City Attorney Alan Fenstermacher, City Attorney afenstermacher@rutan.com CITY COUNCIL Approval of Amendment to Employment Agreement for the City Manager The City Council conducted a performance evaluation of the City Manager, Christopher Hazeltine, wherein the City Council determined that the City Manager has exceeded its expectations and goals. Based on this positive evaluation, the City Council desires to amend the City Manager Employment Agreement to extend the term of employment to March 16, 2027. No other changes are proposed. Recommended Action: It is recommended that the City Council authorize the Mayor to execute the Second Amendment to the City Manager Employment Agreement between the City of Poway and Christopher Hazeltine. Discussion: Christopher Hazeltine has served as City Manager since May 6, 2019. Per the terms of the City Manager Employment Agreement, the City Council is required to conduct an evaluation of the City Manager's performance yearly, where it may consider performance-based salary adjustments, extending the term, or any other amendments to the Agreement. The City Council conducted its performance evaluation on March 2, 2021 and determined that the City Manager has exceeded expectations and goals, and therefore wish to extend his term. This second amendment does not increase the City Manager's compensation. Environmental Review: This item is not a "Project" pursuant to the California Environmental Quality Act ("CEQA") and is therefore not subject to CEQA review. Fiscal Impact: None. 1 of 4 March 16, 2021, Item #7 Public Notification: None. Attachments: A. Second Amendment to City Manager Employment Agreement Reviewed/ Approved By: Assistant City Manager 2of4 Reviewed By: Alan Fenstermacher City Attorney Approved By: Chris Hazeltine City Manager March 16, 2021, Item #7 SECOND AMENDMENT TO CITY MANAGER EMPLOYMENT AGREEMENT THIS SECOND AMENDMENT TO CITY MANAGER EMPLOYMENT AGREEMENT ("Second Amendment") is made and entered into effective this 16th day of March, 2021, by and between the City of Poway, a municipal corporation ("City"), and Christopher Hazeltine, an individual ("City Manager"). RECITALS 1. City and City Manager entered into that certain "CITY MANAGER EMPLOYMENT AGREEMENT," dated April 2, 2019 and effective May 6, 2019 (the "Agreement"), by which City and the City Manager established the terms, conditions, compensation and other benefits for the City Manager's employment by the City. 2. City and City Manager entered into that certain First Amendment to the Agreement ("First Amendment"), effective December 3, 2019. 3. The Agreement requires the City Council to conduct a yearly evaluation of the City Manager's performance, where it may consider adjustments to the Agreement. 4. On March 2, 2021, the City Council conducted the performance evaluation contemplated by the Agreement, where the City Council determined that the City Manager has exceeded the City Council's expectations and goals. 5. The City Council and City Manager desire to enter into this Second Amendment in order to extend the term of the Agreement. NOW, THEREFORE, IT IS HEREBY AGREED AS FOLLOWS: Section 1. Section 7(A) of the Agreement shall be amended to read as follows (additions in underline, deletions in strikeout): The initial term of this Agreement shall be for a period of thirty-six (36) months beginning 12:00 a.m. May 6, 2019 and continuing until 12:00 a.m. May 6, 2022 March 16, 2021 (the "initial Termination Date"). The first Renewal Term, as defined herein, shall be from 12:00 p.m. March 16, 2021, to 12:00 a.m. on March 16, 2027. Section 2. Except as otherwise amended by this Second Amendment, all other terms and conditions of the Agreement and First Amendment shall remain in full force and effect. [Signatures on Following Page] 3 of4 March 16, 2021, Item #7 IN WITNESS WHEREOF, the parties hereto have caused this Second Amendment to be executed the day and year first above written. CITY OF POWAY CITY MANAGER By ____________ _ By ____________ _ Steve Vaus, Mayor Christopher Hazeltine ATTEST: Vaida Pavolas, City Clerk APPROVED AS TO FORM: Alan Fenstermacher, City Attorney 4of4 March 16, 2021, Item #7