The City Manager shall be employed by the City Council. He or she shall be selected solely on the basis of his executive and administrative qualifications with special reference to his or her actual experience or his or her knowledge of accepted practice with respect to the duties of his or her office. At the time of his or her appointment he or she need not be a resident of the city or state, but during his or her tenure of office he or she shall reside within the city. No member of the governing body shall, during the time for which he or she is elected or for two (2) years thereafter, be chosen as City Manager.