SAN LEANDRO -- After a two-year run as city manager, Stephen Hollister tendered his resignation to the City Council on Monday following his closed-session performance review.

Hollister, 60, would not comment on his reasons for leaving, but he said that despite changing faces in the city's top positions -- new Mayor Stephen Cassidy was sworn in Monday night, while incoming Police Chief Sandra Spagnoli takes her oath of office Jan. 10 -- the city isn't on shaky ground in terms of leadership.

"No, I think that organizations are always changing," Hollister said. "Fortunately we have wonderful employees here, very strong, very competent. "... I will be leaving the city in good hands."

Hollister's last day will be June 30, when his current contract expires. He said he will be helping the city find and transition to a new manager until then, although the selection process is still unknown.

"It's early," he said. "Everybody is going to come back in January to figure it out."

There's a lot of other work to do, he added.

"I'll be working with the incoming council on a number of things," he said. "We are still coming out of a financial crisis, have a budget to get moving forward and there are a number of initiatives the city will be undertaking."

Those initiatives include the physical transformation and marketing of the downtown corridor and kick-starting projects that have been crippled by the economy.

Hollister was appointed as city manager in 2008 after serving as assistant city manager for four years.

He spoke fondly about his municipal co-workers and their achievements.

"They've been able to hang together and weather this financial crisis we've been through," he said. "We have 20 percent fewer people, and they're still trying to deliver all the services they did before."

Hollister said he plans on retiring from municipal service.

"I've been doing it for 34 years, starting as a police officer," he said. "I'm looking for proverbial other opportunities, but I don't know what those are going to be. Who knows what I might do?"

Contact Eric Kurhi at 510-293-2473. Follow him at Twitter.com/erickurhi. Read our blog at www.IBAbuzz.com/hayword.