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<br /> - 4 - <br />OAK #4822-2397-6246 v1 <br />law, under the circumstances. Prior to commencing employment with City in <br />a newly defined capacity as set forth herein, Employee shall execute and <br />deliver to City a release agreement approved by City and approved as to form <br />by the City Attorney waiving and releasing City and individual City officials <br />and employees from any and all claims that Employee may have against City <br />and its officers and employees and acknowledging that payments under this <br />provision release City from any further obligations under this Agreement. <br /> <br />F. This Agreement does not provide for a specific term of service and limits <br />Severance Pay to six (6) months. In an abundance of caution, in the event a <br />term is inferred by a Court or is later specified and Severance Pay or other <br />cash settlement is proposed to exceed the six (6) month limit agreed herein, <br />this Agreement provides as required by the California Government Code <br />Sections 53260 and 53261, the following: If for any reason this Agreement is <br />terminated and the City provides a cash settlement, the maximum cash <br />settlement that Employee may receive is an amount equal to the monthly <br />salary of employee multiplied by the number of months left on the unexpired <br />term and that even if the unexpired term is greater than eighteen (18) months, <br />the maximum cash settlement shall be no greater than an amount equal to the <br />monthly salary of the Employee multiplied by eighteen (18). Further, such <br />cash settlement shall not include any noncash items except health benefits <br />which may be provided only to the extent as set forth in California <br />Government Code Section 53261, or as otherwise required by law. <br /> <br />G. Notwithstanding the foregoing, the City shall not be obligated to pay, and <br />shall not pay, any amounts, including but not limited to Severance Pay, or <br />continue any benefits, other than as required by law, if Employee is <br />terminated because of a crime of moral turpitude or a violation of statute or <br />law constituting misconduct in office or abuse of office or position, or if the <br />Council determines that Employee has engaged in conduct that would harm <br />the reputation of City. Further, City shall not be obligated to pay, and shall not <br />pay, any amounts or continue any benefits, other than those required by law, <br />in the event Employee voluntarily resigns without affirmative action by City <br />to terminate Employee’s employment or to initiate termination proceedings. <br />However, the City Council’s request that Employee resign shall result in an <br />obligation to pay Employee Severance Pay. <br /> <br />H. In the event the City Council at any time during the course of this Agreement <br />reduces the salary or other financial benefits of all other management <br />employees and, at the same time, reduces the salary or other financial benefits <br />of Employee by a percentage greater than the average percentage reduction <br />applicable to the other management employees, or in the event the City <br />Council refuses, following written notice, to comply with any material <br />provision herein benefiting Employee, Employee may, at his option, be <br />deemed “terminated’ at the date of such reduction or such refusal to comply, <br />and shall be entitled to Severance Pay. <br />6.3.A. - Page 7