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AGENDA REPORT
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| | | | | | | | DATE:
| December 20, 2022
| TO:
| Mayor and City Council
| FROM:
| David Gassaway, Interim City Manager
| | SUBJECT: | Resolution 2022-338 of the City Council of the City of Fairfield Approving the City Manager Employment Agreement Between the City of Fairfield and David Gassaway and Amending the Salary Schedule |
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| | | | | | | | | RECOMMENDED ACTION | | Adopt resolution. |
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| | | | | | | | | STATEMENT OF ISSUE | | On December 6, 2022, the City Council directed the City Attorney’s Office to negotiate a contract with Interim City Manager David Gassaway for the position of city manager. The City Attorney’s Office has drafted an employment agreement incorporating the terms indicated by the council and has negotiated with Mr. Gassaway. The agreement is presented for the council for consideration. |
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| | | | | | | | | DISCUSSION | On January 18, 2022, the council hired Mr. Gassaway as the Interim City Manager for a period of six months. On June 21, 2022, the council extended the contract of Mr. Gassaway for an additional six months, effective July 1, 2022.
On December 6, 2021, the council directed the City Attorney’s Office to negotiate a formal employment agreement with Mr. Gassaway to drop the “interim” tag and hire him as city manager.
The negotiations with Mr. Gassaway have resulted in a contract hiring Mr. Gassaway for a period of five years, beginning on December 30, 2022. The negotiations with Mr. Gassaway resulted in an agreement consistent with the directions of the council.
The accompanying resolution and employment agreement will appoint David Gassaway as the City Manager beginning on December 30, 2022.
The employment agreement contains the following terms:
• Mr. Gassaway will assume the duties of city manager effective December 30, 2022. Since he is already the interim city manager, there will be no disruption to city manager services.
• The term of Mr. Gassaway’s employment as city manager will run until December 30, 2027, but may be extended in one year increments automatically on June 30, 2027, and each subsequent June 30th.
• At any time the council may terminate this agreement with the affirmative vote of a majority of council members.
• The salary for Mr. Gassaway as Interim City Manager shall be $285,000. This amount represents the base salary of $270,504 approved by the council on January 18, 2022, plus a 5% cost of living increase approved by the council for executive staff on June 21, 2022, in Resolution 2022-120.
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| | | | | | | | | FINANCIAL IMPACT | | The city manager position is funded from the General Fund. The salary paid to Mr. Gassaway is the same salary paid to the previous city manager with a 5% cost of living increase approved in the latest budget cycle. Thus, the city manager position has not seen a salary increase for the past three years. Additionally, because Mr. Gassaway’s salary as assistant city manager will not be filled immediately, the City will see a short-term gain in financial impact until the assistant city manager position is filled. |
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| | | | | | | | | PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION | Because this is a personnel matter, negotiations with Mr. Gassaway were confidential, but his final employment contract is public.
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| | | | | | | | | ALTERNATIVE ACTION | If the council chooses not to adopt the resolution and employment agreement for Mr. Gassaway, it could: 1) Continue to negotiate alternative terms with Mr. Gassaway;
2) Let the current contract with Mr. Gassaway as Interim City Manager expire, and return him to his role as Assistant City Manager; or 3) Choose to recruit another person as interim or permanent city manager by starting a new recruitment effort. |
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| | | | | | | | | STAFF CONTACT | David Lim, City Attorney
(415) 421-8484
dlim@rwglaw.com
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| | | | | | | | | COORDINATED WITH | City Attorney's Office, Human Resources Department
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| REVIEWERS: | | Reviewer | Action | Date | | Beavers, Esther | Approved | 12/14/2022 - 5:08 PM |
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