Employment Agreement with Jimmy L. Morales X0/3
EMPLOYMENT AGREEMENT
THIS EMPLOYMENT AGREEMENT (the "Agreement") is entered into, by, and
between JIMMY L. MORALES ("Morales") and the CITY OF MIAMI BEACH, FLORIDA (the
"City") (collectively, the "Parties").
WHEREAS, the City, acting by and through its City Commission, desires to employ
Morales as its City Manager on the terms and conditions set forth in this Agreement and Morales
desires to accept employment as City Manager on those same terms and conditions;
NOW, THEREFORE, the Parties agree as follows:
1. Recitations. Parties agree that the recitations above are true and correct and are
incorporated as if fully set forth here.
2. Employment. The City agrees to employ Morales as its City Manager and
Morales agrees to be so employed. Morales will devote his full working time to his duties as
City Manager and will not accept or perform any other employment, paid or unpaid, while he is
employed as City Manager except as expressly set forth herein or expressly agreed to by the City
Commission by resolution and modification of this Agreement according to its terms. However,
nothing in this Agreement shall prohibit Morales from occasional other work, such as teaching,
writing, community activities, pro bono work, or civic or charitable activities as is appropriate to
this position of City Manager, provided, however, that such work shall not interfere with
Morales' duties as City Manager and shall not in any way reflect unfavorably on the City.
Morales shall at all times apply his best efforts to the performance of his duties as City Manager.
3. Employment At Will. Morales is employed at will and serves at the pleasure of
the City Commission. This Agreement and his employment may be terminated by the City
Commission at any time and for any reason or for no reason, subject only to the express
Termination provisions of this Agreement.
4. Duties. Morales will perform the duties of the office of City Manager as set forth
in the Charter of the City of Miami Beach, Florida, and in the Code of the City of Miami Beach,
Florida, and all such duties customary and appropriate to this position of City Manager and such
other appropriate duties as may be assigned by the City Commission or its designee from time to
time.
5. Effective Date. This Agreement shall become effective April 1, 2013 (the
"Effective Date").
6. Term. The term of this Agreement shall commence at 12:01 a.m., April 1, 2013,
and shall expire at midnight, March 31, 2015, unless terminated earlier or renewed as set forth
herein.
7. Compensation. Morales shall receive compensation for performing the duties of
City Manager as set forth in this Section 7. Nothing other than those items set forth in this
Section 7 shall be considered or treated as compensation, wages, salary, earnings, or
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remuneration to Morales for any purpose whatsoever, including pension or for purposes of
Section 448.08, Florida Statutes, or in arbitration.
a. Salary. The City shall pay Morales a salary of annualized at $255,000.00
to be earned and to accrue bi-weekly. This salary shall likewise be paid bi-weekly
according to the usual payroll practices of the City applicable to unclassified general
employees. Morales may participate in the Section 457 deferred compensation plan
offered by the City and may designate a portion of his salary to be contributed thereto
according to the terms of the plan and applicable law. It is understood and agreed that
any contributions to the plan shall be made by Morales and not the City. The City agrees
to review the annual salary and/or other benefits of Morales at the time of evaluation of
performance as provided in Section 7.d. and make adjustments as the City may
determine. An annual salary review of Morales will be made every year within 30 days
after April 1 of each year.
b. Insurance. The City will pay the full amount of premiums for the City-
offered group medical and group dental plan selected by Morales, for himself and his
eligible dependents. The City will pay the full amount of premiums for the City-offered
life insurance policy on Morales. Morales may (or, if participation is mandatory, shall)
participate in other City-offered insurance for which he is eligible on the terms applicable
to unclassified general employees.
C. Leave. Morales will be eligible to accrue, use, and convert leave hours to
the extent and on the terms applicable to unclassified general employees.
d. Performance Evaluation and Incentive.
i. An annual review and evaluation of Morales shall be in accordance
with the specific criteria developed jointly by the City Commission and Morales
as set forth in Section 7.d.ii. The Mayor shall provide Morales with a summary
written statement of the findings of the City Commission and provide an adequate
opportunity for Morales to discuss the review and evaluation with the City
Commission.
ii. Within 90 days of the Effective Date of this Agreement and
annually thereafter, the City Commission, in consultation with Morales, shall set
quantitative measures and goals upon which to evaluate the performance of
Morales. Such measures may include, but are not limited to, the City's financial
performance, progress on capital projects, improvements in customer service, and
successful implementation of agreed upon priority initiatives. Based on the
measures and goals established and the performance achieved pursuant to the City
Commission's review of those measures and goals as provided in Section 7.d.i.,
the City Commission may provide to Morales a onetime Performance Incentive of
up to 10 percent of the annualized salary amount set forth in Section 7.a. The
Performance Incentive shall not be deemed a part of"base pay" or other earnings
for purposes of pension.
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8. Non-Compensation Expenses and Reimbursements. The City will pay for,
reimburse, or otherwise provide for the items set forth in this Section 8. These items are paid
for, reimbursed, or otherwise provided because they inure to the benefit of the City and do not
constitute compensation, wages, salary, earnings, or remuneration to Morales for any purpose
whatsoever, including pension or for purposes of Section 448.08, Florida Statutes, or in
arbitration.
a. Vehicle. The City will pay to Morales a vehicle allowance in the amount
of$6,000.00 annually, paid in proportionate bi-weekly installments to reimburse him for
the use of his personal vehicle for the benefit of the City.
b. Moving Allowance. The City will pay to Morales a onetime allowance of
up to $3,500.00 to reimburse Morales for reasonable moving-related expenses should
Morales, in his sole discretion, choose to move his primary residence into the City during
the first 12 months of this Agreement. The moving allowance will be paid upon
submission of satisfactory documentation of the moving-related expenses.
C. Information and Communications Technology Expenses. The City will
provide to Morales adequate and reasonable information and communications hardware,
software, and services to support him in the performance of his duties as City Manager.
d. Subscriptions, Memberships, and Fees. Morales may include as an
expense item in the budget of the Office of the City Manager an amount to be used to pay
for such reasonable subscriptions, memberships, and fees and other similar costs, such as
travel and lodging, as may be incurred for development and advancement related to, in
support of, and inuring to the benefit of the City. No payment authorized hereunder may
be made to an entity that illegally discriminates on the basis of race, color, gender,
religion, national origin, age, disability, marital status, or sexual orientation.
9. Renewal and Non-Renewal. The City Commission may renew or extend the
original term of this Agreement by resolution for succeeding periods as specified by the City
Commission on the same terms and conditions as then set forth in this Agreement or on such
modified terms and conditions to which it may agree with Morales. Should the City Commission
not renew or extend the original or any succeeding term, this Agreement shall expire at the end
of such original or succeeding term. Morales' employment shall simultaneously end with the
expiration of the original or succeeding term or period. Should the City not renew this
Agreement, it will either give Morales 90 days' notice of intent not to renew or, if no notice is
given, the City shall, commencing upon the end of his employment, pay Morales an amount
equivalent to 12 weeks of the salary amount set forth in Section 7.a. (the "Separation
Payments"), along with all payments due for work performed through the date of termination and
other payments due, if any, upon termination on the same terms and conditions applicable to
unclassified general employees and shall have no further liability to him whatsoever. The
Separation Payments will be paid bi-weekly according to the City's usual payroll practices.
Should Morales accept employment prior to the expiration of 12 weeks after the date of
expiration of the original or succeeding term, the Separation Payments shall immediately cease
and the City shall have no obligation to make Separation Payments then remaining unpaid.
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10. Termination by Morales.
a. With Notice. Should Morales terminate this Agreement by giving notice
not less than 90 days prior to termination, the City shall pay him in like manner as if the
Agreement were not renewed.
b. Without Notice. Should Morales terminate this Agreement by giving
notice less than 90 days prior to termination, the City shall pay him any payments due for
work performed through the date of termination and other payments due, if any, upon
termination on the same terms and conditions applicable to unclassified general
employees and shall have no further liability to him whatsoever.
11. Termination by the City. The City Commission may terminate this Agreement
and, thereby, Morales' employment at any time, without or without notice, and for any reason or
for no reason.
a. Without Cause. Should the City terminate this Agreement without
Cause, as defined in Section l Lb., it shall pay Morales an amount equivalent to 20 weeks
of the salary amount set forth in Section 7.a. (the "Severance Payment"), along with all
payments due for work performed through the date of termination and other payments
due, if any, upon termination on the same terms and conditions applicable to unclassified
general employees and shall have no further liability to him whatsoever. Should Florida
law be changed to permit a Severance Payment greater than that permitted under law at
the time of the execution of this Agreement, the City Commission will review the amount
of the Severance Payment set forth in this Agreement. In the event the City at any time
during the term of this Agreement reduces the salary or other financial benefits of
Morales in a greater percentage than an applicable across the board reduction for all
employees of the City or in the event the City refuses after written notice to comply with
any other provision of this Agreement benefitting Morales or if a majority of the entire
City Commission in a public meeting requests that Morales resign then Morales may, at
his option, be deemed to be terminated at the date of such reduction or such refusal to
comply within the meaning and context of this Section l La.
b. With Cause. Should the City terminate this Agreement with Cause, as
herein defined, it shall pay Morales any payments due for work performed through the
date of termination and other payments due, if any, upon termination on the same terms
and conditions applicable to unclassified general employees and shall have no further
liability to him whatsoever, including no obligation to pay the Severance Payment as
defined in Section l La. Cause is defined as one or more of the following: material
breach of this Agreement; conviction of any felony; admission of conduct that would
constitute any felony; conduct that would constitute a violation of any applicable code of
ethics or professional conduct; conduct that would constitute malfeasance or misfeasance
in office as those terms are interpreted under Section 112.3187, Florida Statutes; or other
similar conduct that the City Commission reasonably determines merits termination.
12. Pension. Morales shall become a member of the Miami Beach Employees
Retirement Plan as a condition of his employment pursuant to the governing ordinance of the
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plan (which plan, at the time of the execution of this Agreement, includes an accrual factor of 4
percent for the position of city manager).
13. Bonds. The City shall bear the full expense of any fidelity or other bond required
of Morales in his capacity as City Manager under any statute, ordinance, or regulation.
14. Indemnification. The City shall indemnify and defend Morales or, at its option,
provide a defense to Morales against claims arising out of and in the course and scope of his
employment or function, consistent with and to the extent of Florida law under Chapter 111,
Florida Statutes, and a public official's right to a defense against claims arising from their
performance of their public duties performed while serving a public purpose under the common
law of Florida.
15. Notice. Any notice hereunder shall be effective if made by delivery, postage paid,
to the United States Postal Service or by a manner valid for personal service under the Florida
Rules of Civil Procedure or by public statement on the record during a meeting of the City
Commission in the presence of the party to whom notice is to be given. Notice, for purposes of
this Agreement, is to be given to:
City: Mayor Matti Herrera Bower(or successor)
City of Miami Beach
1700 Convention Center Drive
Miami Beach, Florida 33139
and
City Attorney Jose Smith(or successor)
City of Miami Beach
1700 Convention Center Drive
Miami Beach, Florida 33139
Morales: Jimmy L. Morales (or heirs)
6815 Corsica Street
Coral Gables, Florida 33146
16. No Assignment or Delegation, No Third-Party Beneficiaries. The services
provided by Morales are considered unique and personal to him. Accordingly, Morales may not
delegate or assign any duty, obligation, or benefit attaching or accruing hereunder. This
Agreement is entered into and intended for the benefit solely of the City and of Morales and not
for the benefit of any other person or entity.
17. Entire Agreement, Severability, Modification, Waiver. The provisions of this
Agreement constitute the entire agreement between the Parties on its subject matter and this
Agreement supersedes any other agreement, understanding, representation, or promise
whatsoever. Morales agrees that he has relied solely upon the express language of this
Agreement in determining whether to enter into this Agreement and not upon any other
understanding or communication of any kind, whether written or oral. Should a court or
arbitrator of competent jurisdiction determine that any provision or portion thereof of this
Agreement is illegal, invalid, or unenforceable, the remaining provisions or portions thereof shall
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remain in full force and effect. This Agreement may be modified only by a writing signed by
both Parties and approved by the City Commission by resolution. Waiver of any right or of any
breach of this Agreement by either party in any instance or instances shall not constitute or be
construed as a waiver in any other instance.
18. Construction, Governing Law, Headings. This Agreement shall be construed
according to its express language and not strictly for or against either Party, regardless of
authorship. This Agreement shall be governed by and according to the laws of the State of
Florida. Section headings are for convenience only and shall have no legal effect.
19. Arbitration. The Parties agree that any claim or dispute arising from this
Agreement, its interpretation, its renewal, or its breach shall be settled in final and binding
arbitration by a single arbitrator under the Arbitration Policies and Procedures of the Federal
Mediation and Conciliation Service. A panel of arbitrators may be requested by either Party and
the Parties will select an arbitrator by alternative strikes. The first Party to strike will be
determined by agreement or coin flip. Each Party may one time reject a proposed panel of
arbitrators and request another. The party requesting any panel shall bear the expense of the
request. The Parties shall bear equally the expense of the arbitrator and the location of the
arbitration hearing. The Parties shall each bear their own litigation costs, including attorney's
fees, court reporter fees, and witness fees, if any. The arbitrator shall apply a preponderance of
the evidence standard of proof. The party asserting a claim or affirmative defense shall have the
burden of persuasion as to that claim or affirmative defense. The arbitrator shall not have
authority to make any award of attorney's fees or the costs of the arbitration. The arbitrator shall
confine himself or herself strictly to the language of this Agreement and shall have no authority
to add to, subtract from, or modify any term or provision of this Agreement. The arbitrator shall
have no authority to construe any law, regulation, rule, principle of law, decision, or provision or
provisions of this Agreement or to make any award that would result in or obligate the City,
directly or indirectly, to incur any debt, cost, expense, or liability in excess of the amount
initially budgeted, approved, and appropriated for the funding of this Agreement. Any such
purported construction or award will be null and void. The arbitrator's award shall be subject to
enforcement or vacation by the Circuit Court according to law. Moreover, and without waiving
the preceding limitation, in no case shall the City be liable for any punitive, consequential,
indirect, or incidental damages whatsoever.
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20. Counterparts, Electronic Signatures. This Agreement may be executed in one or
more counterparts, each of which shall be deemed an original and all of which together shall
constitute a single instrument. Execution and delivery of this Agreement by electronic exchange
bearing the copies of a Party's signature shall constitute a valid and binding execution and
delivery of this Agreement by such Party. Such electronic copies shall constitute enforceable
original documents.
WHEREFORE, the Parties, after full consideration, including consultation with
independent counsel, do knowingly, voluntarily, and intending to be legally bound, hereby enter
into this Agreement duly executed on the dates written below.
Attest: FOR CITY OF MIAMI BEACH, FLORIDA:
R ana erk Ma '-Herrera Bower, Mayor
day of , 201 .
ORP ORATED:'
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Witness Signature Jim y Mora es,
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Print Name
Witness Signature
X e a-,r zf r"d/®r APPROVED AS TO-
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