LOOP isisisici tevin Date: March 4, 2010 Committee Meeting Date: NA Board Meeting Date: ___ March 4, 2010 BOARD MEMORANDUM ACTION ITEM TO: Santa Clara Valley Transportation Authority Board of Directors THROUGH: — Sam Liccardo, Chairperson Ja a FROM: Bill Lopez, A= ) Chief Administrative Officer SUBJECT: Approval of Amendment to Employment Agreement for General Manager — Michael T, Burns RECOMMENDATIO! Adopt an amended employment agreement between Santa Clara Valley Transportation Authority (VTA) and General Manager Michael T, Bums (copy attached). BACKGROUND: ‘The Board of Directors appointed Mr. Burns as General Manager of VTA in June 2005, with an effective date of August 22, 2005. His initial employment contract was for a five year tem, expiring on August 31, 2010. DISCUSSION: The current employment contract for Mr. Burns is in its final year. Mr. Burns has had a successful tenure with VTA, meeting his Board directed goals and receiving consistently strong, annual performance evaluations. For the most recent performance review period, the VTA Board of Directors established an Evaluation Committee consisting of directors Sam Liceardo, Liz Kniss, and Margaret Abe-Koga. Upon the completion of this thorough review, and after receiving additional input from the Board of Directors, the committee met with Mr. Bums to discuss his evaluation and the status us employment contract. As a result, the Evaluation Committee has reached an agreement with Mr. Bums and is recommending a five year extension and amendment to his employment contract, The terms of the amended agreement are the same as the current agreement, with the exception that Mr. Burns will not have any salary adjustments until Fiscal Year 2012. This limited selary freeze corresponds to salary freezes in existing labor agreements with VTA’s represented workforce The amended employment agreement specifies: «Effective Date ~ September 1, 2010 © Contract term — Five years 3931 North First Street» Son Jase, (4 §5134-1906 - Administration 408,301,$555 » Customer Service 408.321.2300FISCAL IMPACT: Budget appropriation for the contract trom the effective date through June 201 1 is included in the FYL1 Adopted VTA Transit Enterprise Fund Operating Budget. Appropriation for the remainder of the contract period will be included in subsequent Biennial Operating Budgets,TA. Valley Transportation Authority AMENDMENT TO. EMPLOYMENT AGREEMENT BETWEEN SANTA CLARA VALLEY TRANSPORTATION AUTHORITY AND MICHAEL T. BURNS This is an Amendment to the Employment Agreement (AMENDMENT) between the Santa Clara Valley Transportation Authority (VTA) and Michael T. Bums (BURNS). WHEREAS: A. VTA and BURNS entered into an Employment Agreement (AGREEMENT) on June 23, 2005, pursuant to which VTA appointed and employed BURNS as General Manager of VTA. B. The term of the AGREEMENT expires on August 31, 2010. C. VTA and BURNS desire to extend the AGREEMENT for a five year period, and to revise the provision in the AGREEMENT pertaining to the review of BURNS'S performance and compensation. NOW, THEREFORE, in consideration of the mutual promises and conditions contained herein, the parties agree as follows: 1. Paragraph 3 of the AGREEMENT is amended to read as follows: “The term of this Agreement is hereby extended five years, commencing September 1, 2010 and expiring on August 31, 2015." 2, Paragraph 8 of the AGREEMENT is amended to read as follow “The Board of Directors shall review BURNS’S performance annually, on a fiscal year basis The Board of Directors shall review BURNS'S compensation annually, on a fiscal year basi, for adjustment in Fiscal Year 2012 and following years. Any salary adjustment for Fiscal Year 2012 or in following years shall be effective September 1.” 3. Except as hereby amended, the AGREEMENT and all actions taken thereunder shall remain in effect.Ener neva 55 NHERED pts peti Aint ro a ——— Sun cl Vly Trompe ana