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FY2022-17 Borough Manager Employment Contract Between KIM and Roxanne MurphyEMPLOYMENT CONTRACT CONTRACT NO. FY2022-17 THIS AGREEMENT is made and entered into this 12th day of November 2021, between the Kodiak Island Borough Assembly (hereinafter Borough) and Roxanne Murphy (hereinafter Manager). WHEREAS, Borough wishes to employ the services of Roxanne Murphy, as Manager of the Kodiak Island Borough; and WHEREAS Borough and Manager desire to provide for certain procedures, benefits, and requirements regarding the employment of Manager by Borough; and WHEREAS Manager wishes to accept employment as Manager of said Borough; and NOW, THEREFORE, Borough and Manager agree to the following terms and conditions: Section 1: Duties and Nature of Employment. A. Borough hereby agrees to employ Manager, and Manager agrees to be employed by Borough, in the position of Borough Manager. Manager is an at -will employee who serves at the pleasure of the Borough Assembly. Manager, as an administrative and/or executive employee of the legislative branch of Borough government, is entitled to all fringe benefits provided to any other Borough administrative and/or executive employee, and, therefore, Manager is not entitled to receive overtime compensation. B. Manager shall perform the duties specified in the job description included as Exhibit A, all duties and functions assigned to Manager by law, and such other legally permissible and proper duties and functions as the Borough Assembly shall from time to time prescribe. Section 2: Contract Term and Notice Requirements. While this is an at -will employment contract, both parties anticipate that it shall be in effect for three (3) years, December 6 2021 through _ December 6 2024. The Assembly may, at its sole discretion, elect to extend the contract for one year at end of the initial three-year contract period. If the Assembly elects to do so it shall notify the Manager of the intent to extend the contract term at least 90 days before the end of the contract term. Section 3: Salary and Benefits. A. Borough agrees to pay Manager for her services, payable in installments at the same time as other employees of the Borough, at the initial rate of one hundred thirty thousand dollars ($130,000.00) annually. B. Manager's performance shall be reviewed six (6) months after the effective date of the agreement and the Manager's salary will be increased by 2.5% upon mutual review if the Employment ContractFinall1.10.21 Page 1 of 6 Assembly determines that the Manger has provided satisfactory job performance. C. Manager's performance shall be reviewed twelve (12) months after the effective date of the agreement, and annually thereafter, and the Manager's salary will be increased by 2.5% upon mutual review if the Assembly determines that the Manger has provided satisfactory job performance. D. Annual leave shall be provided to Manager in accordance with the Kodiak Island Borough Personnel Manual except that Manager will be eligible to utilize five (5) days of annual leave within the normal probationary period of six months. Leave taken within the initial six months shall be charged against available leave and is not in addition to other leave. E. Sick leave, health insurance, life insurance, disability insurance, workers' compensation insurance, jury duty, holidays, and contributions to the Alaska Public Employees Retirement System will be provided to Manager in accordance with the Kodiak Island Borough Personnel Manual, as provided for all other employees. F. Hours of work. The Manager shall be generally as provided in Section 601 of the Personnel Manual, but the Manager shall work the necessary hours to perform required duties without overtime compensation or compensatory leave. G. Except to the extent specifically referenced to in this Agreement as well as Chapters 1 and 11, provisions of the Kodiak Island Borough Personnel Manual are not applicable to Manager's personnel status as a Borough employee. H. Borough will provide an automobile for Manager's business use only, including commuting to/from work. Borough will provide gas, oil, maintenance, and liability insurance. Vehicle will be replaced as needed. Section 4: Separation of Employment and Severance Pay. A. The Borough Assembly may terminate Manager at any time, for any reason or for no reason, by delivering to Manager written notice of termination. 1. Termination for other than good cause: a. In the event of termination other than for good cause, Borough shall pay to Manager a severance pay in an amount equal to two months' salary. Manager shall also be compensated for all accrued annual leave. 2. Termination for good cause: a. In the event Manager is terminated for good cause, Borough shall not pay severance pay to Manager, however, Manager shall be compensated for all accrued annual leave. B. Manager may voluntarily resign his employment as Borough Manager at any time, for any reason or for no reason, by delivering to the Borough Assembly notice of resignation at least sixty (60) days prior to the effective date of resignation, unless the parties agree otherwise. If Manager voluntarily resigns, Borough will not be obligated to pay severance pay to Manager. Employment ContractFina111.10.21 Page 2 of 5 C. For the purpose of this section, the term "good cause" shall mean: 1. A willful breach, disregard, or gross neglect of the duties assigned to the Manager by law or by the Borough Assembly, or incompetence, which is defined as the inability or the intentional failure to perform the Manager's duties in a satisfactory manner. However, termination for incompetence will require written notice and reasonable time allowed, along with appropriate resources provided, to affect a remedy. 2. Any conduct of Manager bringing public embarrassment or ridicule to the Borough. 3. Any conduct of Manager involving a conviction for any act of moral turpitude or illegality defined as a felony or a misdemeanor that tends to reflect dishonesty. Section 5: Moving Expenses. A. Manager may receive compensation for expenses incurred in moving to Kodiak in an amount not to exceed one month's salary, in accordance with the Kodiak Island Borough Personnel Manual. The Borough will pay for moving expenses for furnishings and personal effects and will reimburse the Manager for other expenses such as fuel, lodging, transportation, and food upon presentation of receipts. Section 6: Conditions of Employment. Manager shall receive the salary and benefits, and shall work under the terms and conditions, specified in this document during the three-year term of this contract with a ninety {90) day notice by either party to renew or not renew by mutual consent after that time. Section 7: Dues and Subscriptions. A. Borough hereby agrees pay for membership to International City/Country Management Association (ICMA), the Alaska Municipal Managers Association (AMMA) and the Alaska Municipal League (AML). Borough will pay for dues and all expenses for one (1) civic group upon mutual agreement of said civic group. Section B: Professional Development. A. Borough will budget and pay for attendance at the ICMA annual conference and the AML annual conference including travel and hotel costs. Reimbursement for normal expenses associated with attendance (meals). B. Manager, while traveling out of town on official business, will be reimbursed for reasonable expenses by Borough. Borough will provide for and/or reimburse Manager for transportation costs and other costs incidental to such travel, and of a normal and necessary nature. Such expenses would include hotel rooms, auto rental, taxi fare, etc. This section applies to short courses, institutes, and seminars that are necessary for professional development and for the good of Borough, as budgeted by the Borough Assembly along with all other Borough related travel. Section 9: Indemnification. A. Borough agrees to defend, save and hold harmless, and indemnify Manager against any tort Employment ContractFinall 1.10.21 Page 3 of 5 claim, professional liability claim or demand or other legal action, whether groundless or otherwise, arising out of an alleged act or omission by Manager arising out of the course and scope of his employment; provided, however, that the aforementioned obligation of Borough shall not extend to claims based on the following acts of misconduct: 1. A willful breach, disregard, or gross neglect of duties requested of Manager by the Borough Assembly formally communicated to Manager or required to be performed by Manager hereunder or under the ordinances of the Kodiak Island Borough and the laws of the United States of America and the State of Alaska; 2. Any conduct of Manager bringing public embarrassment or ridicule to Borough; or 3. Any conduct of Manager involving a conviction for any act of moral turpitude or illegality defined as any felony involving moral turpitude or a crime; which reflects dishonesty. B. Borough will defend, compromise, or settle any such claim or suit and pay the amount of settlement orjudgment rendered thereon. Section 10: General Provisions. A. This Agreement shall constitute the entire agreement between the parties. B. This Agreement shall be binding upon and inure to the benefit of the heirs-at-law and executors of Manager. C. This Agreement shall be in effect for three (3) years or until Manager resigns -or is terminated under the provisions of Section 4, above. D. If any provision, or any portion thereof, contained in this agreement is held to be unconstitutional, invalid, or unenforceable, the remainder of this agreement or any portion thereof, shall be deemed severable, shall not be affected, and shall remain in full force and effect. E. This contract may only be amended in writing signed by both parties. Provided, however, that any increases in compensation approved by the Assembly pursuant to section 3 shall be incorporated without requiring a signed writing. Section 11: No Reduction of Benefits; Good Faith and Fair Dealing. A. Borough shall not at any time during the term of employment with this agreement reduce the salary, compensation, or other financial benefits to Manager except to the same degree as a reduction for all non-union employees. B. All contract provisions shall be subject to the covenant of good faith and fairdealing. IN WITNESS WHEREOF, the parties have executed this Agreement effective the 12th day of November _,2021 KODIAK ISLAND BOROUGH // lillei" " IWn kWerfs, Mayor Employment ContractFinall1.10.21 MANAGER Gl._!u+I�.��I Roxanne Murphy Page 4 of 5 Date: k—/z Rile �l« iqh Clerk Date: «' 10 ( 24 v . Employment ContractFinall 1.10.21 Page 5 of 5