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HomeMy WebLinkAboutSweet, Kevin City Manager Employment Agreement - 2024 09 23This Agreement made and entered into this 23rd day of September 2024, by and between the City of Winter Springs, a Florida municipal corporation, whose address is 1126 E. State Road 434, Winter Springs, Florida 32708, hereinafter referred to as "City" and Kevin A. Sweet, hereinafter referred to as "City Manager", both of whom understand and agree as follows: WHEREAS, the City is a Florida municipal corporation organized under the laws of the State of Florida, and whose powers in accordance with section 4.6 of the City Charter are vested in the City Commission, except as otherwise provided by law or the City Charter, and the City Commission shall provide for the exercise thereof and for the performance of all duties and obligations imposed on the City by law; and WHEREAS, the City Commission desires to retain the City Manager to serve in accordance with Article V, of the City's Charter for an indefinite term; and WHEREAS, the City Manager has been appointed solely on the basis of executive and administrative qualifications and shall serve at the pleasure of the Commission; and WHEREAS, the City Commission and the City Manager desire to establish those benefits and conditions of employment regarding the City Manager's employment. NOW THEREFORE, in consideration of the mutual covenants contained herein, the City Commission and the City Manager agree as follows: The City Commission hereby appoints and agrees to hire the City Manager, with an effective start date of December 16, 2024. The City Manager shall be the Chief Administrative Officer, and shall have the power and authority to perform those duties set forth in the City Charter, and further shall perform such other duties as may be prescribed by the City Commission which are legally permissible and consistent with the provisions of the Commission -Manager form of government, as well as the City Charter, City Ordinances, Policies, and Resolutions of the City Commission. A. Nothing in this Agreement shall prevent, limit, or otherwise interfere with the right of the City Commission to terminate the employment of the City Manager at any time, subject to the provisions of Sections 2 and 3 of this Agreement. B. Nothing in this Agreement shall prevent, limit, or otherwise interfere with the right of the City Manager to resign at any time, subject to the provisions of Section 4 of this Agreement. C. It is recognized that the City Manager must devote a great deal of time on business for the City that will require him to arrange to be available to perform the duties of his employment not only during regular business hours of the City, but also at such other times when circumstances warrant such as attending Commission and other board meetings, handling emergency management and response situations, and as reasonably requested by the City Commission, and to that end the City Manager will not have a set work schedule. The City Manager acknowledges that the duties and hours of the City Manager's position will be variable and will require work after the City's regular business hours, and on nights, weekends, and holidays. The City Manager hereby agrees that he Page 1 of 8 shall faithfully and fully devote, on a full-time basis, his best efforts and the time and energy necessary to fully perform the duties of the position. All such duties shall be performed within the time frames or deadlines expressly imposed by law, applicable policy, rule, or as reasonably established by the City Commission. The City Manager shall request of the City Commission from time to time such decisions or actions of the City Commission which the City Manager may determine in his professional judgment are reasonably necessary for the successful accomplishment of his duties as City Manager. This Agreement is for an indefinite term, but in accordance with the City Charter Section 5.02, the City Manager shall be removed from office only by a super -majority of no less than four (4) affirmative votes of the full City Commission. A. If the City Manager's employment is terminated by the City Commission with cause, the City Commission shall not be required to pay any severance allowance to the City Manager or any other salary, compensation, or benefits after the effective date of termination. For the purposes of this paragraph, the term "with cause" shall mean: (1) conviction of or a plea of guilty or nolo contendere to a felony involving moral turpitude; (2) misfeasance, malfeasance or nonfeasance in office; (3) conviction of a violation of the Florida Ethics Laws or any illegal act involving personal gain to himself such as embezzlement, bribery and theft; (4) incapacity or habitual neglect of duties, rendering the City Manager unable to perform the essential functions of the position for an extended time; or (5) abandonment of the Office of City Manager. B. The term of this Agreement shall remain in full force and effect and hold over until employment is terminated under the terms herein, or a new employment agreement has been negotiated and entered into between the City Commission and the City Manager. In the event the City Manager is terminated without cause by super -majority vote of four (4) affirmative votes of the full City Commission, the City agrees to pay the City Manager his salary, all stated benefits in Sections 5 through 11 of this Agreement, and accrued benefits. In addition, upon termination without cause, the City agrees to pay the City Manager severance pay equivalent to twenty (20) weeks of salary, calculated from the final date of termination. This severance payment will serve as constermination.deration for the mutual release and waiver of any claims between the City and the City Manager. By accepting this severance, the City Manager agrees to release, discharge, and hold harmless the City, its officers, agents, attorneys, and employees from any and all claims, liabilities, or causes of action, whether known or unknown, arising from or relating to the City Manager's employment, including, but not limited to, all acts or omissions that occurred during the course of employment. This release shall survive the termination of this Agreement. The City, in turn, agrees to release and hold the City Manager harmless from any claims or liabilities arising from the performance of his duties as City Manager, from the beginning of time until the date of motion. This release shall survive the termination of this Agreement. The City Manager has the option to accept full payment of severance and benefits immediately upon termination, receive the benefits bi-weekly as normal, or to defer payment to a mutually agreeable future date. In the event the City Manager resigns following a super -majority vote of four (4) affirmative votes of the full commission, as required by the charter, suggesting to him that he resign, then the City Manager may, at his option, deliver written notice to the Mayor and City Commission within seventy-two (72) hours of such vote, declaring that he deems himself to be "terminated." Upon such declaration, the City Manager shall be entitled to receive severance pay as described above. If the City Manager does not deliver written notice within the specified time period, he waives any entitlement to declare termination and severance pay under this provision. In the event the City Manager resigns his position (unless such resignation is pursuant to the requirements specified in the last paragraph of Section 3 heremabove) with the City, the City Commission shall have no obligation to pay a severance payment, other than his due salary and stated benefits accrued as of the date of final resignation. The City Manager shall give the City Commission at least sixty (60) days' written notice in advance, unless waived by a super -majority vote of four (4) affirmative votes of the full City Commission at its sole discretion. The initial base salary of the City Manager shall be $218,000 per annum. Effective October 1, 2025 (FY 2026), his salary shall be raised to $225,000 per annum. The salary shall be payable consistent with current city procedures. A. Commencing on October 1, 2026, and for each fiscal year thereafter, the City Manager shall receive the standard annual cost of living allowance (COLA) as determined and granted at the discretion of the City Commission to all other senior leadership level employees of the City. B. In addition to any annual cost of living (COLA) increases, the City Commission may by super - majority vote of the full Commission, at its discretion, increase the City Manager's salary or pay bonuses as additional compensation at any time during any year. The number and amount of such increase or bonuses, if any, shall be at the sole discretion of the City Commission and subject to Section 215.425, Florida Statutes. However, in no event shall the City Manager's salary or any agreed upon continuing annual bonus be less than his present salary or any agreed upon continuing annual bonus. The City Manager is entitled to all paid holidays observed by regular full-time City employees. In lieu of vacation, sick, personal, and administrative leave, the City Manager will receive Executive Leave (EL) days. Upon commencement of employment on the start date stated in Section 1, the City Manager shall be credited with thirty (30) paid EL days, and thereafter, forty (40) paid EL days annually at the start of each fiscal year commencing on October 1, 2025. A maximum of one hundred and forty (140) EL days may be carried over each year, with any remaining days to be either used or forfeited. Upon termination of this Agreement, whether voluntary or involuntary, the City Manager will be entitled to a full cash payment for all accumulated, unused EL days at his last rate of pay. Page 3 of 8 A. Upon commencement of employment, the City Manager shall be entitled, at his option, to receive fully paid health, dental and vision insurance coverage of his choice for himself and his family (as provided under, and subject to the terms and conditions of, the City's applicable group health plan). The City Manager at the time of his official retirement from the City, shall at his option be able to continue to be covered by the City's group health, dental and vision coverage purchased at the then rate offered to employees as may be allowed by law. B. During his employment with the City, the City agrees to pay the required premiums for a term life insurance policy for the City Manager in an amount equal to two (2) times his salary, not to exceed $500,000. C. During his employment with the City, the City shall put in force for the City Manager, and to make the required premium payments for a short-term and long-term disability insurance policy. D. Upon execution of this Agreement, the City Manager agrees to opt -out and waive all benefits outlined in Section 7(A) and 7(B). In exchange for opting -out of all the benefits outlined in Section 7(A) and 7(B), the City will provide an annual opt -out payment of $15,000 from the City's health insurance budget line, payable in equal installments according to current payroll procedures. If the City Manager, due to a qualifying event, chooses not to waive the benefits in Section 7(A) and 7(B) collectively, he will not be eligible for the opt -out payment and will receive all the benefits provided under those sections. The City Manager is not eligible to participate in the City's defined benefit pension plan. Therefore, he shall receive a contribution equal to fifteen (15) percent of the City Manager's annual gross salary to his established 401(a) retirement plan, plus an additional match of up to five (5) percent if the City Manager contributes. In addition, the City shall contribute the maximum allowable amount under IRS Code annually to the City Manager's established 457b deferred compensation plan. Contributions to both plans will be made in bi-weekly installments, and the City Manager will be immediately vested. A The City Manager's duties require that he be on duty and available 24/7. The City shall provide, maintain, repair, fuel, insure, pay SunPass tolls and properly equip afull-size automobile for the City Manager's exclusive and unrestricted use at all times during his employment with the City. & The City shall provide the City Manager with a $125 per month allowance toward the cost of his personal cell phone and data plan. This payment is meant to compensate for business use. The City shall not be responsible for the cost of any cell phone replacement or any other charges related to the cell phone usage. C Recognizing the importance of constant communication and maximum productivity, to work externally, a mobile laptop will be provided for the City Manager's exclusive official use, returnable to the City upon resignation or termination. D The City shall provide the City Manager with a $300 annual clothing allowance for the purchase Page 4 of 8 of official City of Winter Springs monogrammed attire, foul weather gear, and high -visibility apparel to support his official capacity in representation of the City. A. The City Manager is required to maintain professional competency, and participation in educational conferences, seminars, and professional meetings is encouraged. The City Commission agrees to budget for and cover the reasonable costs of professional dues and subscriptions necessary for the City Manager's continued involvement in national, regional, state, and local associations (e.g., ICMA, FCCMA, GFOA, IAEM) that benefit both his professional development and the City's interests. The City Commission agrees to also budget for and cover all reasonable expenses related to the City Manager attending conferences, meetings, and seminars, including registration fees and travel costs (e.g., airfare, lodging, car rental). Furthermore, the City Commission recognizes the value of the City Manager's engagement with local civic organizations that benefit the City's interests and will cover reasonable membership fees or dues for such participation. Expenses that are budgeted and approved by the City Commission will be paid directly or on a reimbursement basis. The City Manager shall not be required to use Executive Leave time for professional development activities that are budgeted for and approved by the City Commission. B. The City Manager shall receive a per diem allowance for meals and incidental expenses (M&IE) in accordance with the City's travel and per diem policy, when away on City business for a 24-hour or more period. Receipts are not required for per diem allowances and are paid after the trip is completed. C. The City recognizes the benefit of the City Manager maintaining his national and/or Florida professional licensure(s) and/or certifications) relevant to the position of city manager, therefore, the City Commission shall budget for and cover the reasonable costs necessary for the City Manager's maintenance and renewals of such license(s) and/or certification(s). D. The City Manager may accept speaking, writing, lecturing, teaching, consulting or other paid engagement of a professional nature as he sees fit, provided he uses accrued Executive Leave days if such engagement occurs during a work day, such engagement does not interfere with the performance and discharge of his duties and responsibilities as City Manager, and such engagement shall not be in violation of the State of Florida Conflict of Interest Law. The City Manager may also serve on local, regional, state or national boards and committees that are not politically affiliated nor deemed contrary to the City's best interests by the City Commission. The City Manager shall be entitled to the highest level of insurance and/or benefits enjoyed by and/or available to department heads, and/or general employees of the City, except as otherwise expressly provided to the City Manager by the terms of this Agreement herein. Annually the City Commission and the City Manager shall define the goals and objectives which they determine necessary for the proper operation of the City and the attainment of the Commission's policy objectives, and shall further establish a general priority among those various goals and objectives, said goals and objectives to be reduced to writing. They shall generally be attainable within the time Page 5 of 8 limits specified and with the annual operating and capital budgets and appropriations provided by the City and the events that have occurred during the year. The City Commission may review the performance of the City Manager within 30 days prior to his annual anniversary date for each year. The City Manager's review and evaluation shall be in accordance with specific criteria developed jointly by the City Manager and the City Commission. Said criteria may be amended by mutual agreement of the City Commission and the City Manager. Further, the Mayor may participate in the annual evaluation, and the Mayor and City Commission, through the City Clerk, shall provide the City Manager with a written summary of the evaluation results. The City Manager shall be provided with an adequate opportunity to discuss the performance evaluation and results with the Mayor and City Commissioners. Failure of the City Commission to perform the annual evaluation will not impede the City Commission from providing, at its discretion, an annual increase in accordance with Section 5(B), The City Commission shall not, at any time during the term of this Agreement, unilaterally reduce the salary, compensation, or other financial benefits of the City Manager, unless the reduction of salary, compensation, or other financial benefit is based on a percentage reduction that is applicable to an across- the-board reduction for all other senior leadership level employees of the City. There is currently no residency requirement for the City Manager; however, the City Manager agrees to establish a primary residence within the City of Winter Springs or within 10 miles of the City boundary. A. As a one-time expense, effective as of the date of execution of this Agreement, the City shall provide the City Manager with a relocation budget not to exceed $30,000, to be expended by August 1, 2025. This budget covers necessary and reasonable expenses related to relocating, moving and transitioning the City Manager's family and belongings. Covered expenses include temporary or permanent rental housing reimbursement for 90 days, moving services, supplies, storage, dumpsters, substantive travel and house hunting costs (e.g., round-trip airfare, lodging, vehicle rental, and meals). The City shall directly pay for contractual expenses associated with moving the City Manager's family and personal property. These expenses include packing, moving, storage, unpacking, and insurance costs. The City Manager shall provide written evidence of actual moving expenses by obtaining written quotes from three (3) companies. These quotes will be submitted to the Finance Director, whom in consultation with the City Manager will select the moving company. The City acknowledges that relocation expenses may be incurred in phases to accommodate the completion of the school year and the full relocation of dependent family members. B. As a one-time benefit, the City Manager shall be granted five (5) days of leave, to be used by August 1, 2025, for transitioning and addressing personal matters related to relocating to the State of Florida and the City of Winter Springs. This leave is in addition to the Executive Leave provided in this Agreement. C. If the City Manager voluntarily resigns prior to the second anniversary of his effective start date stated in Section 1, the City Manager shall reimburse the City for the total amount of any relocation expenses paid by the City. Such reimbursement shall be deducted from any contract payouts owed to the City Manager, provided the payouts are sufficient to cover the full amount. If the payouts are insufficient, the City Manager shall be responsible for paying the remaining balance in cash to Page 6 of 8 the City. The City shall defend, indemnify, save, and hold harmless the City Manager against any tort, civil rights, professional liability claim or demand, or other legal action, whether groundless or otherwise, arising out of an alleged act or omission occurring within the scope and performance of the City Manager's duties, except for acts or omissions acted in bad faith, with malicious purpose, or in a manner exhibiting wanton and willful disregard of human rights, safety, or property. Criminal litigation shall not be included in this indemnity clause. The City Manager recognizes that the City shall have the right to compromise and settle any claim or suit and pay the amount of any settlement or judgment rendered thereon. Further, the City agrees to pay all reasonable litigation expenses of the City Manager throughout the pendency of any litigation to which the City Manager is a party, witness or advisor to the City which may arise out of the course and scope of his employment. However, if the City Manager is found to be personally liable by virtue of acting outside the scope of his employment, or was acting in bad faith, with malicious purpose, or in a manner exhibiting wanton and willful disregard of human rights, safety, or property, the City may recover from the City Manager any attorney's fees paid from City funds in accordance with Section 111.07, Florida Statutes. If any claim or cause of action shall arise after the City Manager has left his employment with the City, he shall be reimbursed for travel, lodging and be paid a daily per diem basis based on his salary at the time of his separation from the City. To the maximum extent permitted by law, the City and City Manager shall rely upon the doctrine of sovereign immunity and the provisions of section 768.28, Florida Statutes, and other applicable law. The City Manager's right to indemnification hereunder shall survive the termination of this Agreement. The City shall bear the full cost of any bonds required of the City Manager. A. This Agreement embodies the complete agreement between the parties. B. There are no inducements, promises, terms, conditions, or obligations made or entered into by the parties other than as contained herein. C. This Agreement shall be binding upon and inure to the benefit of the heirs at law and executors of the City Manager. D. In the event of any conflict between the terms, conditions, and provisions of this Agreement and the provisions of the City's policies, ordinances, or rules and regulations, or any permissive state or federal law, then, unless otherwise prohibited or mandated by law, the terms of this Agreement must take precedence over contrary provisions. E. If any provision, or any portion thereof, contained in this Agreement is held unconstitutional, invalid, or unenforceable, the remainder of this Agreement, or portion thereof, shall be deemed severable, shall not be affected, and shall remain in full force and effect. F. This Agreement may not be modified or changed in any way whatsoever except by written agreement of the parties. Page 7 of 8 G. This Agreement shall be interpreted and governed by the laws of Florida. Venue for any action hereunder shall be in Seminole County, Florida, or if a federal action is commenced, in the Federal Court in Orlando, Florida. H. WAIVER OF JURY TRIAL. THE CITY AND CITY MANAGER HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE ANY RIGHT EITHER MAY HAVE TO A TRIAL BY JURY WITH RESPECT TO ANY LITIGATION RELATED TO OR ARISING OUT OF, UNDER OR IN CONJUNCTION WITH THIS AGREEMENT, THE CITY MANAGER'S EMPLOYMENT AND TERMINATION OF EMPLOYMENT, AND ANY AND ALL OTHER DISPUTES WHICH MAY ARISE BETWEEN THE CITY AND CITY MANAGER WHETHER BASED ON CONTRACT, COMMON LAW, LOCAL ORDINANCE, OR STATE OR FEDERAL LAW. I. The City Commission and City Manager hereby represent to the other that they have each undertaken all necessary actions to execute this Agreement, and they each have the legal authority to enter into this Agreement and to undertake all obligations imposed on it. J. The language of the City Charter relating to the position and function of the City Manager of the City of Winter Springs, as may be amended from time to time, is incorporated herein by reference into this Agreement as though it were set forth in the text of this Agreement verbatim. K. The effective date of this Agreement shall be the date first written above. The effective date of employment shall be the date written in Section l . L. The "whereas" recitals stated above are hereby incorporated herein by this reference. IN WITNESS WHEREOF, the City Commission has caused this Agreement to be signed and executed on its behalf by its Mayor and duly attested by its City Clerk, and the City Manager has signed and executed the same, on the day and year first written above. CITY OF WINTER SPRINGS, FLORIDA CITY MANAGER A411 a Cr Kevin McCann, Mayor Kevin A. S Approved by the City Commission on. ATTEST: Christian Gowan, City Clerk Approved as to legal form and sa fficie��cy for the Ci.(y gf•Wi��ter Springs only: Anthony A. Garganese, City Attorney Page 8 of 8