55A - RESO - CM AND COTC BONUS CM AGMT

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CITY OF SANTA ANA I: ►I ► 1 1 : ► 1 _ ,y1- 1I7LY -�I IZN �11!/►1 ►[T!]� �I I - R�]�IIllD ►I W.T"AW01 14LM Y This Amended and Restated City Manager Employment Agreement ( "Agreement ") is entered into as of the 2nd day of February, 2016 (the "Effective Date "), between the City of Santa Ana (hereinafter referred to as the "City ") and David Cavazos (hereinafter referred to as the "City Manager" or the "Employee "). City and City Manager/Employee are sometimes referred to in this Agreement as "Party" and collectively as "Parties." RECITALS WHEREAS, on October 21, 2013, the City Council appointed Employee as City Manager pursuant to the its authority under the Charter of the City of Santa Ana ( "City Charter "), WHEREAS, the City and Employee entered into an Employment Agreement effective October 21, 2013 wherein Employee would be employed as City Manager for the City of Santa Ana, WHEREAS, the City and Employee entered into a First Amendment of the Agreement on or about September 2, 2014, whereby the parties agreed to revise the term to extend the Agreement for an additional year and to revise the terms of the "Housing Allowance." WHEREAS, the City and Employee entered into a Second Amendment of the Agreement on or about January 20, 2015, whereby the parties agreed to provide certain executive level benefits related to a health savings plan and a 401(A) plan. WHEREAS, it is the desire of the City Council and Employee to amend the employment Agreement to add Compensation for Sick leave at varying rates over time or Conversion to Retirement Credit; extend the term of the Agreement from October 21, 2017 to February 16, 2019; and to add a provision to the Agreement that Employee's estate is entitled to accrued salary and benefits, but not severance if the Employee dies during the term of this Agreement. The parties further agree to combine the previous three amendments and restate the entire agreement into an Amended and Restated Agreement. as follows: NOW, THEREFORE, the above named Parties hereby mutually agree and promise 1. Term /Automatic Annual Renewal. This Agreement shall be deemed effective for a five (5) year and four (4) month term beginning on October 21, 2013 and terminating on February 16, 2019, unless terminated earlier in accordance with Section 9 hereof. This initial term will, pursuant to the provisions below, automatically extend from year to year unless City Council takes action to prevent the automatic extension. In the event the City Council does not want this Agreement to automatically extend, it Exhibit 3 55394.00000 \8170424.1 55A -7