City of Pleasanton
8/16/2019 11:00:49 AM
8/16/2019 11:00:48 AM
CITY CLERK - TYPE
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2 <br /> THE CITY OF <br /> CITY COUNCIL AGENDA REPORT <br /> pLEASANTONt <br /> August 20, 2019 <br /> City Council <br /> TITLE: APPROVE FIFTH AMENDMENT TO EMPLOYMENT CONTRACT OF CITY <br /> MANAGER NELSON FIALHO TO PROVIDE FOR A TWELVE PERCENT <br /> SALARY ADJUSTMENT <br /> SUMMARY <br /> The City Council appoints and evaluates the City Manager. Nelson Fialho has served as <br /> Pleasanton's City Manager since 2004. The City Council has reviewed Mr. Fialho's <br /> performance and considered a salary survey for his position. Based on this review, and <br /> relevant market conditions, it is recommended that Mr. Fialho's employment contract be <br /> amended to provide for a twelve percent salary increase (his current salary is $228,082, <br /> so his new salary will be $255,452). A contract amendment incorporating this change is <br /> attached. <br /> RECOMMENDATION <br /> Approve and authorize the Mayor to execute the Fifth Amendment to Employment <br /> Contract between the City and Nelson Fialho. <br /> FINANCIAL STATEMENT <br /> This contract amendment can be paid from available resources in the General Fund. <br /> DISCUSSION <br /> Nelson Fialho has served as Pleasanton's City Manager for 15 years. Currently, he <br /> manages about 465 employees (plus an additional 400+ temporary staff), more than <br /> 1,200 acres of parks and open space, and Pleasanton is the home of 82,372 residents <br /> and over 7,600 businesses.' The City Council has reviewed the City Manager's <br /> performance and accomplishments and has determined that he meets and/or exceeds <br /> performance expectations and has provided specific feedback to the City Manager. <br /> In addition to these positive performance measures, City Manager Fialho's <br /> compensation is currently below market as compared to City Managers in surrounding <br /> agencies, specifically the lowest in the Tri-Valley. One contributing factor for this <br /> disparity is City Manager Fialho voluntarily foregoing pay increases in prior years to help <br /> the City's fiscal position during difficult financial times. Internally, pay increases for all <br /> other employee groups have outpaced the City Manager. As a result, the organization is <br /> currently experiencing structural salary compaction between the City Manager and <br /> some of the top tier management classifications. While the recommended salary <br /> ' Information regarding population and businesses is from the U.S. Census Bureau. <br />
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