CC SR 20191119 D - Interim City Manager Contract with Ara Mihranian
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RANCHO PALOS VERDES CITY COUNCIL MEETING DATE: 11/19/2019
AGENDA REPORT AGENDA HEADING: Consent Calendar
AGENDA DESCRIPTION:
Consider approval of an Interim City Manager Employment Agreement with Ara Michael
Mihranian, AICP.
RECOMMENDED COUNCIL ACTION:
(1) Approve that certain “Interim City Manager Employment Agreement” between the
City of Rancho Palos Verdes and Ara Michael Mihranian, AICP ; and,
(2) Authorize the Mayor to execute the same following approval as to form by the City
Attorney.
Amount Budgeted:
Additional Appropriation:
Account Number(s):
ORIGINATED BY: William W. Wynder City Attorney
REVIEWED BY: Gabriella Yap, Deputy City Manager
APPROVED BY: Doug Willmore, City Manager
ATTACHED SUPPORTING DOCUMENTS:
A. Interim City Manager Employment Agreement (page A-1)
BACKGROUND AND DISCUSSION:
Doug Willmore has announced his departure from the City of Rancho Palos Verdes and
his return to private sector employment. His departure is effective November 22, 2019.
The City Council, during a lawfully convened closed session , considered what steps
should be taken to find and hire a new City Manager.
To that end, the City Council has determined to (1) hire Mr. Mihranian, AICP, as its Interim
City Manager, (2) engage the services of an executive search firm to assist the City
Council is finding and hiring a new City Manager, and (3) invite Mr. Mihranian to apply for
the position as the new City Manager.
The attached agreement engages Mr. Mihranian as the interim City Manager
commencing on November 22, 2019 through and including the date a new City Manager
assumes the duties of the office, approves a ten percent (10%) adjustment in Mr.
Mihranian’s annual salary during the term of his service, provides that he would continue
to accrue City approved leaves at his current rate(s) of accrual, but would not afford him
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the automobile allowance currently provided to the out-going City Manager or make City
paid-for contributions into a deferred compensation program .
The attached agreement further provides that Mr. Mihranian would retain his title as
Director of Community Development during the term of this Agreement, allows him, if
needed, to appoint an acting Director of Community Development, and agrees that,
should he elect not to apply for the position of the new City Manager or in the event he is
not selected as the new City Manager, that Mr. Mihranian would revert to and retain his
position as the Director of Community Development.
ALTERNATIVES:
1. Take such other and further action as the City Council deems appropriate
consistent with the requirements of law.
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INTERIM CITY MANAGER EMPLOYMENT AGREEMENT
(Ara Michael Mihranian, AICP, City of Rancho Palos Verdes)
This INTERIM CITY MANAGER EMPLOYMENT AGREEMENT (the “Agreement”)
is made and effective as of November 22, 2019 (“Effective Date”), by and between the CITY OF
RANCHO PALOS VERDES, a general law city & municipal corporation and Mr. ARA
MICHAEL MIHRANIAN, AICP, an individual (“ Interim Manager” – the term Interim Manager
shall mean and include the titles of Community Development Director, Interim Executive
Director of the Successor Agency to the Rancho Palos Verdes Redevelopment Agency, &
Interim Director of the Rancho Palos Verdes Improvement Authority).
R E C I T A L S
A. City’s current City Manager (the “out-going City Manager”) has retired from his
employment with City effective November 22, 2019 to return to private sector employment.
City has entered into a process to find a replacement for its out-going City Manager and to that
end has engaged the services of an executive search firm to assist City’s Cit y Council in such
executive search.
B. In the interim, City desires to engage the services of Interim Manager to act as its
Interim City Manager, in addition to his current duties as Community Development Director.
C. Interim Manager is willing and otherwise qualified to perform the duties of the
offices set forth above, provided that in the event City’s City Council elects to enter into an
employment agreement with a new City Manager, and such new City Manager selected is not
Interim Manager, Interim Manager shall be allowed to revert to and retain his existing
employment with City as its Community Development Director.
A G R E E M E N T
NOW, THEREFORE, in consideration of performance, by the parties hereto, of the
promises, covenants, and conditions herein contained, the parties hereto agree to the terms of this
Agreement as follows:
1. ARA MICHAEL MIHRANIAN is hereby appointed Interim Manager,
with all the powers, duties, and prerogatives of City’s City Manager, as defined by City’s
Municipal Code, the California Government Code, related to general law cities, the California
Health & Safety Code, and such other duties as customarily performed by past City practice, or
as Interim Manager shall be authorized to perform from time to time by City’s City Council.
2. ARA MICHAEL MIHRANIAN shall be entitled to additional
compensation from City, above a beyond that currently earned as Community Development
Director; such that Interim Manager’s annual salary during the term of this Agreement shall be
equal to ten percent (10%) above and beyond his current annual salary of $175,232.00, the same
to be paid in the same increments and at the same time as all other department heads in City.
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3. The term of this Agreement shall commence from and after the Effective
Date and shall terminate from and after the date upon which City’s City Council employs a new
City Manager, and the same executes an employment agreement with City approved by City’s
City Council, completes all necessary background checks or other prerequisites to City
employment, and commences upon the duties of such employment.
4. During the term of this Agreement Interim Manager shall continue to
service as Community Development Director. Interim Manager may appoint an acting or
interim Community Development Director as and if needed in Interim Manager’s sound
discretion. In the event Interim Manager is not hired as the new City Manager, Interim Manager
shall be allowed to revert to and retain his existing employment with City as its Community
Development Director.
5. Interim Manager shall be subject to the terms and conditions of that
certain “Employment Agreement Between the City of Rancho Palos Verdes and Douglas
Willmore,” made and entered into as of March 1, 2015, and each amendment thereto, that was
entered into by and between City and the out-going City Manager; excepting therefrom the
provision(s) of the same regarding the payment by City of deferred compensation and
automobile allowance which shall not be provided to Interim Manager, and further excepti ng
therefrom the provisions regarding the accrual of leaves, including sick leave, vacation leave,
administrative leave, which shall accrue, if at all, in the manner and at the rates that the same
accrue for the position of Community Development Director.
Executed at Rancho Palos Verdes, California, on November 19, 2019, to be effective as
of the Effective Date first written above.
ATTESTED:
By: _________________________________
Emily Colborn, City Clerk,
Agency & Authority Secretary, MMC
“City”
CITY OF RANCHO PALOS VERDES, THE
SUCCESSOR AGENCY TO THE RANCHO
PALOS VERDES REDEVELOPMENT
AGENCY & RANCHO PALOS VERDES
IMPROVEMENT AUTHORITY
By: _________________________________
Jerry Duhovic, Mayor, Agency &
Authority Chair
[SIGNATURES CONTINUE ON NEXT PAGE]
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APPROVED AS TO FORM:
ALESHIRE & WYNDER, LLP
By: _________________________________
City Attorney, Agency & Authority
General Counsel
“Interim Manager”
By: _________________________________
Ara Michael Mihranian, AICP
[END OF SIGNATURES]
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