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HomeMy WebLinkAboutZack Zithisakthanakul - 2026-08-01 OYTiNGTo 2000 Main Street, 'of 0,9,44 :; Huntington Beach,CA 92648 ;9Q � City of Huntington Beach APPROVED 5-0-2 couNT't- (GRUEL,WILLIAMS- ABSENT-OUT OF ROOM) File #: 26-636 MEETING DATE: 7/21/2026 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Travis Hopkins, City Manager VIA: Marissa Sur, Assistant City Manager PREPARED BY: Veronica Navarro-Martinez, Human Resources Manager Subject: Approve the Appointment of Zack Zithisakthanakul to the Position of Chief Financial Officer and Authorize the City Manager to Execute the Employment Agreement Statement of Issue: The Chief Financial Officer position was vacated on August 30, 2024, following the resignation of the former Chief Financial Officer. The position was filled by Interim Retired Annuitant appointments while the City conducted a recruitment process to find a permanent replacement. Zack Zithisakthanakul was appointed Acting Chief Financial Officer in December 2025. Financial Impact: Funding is included in the FY 2026-2027 budget. Recommended Action: Approve and authorize the City Manager to execute the "Employment Agreement between the City of Huntington Beach and Zack Zithisakthanakul" for the position of Chief Financial Officer. Alternative Action(s): Do not approve the appointment and direct the City Manager to conduct a new recruitment process. Analysis: The position of Chief Financial Officer has been vacant since August 2024, due to the resignation of the former incumbent. To maintain the integrity of the City's services and to provide continued executive support to the Finance Department, the position was filled by Interim Retired Annuitant appointments while the City conducted a recruitment process. In December 2025, Zack Zithisakthanakul was appointed Acting Chief Financial Officer. The City Manager recommends City Council approval to appoint Zack Zithisakthanakul to the position of Chief Financial Officer, effective August 1, 2026. City of Huntington Beach Page 1 of 2 Printed on 7/15/2026 powered by Legistarle 510 File #: 26-636 MEETING DATE: 7/21/2026 Zithisakthanakul has over eight years of experience in Finance, is professionally licensed as a Certified Public Accountant, and holds a Master of Professional Accountancy from Biola University. Prior to serving as the Acting Chief Financial Officer, Zithisakthanakul held the positions of Assistant Chief Financial Officer and Finance Manager with the City. He has served the City of Huntington Beach since June 2021. The compensation is recommended at Non-Associated Appointed Executive Management Salary Range 0272, at Step E ($104.013 hourly). All other benefits provided are generally applicable to non- represented employees (department heads) as set forth in Huntington Beach City Council Resolution No. 2025-41. Environmental Status: Pursuant to CEQA Guidelines Section 15378(b)(5), administrative activities of governments that will not result in direct or indirect physical changes in the environment do not constitute a project. Strategic Plan Goal: Non Applicable -Administrative Item Attachment(s): 1. Zack Zithisakthanakul Employment Agreement 2. Zack Zithisakthanakul Resume 3. PowerPoint Presentation City of Huntington Beach Page 2 of 2 Printed on 7/15/2026 powered by LegistarTM 511 EMPLOYMENT AGREEMENT BETWEEN THE CITY OF HUNTINGTON BEACH AND ZACK ZITHISAKTHANAKUL THIS AGREEMENT is entered into this 2t"' day of dull , 2026, between the City of Huntington Beach, a California municipal corporation, hereinafter "City," and Zack Zithisakthanakul, hereinafter "Zithisakthanakul." WITNESSETH WHEREAS, the City Manager has been empowered to appoint and remove department heads; and WHEREAS, the City, through the City Manager, desires to employ the services of Zithisakthanakul as Chief Financial Officer for the City of Huntington Beach; and WHEREAS, the City seeks to provide certain benefits, establish certain conditions of employment, and to set working conditions of Zithisakthanakul; and WHEREAS, the City intends to: (1) Secure, retain and employ the services of Zithisakthanakul; and (2) Zithisakthanakul intends to accept employment as Chief Finance Officer; NOW, THEREFORE, in consideration of the mutual covenants herein contained, the parties agree as follows: SECTION 1. DUTIES. The City agrees to employ Zithisakthanakul as Chief Financial Officer for the City to perform the functions and duties of that office as set forth in the Municipal Code of the City of Huntington Beach and the City Charter, and to perform other duties and functions as the City Manager shall from time to time assign. Zithisakthanakul shall devote his full attention and effort to the office and perform the mentioned duties and functions in a professional manner. 1 Zack Zithisakthanakul-Employment Agreement-2026 SECTION 2. STATUS AND TERM. (a) Zithisakthanakul shall serve for an indefinite term at the pleasure of the City Manager and shall be considered an at-will employee of the City. (b) Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the City Manager to terminate the employment of Zithisakthanakul at any time, subject only to the provisions set forth in Section 6, subparagraphs (a), (b) and(c) of this Agreement, and Section 401 of the Charter of the City of Huntington Beach. (c) Nothing in this Agreement shall prevent, limit, or otherwise interfere with the right of Zithisakthanakul to resign at any time from his position with the City, subject only to the provisions set forth in Section 6, subparagraph (d), of this Agreement. (d) Zithisakthanakul agrees to remain in the exclusive employ of City for an indefinite period of time and shall neither accept other employment or become employed by any other employer without the prior written approval of the City Manager until notice of Zithisakthanakul's resignation is given. The term "employed" (and derivations of that term as used in the preceding paragraph) shall include employment by another legal entity or self-employment, however, shall not be construed to include occasional teaching,writing,consulting,or military reserve service performed on Zithisakthanakul's time off, and with the advance approval of the City Manager. SECTION 3. SALARY. City agrees to pay Zithisakthanakul for his services rendered pursuant to this Agreement based upon the Non-Associated Appointed Salary Schedule at Range 272, Step E ($104.013/hourly)of the City's classification and compensation plan or Resolutions or Ordinances from time to time enacted that govern such compensation. 2 Zack Zithisakthanakul-Employment Agreement-2026 SECTION 4. OTHER BENEFITS. In addition to the foregoing benefits, Zithisakthanakul shall also receive all such other benefits that are generally applicable to non-associated employees(Department Heads)hired after 12/27/97, as set forth in Huntington Beach City Council Resolution No. 2016-50, entitled "A Resolution Of The City Council Of The City Of Huntington Beach Modifying Salary And Benefits For Non-Represented Employees Including The Elected City Attorney, City Clerk, And City Treasurer", a copy of which is attached hereto as Exhibit "A" and incorporated by reference as fully set forth herein. Zithisakthanakul shall also be eligible for a cell-phone stipend(Smartphone) in the amount of$50.00 per month, paid bi-weekly. The benefits provided to Zithisakthanakul pursuant to this Section may be modified by the City from time to time, upon adoption of a successor Resolution. SECTION 5. ADMINISTRATIVE LEAVE. The City Manager may place Zithisakthanakul on Administrative Leave with full pay and benefits at any time during the term of this Agreement. SECTION 6. TERMINATION AND SEVERANCE PAY. (a) Except as provided in subsection (b), in the event the City Manager terminates the employment of Zithisakthanakul, and during such time that Zithisakthanakul is willing and able to perform his duties under this Agreement, then City shall pay to Zithisakthanakul a severance payment equal to salary payments which Zithisakthanakul would have been receiving over a twelve week period at Zithisakthanakul's current rate of pay in effect on the day prior to the date of termination. In addition, for the lesser of ninety (90)calendar days after the date of termination or the time Zithisakthanakul secures health and medical insurance through comparable employment, the City shall maintain and pay for health, medical, disability, the continuation of retirement benefits and life insurance in such amounts and on such terms as have been received by 3 Zack Zithisakthanakul-Employment Agreement-2026 Zithisakthanakul and Zithisakthanakul's dependents at the time of such termination; however, no other or additional benefits shall accrue during this ninety (90) calendar-day period. (b)(1) Notwithstanding subsection (a) above, the following reasons shall constitute grounds to terminate the employment of Zithisakthanakul without severance pay: (i) a willful breach of this agreement or the willful and repeated neglect by Zithisakthanakul to perform duties that he is required to perform; (ii) conviction of any criminal act relating to employment with the City; (iii) conviction of a felony. (2) Prior to the time that the City Manager terminates Zithisakthanakul without severance pay for any of the reasons set forth in Section (b)(1) above, and only in that case, the City Manager shall provide Zithisakthanakul with written notice of proposed termination which will include the reason and factual basis for termination. Within ten days of such notice, Zithisakthanakul may request an opportunity to respond to the reasons and factual basis provided by the City Manager. If such a request to respond is made, the City Manager shall conduct a meeting, which may be informal in nature, that Zithisakthanakul may respond to the notice of proposed termination. At such meeting, Zithisakthanakul may be represented by an attorney of his choice and present evidence or information relevant to the reasons and factual basis set forth in the notice of proposed termination. Subsequently, the decision of the City Manager as to whether reasons set forth in Section(b)(1)exist or do not exist shall be final as between the parties. (c) In the event the City at any time during the term of this Agreement, reduces the salary of Zithisakthanakul from its current level, except as part of an across-the-board reduction for all Directors of City, or in the event City refuses, following written notice, to extend to Zithisakthanakul any non-salary benefit customarily available to all Directors, or in the event Zithisakthanakul resigns following a suggestion,whether formal or informal,by the City Manager that he resign, then, Zithisakthanakul may, at his option, be deemed to be "terminated". The termination date will occur then at the date of reduction or refusal to extend or such suggestion of 4 Zack Zithisakthanakul-Employment Agreement-2026 resignation within the meaning and context of the severance pay provision in subparagraph (a) above; provided that the option to be deemed terminated is exercised by written notice from Zithisakthanakul and delivered to the City Manager within ten (10) working days of notification of such reduction, refusal to extend, or suggestion of resignation. In that event, the severance payment shall be calculated from the date Zithisakthanakul exercises the option to be deemed terminated. (d) In the event Zithisakthanakul voluntarily resigns his position, Zithisakthanakul shall give City written notice at least sixty (60) days prior to the last workday, unless the City Manager and Zithisakthanakul otherwise agree. (e) It is understood that after notice of termination in any form, Zithisakthanakul and the City will cooperate to provide for an orderly transition. Specific responsibilities during such transition may be specified in a written separation agreement. SECTION 7. DISABILITY. If Zithisakthanakul is medically, physically disabled or otherwise unable to perform his duties because of sickness, accident,injury,mental incapacity or ill health, and has provided proof of the same from a medical professional, he shall be eligible for Disability Leave upon exhausting all accrued sick leave, general leave and executive leave, and duty injury leave if applicable. Disability Leave shall be unpaid and shall be approved by the City Manager for a time period of up to three (3) months. The length of such time period of the Disability Leave shall be dependent upon the length of the disability as demonstrated by Zithisakthanakul. If Zithisakthanakul is unable to return to work at that time, the City shall have the option to terminate the employment of Zithisakthanakul, subject to the requirements imposed on City by Section 6, paragraph (a). SECTION 8. PERFORMANCE EVALUATION. 5 Zack Zithisakthanakul-Employment Agreement-2026 The City Manager shall review and evaluate in writing the performance of Zithisakthanakul at least once annually. That review and evaluation shall be in accordance with specific criteria developed in consultation with Zithisakthanakul and the City Manager. Those criteria may be added to or subtracted from as the City Manager may from time to time determine, in consultation with Zithisakthanakul. SECTION 9. GENERAL AND EXECUTIVE LEAVE Zithisakthanakul shall accrue General Leave in accordance with the General Leave accrual provisions applicable to Department Heads of the City as contained in the Non-Associated Resolution (Exhibit "A") with Zithisakthanakul starting with Fifth through Ninth Year years of service accrual. Zithisakthanakul shall be credited 80 hours of Executive Leave upon his first day of employment. Thereafter, Zithisakthanakul shall be credited 80 hours of Executive Leave on January 1 of each calendar year. Executive Leave must be used in the same calendar year it is credited; unused Executive Leave may not be carried forward to the next calendar year or cashed out at any time. General Leave shall be accrued in accordance with the appropriate provisions of the Non-Associated Resolution (Exhibit "A"). Zithisakthanakul shall provide the City Manager with reasonable notice prior to taking two (2) or more General Leave or Executive Leave days off. SECTION 10. PROFESSIONAL DEVELOPMENT. The City agrees to budget and pay for Zithisakthanakul's professional memberships as normally accorded to Department Heads. Zithisakthanakul shall also receive paid leave, plus registration, travel and reasonable expenses for short courses, conferences and seminars that are necessary for professional/personal development and,in the judgment of the City Manager,for the good of the City, and subject to budget limitations and to established travel policies and procedures. 6 Zack Zithisakthanakul-Employment Agreement-2026 SECTION 11. FINANCIAL DISCLOSURE. Zithisakthanakul shall report to the City Manager any ownership interest in real property within the County of Orange, excluding personal residence. Zithisakthanakul shall also complete and file annually, Financial Disclosure 700 Forms. Also, Zithisakthanakul shall report to the City Manager any financial interest greater than Ten Thousand Dollars ($10,000) in value in a firm doing work for City or from which City intends to make a purchase. Such reporting shall be made in writing by Zithisakthanakul to the City Manager within ten(10) calendar days of the execution of this agreement and within ten (10) calendar days of acquisition of that interest in real property. Additionally, Zithisakthanakul shall report in writing to the City Manager any financial interest greater than Ten Thousand Dollars ($10,000) in value in a firm doing work for the City or from whom the City intends to make a purchase immediately upon notice of the intended work or purchase. SECTION 12. INDEMNIFICATION. The City shall defend and indemnify Zithisakthanakul against actions, including but not limited to any: tort, professional liability claim or demand, or other non-criminal legal, equitable or administrative action, arising out of an alleged act or omission occurring in the performance of Zithisakthanakul during the discharge of his duties as an employee/officer of the City, other than an action brought by the City against Zithisakthanakul, or an action filed against the City by Zithisakthanakul. The City shall pay the reasonable expenses for the travel, lodging, meals, and lost work time of Zithisakthanakul should Zithisakthanakul be subject to such, should an action be pending after termination of Zithisakthanakul. The City shall be responsible for and have authority to compromise and settle any action, with prior consultation with Zithisakthanakul, and pay the amount of any settlement or judgment rendered on that action. Zithisakthanakul shall cooperate fully with the City in the settlement, compromise, preparation of the defense, or trial of any such action. 7 Zack Zithisakthanakul-Employment Agreement-2026 SECTION 13. GENERAL PROVISIONS. (a) The text herein shall constitute the entire Agreement between the parties. (b) This Agreement shall become effective commencing August 1, 2026. (c) If any provision, or any portion of any provision, contained in this Agreement is held unconstitutional, invalid, or unenforceable, the remainder of this Agreement, or any portion of it, shall be deemed severable, shall not be affected and shall remain in full force and effect. (d) No amendment of this Agreement shall be effective unless in writing and signed by both parties. IN WITNESS WHEREOF, City has caused this Agreement to be signed and executed on its behalf by its City Manager, and Zithisakthanakul has signed and executed this Agreement, both in duplicate, the day and year first above written. CITY: ZITHISAKTHANAKUL: /-411rA Travis Hopkins, City anager Zack Zithisakthanakul g APPROVED AS TO FORM: Michael Vigliotta, City Attorney 8 Zack Zithisakthanakul-Employment Agreement-2026 Zack Zithisakthanakul, CPA Professional License&Education Certified Public Accountant,California#149727 Biola University,Master of Professional Accountancy Relevant Work Experience City of Huntington Beach Huntington Beach,CA Acting Chief Financial Officer December 2025—Present • Successfully led the development and adoption of the City's fiscal year 2026/27 operating and capital budget, coordinating with executive management,departments,Finance Commission,and City Council. • Served as a member of the City's labor negotiations team, leading financial costing and fiscal impact analysis for multiple bargaining units. • Advised the City Manager, executive leadership, Finance Commission, and City Council on fiscal policy, budget strategy, debt management,reserve planning,and other complex financial matters. • Managed the Finance Department's core operations, including budget, accounting, payroll, accounts payable, procurement,business license,and utility billing. • Oversaw and implemented citywide financial initiatives and policy updates. • Directed Finance Department operations during a period of executive transition while maintaining continuity of financial services and strategic initiatives. • Prepared and presented complex financial analyses, staff reports, and recommendations to the City Council and Finance Commission. Assistant Chief Financial Officer August 2025—Present • Direct and oversee citywide financial operations including budget, business license, payroll, accounting and financial reporting to ensure compliance with GASB,GAAP, and State/Federal regulations. • Advise the Interim Chief Financial Officer,City Manager,and executive leadership on long-term financial planning, fiscal policy,and strategic use of resources. • Lead the development of the Annual Comprehensive Financial Report (ACFR), budget documents, and financial presentations to Finance Commission. • Manage internal and external audits,coordinate responses to audit findings,and ensure implementation of corrective actions. • Oversee development and monitoring of city-wide financial policies, internal control systems, and process improvements to enhance efficiency and transparency. • Supervise and mentor division managers and processional staff across accounting,budget,payroll,procurement,and accounts payable/receivable division. Finance Manager August 2022—August 2025 • Led the accounting division, supervising a team of seven staff across accounting and accounts payable/receivable staff. • Managed preparation of complex financial reports including the ACFR, PAFR, and State Controller's Annual Report. • Oversaw journal entries, reconciliation, and accounting for debt issuance, debt refunding, capital assets, and other high-level transactions. • Ensured integrity of the general ledger and monitored modifications to the chart of accounts. • Conducted internal control reviews and collaborated across departments to implement GASB 87 lease accounting. Principal Finance Analyst June 2021—August 2022 • Performed advanced financial analysis,reporting,and audit preparation for the Finance Department. • Supported accounting system integrity and implementation of new reporting standards. • Prepared journal entries,reconciliations, and internal control assessments. • Promoted to Finance Manager in August 2022 for strong performance and leadership. Haskell&White LLP Irvine,CA Experienced Associate,Audit January 2021-April 2021 Davis Farr LLP Irvine,CA Senior Auditor January 2018—December 2020 Conrad LLP Lake Forest,CA Junior Audit Associate May 2017—December 2017 520 #-15z--zwk \\.\\ WIP 704/"•� ,, aRPORgTez), �, Ch •� ef Financia _ _ _ 0 ff. dor ,,,,;7,,,,f i,. Ali 4 0 - -... ________ _ _ - _ � __ _� _ • Employment _ _ � _- __ . ___ ___ iss. .,,,,_ ,..... ),) ,, ,, . .. . _ _ _ Agreement ._ . ......„ .� •V� fi ,_. e$•. i, ____ ...___ P© �. • .•• ` July 15, 2026 D 17, 19n , CIVT`� °).\-\<CC1 521 on racOverview • Compensation: Placement at Step E of the Non-Associated Executive Management Salary Schedule • Benefits: Benefits available to City's executive staff, per Non- Associated Resolution �d0NTIN6T 000 ` v. `97\ ?i •ti`FHB. .-.- , o .= \ •.. ?7.1sn9. �.•� /1 r Fe, •••........• \_ 9 �' OUNTV C,''1,1 i, 522 a�x h � a ash $...� '4::t47,70-'',.., #'+k; .+. Questions ? , , 1 I 'i1 I iii ! 'I')': ----' ,.. ...,-:".'----^"...7"." 4 :'fir,'-'1,-'„'-,! -a+�„, '`a' .S �4. � t f .t �" `ik, .,,, A , M A 8 "';"' , aY wy s` S ro• ''''''.:1.1:"..%'17%•0 � .a. �„".+ ^'..�.r y. .fit & TTàT 523 EMPLOYMENT AGREEMENT BETWEEN THE CITY OF HUNTINGTON BEACH AND ZACK ZITHISAKTHANAKUL THIS AGREEMENT is entered into this day of 2026, between the City of Huntington Beach, a California municipal corporation, hereina r "City," and Zack Zithisakthanakul, hereinafter "Zithisakthanakul." WITNESSETH WHEREAS, the City Manager has been empower to appoint and remove department heads; and WHEREAS, the City, through the City ager, desires to employ the services of Zithisakthanakul as Chief Financial Officer for t City of Huntington Beach; and WHEREAS, the City seeks to provi e certain benefits, establish certain conditions of employment, and to set working condition of Zithisakthanakul; and WHEREAS,the City intends t . (1) Secure, retain and e loy the services of Zithisakthanakul; and (2) Zithisakthanakul 'ntends to accept employment as Chief Finance Officer; NOW, THEREF9RE, in consideration of the mutual covenants herein contained, the parties agree as follows/ /i SECTION 1. DUTIES. The City agrees to employ Zithisakthanakul as Chief Financial Officer for the City to perform the'functions and duties of that office as set forth in the Municipal Code of the City of Huntington Beach and the City Charter, and to perform other duties and functions as the City Manager shall from time to time assign. Zithisakthanakul shall devote his full attention and effort to the office and perform the mentioned duties and functions in a professional manner. 1 Zack Zithisakthanakul-Employment Agreement-2026 r SECTION 2. STATUS AND TERM. (a) Zithisakthanakul shall serve for an indefinite term at the pleasure of the City Manager and shall be considered an at-will employee of the City. (b) Nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the City Manager to terminate the employment of Zithisakthanakul at any time, subject only to the provisions set forth in Section 6, subparagraphs (a), (b) and (c) of this Agreement, and Section 401 of the Charter of the City of Huntington Beach. (c) Nothing in this Agreement shall prevent, limit, or otherwise interfere with the right of Zithisakthanakul to resign at any time from his position with the City, subject only to the provisions set forth in Section 6, subparagraph/d), of this Agreement. (d) Zithisakthanakul agrees to r ain in the exclusive employ of City for an indefinite period of time and shall neither accep other employment or become employed by any other employer without the prior written aproval of the City Manager until notice of Zithisakthanakul's resignation is given. The term "employed" (and derivations of that term as used in the preceding paragraph) shall include employment l?y another legal entity or self-employment, however, shall not be construed to include occasjibnal teaching,writing,consulting,or military reserve service performed on Zithisakthanakul's time off, and with the advance approval of the City Manager. SECTION 3. SALARY. City agrees to pay Zithisakthanakul for his services rendered pursuant to this Agreement based upon the Non-Associated Appointed Salary Schedule at Range 272, Step E ($104.013/hourly) of the City's classification and compensation plan or Resolutions or Ordinances from ti e to time enacted that govern such compensation. / / 2 Zack Zithisakthanakul-Employment Agreement-2026 SECTION 4. OTHER BENEFITS. In addition to the foregoing benefits, Zithisakthanakul shall also receive all such other benefits that are generally applicable to non-associated employees (Department Heads)hired after 12/27/97, as set forth in Huntington Beach City Council Resolution No. 2016-50, entitled "A Resolution Of The City Council Of The City Of Huntington Beach Modifying Salary And Benefits For Non-Represented Employees Including The Elected City Attorney, City Clerk, And City Treasurer", a copy of which is attached hereto as Exhibit "A" and incorporated by reference as fully set forth herein. Zithisakthanakul shall also be eligible for a cell-phone stipend(Smartphone) in the amount of$50.00 per month, paid bi-weekly. The benefits provided to Zithisakthanakul pursuant to this Section may be modified by the City from time to time, upon adoption of a successor Resolution. SECTION 5. ADMINISTRATIVE LEAVE. The City Manager may place Zithisakthanakul on Administrative Leave with full pay and benefits at any time during the term of this Agreement. SECTION 6. TERMINATION AND SEVERANCE PAY. (a) Except as provided in subsection (b), in the event the City Manager terminates the employment of Zithisakthanakul, and during such time that Zithisakthanakul is willing and able to perform his duties under this Agreement, then City shall pay to Zithisakthanakul a severance payment equal to salary payments which Zithisakthanakul would have been receiving over a twelve week period at Zithisakthanakul's current rate of pay in effect on the day prior to the date of termination. In addition, for the lesser of ninety (90) calendar days after the date of termination or the time .Zithisakthanakul secures health and medical insurance through comparable employment, the City shall maintain and pay for health, medical, disability, the continuation of retirement benefits and life insurance in such amounts and on such terms as have been received by 3 Zack Zithisakthanakul-Employment Agreement-2026 Zithisakthanakul and Zithisakthanakul's dependents at the time of such termination; however, no other or additional benefits shall accrue during this ninety (90) calendar-day period. (b)(1) Notwithstanding subsection (a) above, the following reasons shall constitute grounds to terminate the employment of Zithisakthanakul without severance pay: (i) a willful breach of this agree7ent or the willful and repeated neglect by Zithisakthanakul to per orm duties that he is required to perform; (ii) conviction of any Grim' al act relating to employment with the City; (iii) conviction of a felony. (2) Prior to the time that thCity Manager terminates Zithisakthanakul without severance pay for any of the reasons set forth in Section (b)(1) above, and only in that case, the City Manager shall provide Zithisakth/akul with written notice of proposed termination which will include the reason and factu Y basis for termination. Within ten days of such notice, Zithisakthanakul may request an opportunity to respond to the reasons and factual basis provided by the City Manager. If such/a request to respond is made, the City Manager shall conduct a meeting, which may be informal in nature, that Zithisakthanakul may respond to the notice of proposed termination. ,such meeting, Zithisakthanakul may be represented by an attorney of his choice and present evidence or information relevant to the reasons and factual basis set forth in the notice of proposed termination. Subsequently, the decision of the City Manager as to whether reasons set forth in Section(b)(1)exist or do not exist shall be final as between the parties. (c) 'n the event the City at any time during the term of this Agreement, reduces the salary of Zi isakthanakul from its current level, except as part of an across-the-board reduction for all D. ectors of City, or in the event City refuses, following written notice, to extend to i Zithisakthanakul any non-salary benefit customarily available to all Directors, or in the event Zithisakthanakul resigns following a suggestion, whether formal or informal, by the City Manager that he resign, then, Zithisakthanakul may, at his option, be deemed to be "terminated". The termination date will occur then at the date of reduction or refusal to extend or such suggestion of 4 Zack Zithisakthanakul-Employment Agreement-2026 , I resignation within the meaning and context of the severance pay provision in subparagraph (a) above; provided that the option to be deemed terminated is exercised by written notice from Zithisakthanakul and delivered to the City Manager within ten (10) working days of notification of such reduction, refusal to extend, or suggestion of resignation. In that event, the severance payment shall be calculated from the date Zithisakthanakul exercises the option to be deemed i terminated. (d) In the event Zithisakthanakul voluntarily res,igns his position, Zithisakthanakul shall give City written notice at least sixty (60) days prior to the last workday, unless the City Manager and Zithisakthanakul otherwise agree. (e) It is understood that after notice of t rmination in any form, Zithisakthanakul and the City will cooperate to provide for an orderly'transition. Specific responsibilities during such transition may be specified in a written sep tion agreement. SECTION 7. DISABILITY. If Zithisakthanakul is med. ally, physically disabled or otherwise unable to perform his duties because of sickness, acci nt, injury, mental incapacity or ill health, and has provided proof of the same from a medical p ofessional, he shall be eligible for Disability Leave upon exhausting all accrued sick leave, g eral leave and executive leave, and duty injury leave if applicable. Disability Leave shall e unpaid and shall be approved by the City Manager for a time period of up to three (3) mon s. The length of such time period of the Disability Leave shall be dependent upon the length f the disability as demonstrated by Zithisakthanakul. If Zithisakthanakul is unable to ret to work at that time, the City shall have the option to terminate the employment of Zithis anakul, subject to the requirements imposed on City by Section 6, paragraph (a). SECTION 8. PERFORMANCE EVALUATION. f / 5 Zack Zithisakthanakul-Employment Agreement-2026 The City Manager shall review and evaluate in writing the performance of Zithisakthanakul at least once annually. That review and evaluation shall be in accordance with specific criteria developed in consultation with Zithisakthanakul and the City Manager. Those criteria may be added to or subtracted from as the City Manager may from time to time determine, in consultation with Zithisakthanakul. / SECTION 9. GENERAL AND EXECUTIVE LEAVE Zithisakthanakul shall accrue General Leave in accordance with the General Leave accrual provisions applicable to Department Heads of the city as contained in the Non-Associated Resolution (Exhibit "A") with Zithisakthanakul starting with Fifth through Ninth Year years of / service accrual. Zithisakthanakul shall be credited 80 hours of Executive Leave upon his first day of employment. Thereafter, Zithisakthanak shall be credited 80 hours of Executive Leave on 7 January 1 of each calendar year. Execut e Leave must be used in the same calendar year it is credited; unused Executive Leave may of be carried forward to the next calendar year or cashed out at any time. General Leave shal e accrued in accordance with the appropriate provisions of the Non-Associated Resolution xhibit "A"). Zithisakthanakul shall provide the City Manager with reasonable notice prior t aking two (2) or more General Leave or Executive Leave days off. SECTION 10. PROF SSIONAL DEVELOPMENT. The City agr s to budget and pay for Zithisakthanakul's professional memberships as normally accorde to Department Heads. Zithisakthanakul shall also receive paid leave, plus registration, tra e1 and reasonable expenses for short courses, conferences and seminars that are necessary fo rofessional/personal development and, in the judgment of the City Manager, for the good of e City, and subject to budget limitations and to established travel policies and proced es. 6 Zack Zithisakthanakul-Employment Agreement-2026 SECTION 11. FINANCIAL DISCLOSURE. Zithisakthanakul shall report to the City Manager any ownership interest in real property within the County of Orange, excluding personal residence. Zithisakthanakul shall also complete and file annually, Financial Disclosure 700 Forms. Also, Zithisakthanakul shall report to the City Manager any financial interest greater than Ten Thousand Dollars ($10,000) in value in a firm doing work for City or from which City intends to make a purchase. Such reporting shall be made in writing by Zithisakthanakul to the City Manager within ten (10) calendar days of the execution of this agreement and within ten (10) calendar days of acquisition of that interest in real property. Additionally, Zithisakthanakul shall report in writing to the City Manager any financial interest greater than Ten Thousand Dollars ($10,000) in value in a firm doing work for the City or from whom the City intends to make a purchase immediately upon notice of the intended work or purchase. SECTION 12. INDEMNIFICATION. The City shall defend and indemnify Zithisakthanakul against actions, including but not limited to any: tort, professional liability claim or demand, or other non-criminal legal, equitable or administrative action, arising out of an alleged act or omission occurring in the performance of Zithisakthanakul during the discharge of his duties as an employee/officer of the City, other than an action brought by the City against Zithisakthanakul, or an action filed against the City by Zithisakthanakul. The City shall pay the reasonable expenses for the travel, lodging, meals, and lost work time of Zithisakthanakul should Zithisakthanakul be subject to such, should an action be pending after termination of Zithisakthanakul. The City shall be responsible for and have authority to compromise and settle any action, with prior consultation with Zithisakthanakul, and pay the amount of any settlement or judgment rendered on that action. Zithisakthanakul shall cooperate fully with the City in the settlement, compromise, preparation of the defense, or trial of any such action. 7 Zack Zithisakthanakul-Employment Agreement-2026 SECTION 13. GENERAL PROVISIONS. (a) The text herein shall constitute the entire Agreement between the parties. (b) This Agreement shall become effective commencing August 1, 2026. (c) If any provision, or any portion of any provision, contained in this Agreement is held unconstitutional, invalid, or unenforceable, the remainder of this Agreement, or any portion of it, shall be deemed severable, shall not be affected and shall remain in full force and effect. (d) No amendment of this Agreement shall be effective unless in writing and signed by both parties. IN WITNESS WHEREOF, City has caused this Agreement to be signed and executed on its behalf by its City Manager, and Zithisakthanakul has signed and executed this Agreement, both in duplicate, the day and year first above written. CITY: ZITHISAKTHANAKUL: Travis Hopkins, City Manager Zack Zithisakthanakul APPROVED AS TO FORM: Michael Vigliotta, C. Attorney 8 Zack Zithisakthanakul-Employment Agreement-2026