HomeMy WebLinkAbout04/18/2000, C2 - APPOINTMENT OF CITY ADMINISTRATIVE OFFICER Council
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CITY OF SAN LUIS OBISPO
FROM: Ann Slate,Director of Human Resources.
SUBJECT: APPOINTMENT OF CITY ADMINISTRATIVE OFFICER
CAO RECOMMENDATION
Adopt a resolution appointing Kenneth C. Hampian to the position of City Administrative
Officer(CAO) effective January 1, 2001 and establishing terms and conditions of employment.
DISCUSSION
In February:,-the City Administrative Officer John Dunn formally announced his intention to
retire from the City of San Luis Obispo effective December 31, 2000. Mr. Dunn was originally
appointed to his position on March 30, 1987.
The City Council met in closed session on April 5, 2000 for the purposes of interviewing the
Assistant CAO, Ken Hampian, for the position of CAO. Following the interview, the Council
offered the position to Mr. Hampian and he accepted. The City Council then unanimously
agreed to appoint Mr. Hampian to the position of CAO in accordance with the City's Charter,
Article VII, Section 701. Council then directed staff to develop, consistent with certain
parameters agreed to between Council and Mr. Hampian, an employment agreement and to bring
it back to the Council at their next regularly scheduled meeting for formal adoption. The
agreement is attached as Exhibit A and sets forth the terms and conditions of the CAO
appointment. It includes provisions for the following:
• Annual Salary of$117,500
• 9 months severance pay
• Health and other benefits consistent with what the Council currently grants the
CAO and City Attorney except that administrative leave will not be included in
the GAO's base salary. This includes such benefits as retirement, health, life and
long-tens disability insurance, auto allowance, deferred compensation
contribution,vacation and sick leave.
FISCAL IMPACT
The position of City Administrative Officer is currently funded in the City's Financial Plan at the
top of the range..Mr. Hampian is being appointed to the middle of the range. Therefore, existing
funding is more than adequate to support the appointment.
ATTACHMENTS: Resolution
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RESOLUTION NO. (2000 Series)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS
OBISPO APPOINTING KENNETH C. HAMPIAN TO THE POSITION OF
CITY ADMINISTRATIVE OFFICER AND ESTABLISHING TERMS
AND CONDITIONS OF EMPLOYMENT
WHEREAS, Charter Section 701 provides that the San Luis Obispo City Council (hereinafter
referred to as "Council") is responsible for the appointment and removal of the City Administrative
Officer(hereinafter referred to as"CAO"), and
WHEREAS, the Council, on behalf of the City of San Luis Obispo (hereinafter referred to as
"City") acknowledges and accepts the responsibility for supervision of the CAO; and
WHEREAS, the Council, is desirous of appointing a CAO and wishes to set the terms and
conditions of said employment; and
WHEREAS, Kenneth C. Hampian (hereinafter"Ken Hampian') desires to accept the position
of CAO consistent with certain terms and conditions of said employment, as set forth in this
Resolution,
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo
that the terms and conditions of said employment are as follows:
Section 1. Effective Date.
A. The appointment of Kenneth C. Hampian is effective April 18,2000.
B. Kenneth C. Hampian will assume the position of CAO as of January 1, 2001.
C. Nothing in this agreement shall prevent, limit or otherwise interfere with the right of the
Council to terminate the services of Ken Hampian at any time, subject only to San Luis Obispo City
Charter Section 709 and the provisions set forth in Section 13 of this agreement.
D. Nothing in this agreement shall prevent, limit or otherwise interfere with the right of Ken
Hampian to resign at any time from his position with the City, subject only to the provision set forth in
Section 14 of this agreement.
Section 2. Salary
Council agrees to pay Ken Hampian for his services rendered pursuant hereto a starting annual
base salary of$117,500,payable in installments at the same time as the other management employees
of City are paid. In addition, Council agrees to increase said base salary by the cost-of-living
adjustment approved by the Council for all city management employees under the Management Pay-
for-Performance System(Resolution No. 9017, 2000 Series).
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Resolution No. (2000 Series)
Page 2
Section 3. Benefits
In addition to the salary set forth in Section 2 of this agreement, Ken Hampian shall be entitled
to the same benefits as those offered by City to the CAO in accordance with Resolution 9037 (2000
Series) and supporting resolutions, except that 80 hours of administrative leave shall not be included as
salary. .
Section 4. City Council—CAO Teambuilding
The Council and CAO shall attend and participate in the League of California Cities Leadership
Team Workshop scheduled for February 14-16, 2001, in Pomona, California. Council and CAO may
attend similar workshops in subsequent years, as determined by the Council.
Section 5. Performance Evaluation
A. By January 31, 2001, Council and Ken Hampian shall establish written goals,performance
objectives, and priorities and further, shall conduct an"interim"evaluation during July 2001, and at
this stage, the CAO shall be eligible for a salary increase subject to performance.
B. Each calendar year thereafter, Council shall review and evaluate the performance of Ken
Hampian in accordance with the adopted Appointed Officials Evaluation Process, as modified by the
Council on August 17, 1999. This system, or any successor system, shall provide that the Council and
Ken Hampian jointly establish in writing one year in advance of evaluation,goals and performance
objectives that the Council determines necessary for the proper operation of the City of San Luis
Obispo and are needed to attain the Council's policy objectives. Council shall further establish a
relative priority among those various goals and objectives,which shall be attainable within the time
limitations as specified and the annual operating and capital budgets and appropriations provided.
Salary shall be adjusted by Council,based on performance, in accordance with the adopted
Management Pay-for-Performance System,or any successor system.
Section 6. Outside Activities, Conduct and Behavior
A. Ken Hampian shall not engage in teaching, consulting or other non-City connected
business without the prior approval of Council.
B. Ken Hampian shall comply with all local and state requirements regarding conflicts-of-
interest and shall avoid personal involvement in situations which are inconsistent or incompatible with
the position of CAO or give rise to the appearance of impropriety.
Section 7. Dues and Subscriptions
Council agrees to budget for and to pay for professional dues and subscriptions of Ken
Hampian necessary for his continuation and full participation in national, regional, state, and local
associations, and organizations necessary and desirable for his continued professional participation,
growth, and advancement, and for the good of the City.
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Resolution No. (2000 Series)
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Section 8. Professional Development
A. Council hereby agrees to budget for and to pay for travel and subsistence expenses of Ken
Hampian for professional and official travel,meetings, and occasions adequate to continue the
professional development of Ken Hampian and to adequately pursue necessary official functions for
City, including but not limited to the ICMA Annual Conference, the League of California Cities, and
such other national, regional, state, and local governmental groups and committees.
B. Council also agrees to budget for and to pay for travel and subsistence expenses of Ken
Hampian for short courses, institutes, and seminars that are necessary for his professional development
and for the good of the City.
C. Others may be agreed upon from time to time between the Council and Ken Hampian.
Section 9. General Expenses
Council recognizes that certain expenses of a non-personal and generally job-affiliate nature are
incurred by the CAO, and hereby agrees to authorize the Finance Director to reimburse or to pay said
general and reasonable expenses, consistent with City policies,upon receipt of duly executed expense
or petty cash vouchers, receipts, statements or personal affidavits.
Section 10. Indemnification
In addition to that required under state and local law, City shall defend, save harmless, and
indemnify Ken Hampian against any tort,professional liability claim or demand or other legal action,
whether groundless or otherwise, arising out of an alleged act or omission occurring in the performance
of Ken Hampian's duties as CAO. City may compromise and settle any such claim or suit, and shall
pay the amount of any settlement or judgment rendered thereon.
Section 11. Other Terms and Conditions of Employment
The Council, in consultation with Ken Hampian, shall fix any such other terms and conditions
of employment, as it may determine from time to time, relating to the performance of Ken Hampian,
provided such terms and conditions are not inconsistent with or in conflict with the provisions of this
agreement, the City Charter or any other law.
Section 12. No Reduction of Benefits
Council shall not at any time during the term of this agreement reduce the salary, compensation
or other financial benefits of Ken Hampian, except to the degree of such a reduction across-the-board
for all employees of the City.
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Resolution No. (2000 Series)
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Section 13. Termination and Severance Pay
A. In the event Ken Hampian's employment is terminated by the Council, or he resigns at the
request of a majority of the Council, during such time that he is otherwise willing and able to perform
the duties of CAO,the Council agrees to pay him a lump sum cash payment equal to nine (9) months
compensation(salary and all appointed officials fringe benefits). In the event that Ken Hampian is
terminated for good cause, then the Council shall have no obligation to pay the lump sum severance
payment mentioned above. For the purpose of this agreement, "good cause" shall include, but not
necessarily be limited to any of the following:
(1) a material breach of the terms of this agreement;
(2) misfeasance;
(3) malfeasance;
(4) a failure to perform his duties in a professional and responsible manner consistent with
generally accepted standards of the profession;
(5) conduct unbecoming the position of CAO or likely to bring discredit or embarrassment to
the City.
"Good cause"shall not mean a mere loss of support or confidence by a majority of the Council.
Section 14. Resignation
In the event Ken Hampian voluntarily resigns his position with the City,he shall give the
Council at least two (2)months advance written notice.
Section 15. General Provisions
A. The text herein shall constitute the entire agreement between the parties.
B. This agreement shall be binding upon and inure to the benefit of the heirs at law and
executors of the parties.
C. This agreement shall become effective commencing April 18, 2000.
D. It is the intent of the Council that this agreement and the appointment of Ken Hampian as
CAO be in accordance with the requirements and provisions of the Charter. Wherever possible the
provisions of this agreement shall be construed in a manner consistent with the Charter. If any
provision of this agreement conflicts with the Charter, the Charter shall control.
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
Upon motion of , seconded by
and on the following roll call vote:
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Resolution No. (2000 Series)
Page 5
AYES:
NOES:
ABSENT:
the foregoing resolution was adopted this 18th day of April, 2000.
Mayor Allen Settle
ATTEST:
City Clerk
APPROVED AS TO FORM:
fff/ryX. rge n, Cg Attorney
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