REPORT TO COUNCIL
SUBJECT
Title
Direction Regarding Amending the Employment Agreement between the City of Sunnyvale and City Manager Kent Steffens to Increase the City Manager Salary in an Amount to be Determined by the City Council
Report
BACKGROUND
The City Council met in closed session on November 25, 2019, December 3, 2019, and January 7, 2020 to discuss the City Manager's annual performance evaluation. The City Manager's compensation must be determined in a public meeting.
As of January 1, 2020, the City Manager was entitled to a 3% annual salary increase pursuant to Section 3.3 of his employment agreement. However, the City Council also has discretion to modify that amount.
EXISTING POLICY
Council Policy 7.3.1 Legislative Management - Goals and Policies, Goal 7.3D: Maintain a quality work force, consistent with state and federal laws, City Charter, and adopted policies in order to assure that City services are provided in an effective, efficient, and high quality manner.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a "project" with the meaning of the California Environmental Quality Act ("CEQA") pursuant to CEQA Guidelines section 15378(b)(5) in that it is a governmental organizational or administrative activity that will not result in direct or indirect changes in the environment.
DISCUSSION
The City Manager's Employment Agreement provides that the City Manager shall be entitled to retirement and other benefits as applicable to department directors. Section 3.3 of the Agreement provides the following related to salary increases:
Employee shall receive an annual salary increase of three percent (3%), beginning with the pay period including January 1, 2019, until reaching the maximum salary range as approved and that may be amended by the City Council from time to time. Notwithstanding the preceding, the City Council may, by a majority vote, approve modifications to the Employee's annual salary increases.
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