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1058-Yehl Conditional ResignationMEMORANDUM To: Mayor Kuhn and Members of the City Commission From: Robert (Sherman) Yehl, City Manager: Us Date: 17 August, 2009 Re: Conditional Resignation I am submitting my conditional resignation as City Manager. I will make references in this memorandum to the "Employment Agreement" and those references relate to the document, dated January 26, 2009, and styled "Employment Agreement For City Manager." My resignation will be effective immediately if the City Commission will agree to the following conditions which I believe are fair and consistent with the terms and conditions of the Employment Agreement: (1) The Mayor and City Commission accept this notice and the conditions set forth herein as providing for adequate notice with regard to termination of my employment agreement with the City and the City Commission waives the requirements of Section 1 l (d) of the Employment Agreement. (2) The City will continue to pay me under the first Section 11(c) of the Employment Agreement (there inadvertently being two sections delineated with the same number) and provide benefits to me at the rate of pay and benefits as set forth in Sections 4, 7, 8 and 12 the Employment Agreement through February 19, 2010 in accordance with the pay periods that have been established for me; provided, however, that vehicle and cell phone allowances shall not be paid during that time as set forth in Section 6 of the Employment Agreement. (3) The City agrees to waive the requirements of City Administrative Policy 5.1 relating to tuition reimbursement that may be otherwise applicable to me as a departing employee. (4) The City agrees to defer its right to share in the equity on my homestead located at 2010 Cordova Drive to which the City contributed under the "City of Sanford Shared Equity (Appreciation/Depreciation) Program" ( "SEAL ") as set forth in City Resolution Number 2052 and implementing documents and to increase the base of the agreement to provide for a base 1 I Page investment by me in the amount of $172,500.00 on the basis of my investment in the property in terms of improvements made to the property (for which receipts will be provided to the Finance Director of the City for past and future improvements) and sweat equity in enhancing the property. To this end, if the property is sold in a bona fide sale at a profit above the sales price which was set forth in the implementing purchase and sale and loan documents, the City shall proportionately share in the resulting equity. However, in recognition of the real estate market present in today's economy, if a bona fide sale of the property results in a sales price at or below said sales price, the City shall release its lien on the property at the time of sale without participating in the sales price which is less than $172,500.00 (net to me). If the sales price is between $172,500.00 and $217,500.00; the City shall be paid such amount as is in excess of $172,500.00 net to me. In the event that the sales price is in excess of $217,500.00 (with $172,500.00 net to me), the equity shall be disbursed in accordance with the documents implementing the SEAL program. The City and I will enter such supplemental agreement(s) as may be needed to implement this provision. (5) The City agrees to sell to me, at fair market value, either one or both, at my election, of the Apple Computers used by me and procured for my use, which amount shall be determined jointly by the City's Purchasing Agent and Information Technology Director. In order to ensure that any public records are appropriately maintained by the City, the City Clerk may reasonably review files resident on the computers. (6) On February 19, 2010 I will be paid for the lump sum value of each hour of leave in my accounts in accordance with City policies, processes and procedures; provided, however, that I will be entitled to "roll over" my paid time off balance from fiscal year 2008/2009 which shall be added together with a new accrual amount for fiscal year 2009/2010. (7) Through February 19, 2010 I will be available for consultation with the City relative to the closing out of matters with which I am involved and I will reasonably respond to the City's inquiries as a consultant with regard to matters relative to which I can offer the City assistance and support (8) My leaving the City will be in bilateral good standing and, based upon that fact, there is no reason to develop or enter any formal anti - disparagement agreement inasmuch as the City will recommend me positively to potential future employers as a result of the accomplishments of the City under my management and I have no basis for disparaging comments relative to the City. In that vein, the City and I agree that we have no claims or assertions against one another. Both the City and I agree that this termination and its implementing actions are being accomplished, and to be accomplished, in accordance with the controlling requirements of Florida law. (9) In recognition of the good faith and good standing of both myself and the City, I will be permitted, subsequent to the date of this resignation to have access to my office to accomplish the move of my personal materials and effects. I will coordinate this activity with the person who is appointed by the City Commission as Acting City Manager. 21Page By execution of this document by me, above, and by the Mayor, on behalf of the City Commission below, we express agreement and acceptance of the terms and conditions ser forth herein. Agreed to and accepted by the City Commission of the City of Sanford on this 17 day of August, 2009. ATTEST: ?AN DOUGHERTY CITY CLERK CITY OF SANFORD LINDA �UHN, MAYO APPROVED AS TO FORM AND LBOALITY: I City Attorney 3 1Page