Loading...
R-31-13 Approving Employment Agreement Between VofL and George Schafer- Village Admin.Resolution No.R3 k- A Resolution Approving Employment Agreement Between the Village of Lemont and George J. Schafer for Position of Village Administrator WHEREAS, pursuant to Section 2.12.0 10 of the Lemont, Illinois Municipal Code (hereinafter referred to as "Code "), the Mayor has appointed George Schafer as the Village Administrator commencing July 1, 2013 and by this Agreement, the Village Board of Trustees of the Village of Lemont does hereby consent to and approve such appointment; and WHEREAS, the Village of Lemont (hereinafter referred to as "Village" or "Employer ") desires to retain George John Schafer (hereinafter referred to as "Employee ") as Village Administrator as provided for in this Agreement; and WHEREAS, Employee desires to server as Village Administrator as provide for in this Agreement; and WHEREAS, Employer wishes to provide Employee with certain assurance in the form of severance pay and benefits; and WHEREAS, the parties agree it is in their mutual best interests to establish in writing the terms and conditions for Employee to serve as Village Administrator; NOW THEREFORE, BE IT RESOLVED BY THE VILLAGE BOARD OF TRUSTEES OF THE VILLAGE OF LEMONT, COOK, WILL & DU PAGE COUNTIES, ILLINOIS that: SECTION ONE: The foregoing findings and recitals are hereby adopted as Section One of this Resolution and are incorporated by reference as if set forth verbatim herein. SECTION TWO: Said Employment Agreement Between the Village of Lemont and George J. Schafer for Position of Village Administrator ( "Agreement "), attached as Exhibit A and incorporated in its entirety, is hereby approved. N 577397 SECTION THREE: The Mayor is hereby authorized to execute the Agreement on behalf of the Village and to take all actions necessary which do not materially alter the Village's obligations to carry out this Resolution PASSED AND APPROVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF LEMONT, COUNTIES OF COOK, WILL AND DUPAGE, ILLINOIS on this 24 day of June, 2013. PRESIDENT AND VILLAGE BOARD MEMBERS: A ARLENE M. S 14OLLEN Village Clerk NAYS: ABSENT: ABSTAIN 2 President AYES: Debby Blatzer T Paul Chialdikas Clifford Miklos Ron Stapleton ✓ Rick Sniegowski Jeanette Virgilio A ARLENE M. S 14OLLEN Village Clerk NAYS: ABSENT: ABSTAIN 2 President Employment Agreement Between the Village of Lemont and George 1. Schafer for Position of Village Administrator WHEREAS, pursuant to Section 2.12.010 of the Lemont, Illinois Municipal Code (hereinafter referred to as "Code "), the Mayor has appointed George Schafer as the Village Administrator commencing July 1, 2013 and by this Agreement, the Board of Trustees does hereby consent to and approve such appointment; and WHEREAS, the Village of Lemont (hereinafter referred to as "Village" or "Employer ") desires to retain George John Schafer (hereinafter referred to as "Employee ") as Village Administrator as provided for in this Agreement; and WHEREAS, Employee desires to server as Village Administrator as provide for in this Agreement; and WHEREAS, Employer wishes to provide Employee with certain assurance in the form of severance pay and benefits; and WHEREAS, the parties agree it is in their mutual best interests to establish in writing the terms and conditions for Employee to serve as Village Administrator; NOW, THEREFORE, in consideration of the mutual covenants and agreements herein set forth, the receipt and sufficiency of which is hereby acknowledged, it is hereby agreed as follows: Section 1: Incorporation of Recitals The above recitals are incorporated fully into this Agreement. Section 2: Term This Agreement shall remain in full force and effect from July 1, 2013 until the earlier of May 1, 2017 or the date this Agreement is terminated by the Employer or Employee as provided in Sections 10 or 12 of this agreement. Section 3: Duties and Authority Employer agrees to employ Employee as Village Administrator to perform the functions and duties specified and implied in the Code or any other applicable law and to perform other legally permissible and proper duties and functions assigned by the Mayor and Village Board. The Village of Lemont Administrator is the chief administrative officer of the Village; and, as such, has the full authority to manage and administer the operations and activities of all Village departments. The effort and time devoted to the responsibility of this position shall be at a high professional level. Section 4: Compensation A. Base Salary: Employer agrees to pay Employee an annual base salary of One Hundred Thirteen Thousand dollars 00 /100 ($113,000.00), payable in installments at the same N 576051 time that the other management employees of the Employer are paid. B. This agreement shall be automatically amended to reflect any salary adjustments that are provided or required by the Employer's compensation policies. C. Consideration shall be given on an annual basis to increase compensation. The Employer agrees to increase the compensation of the Employee dependent upon the results of the performance evaluation conducted under the provisions of Section 13 of this Agreement. Increased compensation can be in the form of a salary increase and /or other methods agreed to by the parties. D. Furloughs: Employee understanding that in periods of economic distress, there may be times when it is necessary for the Mayor and Board of Trustees to implement employee furloughs. Furloughs result in mandatory unpaid days off from work. Upon written notice from the Mayor as to the number of unpaid furlough days, the Employee's due and payable salary shall be adjusted to reflect such mandatory furloughs. Such .furloughs shall not be considered a breach of this contract. Section 5: Health, Disability and Life Insurance Benefits A. The Employer agrees to provide and to pay the premiums for health, hospitalization, surgical, vision, dental and comprehensive medical insurance for the Employee and his dependents equal to that which is provided to all other employees of the Village. B. The Employer agrees to make required premium payments for short term and longterm disability coverage for the Employee equal to what is provide for other employees of the Village. C. The Employer shall pay the amount of premium due for term life insurance in the amount of two (2) times the Employee's annual base salary, including all increases in the base salary during the life of this agreement. The Employee shall name the beneficiary of the life insurance policy. Section 6: Vacation, Sick and Executive Leave A. Notwithstanding the terms of this Agreement, Employee shall accrue vacation, sick, personal days and all other time as provided for in the Employee's personnel manual. B. As the Employee is currently an employee of the Village, the parties recognize that the Employee has accrued and maintained vacation, sick, personal days, and other time. Upon commencing this position, the Employee shall be credited with an additional 40 hours of vacation time for the time period of July 1, 2013 to April 30, 2014. This is in addition to any vacation time that the Employee had previously accrued and maintained. Beginning May 1, 2014 the Employee will be entitled to 4 weeks of vacation time on a fiscal years basis, similar to other employees. C. Upon commencing this position, the Employee shall have access to and maintain the bank of sick days previously established with the Village. D. In the event the Employee's employment is ended, either voluntarily or involuntarily, the Employee shall be compensated for all accrued vacation time, all paid holidays, executive leave, and other benefits to date in accord with State law and Employer's personnel manual. Further, the Employee is entitled to 45% of unused sick time at separation. E. The Employee shall annually be credited with three (3) days of executive leave per calendar year. Executive leave is one in the same as personal days as outlined within the Village's Personnel Manual. Section 7: Monthly Vehicle Allowance The Employer agrees to pay to the Employee, during the term of this Agreement and in addition to other salary and benefits herein provided the sum of $6,000 per year, payable monthly, as a vehicle allowance to be used to purchase, lease, or own, operate and maintain a vehicle. The Employee shall be responsible for paying for liability, property damage, and comprehensive insurance coverage upon such vehicle and shall further be responsible for all expenses attendant to the purchase, operation, maintenance, repair, and regular replacement of said vehicle. The Employer shall reimburse the Employee at the IRS standard mileage rate for any business use of the vehicle beyond the greater Village of Lemont area. For purposes of this Section, use of the car within the greater Village of Lemont area is defined as travel to locations within a seventy -five mile (75) radius of the Village of Lemont Office. Section 8: Retirement A. The Employer agrees to maintain the Employee into the Illinois Municipal Retirement Fund ( "IMRF ") and to pay the Employer's share as required by statutes, ordinances and regulations applicable to IMRF. Employer shall deduct Employee's retirement contributions from regular payroll and contribute said share to IMRF in accord with IMRF regulations. B. In addition to the Employer's payment to IMRF (as applicable) referenced above, Employer agrees to execute all necessary agreements provided by ICMA Retirement Corporation (ICMA -RCj or other Section 457 deferred compensation plan for Employee's participation in said supplementary retirement plan and, in addition to the base salary paid by the Employer to Employee. Employer agrees to pay a fixed dollar amount of $5,000 per year into the designated plan on the Employee's behalf, in equal proportionate amount each pay period. The parties shall fully disclose to each other the financial impact of any amendment to the terms of Employee's retirement benefit. Section 9: General Business Expenses A. Employer in its sole discretion may approve Employee's membership in Illinois, local and /or professional associations necessary and desirable for Employee's continued participation, professional growth and the good of the Village. For those association memberships approved by Employer, Employer shall budget in amounts at the sole discretion of the Employer, and pay for all dues, subscriptions, expenses, travel and related expenses of Employee. B. in lieu of an Employer paid cellular phone plan, Employer agrees to provide for a cell phone allowance stipend to compensate for Employee's business use of a personal cellular smart telephone. The cellular phone stipend shall be $600 per year, payable monthly. Section 10: Termination For the purpose of this agreement, termination shall occur: A. Immediately upon termination of services of the Employee by the Mayor in accord with the Code and Illinois State Statutes; or B. Immediately upon termination of services of the Employee by the Corporate Authority in accord with the Code and Illinois State Statutes; or C. Resignation by the Employee upon the insistence of the Mayor or Board of Trustees; or D. Death of the Employee. Section 11: Severance Severance shall be paid to the Employee when employment is terminated as defined in Sections 10(a), (b) or (c). If the Employee is terminated, the Employer shall provide a minimum severance payment equal to six months' salary at the current rate of pay. This severance shall be paid in equal installments as part of the Village's normal payroll unless otherwise agreed upon by the parties. The Employee shall also be compensated for all accrued sick leave, vacation time, all paid holidays, and executive leave in accordance with applicable State Statutes and this Agreement. For a minimum period of six months following termination, the Employer shall pay the cost to continue the following benefits: 1. Health insurance for the Employee and all dependents as provided in Section 5A; 2. Life insurance as provided in Section 5C; 3. Short-term and long -term disability as provided in Section 5B; If the Employee is terminated for any reason other than as set forth in Section 10 then the Employer is not obligated to pay severance under this Section. Section 12: Resianation In the event that the Employee voluntarily resigns his /her position with the Employer, the Employee shall provide a minimum of 60 days notice unless the parties agree otherwise. Section 13: Performance Evaluation Employer shall annually review the performance of the Employee subject to a process, form, criteria, and format for the evaluation which shall be mutually agreed upon by the Employer and Employee as provided for in the Code. The process at a minimum shall include the opportunity for both parties to: (1) prepare a written evaluation, (2) meet and discuss the evaluation, and (3) present a written summary of the evaluation results. The final written evaluation should be completed and delivered to the Employee within 30 days of the evaluation meeting. Unless agreed upon by both parties, the evaluation meeting shall take place during the month of July each year. The Employee's performance evaluation will be based on various performance measures to be determined by the Mayor and Village Board. These measures primarily will be embodied with the goals outlined by the Mayor and Village Board through the strategic planning goals, that may be established from time to time and objectives incorporated within management by objectives within each budget year preparation. Section 14: Hours of Work It is recognized that the Employee must devote a great deal of time outside the normal office hours on business for the Employer, and to that end Employee shall be allowed to establish an appropriate work schedule The employment provided for in this Agreement shall be the Employee's sole employment. Any additional, outside consulting or teaching activities must be approved in writing by the Mayor or a majority of the Corporate Authority. Such outside employment shall not constitute interference with nor a conflict of interest with Employee's responsibilities under this Agreement and the Code. If such outside employment has been determined, by the Mayor or a majority of the Corporate Authority, then such outside employment must cease immediately. Section I5: Residency The Employee will not be required to establish residence, although encouraged, within the corporate boundaries of the local government in consideration of current economic conditions and must maintain a residency within 20 miles of corporate boundaries. Section 16: Indemnification Beyond that required under Federal, State or Local Law, Employer shall defend, save harmless and indemnify Employee 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 Employee's duties as Village Administrator or resulting from the exercise of judgment or discretion in connection with the performance of program duties or responsibilities, unless the act or omission involved willful or wanton conduct or the Employee has breached this Agreement. Legal representation, provided by Employer for Employee, shall extend until a final determination of the legal action including any appeals brought by either party. The Employer shall indemnify Employee against any and all losses, damages, judgments, interest, settlements, fines, court costs and other reasonable costs and expenses of legal proceedings including attorneys fees, and any other liabilities incurred by, imposed upon, or suffered by such Employee in connection with or resulting from any claim, action, suit, or proceeding, actual or threatened, arising out of or in connection with the performance of his or her duties, unless the act or omission involved willful or wanton conduct. Employee recognizes that Employer shall have the right to compromise and settle any claim or suit. Further, Employer agrees to pay all reasonable litigation expenses of Employee throughout the pendency of any litigation to which the Employee is a party, witness or advisor to the Employer. Such expense payments shall continue beyond Employee's service to the Employer as long as litigation is pending. The terms of this Section shall not apply to any tort, professional liability claim or demand or other legal action, instituted by the Employer against the Employee or instituted by the Employee against the Employer. Section 17: Bonding Employer shall bear the full cost of any fidelity or other bonds required of the Employee under any law or ordinance. Section 18: Other Terms and Conditions of Emolovment The Employer, only upon agreement with Employee, shall fix any such other terms and conditions of employment, as it may determine from time to time, relating to the performance of the Employee, provided such terms and conditions are not inconsistent with or in conflict with the provisions of this Agreement, the Code, any Village rules and regulations or any other law. Section 19: Notices Notice pursuant to this Agreement shall be given by depositing in the custody of the United States Postal Service, postage prepaid, addressed as follows: (1) EMPLOYER: Village President Village of Lemont 418 Main Street Lemont, IL 60439 (2) EMPLOYEE: George J. Schafer 150 W Saint Charles Rd. Unit 617 Lombard, IL 60148 Notice shall be deemed given as of the date of personal service or as the date of deposit of such written notice in the course of transmission in the United States Postal Service. Further, electronic mail notification is an acceptable form of notice and shall be deemed given as the date and time such email has been transmitted to the other party. Section 20: General Provisions A. Integration. This Agreement sets forth and establishes the entire understanding between the Employer and the Employee relating to the employment of the Employee by the Employer. Any prior discussions or representations by or between the parties are merged into and rendered null and void by this Agreement. The parties by mutual written agreement may amend any provision of this Agreement during the life of the Agreement. Such amendments shall be incorporated and made a part of this Agreement. B. Binding Effect. This Agreement shall be binding on the Employer and the Employee as well as their heirs, assigns, executors, personal representatives and successors in interest. Effective Date. This Agreement shall become effective on July 1, 2013, D. Severability. The invalidity or partial invalidity of any portion of this Agreement will not affect the validity of any other provision. In the event that any provision of this Agreement is held to be invalid, the remaining provisions shall be deemed to be in full force and effect as if they have been executed by both parties subsequent to the expungement or judicial modification of the invalid provision. VILLAGE O MONT B n K. 6aves Village President GEORGE J.SCHAFER By: George 1. Schafer