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R-20-02VILLAGE OF DEERFIELD RESOLUTION NO. 2020- R-20-2 A RESOLUTION APPROVING A RESTATED VILLAGE MANAGER EMPLOYMENT AGREEMENT WHEREAS, the Village of Deerfield ("Village's is a home rule municipality in accordance with Article VII, Section 6 of the Constitution of the State of Illinois of 1970; and WHEREAS, Kent Street has served as Village Manager for the Village since 2007; and WHEREAS, Kent Street desires to continue to serve as Village Manager under the terms and conditions of the Restated Village Manager Employment Agreement (the "Restated Agreement's attached to this Resolution as Exhibit A; and WHEREAS, in the exercise of the Village's home rule powers, the Village Board desires to have Kent Street continue his service as Village Manager under the terms and conditions of the Restated Agreement; and WHEREAS, the Village Board has determined that it will serve and be in the best interests of the Village and its residents to approve the Restated Agreement; NOW, THEREFORE, BE IT RESOLVED BY THE VILLAGE BOARD OF DEERFIELD, LAKE AND COOK COUNTIES, ILLINOIS, as follows: SECTION 1: RECITALS. The Village Board hereby adopts the foregoing recitals as its findings, as if fully set forth herein. SECTION 2: APPROVAL OF AGREEMENT. The Village Board hereby approves the Restated Agreement by and between the Village and Village Manager Kent Street in the form attached to this Resolution as Exhibit A. SECTION 3: AUTHORIZATION TO EXECUTE AGREEMENT. The Village Board hereby authorizes and directs the Village President and the Village Clerk to execute, on behalf of the Village, the Restated Agreement. SECTION 4: EFFECTIVE DATE. This Resolution shall be in full force and effect from and after its passage and approval according to law. AYES: Benton, Jester, Oppenheim, Seiden, Shapiro, Struthers NAYS: None ABSTAIN: None ABSENT: None PASSED: January 21, 2020 APPROVED: January 22, 2020 RESOLUTION NO: R-20-2 Harriet liosenthal, Mayor ATTEST: Kent S. Street, Village Clerk RESTATED VILLAGE MANAGER EMPLOYMENT AGREEMENT THIS AGREEMENT, made and entered into this r�" C day of January 2020 by and between the Village of Deerfield, an Illinois home rule municipal corporation, (hereinafter referred to as the "Village") and Kent S. Street, (hereinafter referred to as the "Employee"). This Agreement supersedes all previous employment agreements between the Village and the Employee RECITALS A. The Employee has been, and is, serving the Village as Village Manager, and the Village, in the exercise of the Village's home rule power, desires to have the Employee continue to serve the Village as Village Manager under the terms and conditions of this Agreement. B. The Employee desires to continue as Village Manager under the terms and conditions of this Agreement. NOW, THEREFORE, in consideration of the mutual promises, terms, conditions and agreements hereinafter set forth, the parties agree as follows: 1. Emplovment and Duties. 1.1 The Employee's initial start date as Village Manager was September 17, 2007. This Agreement is effective as of January a _�__, 2020. The Employee and the Village agree that the terms and conditions of the Employee's employment as Village Manager are set forth in this Agreement. 1.2 The Employee shall perform all duties of the Village Manager as set forth in the ordinances of the Village and the statutes of the State of Illinois and such other duties and functions, not inconsistent therewith as may be assigned to him from time to time by the Village President and Board of Trustees. 1.3 The Employee shall work exclusively for the Village and shall diligently utilize his best efforts in the performance of services and duties under this Agreement. The Employee shall devote his entire business time, attention and energies to the performance of the services and duties hereunder and shall not, without the prior written consent of the Village President and Board of Trustees engage actively (as opposed to passively) in any income or profit -generating activities. 2. Term of Agreement. 2.1 The Employee shall serve at the pleasure of the Village. Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the Village to terminate the employment of the Employee at any time subject only to the provisions set forth herein. 2.2 Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the Employee to resign at any time from his position as Village Manager, subject only to the provisions set forth herein. 3. Termination, Resignation and Severance Pay. 3.1 In the event the Village, without cause, fails to retain the Employee or otherwise terminates the employment of the Employee, the Village agrees to pay the Employee a severance payment equal to six months base salary, provided that no such payment shall be due to the Employee if termination of his employment is for cause. For purposes of this Agreement, "cause" means (i) conviction or a plea of nolo contendere of an offense damaging the integrity or reputation of the Village, (ii) a finding by a court of any malfeasance or misconduct under the statutes and laws of the State of Illinois regardless of whether that conduct requires removal from office, or (iii) failure to perform the Employee's duties under this Agreement. The Village shall provide the Employee written notice of its intent to terminate this Agreement pursuant to Section 3.1(iii) setting forth the conduct of the Employee which gives rise to his termination. The notice shall provide the Employee with not less than 10 days to request a meeting with the Village (the Mayor, a committee of the Board of Trustees, or other designated representative) to give the Employee an opportunity to respond to the conduct cited by the Village as grounds for his termination and, in the sole discretion of the Village, to discuss curing that conduct. 3.2 In the event the Employee voluntarily resigns, he shall give the Village three months advance written notice of his resignation and the termination of this Agreement. 3.3 If the Employee is permanently disabled or is otherwise unable to perform his duties because of personal sickness, accident, injury, mental incapacity, or health status for a period of three successive weeks, or for 15 working days over a 30 -working -day period, beyond any accrued sick leave, the Village shall have the option to terminate this Agreement subject to the severance pay requirements set forth in paragraph 3.1 hereof. Notwithstanding the foregoing, no severance pay benefit shall be due to the Employee if the medical condition which subjects Employee to the termination of this Agreement qualifies him for long term disability benefits pursuant to any plan sponsored or paid for by Village. 3.4 In the event this Agreement is terminated with or without cause as provided in this Section 3, the Employee shall be compensated for any accrued and unused sick leave, vacation leave, holidays and other accrued benefits. 2 4. Employee Salary. Effective January 1, 2020, the Village will pay the Employee (i) a base salary of $238,701.00, payable in installments at the same time as other employees of the Village are paid, and which shall be adjusted from time to time as the parties may agree and (ii) a $3,000.00 to the ICMA Deferred Compensation Plan. Consideration shall be given by the Village on an annual basis, following a review of the Employee's performance, to increases or changes in the Employee's compensation. 5. Employee Insurance and Leave Benefits. Except as provided below, the Employee shall receive all employee benefits and privileges (such as Health and Life Insurance, Illinois Municipal Retirement Plan, Vacations, Sick Leave, etc.) enjoyed by other regular supervisory employees of the Village from time to time. 5.1 The Employee shall be entitled to four weeks of paid vacation leave per calendar year. 5.2 The Employee shall have 12 days of paid sick leave plus all of his accrued sick leave days, per Village policy. 5.3 The Employee shall have group health insurance coverage. 6. Automobile. The Employee is required to be on call for 24 -hours service, seven days per week, and therefore the Employee will have the use of a Village vehicle for Village business as well as the Employee's private use during the term of this Agreement. The Employee shall be responsible for the taxable value and benefit of any personal use attributed to a Village vehicle. The Village shall be responsible for the costs of maintaining, repairing, and operating the vehicle. 7. Other Business Expenses. The Employee shall be entitled to reimbursement of all necessary and reasonable expenses incurred by him in the performance of his professional duties and responsibilities under this Agreement, subject to the presentation of appropriate expense vouchers and supporting materials in accordance with all applicable Village rules and 3 policies and subject to review and approval by the Village. This includes membership in the Deerfield Rotary Club. The Village shall reimburse the Employee for the reasonable cost and expense of travel outside the Chicago metropolitan area related to Village business in accordance with Village policy for management employees. 8. Professional Development. In order to maintain the Employee's professional standing and continued education, the Village agrees to pay the reasonable cost of the Employee's dues in professional municipal management associations and other reasonable and mutually agreed expenses of professional development. 9. Relocation and Village Residency. 9.1 The Employee shall continue to reside within the Village during his term of employment as Village Manager. 9.2 In consideration of the Employee's efforts in relocating his residence into the Village and in recognition of the cost of appropriate housing in the Deerfield market, the Village loaned the Employee the sum of $100,000.00 (the "Loan") for a portion of the purchase price of a residence purchased by the Employee within the Village (the "Deerfield Residence"). Except as provided herein, the Loan is without interest. The Loan is evidenced by a promissory note (the "Note"). The Loan is secured by a second mortgage on the Deerfield Residence (the "Second Mortgage"). The Village does hereby, and shall, acknowledge that the Second Mortgage is subordinate to the Employee's first mortgage, and any subsequent mortgage, on the Deerfield Residence. 9.3 The Employee shall not suffer or permit any mortgage on the Deerfield Residence to be in default. 9.4 The Loan shall be due and payable upon the transfer by the Employee and/or co- owner of their interest in the Deerfield Residence or within 90 days of the date of termination of the Employee's employment as the Village Manager, whether voluntary or involuntary, with or without cause. 9.5 The Loan shall not bear interest except in the event of a default by the Employee and/or any co-owner under the Note or the Second Mortgage, in which event the principal amount of the Loan shall bear interest at the rate of 9% per annum from the date of the default. In the event of default, the Employee agrees to pay the Village's costs of collection, including reasonable attorneys' fees. 9.6 The Village determined, and the Village hereby confirms that the Village will continue to forgive 10 percent of the current Loan value annually in June. 4 9.7 The provisions of this Paragraph 9 shall survive the expiration or termination of this Agreement. 10. ICMA Code of Ethics. Inasmuch as the Employee is an active member and participant in the ICMA, the "Code of Ethics" promulgated by ICMA is incorporated herein and made part hereof by this reference. It is agreed that the Code of Ethics shall furnish principles to govern the Employee's conduct and actions as Village Manager. The Employee further agrees that confidential information he acquires during the course of his employment as Village Manager shall remain and be kept confidential following the termination of his employment. 11. General Provisions. This Agreement constitutes the entire agreement between the parties and it shall be binding upon and inure to the benefit of the heirs, executors, successors, and assigns of the parties. This Agreement may only be amended by written instrument executed by both parties and each provision hereof shall be deemed severable. This Agreement shall be construed under the laws of the State of Illinois. IN WITNESS WHEREOF, the parties have executed this Agreement the day and year first above written. Village of Deerfield: By: J G�,�, - tw President, Village of Deerfield ATTEST: q............ �. Village lerk 5 Employee: By: Kent treet