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2000-24047 RESO // . ,. RESOLUTION NO. 2000-24047 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING AN EMPLOYMENT AGREEMENT BETWEEN THE CITY OF MIAMI BEACH AND JORGE M. GONZALEZ AS CITY MANAGER, AND AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE THE AGREEMENT. WHEREAS, following a search and screening process for selection of a City Manager; and WHEREAS, a duly appointed selection committee recommended Jorge M. Gonzalez for consideration for said position; and WHEREAS, a committee was appointed to negotiate an Employment Agreement with Jorge M. Gonzalez and said committee has developed a Proposed Employment Agreement, a copy of which is attached; and WHEREAS, Jorge M. Gonzalez desires to accept the position pursuant to the terms and conditions set forth in the attached Proposed Employment Agreement. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: Section One. The Mayor and City Commission approve the attached Proposed Employment Agreement between the City and Jorge M. Gonzalez and authorize the Mayor and City Clerk to execute the Agreement. Section Two. This Resolution shall take effect upon adoption. PASSED and ADOPTED this 26th day of July ,2000. ATTEST: 1M1 ~+ f~~ CITY CLERK MAYOR F:\atto\laila\gonzalez.mgr APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION .1t~ 7-b'oc1 Date / CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH. FLORIDA 33139 htlp:I\ci.miami-beach.fl.us OFFICE OF THE CITY CLERK STATE OF FLORIDA COUNTY OF MIAMI-DADE I, Jorge M. Gonzalez, a citizen of the State of Florida and the United States, and a recipient of public funds as a public officer, do solemnly swear that effective Monday, August 21, 2000, I will support, protect and defend the Constitution and Government ofthe United States, the State of Florida, and the City of Miami Beach, that I am duly qualified to hold office under the Constitution of the state; and that I will well and faithfully perform the duties of City Manager, on which I am now about to enter. So help me God. i~' ~^ ~ . 6 Jorge . Go~ez Sworn to and subscribed before me this 26th day of July. 2000 ~I~ City Clerk F:IcLERICLERIOATHlGGNZALEZ.WPD ~/ // OFFICE OF THE MAYOR & COMMISSION CITY OF MIAMID03JHAo.Gn Pil12: 25 INTEROFFICE MEMORANDUM ;.-.1(- F j ':,,"~:, TO: C1IY COMMISSION FROM: LAWRENCE LEVY C1IY MANAGER NEISENKASDINA MAYOR n . SUBJECT: EMPLOYMENT AGREEMENT wrm JORGE GONZALEZ DATE: 06/23/00 The negotiating committee designated by the City Commission has concluded negotiations with Jorge Gonzalez. The agn;ement is being drafted by the Legal Department and will be circulated to the Commission by no later than Monday. In the meantime, Jorge Gonzalez has made himself available to review the essential terms and conditions of the employment agreement. Please contact Max Sklar to coordinate any meeting or conference calls. Additionally, please place this item on the on the June 28" Gty Commission agenda for discussion and approval. C: Murray H. Dubbin, City Attorney Agenda Item ~ J ~ Date I-L~-C)D / CONDITIONS OF EMPLOYMENT Made and entered into this 2L "?iay of July, 2000 by and between the City ofMiarni Beach, State of Florida, a municipal corporation, (City) and Jorge M. Gonzalez (Manager), both of whom agree as follows: WITNE S SETH: WHEREAS, the City desires to obtain the services of Jorge M. Gonzalez as City Manager of the City of Miami Beach; and WHEREAS, it is the desire of the City to provide certain benefits, establish certain conditions of employment and to set working conditions of the Manager; and WHEREAS, it is the desire of the City to (1) secure and retain the services of the Manager and to provide inducement for the Manager to remain in such employment, (2) to make possible full work productivity and provide future security, and (3) to provide ajust means for terminating the Manager's services at such time as the Manager may be unable fully to discharge his duties due to age, or disability or when the City or the Manager may otherwise desire to terminate employment; and WHEREAS, the Manager desires to accept the position under the above terms and conditions and such other terms and conditions as will promote his continuous productivity and efficiency in the best interest of the City. NOW, THEREFORE, in consideration of the mutual covenants herein contained, the parties agree as follows: Section 1. Duties City hereby agrees for Jorge M. Gonzalez to serve as City Manager and Jorge M. Gonzalez hereby agrees to perform the functions and duties of City Manager as specified in the City Charter and the City Code of the City of Miami Beach, and to perform other legally permissible and proper duties and functions as the City Commission shall from time to time assign. Section 2. Term of Agreement, Renewal and Termination A. The Manager agrees to remain in the exclusive employ of the City for the period between August 21,2000 and August 20, 2003, subject to the provisions of this agreement. B. At least 90 days but no earlier than 120 days prior to August 20, 2003, unless this agreement has already ended pursuant to its provisions, the Commission shall notify the Manager of its intention to enter into a new agreement, extend this agreement for such term as the parties may agree or allow this agreement to expire. Failure of the Commission to act shall be deemed a decision to allow this Agreement to expire. In the event this Agreement is allowed to expire and the Manager ,j is ready, willing and able to continue in employment as Manager, the City agrees to provide as a post contract benefit a continuation of his bi-weekly salary and benefits, as provided herein, for the earlier period of three months from date of expiration of this contract, or at such time he has commenced other employment. C. Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the City to terminate the services ofthe Manager at any time, subject only to the provision set forth in Section 4, Paragraphs A and B of this Agreement. D. Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the Manager to resign at any time from his position with the City, subject only to the provisions set forth in Section 4, Paragraph C, of this Agreement. E. The Manager agrees to remain in the exclusive service of the City as long as this Agreement remains in full force and effect, and neither to accept other employment nor to become employed by any other employer. The term of "Employed" shall not be construed to include occasional teaching, writing, pro bono activities or consulting performed on time off, and such activities shall be limited as pursuant to Section 8. Section 3. Suspension The City may suspend the Manager with full pay and benefits at any time during the term of this Agreement, but only if A. a majority of City Commissioners and the Manager agree; or B. after a public hearing, a majority of City Commissioners vote to suspend the Manager "for cause" provided, however, that the Manager shall have been given written notice setting forth any charges at least ten (10) days prior to such hearing by the City Commission on such charges. Section 4. Severance Pay A. In the event the Manager is terminated by the City on or before August 20, 2003 and during such time that the Manager is willing and able to perform his duties under this Agreement, then, in that event, City agrees to pay the Manager a lump sum cash payment equal to twelve (12) months aggregate salary in effect at time of termination, unless the City has notified the Manager of its intention to allow the contract to expire pursuant to the provision of Section 2B above in which case that provision shall govern. However, notwithstanding the foregoing, that in the event the Manager is terminated "for cause," as reasonably determined by the City, in accordance with the procedures set forth in Section 3 B above, in its judgment, then in that event, City shall have no obligation to pay the aggregate 2 .j severance sum designated in this paragraph. Cause will include fraud, dishonesty, conviction of a felony, failure or refusal to perform the duties and responsibilities of the position, engaging in any act which is a violation of any law protecting the rights of employees, or other similar actions. THE ENFORCEABLE SEVERANCE PAY, WHEN APPLICABLE, SHALL CONSTITUTE AGREED, STIPULATED AND LIQUIDATED DAMAGES AND CONSTITUTE THE MAXIMUM AMOUNT OF FINANCIAL LIABILITY FOR WHICH THE CITY MAY BE LIABLE IN THE EVENT OF A TERMINATION ANDIOR BREACH OF CONTRACT. THIS PROVISION SHALL NOT LIMIT BENEFITS SPECIFICALLY ENUMERATED IN OTHER PROVISIONS OF THIS CONTRACT. B. In the event the City at any time during the term of this Agreement reduces the salary or other fmancial benefits of the Manager in a greater percentage than an applicable across-the-board reduction for all employees of City, or in the event the City refuses, following written notice, to comply with any other provision benefiting the Manager herein, or the Manager resigns following a suggestion, whether formal or informal, by the City that he resign, then, in that event, the Manager 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 the severance pay provision. C. In the event the Manager voluntarily resigns his position with the City, then the Manager shall give the City 30 days notice in advance, and the Manager shall have no right to collect severance pay unless the parties otherwise agree. Section 5. Disability If the Manager is permanently disabled or is otherwise unable to perform his duties because of sickness, accident, injury, mental incapacity or health for a period of four successive weeks beyond any accrued sick leave, or for twenty working days over a thirty working day period, the City shall have the option to terminate this Agreement, subject to the severance pay requirements established in Section 4 Paragraph A of this Agreement. The City at its option may buy a disability insurance policy to fulfill the requirements of this provision. Notwithstanding the foregoing, the Manager shall be compensated for any accrued sick leave, vacation, holidays, compensatory time and other accrued benefits. Section 6. Salary A. The City agrees to pay the Manager for services rendered pursuant hereto an annual salary of One Hundred Sixty One Thousand Fifty Five Dollars ($161,055.00) payable in installments at the same time as other employees of the City are paid. R The City agrees to review the annual salary and/or other benefits ofthe Manager at the time of evaluation of performance as provided in section 7 A and make adjustments in such amounts and to such extent as the City may determine that it is desirable to do so. An annual salary 3 .J review of the Manager shall be made every year within 30 days after August 21 of each year. Section 7. Performance Evaluation A. The City shall review and evaluate the performance of the Manager at least once annually as set forth in 6B. The review and evaluation shall be in accordance with the specific criteria developed jointly by the City and Manager as set forth in 7B. Further, the Mayor shall provide the Manager with a summary written statement of the findings of the City Commission and provide an adequate opportunity for the Manager to discuss his evaluation with the City Commission. B. Within 90 days of the commencement of this agreement and annually thereafter, the City Commission, in consultation with the Manager shall set quantitative measures and goals upon which to evaluate the performance of the Manager. Such measures may include, financial performance, progress on capital projects, improvements in customer service, or successful implementation of agreed upon priority initiatives. Based on the standards established and the performance achieved pursuant to the Commission's review of said measures and performance as provided, the Manager may receive additional performance based compensation in an amount to be determined by the Commission, said compensation not to be included as compensation for retirement purposes. This review is to coincide with the review and evaluation of the Manager's performance as established in Section 7, Paragraph A above. C. In effecting the provisions of this Section, the City Commission and the Manager mutually agree to abide by the provisions of applicable law. Section 8. Outside Activities Subject to the provisions of Section 2 above, the Manager may not spend more than five (5) hours per week in teaching or other non-City connected business without the prior approval of the City. Section 9. Housing Allowance The City agrees to provide the Manager a housing allowance in the amount of One Thousand Two Hundred Fifty Dollars ($1,250) per month, payable on the first payday of each month, provided the Manager rents or owns a residence within the City of Miami Beach. Section 10. Moving, Relocation and Home Sale Expenses The City agrees to fully reimburse the Manager for all expenses associated with moving and relocating. These expenses include, but are not limited to packing, insuring, moving and unpacking the Manager, the Manager's family, and the Manager's property; house-hunting trips; storage costs; 4 -.J all direct costs associated with the sale of the Manager's personal residence normally and customarily charged to seller (excluding real estate agent commissions) together with all direct costs associated with the purchase of the Manager's personal residence in Florida normally and customarily charged to Purchaser (including up to I point for mortgage origination fees and excluding real estate agent commissions). Section 11. Automobile The Manager's duties require having the exclusive and unrestricted use at all times during employment of an automobile. The City shall be responsible for providing for liability, property damage and comprehensive insurance and for the purchase, operation, maintenance, repair and regular replacement ofthe automobile. Section 12. Vacation and Sick Leave A. The Manager shall be entitled to accrued vacation, sick and other City permitted leave in the same manner as other general unclassified employees of City. B. The Manager shall also be granted one day per month of employment as allowed leave with pay, for public service activities not otherwise provided for herein. At the conclusion of each year of employment, or part thereof, the Manager shall be paid, on the basis of his then current rate of pay, for each such unused hour earned pursuant to this Subparagraph (B). Section 13. Health, Life and Other Insurance A. The City agrees to put into effect for the Manager insurance policies for life, accident, dental, sickness, major medical and dependents' coverage group insurance covering the Manager and dependents as is provided to other employees ofthe City. B. City agrees to purchase term life insurance policies for the Manager. The City shall pay the premium on the amount equal to the annual salary and the Manager shall pay any premium on any balance of the policy. C. City agrees to provide hospitalization, surgical and comprehensive medical insurance for the Manager and dependents and to pay the premiums thereon equal to that which is provided all other unclassified employees of the City or, in the event no such plan exists, to provide same for the Manager. CA VEA T: In no event shall the benefits in this Section exceed the percentage of premium paid for on behalf of other unclassified employees by City (i.e., if other employees receive payments of only half of the premium from the City and pay the remaining half themselves, then, in that event, the same provisions shall be 5 applicable to the Manager, it being the intent that this Section shall place the Manager on an identical footing with every other unclassified employee). Section 14. Retirement A. The Manager will be part of the unclassified pension system. B. The City agrees to deposit the maximum amount allowable by law (currently $8,000) into a deferred compensation program with the International City Management Association Retirement Corporation or such other deferred compensation, individual retirement account (IRA), or any other legal deferred compensation or retirement type of tax sheltered annuity program as may be designated by the Manager and as are legal under Federal Laws or laws of the State of Florida. Upon satisfactory performance evaluation pursuant to the procedures established in Section 7 Paragraph A above, the City shall credit to the Manager's account the deposited amounts and any interest earned. Section 15. Dues and Subscriptions City agrees to budget and to pay for the professional dues and subscriptions of the Manager necessary for his continuation and full participation in national, regional, state and local associations and organizations necessary and desirable for the Manager's continued professional participation, growth and advancement, and for the good of the City. Section 16. Professional Development A. The City hereby agrees to budget for and to pay the travel and subsistence expense of the Manager for professional and official travel, meetings and occasions adequate to continue the professional development of the Manager and to adequately pursue necessary official and other functions for the City. B. The City also agrees to budget for and to pay for the travel and subsistence expenses of the Manager for those courses, institutes and seminars that are necessary for professional development andlor for the good of the Manager. Section 17. General Expenses The City recognizes that certain expenses of a non-personal and generally job-affiliated nature are incurred by the Manager and hereby agrees to reimburse or to pay such general expenses appropriate to the position of City Manager and the Finance Director is hereby authorized to disburse such monies upon receipt of duly executed expense or petty cash vouchers, receipts, statements or personal affidavits. There shall be an annual review of those expenses by the City's outside auditor. 6 j Section 18. Organization Membership The City recognizes the desirability of representation in and before local civic, social, and other organizations, and the Manager is authorized to become a member of such civic clubs or organizations, for which the City shall pay all job related expenses. No civic club or organization authorized hereunder may engage in discrimination as to race, sex, sexual preference, color, creed, national origin or disabilities. It is the continuing responsibility of the Manager before becoming a member of such civic club or organization to verify that there is no discrimination regarding any use, service, maintenance, membership or operation of the civic club or organization. MEMBERSHIP IN ANY COUNTRY CLUB IS SPECIFICALLY EXCLUDED FROM THIS SECTION AND THE CITY SHALL NOT PAY FOR ANY COUNTRY CLUB MEMBERSHIP, UNLESS AUTHORIZED BY A MAJORITY VOTE OF THE CITY COMMISSION AND UNLESS SAID MEMBERSHIP IS SPECIFICALLY JOB RELATED. Section 19. Indemnification The City shall defend, save hannless and indemnify the Manager 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 the Manager's duties. Ifrequired, the City will compromise and settle any such claim or suit and pay the amount of any settlement or judgment rendered thereon. This provision includes the right to legal counsel provided for by the City. Section 20. Bonding The City shall bear the full cost and any fidelity or other bonds required of the Manager under any law or ordinance. Section 21. Other Terms and Conditions of Employment A. The City Commission, in consultation with the Manager shall fix any such other terms and conditions of employment, as it may determine from time to time, relating to the performance of the Manager, 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. B. All provisions of the City Charter and Code, and regulations and rules of the City relating to vacation and sick leave, holidays and other fringe benefits and working conditions as they now exist or hereafter may be amended, also shall apply to the Manager as they would to other employees of the city in addition to said benefits enumerated specifically for the benefit of the Manager except as herein provided. 7 C. The Manager shall be entitled to receive the same vacation and sick leave benefits as are accorded department heads, including provisions governing payment therefore on termination of employment. Section 22. No Reduction of Benefits The City shall not at any time during the term of this Agreement reduce the salary, compensation or other financial benefits of the Manager, except to the degree of such a reduction across-the-board for all similarly situated unclassified employees of the City. Section 23. Computer/Equipment The City shall pay for all equipment, systems software, and portable communications equipment necessary for the Manager. This will include a computer system at his residence which is for the sole purpose of performing City business during non-office hours. Section 24. Notices Notices pursuant to this Agreement shall be given by deposit in the custody of the United States Postal Service, postage prepaid, addressed as follows: (I) City: Mayor Neisen Kasdin City of Miami Beach 1700 Convention Center Drive Miami Beach, FL 33139 Murray H. Dubbin City Attorney 1700 Convention Center Drive Miami Beach, FL 33139 (2) The Manager: Jorge M. Gonzalez City Manager 1700 Convention Center Drive Miami Beach, FL 33139 Alternatively, notices required pursuant to this Agreement may be personally served in the same manner as is applicable to civil judicial practice. Notice shall be deemed given as of the date of personal service or as of the date of deposit of such written notice in the course of transmission in the United States Postal Service. 8 Section 25. 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 personal representatives of the Manager. C. This Agreement shall become effective commencing August 21, 2000. D. 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 effected and shall remain in full force and effect. E. Any controversy or claim arising out of or relating to this Agreement, or the breach hereof, shall be settled by arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association, and the arbitration award shall be final and binding upon the parties hereto and subject to no appeal, and shall deal with the question of the costs of arbitration and all matters related thereto. In that regard, the parties shall mutually select one arbitrator, but to the extent the parties cannot agree upon the arbitrator, then the American Arbitration Association shall appoint one. Judgment upon the award rendered may be entered into any court having jurisdiction, or application may be made to such court for an order of enforcement. F. No alteration, modification or amendment of this Contract shall be effective unless contained in writing, executed between the parties in a document of equal dignity with this Contract. G. The parties waive the privilege of venue and agree that any litigation or arbitration involving this Contract shall take place in the Eleventh Judicial Circuit in and for Dade County, Florida, or if in Federal Court, the Court for the Southern District of Florida. IN WITNESS WHEREOF, the City of Miami Beach has caused this Agreement to be signed and executed in its behalf by its Mayor, and duly attested by its City Clerk, and Jorge M. Gonzalez has signed and executed this Agreement, both in duplicate, the day and year first above written. #1 Neisen Kasdin, Mayor City of Miami Beach, State of Florida ~ pat~ City Clerk ~m6~~ APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION Attest: 9 ~"......-- 7h-Y........ Ci.v Afft\ ~