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Item # 16
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
April 1, 2025
TOPIC: City Manager Performance Evaluation and Compensation Adjustment
AGENDA TITLE
Approve a First Amendment to Employment Agreement Between the City of Santa Ana
and Alvaro Nunez and Adopt a Resolution Approving the Council Appointee Salary
Schedule
RECOMMENDED ACTION
1. Approve a first amendment to the Employment Agreement Between the City of
Santa Ana and Alvaro Nunez reflecting the positive City Manager performance
evaluation conducted on March 18, 2025 and approving an adjusted annual salary
for the City Manager of $340,200 (Agreement No. A-2025-XXX).
2. Adopt a resolution updating the City's Classification and Compensation Plan with
the amended annual salary for City Manager and approving the Council Appointee
Salary Schedule in compliance with the California Public Employees' Retirement
System (CaIPERS) and Title 2 of the California Code of Regulations section 570.5.
RESOLUTION NO. 2025-XXX entitled A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF SANTA ANA TO EFFECT CERTAIN CHANGES TO THE
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GOVERNMENT CODE §84308 APPLIES: No
DISCUSSION
The City's employment agreement with Alvaro Nunez was first approved on August 6,
2024. The City Charter provides that the City Council shall conduct performance
evaluations of its appointees on an annual basis. In addition, the City Manager's
employment agreement provides for a review to evaluate the performance of the City
Manager at least 120 days following the commencement of his job as the City Manager
and annually thereafter. The City Council conducted a performance evaluation of the City
Manager on March 18, 2025. The City Manager received a positive performance
evaluation and proposed a salary increase to $340,200, effective March 18, 2025. The
City Council can approve the proposed First Amendment to the City Manager
Employment Agreement to grant a salary increase (Exhibit 1). The proposed resolution
City Manager Performance Evaluation and Salary Adjustment
April 1, 2025
Page 2
amends the City's Classification and Compensation Plan and approves the Council
Appointee Salary Schedule to reflect the aforementioned City Manager salary adjustment
(Exhibit 2).
ENVIRONMENTAL IMPACT
There are no environmental impacts associated with this action.
FISCAL IMPACT
Approval of these actions will result in an annual total increase of approximately $7,834
in Fiscal Year 2024-25. There are sufficient funds in the City Manager's Office budget
(account 011-03-010-61000) to cover the increased costs in the current fiscal year.
Estimated total General Fund fiscal impact for FY2025-26 is $27,591.
EXHIBIT(S)
1. First Amendment to the Employment Agreement Between the City of Santa Ana
and Alvaro Nunez affirming a positive performance evaluation and approving an
annual salary adjustment for the City Manager; and
2. Resolution amending the City's Classification and Compensation Plan and
approving the amended Council Appointee Salary Schedule
Submitted By: Lori Schnaider, Executive Director of Human Resources
Approved By: Kathryn Downs, Assistant City Manager
FIRST AMENDMENT TO EMPLOYMENT AGREEMENT BETWEEN THE
CITY OF SANTA ANA AND ALVARO NU&EZ
THIS FIRST AMENDMENT TO EMPLOYMENT AGREEMENT BETWEEN
THE CITY OF SANTA ANA AND ALVARO NUNEZ is entered into this 1 st day of
April 2025, by and between Alvaro Nunez ("City Manager"), and the City of Santa Ana,
a charter city and municipal corporation duly organized and existing under the
Constitution and laws of the State of California ("City").
RECITALS
A. The Parties entered into Agreement #A-2024-135 dated August b, 2024
("Agreement") by which Alvaro Nunez agreed to serve as City Manager for City.
The Agreement is current and in effect;
B. On March 18, 2025, the City Manager received a positive performance evaluation
and proposed a salary increase to $340,200; and
C. The City Council desires to provide a salary increase to the City Manager.
Now, therefore, in consideration of the mutual and respective promises, and
subject to the terms and conditions of said Agreement, except as herein modified, the
Parties agree as follows:
THE PARTIES THEREFORE AGREE:
I. SECTION 5, Compensation subsection a, Base Salarx, shall be amended to
provide for an annual salary of three hundred forty thousand two hundred dollars
and no cents ($340,200.00) retroactive to March 18, 2025.
2. Except as hereinabove modified by this First Amendment, the terms and conditions
of said Agreement remain unchanged and in full force and effect.
IN WITNESS WHEREOF, the parties hereto have executed this First Amendment
to the Agreement the date and year first above written.
ATTEST: CITY OF SANTA ANA
Jennifer L. Hall
City Clerk
Valerie Amezcua
Mayor
[Signatures continue on the next page]
1
APPROVED AS TO FORM:
Sonia R. Carvalho
City Attorney
By: �awtp- A.V c, ru.
Laura A. Rossini
Chief Assistant City Attorney
Alvaro Nunez
Employee
Signature Page- FIRST AMENDMENT TO EMPLOYMENT AGREEMENT BETWEEN THE
CITY OF SANTA ANA AND ALVARO NUNEZ
2
RESOLUTION NO. 2025-XXX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SANTA ANA TO EFFECT CERTAIN CHANGES TO THE CITY'S
CLASSIFICATION AND COMPENSATION PLAN
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS
FOLLOWS:
Section 1. The City Council of the City of Santa Ana ("City") hereby finds, determines,
and declares as follows:
A. Section 1004 of the City Charter of the City requires the City Manager to
prepare, install, and maintain a position classification and pay plan subject to
civil service rules and regulations and the approval of the City Council.
B. It is the City's practice to assign job titles that reflect the duties and
responsibilities of the classification and are consistent with other classifications
within the City's organizational structure, as well as comparable job titles in the
labor market, while maintaining internal pay equity relationships and attracting
and retaining qualified candidates.
C. The City Council regularly amends the City's classification and compensation
plan for all full-time and part-time classifications of officers and employees of
the City of Santa Ana.
D. The City Council approved a salary adjustment for the City Manager from
$315,000 to $340,200 effective March 18, 2025.
E. It is now desired to amend the City's classification and compensation plan to
reflect the approved change to the City Manager's salary.
Section 2. The Santa Ana City Council hereby approves an updated Salary Schedule
for the Council Appointee unit, attached to this resolution as Exhibit A, reflecting
classification and compensation amendments per previously approved City Council
agreements and amendments to agreements, grouped by employee unit as
recommended by the California Public Employees' Retirement System ("CaIPERS"), and
in compliance with CaIPERS and Title 2 of the California Code of Regulations section
570.5.
Section 3. This resolution supersedes Resolution No. 2024-060.
Section 4. This resolution shall take effect immediately upon its adoption by the City
Council, and the City Clerk shall attest and certify the vote adopting this resolution.
Resolution 2025-XXX
Page 1 of 3
ADOPTED this 1st day of April 2025.
Valerie Amezcua
Mayor
APPROVED AS TO FORM:
Sonia R. Carvalho
City Attorney
By:0
Laura A. Rossini
Chief Assistant City Attorney
AYES: Councilmembers
NOES: Councilmembers
IG1:3•�rG\I► 1i��11PI - Ii1STM
NOT PRESENT: Councilmembers
CERTIFICATE OF ATTESTATION AND ORIGINALITY
I, Jennifer L. Hall City Clerk, do hereby attest to and certify the attached Resolution No.
2025- to be the original resolution adopted by the City Council of the City of Santa Ana
on April 1, 2025.
Date:
Jennifer L. Hall
City Clerk
City of Santa Ana
Resolution 2025-XXX
Page 2 of 3
EXHIBIT A
COUNCIL APPOINTEE
SALARY SCHEDULE
REVISED APRIL 1, 2025
EFFECTIVE MARCH 18, 2025
JOB TITLE JOB•D
City Manager EM 01790 340,200
City Clerk EM 01990 195,083
Resolution 2025-XXX
Page 3 of 3