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Agenda Item - 2021-04-20 - Number 7.2 - Resolution 21-07, City Attorney Employment Agreement 7.2 D.t'p` 1 COUNCIL REPORT � r o OREGOt.4 Subject: Resolution 21-07; Authorizing the Mayor to Execute a City Attorney Employment Agreement Meeting Date: April 20, 2021 Staff Member: Megan Phelan, Assistant City Manager Department: City Manager's Office Action Required Advisory Board/Commission Recommendation ❑ Motion ❑ Approval ❑ Public Hearing ❑ Denial ❑ Ordinance ❑ None Forwarded ❑X Resolution ❑X Not Applicable ❑ Information Only Comments: ❑ Council Direction ❑X Consent Agenda Staff Recommendation: Adopt Resolution 21-07 Recommended Language for Motion: Move to adopt Resolution 21-07 authorizing the Mayor to execute a City Attorney employment agreement Project/ Issue Relates To: ❑X Council Goals/Priorities ❑Adopted Master Plan(s) ❑Not Applicable BACKGROUND After a recruitment process and involving Council, Department Directors and staff in the City Attorney's office, the City Council selected Jason Loos on April 6, 2021 for the position of City Attorney, subject to approval of an employment agreement. Mayor Buck and I negotiated an employment contract with Mr. Loos, for Council consideration, attached as Exhibit 1 of Resolution 21-07. RECOMMENDATION Approve Resolution 21-07 authorizing the Mayor to execute a City Attorney employment agreement. ATTACHMENTS 1. Resolution 21-07 with Exhibit 1 503.635.0215 380 A Avenue PO BOX 369 Lake Oswego, OR 97034 www.lakeosweao.city ATTACHMENT 1 RESOLUTION 21-07 A RESOLUTION OF THE LAKE OSWEGO CITY COUNCIL AUTHORIZING THE MAYOR TO EXECUTE A CITY ATTORNEY EMPLOYMENT AGREEMENT. WHEREAS, the City Council has conducted an extensive and thorough recruitment for the position of City Attorney; and WHEREAS, the City Council has identified a candidate with the experience, skills and personal qualities to provide superior service as City Attorney; NOW THEREFORE, BE IT RESOLVED,that: 1. The Mayor is authorized to execute an Employment Agreement,substantially in the form attached as Exhibit 1, hiring Jason Loos to serve as City Attorney for the City of Lake Oswego, with the term of office to begin on June 14, 2021; 2. This resolution shall take effect upon passage. Approved and adopted by the City Council of the City of Lake Oswego at a regular meeting held on the 20th day of April, 2021. AYES: NOES: ABSTAIN: EXCUSED: Joseph M. Buck, Mayor ATTEST: Kari Linder, City Recorder APPROVED AS TO FORM: Evan Boone, City Attorney Pro Tem EXHIBIT 1 CITY ATTORNEY EMPLOYMENT AGREEMENT THIS EMPLOYMENT AGREEMENT("AGREEMENT") is made and entered into this 20th day of April,2021 by and between the City of Lake Oswego, Oregon("City"),and Jason T. Loos ("Employee"). Recitals WHEREAS,the City desires to employ Employee as City Attorney of the City of Lake Oswego; and WHEREAS,Employee desires to accept the position of City Attorney of the City of Lake Oswego. Agreement NOW THEREFORE, in consideration of the mutual promises contained herein,the parties hereto agree as follows: 1. Employment A. General. Employee is hereby employed by the City as City Attorney of the City of Lake Oswego, Oregon. Employee accepts this position on the terms and conditions set forth below. B. Effective Date. The effective date for commencement of employment is June 14,2021. 2. Duties Employee shall perform the functions and duties specified for the position of City Attorney by the City Charter and Code of the City of Lake Oswego, and by any other applicable ordinances,resolutions, or policies of the City,together and with such other duties as may be lawfully assigned by the City Council. Employee shall at all times loyally and conscientiously perform all the duties and obligations required of him, either expressly or implicitly,by the terms of this AGREEMENT. Employee shall devote full time to this position and responsibilities, and shall not accept any additional employment without advance approval by the City Council in its sole discretion. 3. Term of Employment Employee's employment shall commence on the date set forth in paragraph 1.B. of this AGREEMENT. Employee shall remain in the exclusive employ of the City thereafter subject to termination of the employment by either party as provided below. 4. Salary Employee shall be paid a salary in installments at the same time as other employees are paid. Starting annual salary is $172,966.54,which is Step 5 of the salary range. Any additional Page 1 —City Attorney Employment Agreement step increases,cost of living adjustments, salary range adjustments, and changes to benefits are subject to City Council approval. 5. Retirement Plan City agrees to contribute to the Public Employees Retirement System the same percentage of Employee's base salary as provided to other similarly situated management employees. City also agrees to match,dollar for dollar,Employee's contribution of up to 5%of the Employee's salary annually to any deferred compensation 457 program that now or hereafter is offered by the City to its management employees. The City's contribution shall further be limited to an amount that,when combined with Employee's contribution, shall not exceed the maximum allowed annual contribution to the 457 program(currently$19,500), excluding the maximum contribution allowed pursuant to any catch-up provision. 6. Life and Disability Insurance City shall provide Employee with term life insurance in the amount of$160,000. City shall also provide Employee with long term disability insurance equal to that provided for other City management employees. 7. Health and Dental Insurance City shall provide Employee with group health and dental insurance equal to that provided by City for other management employees,beginning on the first day of the month following the commencement of employment. Employee shall pay monthly health and dental insurance contributions equal to that required of other management employees. 8. Vacation,Holidays, and Sick Leave A. Vacation and Holidays. Employee shall accrue vacation at the rate of 4.2 weeks per year(14.33 hours per month). Employee may accrue vacation up to a total of 500 hours. In addition,immediately upon commencement of employment, Employee shall be credited with a starting bank of 40 hours of vacation. Effective July 1, 2021, and annually thereafter,Employee shall be credited with management leave(currently 32 hours)and a personal holiday,the same as other management employees. Employee shall also be provided the same holidays provided to other management employees. Employee shall be paid out all accrued unused vacation at the termination of Employee's employment. B. Sick Leave. Employee shall be entitled to sick leave at the rate of accrual and conditions as provided generally for other management employees(currently eight hours per month). In addition, immediately upon commencement of employment,Employee shall be credited with a starting bank of 20 hours of sick leave. There shall be no compensation for unused sick leave at the termination of Employee's employment. Page 2—City Attorney Employment Agreement 9. Relocation Expenses City shall reimburse up to $15,000 for Employee's actual and reasonable relocation expenses,including moving expenses,temporary housing, and visits for house hunting,but only if Employee relocates to a home in the Portland Metro area within the first 12 months of employment. Employee is required to provide receipts to City. As required by Federal tax law, all moving related expenses reimbursed will be treated as taxable income. If City employment is for less than three years,Employee will repay the City's reimbursement on a prorated basis by month (unless Employee is terminated without cause as the term"cause"is defined in 14.C.1 of the AGREEMENT). 10. Cell Phone Allowance Employee shall be entitled to a monthly cell phone allowance at the same rate and conditions as provided generally for other management employees. 12. Dues and Professional Development City agrees to pay for the professional dues and participation of Employee in national, regional, state and local associations and organizations reasonably necessary and desirable for Employee's continued professional growth and development and for the good of the City, subject to City Council budget decisions. 13. Performance Evaluation and Feedback Employee will seek frequent informal feedback on performance from the Mayor and individual City Council members.A more formal performance review will be conducted by the City Council as a body in December of each year,and at any other time that the City Council,in its sole discretion,desires to conduct a review. 14. Termination of Employment A. Termination Basis (i) At Will Employment The City Council may, subject to the provisions set out below,terminate the services of the Employee at any time,without cause,it being expressly understood and agreed between the parties that Employee serves as an at-will employee of the City Council. (ii) For Cause Termination The City Council may terminate the services of the Employee for cause,which are the events listed in Subsection C below. B. Notice and Severance Pay In the event that Employee's employment is terminated without cause while employee is still willing and able to perform his duties, Employee shall be entitled to: Page 3 City Attorney Employment Agreement (i) Not less than sixty days' prior notice of such termination; and (ii) A severance payment equal to six(6)months of salary,plus an additional amount equaling the total the City contributed to Employee's deferred compensation under the City 457 program pursuant to paragraph 5 of this AGREEMENT during the six months preceding the date of the notice of termination(subject to the maximum allowed annual contribution limitation that would have applied if the additional severance amount had been contributed to the 457 program and if Employee had matched that additional contribution). In addition, as available through Consolidated Omnibus Reconciliation Act(COBRA) election, employee shall have full health, dental, and vision insurance benefits in effect on the date of termination paid by City for a period of six months following the date of termination or until re-employment in a position that provides the same or better insurance benefits,whichever is earlier. In order to receive this extension of insurance benefits, Employee must exercise COBRA rights. Employee shall have the obligation to promptly notify Human Resources in writing(via email)if reemployment with insurance benefits has occurred and to otherwise cooperate in responding to inquiries regarding the level of benefits provided through such reemployment. As a condition to receiving severance payment and extension of benefits and prior to the delivery of such payment and benefits, Employee agrees to execute and deliver to City a release of claims drafted by the City,releasing the City and its agents,representatives and insurers from any and all claims that Employee may have against City. The severance payment, and extension of benefits, shall release the City from any further obligations under this AGREEMENT, and any claims of any nature that Employee might have against the City by virtue of his employment or termination thereof. The City reserves the right to pay Employee's regular wages and benefits in lieu of all or any portion of the sixty days' notice period referenced in B.(i) above. C. Exceptions to Notice and Severance Pay Requirements Employee shall not be entitled to prior notice of termination,or a severance payment and extended benefits listed in 14.B.(ii), in any of the following events: (i) Employee is terminated for cause,which shall mean willful misconduct, willful failure to carry out or abide by the lawful directions or decisions of the City Council, dishonesty or gross malfeasance. (ii) Employee commits a serious violation of City personnel policy/policies or standards of conduct that the City Council determines justifies termination. (iii) Employee is convicted of any crime. (iv) Employee resigns or retires from his employment with the City. (iv) Employee becomes physically or mentally unable to perform the essential duties of the City Attorney with reasonable accommodation as required by law. D. Resignation or Retirement Employee shall provide City not less than 30 calendar days' advance notice of termination of his employment by resignation or retirement. Pagc 4 City Attorney Employment Agreement 15. Use and Return of City Property Employee recognizes and agrees that all property provided by the City to the Employee shall be and remain the property of the City. Employee will preserve,use,and hold City property only for the benefit of the City and to carry out the City's business.When Employee's employment is terminated,Employee will immediately deliver to City all City property, including all originals and copies of records,Employee has in Employee's possession or control. 16. Arbitration The parties agree that any issue which has not been released pursuant to Section 14.B.ii above arising from Employee's employment, employment termination or whether a party has breached this AGREEMENT that cannot be resolved informally, shall be submitted to confidential,binding arbitration in Lake Oswego, Oregon. The arbitration shall be conducted in confidence and pursuant to the then current rules of the American Arbitration Association for employment disputes,unless the parties agree to some other arbitration procedure. Except as otherwise required by law,the parties shall share equally the arbitrator's fees,and each party shall be responsible for its own attorney's fees and related costs at arbitration or in any litigation or court action relating to the arbitration. ORS 36.620(61 Acknowledgment: I acknowledge that I have received and read or have had the opportunity to read this arbitration agreement.I understand that this arbitration agreement requires that disputes that involve the matters subject to the agreement be submitted to mediation or arbitration pursuant to the arbitration agreement rather than to a judge and jury in court. Jason T. Loos Date: 17. Modification or Amendment No amendment,change,or modification of this AGREEMENT shall be valid,unless in writing and signed by both parties. 18. Entire Agreement This AGREEMENT constitutes the entire agreement between the parties, integrates all of the terms and conditions mentioned herein or incidental hereto,and supersedes all negotiation of previous agreements between the parties with respect to all or any part of the subject matter hereof. 19. Waiver Failure of either party at any time to require performance of any provisions of this AGREEMENT shall not limit the parties' right to enforce the provision,nor shall any waiver of any breach of any provision be a waiver of any succeeding breach of the provision itself or of any other provision. Page 5 City Attorney Employment Agreement 20. Severability If any provision, or any portion thereof, contained in this AGREEMENT is held to be unenforceable,the remainder of this AGREEMENT or portion thereof shall be deemed severable and shall not be affected and shall remain in full force and effect. CITY OF LAKE OSWEGO, OREGON BY: Joe Buck,Mayor Date Authorized by the City Council on: April 20, 2021 Jason T. Loos Date Page 6—City Attorney Employment Agreement