City Manager Antonio E. Acosta is retiring effective June 30, 2019.  The City Council conducted a competitive nationwide recruitment for Mr. Acosta’s successor and ultimately selected Joan Malloy to serve as Union City’s next City Manager.    

Following negotiations with City Council appointed negotiators, the City Attorney has prepared an employment agreement for Joan Malloy to serve as City Manager.  The City Attorney recommends that the City Council, by resolution, appoint Joan Malloy as City Manager effective July 1, 2019 and approve the employment agreement with Joan Malloy to serve as City Manager.  The proposed resolution authorizes Mayor Dutra-Vernaci to execute the employment agreement on behalf of the City. 

The City Attorney, with direction from the City Council, prepared an employment that contains the terms of Ms. Malloy’s employment as City Manager (“Agreement”).  If approved, Ms. Malloy would become the City Manager, effective July 1, 2019.

Ms. Malloy’s employment as City Manager under the Agreement would continue until terminated by either Ms. Malloy or the City.  As City Manager, Ms. Malloy’s employment would be at will.  The Agreement would establish Ms. Malloy’s base compensation at an annual amount of $245,000.  Ms. Malloy would also receive 5% longevity pay for her years of service, thus increasing her total annual salary to $257,250.  As an exempt employee under the Agreement, Ms. Malloy would not receive any overtime compensation.  Ms. Malloy would be entitled to increases in compensation in the sole discretion of the City Council based upon merit.  The City Council would need to approve any future adjustments to compensation or benefits in open session consistent with the Brown Act.

Under the Agreement, Ms. Malloy would be entitled to receive the same benefits that are received by all Department Heads.  This includes a contribution of $200 per month into a CALGOVEBA health account, $100 per month towards a 401(A) plan, paid healthcare costs up to $2,000 per month following an initial contribution by Ms. Malloy, City paid life insurance coverage of $100,000, and holidays, administrative leave, personal leave, and bereavement leave.  Additionally, Ms. Malloy will receive a $600 monthly contribution from the City towards a deferred compensation account.

Under the Agreement, the City would also pay for reasonable expenses associated with Ms. Malloy’s professional development including attendance at professional conferences, continuing education, professional memberships, etc.

If approved, the Agreement would require the City Council to define goals and performance objectives for Ms. Malloy’s role as City Manager no later than December 31, 2019.  Ms. Malloy’s performance as City Manager would then be reviewed at least annually by the City Council.

The Agreement can be terminated by voluntary resignation of Ms. Malloy upon 60 days’ notice or the Agreement can be terminated by the City for any reason (which would require the City to pay 6 months’ severance to Ms. Malloy, but only after signing a release of all claims against the City). 

California laws and regulations also require that the City Council approve a revision to the City's salary schedule to reflect Ms. Malloy's salary.