March 2, 2004

SUBJECT: APPROVAL OF EMPLOYMENT CONTRACT WITH INTERIM CITY MANAGER

REPORT IN BRIEF

A vacancy exists in the position of City Manager.  It is appropriate and necessary to appoint an Interim City Manager until the City Council can complete a systematic search for an individual to fill the vacant position on a regular basis.  

BACKGROUND

Amy Chan has been serving as Acting City Manager since December 17, 2003.  The City Council desires to appoint Amy Chan as the Interim City Manager until a regular replacement is found.  She is highly and uniquely qualified to serve in this capacity. 

EXISTING POLICY

Entering into a contract is consistent with Section 900 and she will be paid, consistent with Section 801, based upon the salary established for the City Manager Position by Resolution 146-03.

FISCAL IMPACT

The FY 2003/04 fiscal impact of this action is the difference between the budgeted salary cost for the City Manager position and the Assistant City Manager position. The incremental cost increase is $6,121 for the four month period from March 1, 2004 to June 30, 2004.  This incremental cost will be absorbed within the Office of the City Manager’s budget for FY 2003/04.

PUBLIC CONTACT

Public Contact was made through posting of the Council agenda on the City’s official notice bulletin board, posting of the agenda and report on the City’s web page, and the availability of the report in the Library and the City Clerk’s Office.

ALTERNATIVES

1. Appoint Amy Chan as Interim City Manager, approve the employment contract as presented, and direct the Mayor to sign the agreement on behalf of the City Council.

2. Do not approve the appointment of Amy Chan as Interim City Manager.

RECOMMENDATION

Recommend approval of Alternative No. 1.

Prepared by:

Mark C. Gregersen
Director of Human Resources 

Approved by:

John Howe
Mayor

Attachments

A. Resolution
B. Agreement for Services