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HomeMy WebLinkAbout163321 ORDINANCE NO. 16,332 2 3 4 AN ORDINANCE AUTHORIZING THE MAYOR TO ENTER INTO A RELEASE AND TERMINATION 5 AGREEMENT WITH THE CITY MANAGER, 6 DECLARING AN EMERGENCY, AND FOR OTHER 7 PURPOSES. 8 9 WHEREAS, the City Manager has previously negotiated a 1 9 compensation package with the Board of Directors that 11 includes certain provisions creating a property right to 12 compensation; and 13 WHEREAS, the Board of Directors has met with the City 14 Manager in executive session to discuss the future of this 15 agreement; and WHEREAS, as a result of this meeting it has been 16 mutually decided that the City Manager should resign, but 17 that this mutual agreement is not based upon any just cause 18 reason to terminate his employment; and 19 WHEREAS, in order to assure that all legal aspects of the employment contract have been addressed it is important 20 to enter into a release and termination agreement. 21 NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF 22 DIRECTORS OF THE CITY OF LITTLE ROCK, ARKANSAS: 23 SECTION 1. The Mayor is authorized to enter into the 24 written release and termination agreement with the City Manager, attached as Exhibit 1 to this ordinance, provided 25 this agreement is to become finally effective on January 2, 26 1993. 27 SECTION 2. The ability to quickly and efficiently 28 sever contractual relationships with a City Manager is 29 necessary to preserve the public health, safety and welfare since it permits the Board of Directors to make other 30 arrangements for city management without concern about 31 outstanding claims concerning employment of the city 32 manager. This permits any interim or new city manager to 33 begin work on the problems of the city and not be caught up 34 in a discussion about the scope of the new manager's authority. The agreement to release and terminate the 35 present city manager accomplishes this public goal. An 36 '710 0-L1 0-(JL 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 emergency is therefore declared to exist and this ordinance shall be in full force and effect from and after the date of its execution. PASSED: December 21, 1992 ICITY CLERK APPROVED • •• ATTORNEY THOMAS M. CARP CITY APPROVED: - M � 711 712 RELEASE AND TERMINATION AGREEMENT This Agreement is entered into this 21st day of December, 1992, between the City of Little Rock, Arkansas, through its duly authorized representative, Mayor Sharon Priest ( "the City"), acting upon the authority of the Board of Directors, and Thomas D. Dalton ( "Dalton "). R E C I T A L S WHEREAS, Dalton has previously negotiated a compensation package with the Board of Directors that includes certain provisions creating a property right to compensation; and WHEREAS, the Board of Directors has met with Dalton in executive session to discuss the future of this agreement; and WHEREAS, as a result of this meeting it has been mutually decided that Dalton will resign, but that this mutual agreement is not based upon any just cause reason to terminate his employment; and WHEREAS, in order to assure that all legal aspects of the employment contract have been addressed it is important to enter into a release and termination agreement. NOW, THEREFORE, FOR AND IN CONSIDERATION OF THE COVENANTS SET FORTH BELOW, THE PARTIES AGREE AS FOLLOWS: 1. Thomas D. Dalton will submit his resignation immediately, effective on January 2, 1993, and will forever relinquish any and all causes of actions of any nature whatsoever that he may have against the City of Little Rock, 0 713 the Mayor or members of the Board of Directors, any employee or person working with, for, or on behalf of the City of Little Rock, which arise out of Dalton's relationship as the city manager. 2. The City shall pay Dalton a sum equal to six months aggregate salary. This payment shall be made on January 2, 1993. 3. The City shall pay Dalton for all unused vacation hours available to him as of the date of resignation. The sum shall be paid as follows: (a) The City shall deduct from the aggregate amount due for unused vacation a sum equal to six months premium payments for health insurance, dental insurance, and vision insurance currently available to all city employees not to exceed $2,575.08; the amount deducted shall include the amount necessary to pay dependent coverage under these insurance policies. The deduction shall be paid by the City to the appropriate insurance companies on behalf of Dalton and his dependents in accordance with all federal, state and local laws and regulations. (b) The City shall deduct from the aggregate amount due for unused vacation, after deduction for insurance payments set forth above, a sum equal to one year's worth of retirement payments not to exceed $7,500 to the program currently in - 2 - M M M M M M M ■■u M M 0 714 place for Dalton with the International City Manager's Association ( "ICMA ") not to exceed $7,500; the amount deducted shall be paid by the City to ICMA on behalf of Dalton in accordance with all federal, state and local laws and regulations. (c) The City shall deduct from the aggregate amount due for unused vacation, after deduction for insurance payments and retirement payments set forth above, a sum equal to one year's premium for the term life insurance policy currently in place for Dalton through the City; the amount deducted shall be paid by the City to the insurance company on behalf of Dalton in accordance with all federal, state and local laws and regulations. (d) If any amounts are still available after the deductions set forth in subparagraphs (a) through (c), the balance from the aggregate amount due for unused vacation shall be paid to Dalton on January 2, 1993. (e) If any amounts are necessary to meet the obligations set forth in paragraph (a) through (c), the balance shall be paid by Dalton to the City for the payment of these obligations no later than the date of payment of the salary amount set forth in paragraph 2 above. If additional amounts other than the sums available from unused vacation reimbursements are - 3 - 715 obligations of the obli necessary to meet h g subparagraphs (a) through (c) above, Dalton retains the right to refuse to have the City arrange for payment of any or all of these items. 4. Dalton shall surrender to the City the automobile provided for his use and enjoyment no later than January 2, 1993. The City shall be responsible for the condition of the automobile except for any damage caused by the intentional misconduct of Dalton. 5. Dalton agrees that if it is necessary for him to appear in court, at an administrative hearing, or before any other tribunal, as a result of work performed while serving as city manager of the City, he will do so and waives the necessity of subpoena, challenges to venue, or any other challenge to process. In addition, Dalton agrees that the expenses for such appearances, if called upon by the City to testify, shall be limited to actual expenses as authorized by City policy excluding expert witness fees. 6. The City and Dalton agree that this document contains all the agreements between parties. Except for the releases and payments set forth herein, there are no other agreements between the parties. Further, that DALTON HAS HAD THE OPPORTUNITY TO EMPLOY PRIVATE COUNSEL TO REVIEW AND COMMENT UPON THIS DOCUMENT AND HAS EITHER REFUSED TO DO SO, OR HAS DONE SO AND ENTERS INTO THIS AGREEMENT UPON THE ADVICE OF INDEPENDENT COUNSEL. 7. All ambiguities in this document shall be resolved in favor of the City of Little Rock. - 4 - M M M M 8. This document is being executed with an original and several copies, any signed copy of which will be deemed by the parties to constitute an original for purposes of authentication or establishing relevancy in any court of law or before any administrative tribunal. WHEREUPON the parties have executed this agreement this 552d day of December, 1992. -s,m-as D. Da­l��n Mayor Sharon Priest Date: / �1- - - 902.. Attest: - 5 - Date: �� ^ o�� 70%, 716