Contract - Brushy Creek Regional Utility Authority, Tom Gallier - 10/26/2017 r
MEMORANDUM OF UNDERSTANDING
This Memorandum of Understanding("MOU")is made by and among the Brushy Creek Regional
Utility Authority ("BCRUA"), the City of Round Rock, Texas ("CORR"), and Tom Gallier,
("Gallier").
RECITALS
WHEREAS,there is an existing Interlocal Agreement("ILA")between BCRUA and CORR dated
the 25th day of March, 2010, related in part to CORR's agreement to provide to BCRUA one of
CORR's employees to serve as General Manager ("GM") of BCRUA; and
WHEREAS, pursuant to the terms of the ILA, CORR and BCRUA agreed that Gallier was an
acceptable individual to take on the duties of GM of the BCRUA; and
WHEREAS, pursuant to the terms of the ILA, CORR has and continues to pay the GM for his
services, which costs were and are reimbursed to CORR by the BCRUA and its member cities;
and
WHEREAS,when the ILA was entered into,BCRUA and CORR anticipated that the GM position
would be a part-time position requiring approximately 15 to 20 hours per week; and
WHEREAS, the GM currently receives compensation at the rate of $80/hour plus applicable
CORR benefits; and
WHEREAS, over the past couple of years, the work load has increased so that the GM is now
averaging approximately 25 hours per week; and
WHEREAS,the parties now anticipate that the work load will continue to increase over the next
several months to the point that the GM position will soon become a full-time position; and
WHEREAS, Gallier has indicated to BCRUA and to CORR that he is not interested in a full-time
general manager position; and
WHEREAS, the BCRUA will soon begin the process of advertising for and recruiting a General
Manager to replace Gallier; and
WHEREAS,the purpose of this MOU is to set out the understanding of the parties to accomplish
a smooth transition period between the current part-time GM position to a full-time GM position;
WHEREAS, the parties acknowledge that the terms and conditions listed herein are not legally
binding against any party, but merely serve as a memorandum of the current understanding of the
parties;
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NOW THEREFORE,BCRUA, CORR,and Gallier agree to work cooperatively and in good faith
to provide for a smooth period of transition from the current part-time GM position to a full-time
GM position.
ARTICLE I.
GENERAL MANAGER'S CURRENT COMPENSATION
The GM is currently being compensated at the rate of$80.00 per hour plus standard
CORK employee benefits. This compensation package was based on the assumption that
the GM would be a part-time position with an average work load of approximately 15 hours
per week.
ARTICLE II.
GENERAL MANAGER'S WORKLOAD
As state above, the GM's initial work load was approximately 15 hours per week.
As a result of several factors, including pending litigation, the expansion of the treatment
plant, and the design and right-of-way acquisition for Phase 2, the work load is now
averaging close to 25 hours per week. Because of anticipated increased activity in all
aspects of the BCRUA, it is expected that over the next several months the work load will
soon approach 30 hours and even more per week.
The parties all recognize that over time the work load will increase to the point that
it will be necessary for the GM to become a full-time employee. The parties also recognize
that as that time approaches, it will be appropriate for the GM to be a direct employee of
the BCRUA rather than an employee of the CORR.
Gallier has informed the BCRUA and the CORR that while he is happy in his
current part-time GM position, he is not interested in a full-time position.
ARTICLE III.
TRANSITION FROM PART-TIME TO FULL-TIME GM POSITION
The parties agree that it is in their best interest to provide for a smooth transition
from the current part-time GM position to a full-time GM position.Accordingly,the parties
agree to the transition process as set forth below.
Gallier will continue to be an employee of the CORR. However, rather than
compensating him by the hour, Gallier will receive an annual salary of$125,000.00, plus
applicable CORR benefits. Gallier will be expected to devote whatever time and effort is
required to adequately perform the duties and responsibilities of GM. BCRUA and CORR
recognize that a significant portion of the GM duties can be performed outside of the
BCRUA office.
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The parties agree that it is in the best interest of BCRUA for Gallier to remain as
GM for as long as it takes for BCRUA to recruit and hire a new full-time GM. If requested
by the BCRUA, Gallier is also willing to continue to work for a period of time to train the
new GM. It is anticipated that the recruiting,hiring, and training process will take less than
12 months.
ARTICLE IV
LEGAL EFFECT OF MOU
This MOU is intended to provide an outline of the current understanding of the
parties hereto, and is not intended to legally bind the parties to the terms and conditions
stated herein. The parties, however, agree that the terms and conditions stated herein are
reasonable and provide an outline for future actions by the parties.
Executed and effective this 24P—day of 2017.
BRT � —C K REGIONAL UTILITY
UH ---
By:
rank Leffingwell, President
CITY OF UND rOCK TEXAS
By: 7
�ai'Moan, Mayor
Je&
Tom Gallier
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