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3. SALARY. City agrees to pay Westerhaus a salary of $60,000 per year starting January 1, <br />2003 and continuing through December 31, 2003. City agrees that on January 1, 2004, <br />assuming satisfactory performance by Westerhaus, that Westerhaus' salary will be adjusted <br />by any cost of living adjustments made to the salary scale for the position of Building <br />Official. In future years, the Building Official's salary scale will be adjusted at a time <br />consistent with other employees and in a manner subject to the approval of the City Council <br />of Little Canada and in compliance with City's comparable worth plan. City agrees to <br />provide a performance review of Westerhaus after six months of employment and once per <br />year thereafter. <br />4. DEFERRED COMPENSATION. City shall allow Westerhaus to enroll in the ICMA -RC <br />deferred compensation plan with contributions to this plan to be the sole responsibility of <br />Westerhaus. <br />5. VACATIONS. Westerhaus will receive one week accrued vacation at the start of <br />employment. He will also be eligible for one week's additional vacation on January 1, 2004 <br />and each year thereafter subject to satisfactory performance. Westerhaus will also accrue <br />vacation as outlined in Section 13 of the City's Personnel Policy with his beginning tenure at <br />zero (0) years service with City. <br />6. SICK LEAVE. Westerhaus will receive ten (10) days of sick leave at the start of <br />employment, and accrue sick leave as outlined in Section 13 of the City's Personnel Policy <br />and subject to a maximum accrual of 120 days. <br />7. HOLIDAYS. City will provide Westerhaus the same standard holidays as enjoyed by other <br />employees as set forth in Section 13 of City's Personnel Policy. <br />8. INSURANCE. City will pay the cost of hospital and medical insurance for Westerhaus and <br />dependents in the same manner provided for other employees pursuant to Section 12 of City's <br />Personnel Policy. Westerhaus may also participate in the "Opt -Out" program provide for in <br />Section 12 of the City's Personnel Policy on the same basis as other employees. City will <br />2 <br />