File #: 25-116    Version: 1
Type: Action Item Status: Passed
In control: City Council
On agenda: 3/24/2025 Final action: 3/24/2025
Title: Approval of the interim city manager employment agreement. Ward(s): All Wards Councilor(s): All Councilors Neighborhood(s): All Neighborhoods Result Area(s): Good Governance.
Attachments: 1. 3-24-25 Written Testimony 1.pdf
Related files:

TO:                      Mayor and City Council   

THROUGH:                      Krishna Namburi, Acting City Manager   

FROM:                      Dan Atchison, City Attorney  

                                          

SUBJECT:

title

 

Approval of the interim city manager employment agreement.

 

Ward(s): All Wards    

Councilor(s): All Councilors    

Neighborhood(s):  All Neighborhoods    

Result Area(s): Good Governance.

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SUMMARY:

summary

 

Krishna Namburi was appointed as interim city manager at the March 10, 2025 City Council meeting. The interim city manager employment agreement specifies the terms and conditions of her appointment. The purpose of the agreement is to establish the rights and duties of the interim city manager and the City during the period she has undertaken additional responsibilities in support of the City.

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ISSUE:

 

Shall the City Council approve the interim city manager employment agreement and authorize the City Attorney to execute the agreement on behalf of the City.   

 

 

RECOMMENDATION:

recommendation

 

Approve the interim city manager employment agreement and authorize the City Attorney to execute the agreement on behalf of the City.

 

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FACTS AND FINDINGS:

 

Krishna Namburi was appointed interim city manager at the March 10, 2025 City Council meeting. Council also authorized City staff to prepare an interim city manager employment agreement for Council’s consideration. The City Attorney worked with Ms. Namburi to prepare the draft agreement. Key terms of the agreement are set forth below:

                     Ms. Namburi shall remain at her current rate of pay, but is eligible for cost of living salary adjustments as approved by City Council as part of the annual budget process;

                     Increase in auto allowance from $250/month to $500/month reflecting the additional commitments as part of the City Manager’s duties;

                     Increase in deferred compensation contribution from 5% to 6% consistent with the City Manager employment agreement;

                     Termination. City Council may terminate the interim appointment at any time. If the agreement is terminated, Ms. Namburi will have the right to return to her Deputy City Manager position.

                     Severance.

o                     No severance if the agreement is terminated and Namburi returns to her Deputy City Manager position.

o                     No severance if Namburi voluntarily resigns.

o                     9 months’ severance if Namburi is terminated by a new City Manager within 18 months of termination of the interim city manager employment agreement.

o                     Severance includes 9 months pay at Namburi’s base pay, accrued vacation, holiday and admin leave (with no cap), 9 months health, vision, dental, and life insurance, and 9 months deferred compensation payments.

Severance is typically provided for interim city manager appointments in order to encourage individuals to accept the appointment and safeguard the individual from arbitrary termination after the appointment ends.

 

Section 23(4) of the Salem Charter, requiring the City Manager to reside in the city is not applicable to this interim appointment.

 

BACKGROUND:

 

Ms. Namburi has been with the for over 25 years. During that time she has led the City Information Technologies (IT) Department and more recently led the Enterprise Services Department, which includes IT, Human Resources, Risk Management, Fleet and Facilities. She is an innovative and dedicated leader. Her leadership and organizational excellence have transformed not only the departments under her direct management but helped develop the entire organization to be more proactive and responsive to the needs of the community, city council and the City’s employees.

 

                     Dan Atchison     

                     City Attorney    

 

Attachments:

None