AGENDA TITLE:
title
Adopt a Resolution Authorizing the City Manager to Execute an Addendum to the Employment Agreement with Kenneth Johnson, Fire Chief, Including a Five Percent (5%) Equity Adjustment to Bring the Fire Chief’s Base Salary to $236,752 Annually, effective January 5, 2026, Future Cost of Living Increases, and Modification to the City’s Contribution to Medical Premiums (CM)
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MEETING DATE:
February 18, 2026
PREPARED BY:
James Lindsay, Interim City Manager
recommendation
RECOMMENDED ACTION:
Adopt a Resolution Authorizing the City Manager to Execute an Addendum to the Employment Agreement with Kenneth Johnson, Fire Chief, Including a Five Percent (5%) Equity Adjustment to Bring the Fire Chief’s Base Salary to $236,752 Annually, effective January 5, 2026, Future Cost of Living Increases, and Modification to the City’s Contribution to Medical Premiums.
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BACKGROUND INFORMATION:
The City of Lodi has negotiated successor Memorandums of Understanding (“MOUs”) with several of the represented bargaining units that include equity adjustments, cost-of-living adjustments, and increased City contribution towards medical premiums.
The City Manager has completed negotiations with the Fire Chief and have negotiated amendments to the Fire Chief’s employment agreement, similar to those provided to other represented employees, as follows:
• A five percent (5%) equity adjustment, retro-active to January 5, 2026;
• A one-point five percent (1.5%) equity adjustment, effective the first full pay-period in January 2027;
• Three percent (3%) cost-of-living increase effective the first full pay-period in January 2027;
• Three percent (3%) cost-of-living increase effective the first full pay-period in January 2028;
• City shall pay up to 90% of the medical premium, by enrollment category, for the lowest cost HMO plan available in the zip code 95240, effective January 1, 2026;
• Effective July 6, 2026, the Employee’s cost-sharing contribution (pursuant to California Government Code section 20516) shall be reduced from nine percent (9%) to three percent (3%).
• City agrees to maintain a minimum ten percent (10%) salary differential between Employee and the Fire Department’s next highest paid executive or mid manager, including incentive pay.
• If assigned by the City Manager to a vacant or interim Director position, for more than two consecutive weeks, Employee shall receive the current salary of the position they are filling while in this status, or a 10% upgrade, whichever is greater.
The current salary for the Fire Chief is $225,478 annually. The agreed upon equity adjustment of five percent (5%), retro-active to January 5, 2026 will bring the Fire Chief’s annual salary to $236,752.
FISCAL IMPACT:
The recommended salary adjustment will result in an approximate increase of $11,300 annually. Sufficient funds will be allocated within the next fiscal year’s budget for this adjustment.
FUNDING AVAILABLE:
10040001.71001