Gardena council approves four-year city manager contract amendment with larger benefits package

The Gardena City Council voted 4-1 on Dec. 9 to approve a second amendment to City Manager Clint Osorio's employment agreement, extending the term from Dec. 9, 2025, through Dec. 8, 2029, and adjusting compensation and benefits provisions.

Staff summarized the amendment's key elements: the contract term, continuation of base salary adjustments tied to unrepresented employee COLA provisions, consolidation of accrued leave balances into a single all-purpose leave bank (APLB) with accrual of 33.17 hours per month, an educational incentive of 12 percent of base salary, and a city contribution to deferred compensation (401(a)) of $60,000 annually. Staff presented fiscal-year projected impacts for the multi-year term and explained the amendment contains an automatic reopener provision for negotiations.

Council discussion centered on the APLB structure and the lack of a cap on accrued leave. Councilmember Love asked whether the city manager could cash out leave at full value and whether uncapped accruals posed a budget risk; staff confirmed the APLB can be cashed out if elected and that, under the contract as written, there is no cap on accruals. Councilmember Love and one other member expressed concern about the potential payout liability; supporters cited the city's healthy reserve levels and the city manager's record of financial stewardship.

Councilmember Tanaka moved to approve the amendment; Mayor Pro Tem Henderson seconded. The motion passed 4-1 (Serta, Henderson, Tanaka and Francis voted yes; Love voted no). The staff presentation included estimated fiscal impacts across four fiscal years and noted the amendment follows council direction from recent evaluations.

The approved amendment requires staff follow-up on fiscal impacts and continues the city's practice of returning to council with budget items as they affect year-to-year appropriations.