ITEM:		ACTION ITEM
22.	CONSIDER APPROVAL OF GENERAL MANAGERS CONTRACT
Meeting Date:			June 20, 2016	Budgeted:	N/A
From:			David J. Stoldt	Program/
			General Manager	Line Item No.: N/A
Prepared By:			David J. Stoldt	Cost Estimate:	N/A
General Counsel Approval: N/A
Committee Recommendation:
CEQA Compliance: N/A

SUMMARY: The current employment agreement with the General Manager expires August 31, 2016. At its December 14, 2015 meeting, in closed session, the Board directed the Chair to negotiate a new employment agreement with an extended term. In public session January 27, 2016, it was stated Mr. Stoldt has agreed to enter a new long-term contract with the District beginning July 1, 2016, the terms of which are to be negotiated by the Chair and brought to the Board for approval. At its April 18, 2016 closed session the Chair presented to the Directors for discussion proposed terms of a new employment agreement. Subsequently, the General Manager and the Board have agreed to a new Agreement for Employment of General Manager as shown in Exhibit 22-A attached.

RECOMMENDATION: The Chair recommends the Board approve the new Agreement for Employment of General Manager.

DISCUSSION: The new Agreement is a 5 year contract. There is no increase in salary over the 2015-16 level, however the General Manager is eligible for an increase in compensation in 2017-18 subject to a satisfactory performance review in 2016-17. The current level of salary is below that of the General Managers of Monterey Regional Water Pollution Control Agency and Monterey County Water Resources Agency

The terms of the Agreement are substantially the same as the previous agreement, as amended from time to time, with the following changes:

· Effective: July 1, 2016 through June 30, 2021. The July 1 start date is a change from the previous September 1 date at the request of the Chief Financial Officer. This is in order to have all employee contracts effective the start of the Fiscal Year.

· Notice of Termination by Board: Changed from 30 days to 60 days. Sixty days is consistent with Monterey Regional Water Pollution Control Agency and Marina Coast Water District. Monterey County Water Resources Agency has a 90 day notice period.

· Severance upon Termination: Changed from 4 months salary to 6 months. This is consistent with Monterey Regional Water Pollution Control Agency and Monterey County Water Resources Agency. Marina Coast Water District has 6 months plus 1 month for every year of service up to 12 months maximum.

· Vacation Buy-Back: Added to the Agreement is the ability of the General Manager to have the District “buy back” up to 10 days of unused vacation accrued in a year. This is consistent with Monterey Regional Water Pollution Control Agency. Monterey County Water Resources Agency has up to 15 per year. Marina Coast Water District has 10 “management days” that if not taken are paid.

EXHIBIT

22-A Form of Agreement for Employment of General Manager

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