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Compensation letter of agreement with Charles H. Ramsey, Chief of Police
April 2, 1998




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Memorandum of Understanding Partners
Staff Office: One Thomas Circle, N.W., Suite 900, Washington, DC 20005 (202) 504-3400

April 2, 1998

Charles H. Ramsey
1121 South State Street
Chicago, Illinois 60605

Dear Mr. Ramsey:

This is to confirm our discussion and set forth our agreement in principle with you regarding your compensation for the position of Chief of the District of Columbia Metropolitan Police Department ("MPD") commencing April 20, 1998 and continuing for a period of five (5) years. It is understood that this agreement is contingent upon the execution of a formal contract of employment to be completed in the near future.

You will be appointed Chief by the Mayor of the District of Columbia with the approval of the Council of the District of Columbia. Your compensation will consist of a base salary of $150,000 per year. Your base salary will be reviewed annually and be increased based upon criteria to be delineated in the future. You will be eligible to participate in other employee benefit programs generally available to District government executives and employees. Upon your appointment, you will be expected to establish and maintain residency within the District of Columbia during the term of your appointment.

You will also receive the sum of $7,824.72, reflecting the leave benefits that you will forego by leaving your present position. The District will contract with the ICMA Retirement Corporation or a similar organization to provide a defined contribution of 8% percent of your base salary. In addition, the parties will undertake an effort to address any loss of retirement income that you will experience as a result of your departure from your present position before the age of 50. Furthermore, you will receive the sum of $12,000 to cover your transitional expenses, including the cost of moving and temporary housing in Washington, D.C.

We are delighted that you have decided to join the District government team. We are confident that you will find your new position to be both challenging and rewarding and look forward to working with you in the near future.

Sincerely yours,
Marion Barry, Jr., Mayor of the District of Columbia, and
Andrew F. Brimmer, Chairman, District of Columbia Financial Responsibility and Management Assistance Authority

Agreed to: Charles H. Ramsey

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