Agmt17 Pamela Aguilar City Clerk

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its officers and employees and acknowledging that payments under this provision release City from any further obligations under this Agreement. F. This Agreement does not provide for a specific term of service and limits Severance Pay to three (3) months. In an abundance of caution, in the event a term is inferred by a Court or is later specified and Severance Pay or other cash settlement is proposed to exceed the three (3) month limit agreed herein, this Agreement provides as required by the California Government Code Sections 53260 and 53261, the following: If for any reason this Agreement is terminated and the City provides a cash settlement, the maximum cash settlement that Employee may receive is an amount equal to the monthly salary of employee multiplied by the number of months left on the unexpired term and that even if the unexpired term is greater than eighteen (18) months, the maximum cash settlement shall be no greater than an amount equal to the monthly salary of the Employee multiplied by eighteen (18). Further, such cash settlement shall not include any noncash items except health benefits which may be provided only to the extent as set forth in California Government Code Section 53261, or as otherwise required by law. G. Notwithstanding the foregoing, the City shall not be obligated to pay, and shall not pay, any amounts, including but not limited to Severance Pay, or continue any benefits, other than as required by law, if Employee is terminated because of a crime of moral turpitude or a violation of statute or law constituting misconduct in office or abuse of office or position, or if the Council determines that Employee has engaged in conduct that would harm the reputation of City. Further, City shall not be obligated to pay, and shall not pay, any amounts or continue any benefits, other than those required by law, in the event Employee voluntarily resigns without affirmative action by City to terminate Employee's employment or to initiate termination proceedings. However, the City Council's request that Employee resign shall result in an obligation to pay Employee Severance Pay. H. In the event the City Council at any time during the course of this Agreement reduces the salary or other financial benefits of all other management employees and, at the same time, reduces the salary or other financial benefits of Employee by a percentage greater than the average percentage reduction applicable to the other management employees, or in the event the City Council refuses, following written notice, to comply with any material provision herein benefiting Employee, Employee may, at his option, be deemed "terminated' at the date of such reduction or such refusal to comply, and shall be entitled to Severance Pay. I. Consideration of Employee's termination by the City Council may not occur within ninety (90) days after a General Municipal Election or Special Election wherein a new member or members are elected to the City Council. REV: 06-07-17 VR Page 4 of 7