HomeMy WebLinkAboutSUPPTL INFO - C00008A - BBK Exhibit "A"
Proposed Agreement
Submitted by BB&K
AGREEMENT
F O R CITY ATTORNEY SERVICES
CONTRACT NO. coo-oosA
This Agreement is made as of the day of , 2006, by and
between, on the one hand, the CITY OF PALM DESERT ("CITY"), a California municipal
corporation and charter city, acting on hehalf of itself, and BEST BEST & KRIEGER LLP
("BB&K"),a limited liability partnership engaged in the practice of law.
CITY and BB&K AGREE AS FOLLO'WS:
1 RECITALS
A. CITY has heretofore retained BB&K to perform legal services as City Attorney.
B. CITY and BB&K desire and intend that BB&K sha11 continue to provide CITY
legal services as city Attorney on the terms set forth hereinafter.
2. SCOPE OF SERVICES
BB&K shall serve as City Attorney and shall perform the Services to include, by way of
example, preparation for and attendance at all regular and special meetings of the City Council, the
Redevelopment Agency Board, the Planning Commission, and other boards, commissions, and
committees established by CITY, unless otherwise directed by CITY; preparation or review of all
CITY ordinances, resolutions, agreements, deeds, agenda reports, and other legal documents
requested by CITY; provision to all officials, off'icers, and sta.ff of CITY of legal advice and
opinions concerning all matters affecting CITY, as directed by the City Council, City Manager,
and City staff.
3 . BB&K PERSONNEL
David J. Erwin ("Erwin'� shall be the individual designated as City Attomey and shall be
responsible for the performance of services by BB&K under this Agreement and the supervision
of any and all other BB&K professional and support personnel who provide services to CITI�.
No change in this designation shall be made without the prior consent of CITI'. CITY and
BB&K understand that Erwin may, on rare occasions, be temporarily uizavailable to respond to
Page 1 of 4
r:nat�w�e�w�ra���sab.i
ceilttests by CTT1' fi�r specific legal assistance. Thus; BBcXCIt llicly fl'O[il t1tI1C 1U tlllie �lSSlgl] UIIlI',C
�ttorneys and may use paralegals to assist in the provision of City Attorney ser��ices pursuaui to
this Agreement; provided, however, that prior to use of any attorney other than Ei�viii, BB&K
shall seek and, wherever reasonabl}� possible, obtain the prior approval of CITY regarding any
attorney who may be asked to provide assistance to CITY. Attorneys and paralegals who receive
such approval from CITY shall hereinafter be referred to as "Approved Personnel".
4. OFFICE HOURS AND AVAILABILITY OF BB&K PERSONNEL
Erwin shall attend and conduct office hours one half work day (four hours) of every
week at Palm Desert City Hall. In addition, if and when requested by CITY, Erwin shall attend
and conduct additional office hours at Palm Desert City Hall on any additional day or days
of any week, as needed in the determination of CITY. On any and all days when Erwin is not
present at Palm Desert City Hall, Erwin and/or other Approved Personnel of BB&K shall
remain available at all times to provide City Attorney legal services to CITY from BB&K
offices.
5. COMPENSATION
In consideration for the performance of the Services by BB&K, CITY shall pay BB&K
a flat-rate, all-inclusive sum of($18,000.00 per month) ("Monthly Compensation"), which
shall not only include payment of fees for the Services but also payment of all costs
associated with the provision of the Services, including, without limitation, telephone �
expenses, document reproduction expenses, automobile mileage expenses, computer
research expenses, and the like (but excluding any court or administrative agency filing fees
in the event CITY requests that BB&K file documents with a court or administrative agency,
and excluding fees which CITY might request that BB&K pay on its behalf to third parties,
such as appraisers or consultants}. There shall be no additional sums billed CITY by BB&K
and no additional sums due and payable to BB&K by CITY for the Services with the
exception of special services set forth in Section 10 which shall be billed separately at a
negotiated hourly rate. CITY and BB&K agree that the Monthly Compensation shall
automatically increase effective for the Services provided by BB&K on and after July 1 of
each calendar vear (commencing July 1, 2007) in an amount equal to the increase in the
Pa�e 2 of 4
RnTPue��r-Rwir����;a6.i
Consumer Price lndex (:C`PI) for the ��revious calendar ycar (January 1 ttu•ough Decciiiher
��) for All Urban Consumers in tlie Los Angeles•Anaheim-Riverside area; provided that
the CPI adjustment shall be rounded up to the iiearest full dollar, and further pravided that
the CP1 adjustment shall not exceed five percent (5%) for any year. Notwithst�nding any
provisian herein to the contrary, BB&K may request on or before March 31 of each year an
increase in the Monthly Compensation over and above the CPI adjustment upon a showing
of good cause for such increase; provided that the approval or disapproval of any such
request shall be made by CITY in its sole and absolute discretion.
6. USE OF SPECIAL COUNSEL
CITY and BB&K recognize and agree that Special Services will be required by CITY from
time to time. CITY in its sole and absolute discretion shall select any and all special legal counsel
to provide such Special Services. CITY and BB&K understand and intend that such special legal
counsel shall not be attorneys from BB&K unless approved separately by the City Council or City
Manager. BB&K shall at the request of CITY, t o supervise and coordinate the provision of
Special Services by special legal counsel.
7. BILLING
BB&K shall submit to CITY monthly an invoice in the amount of the Monthly
Compensation, covering the preceding calendar month. The invoice shall contain a written
description of all legal matters for wluch BB&K performed legal services during the preceding
calendar month. CITY shall make every reasonable effort to pay BB&K for each monthly invoice
within twenty-one (21) calendar days following receipt of each invoice. If the Services provided
by BB&K during the first or last calendar month of the term of this Agreement (as set forth in
Section 10 hereafter) do not cover an entire calendar month, then the Monthly Compensation due
and owing to BB&K shall be prorated for that month and shall be calculated by multiplying the
Monthly Compensation by a fraction wherein the numerator is the number of days during which
BB&K provided the services in the cafendar month and the denominator is the number thirty(30).
8. STANDARD AND TIMELINESS OF SERVICES
BB&K shall adhere to all reasonable and lawful standards and procedures established by
Page 3 of 4
ar�»�B��er.W 1N�77��J6.I
CITZ' for t1�e pruvision of the Seivices b,y BB&l� uucler this Agceement and for the fi�liillmeufi b��
I�BcxIt of its duties as the C'ity Attorne��. BB&K shall work cooperatively at �11 times with the C'ity
Couucil and the City Manager and shall keep them infornied on all matters of iinportance. BB&K
shall perform the Setvices expeditiously and in a timely manner in order to meet the tieeds and
requirements of CITY.
9. INSURANCE COVERAGE
BB&K currently maintains errors and omissions insurance with Lloyd's of London. After a
standard deductibility amount, this insurance provides coverage wluch exceeds the amount
required by the State of California.
10. SPECIAL SERVICES
BB&K through approved personnel shall provide special services for Code
Enforcement,Mobile Home Rent Control, Third Party Reimbursable Services(negotiation and
preparation of Development Agreements,review of CC&Rs,negotiation and preparation of
franchise agreements review of EIRs, or other items relating to developments) and other items
specifically approved by the City Council or City Manager. For any and all such legal
services, the fees shall be billed by BB&K and payable by Palm Desert as follows: $250.00
per hour for attorney partners, $225.00 per hour for attorney associates and $135.00 per hour
for paralegals and law clerks. Billing shall be in tenths of an hour for each billing person.
Such hourly fees shall be subject to increase effective July 1 of each calendar
year(commencing July 1, 2007) in the manner set forth in Section 5 hereof. The costs
associated with such service, including without limitation, telephone expense, document
reproduction expense, mileage expense, camputer research, Court and Administrative filing
fees, messenger service fees, fees for expert appraisers and other consultants( subject to prior
approval of City of Palm Desert) and the like, shall be billed by BB&K and payable by Palm
Desert monthly.
11. TERMS OF AGREEMENT
The provision of the Services under this Agreement shall commence on January
1,2007. BB&K understands and agrees that BB&K serves at the will and pleasure of CITY,
CITY retains BB&K to provide the Services under this Agreement, and BB&K shall continue to
provide the Seivices under this Agreement until such time as either CITY or BB&K provides thirty
Pa�e 4 of�
RA1 PUB�E R V✓RJL 77�-iti.l
l�01 a�,v� writteii notice lo ilie other of termitiation uf tliis Agreenient, eithei• with or��-itl�out ca�.is�.
In the event of termination of'this Agreement, C[TY shall pay BB&K fc�r all of the �ervice�
rendered by BB&K through and including the effective date of termination.
IN WITNESS WHEREOF. CITY and BB&K have executed this Agreement as of tlie
date first set forth hereinabove.
CITY OF PALM DESERT
By: Mayor
ATTEST:
City Clerk
BEST BEST &KRIEGER LLP
By: David J. Erwin, Partner
Page 5 of 4
RI�1 PU B\DE RV��IIJ1�775.3ti.1
Exhibit "B"
Memorandum from David J. Erwin
Outlining Differences Between
City's Proposed New Contract
and the Contract Submitted
by BB&K
MEMORANDUM �
TO: Mayor and Cotmcil February 5, 2007
FROM: David J. Erwin ���
RE: City Attorney Agreeraent ,
. ,
� Differences between exisdng and proposed:
E ' n : provides for retainer of 512,000 per month which has not been changed in
10 years. The retaincr includes attendance at Council,Planning Commission, Executive
Management,Audit, Investment and Finance and one meeting a week together with other routine
matters. Special pmjects have included Cade Enforcement,Mobile Home Rent Control,
Development Agreements, property negotiation,personnel matters, aad enviromnental issues.
Special projects are currently billed at hourly rates with partners at�195 per hour, associates at
�150 per hour and paralegals at$100. Costs are separately biAed and each month is billed with .
time at .1 of hour basis. PrimQty attorney is myeelf;this is not specifically required. Best Best&
Krieger is designated to perfonn all duties as Ciry Attorney. '
r s d: provides a retainer of$18,000 per month for generally all aervices except as
specificatly set forth and approved by the City Council andJor City Manager. I am specifically
designated es the City Attorney. Any other attorneys providing services to the City would have
to be appmved by the Council or City Mariager. Office hours would be maintained by myself for
one-half workday(4 hours)each week. Various costs,telephone and copy etc.would be
included in the retainer. The retainer would automatieally increase July 1 of each year equal to
RMBUSIDERW1N12801 l0.1
the increase in CPI. Any other increase requires approval of Council. The City would select all
Special Counsel subject to coordination and/or communication with myself. Special Services are
permitted by myseif and Best Best&Krieger in code enforcement, rent control,third party
reimbursable services (such as Development Agreements,review of CCBtR's,franchise
agreements�EIR review or other development items). Such services are at the rates for partners
of�250 per hour,$225 for associates and�135 for paralegals. Fees and costs involved with
special services would be included�with the billing. Agreement may be terminated by City at
any time on 30 days notice. �
I am prepared to answer any questions Council may have.
DJE
RMBUS�DE RWIM280110.1
i
Exhibit "C"
Survey Presented to City Council
as part of April 17, 2006,
Legal Services Review
Survey Resuits
California Society of Municipal Finance Officers
City Population General Fund Ciry Attorney Contract or Lidgation Cost per
B t B t In-house Resident
Alameda 74,881 $73 million 3884,852 Infiouse' ContractZ 511.86
Colton 52,000 331 million s650,000 Contract N/A $12.50
Fontana 165,000 S�3,S84,600 5670,300 Conbact IV/A 34.06
Indian Wells 4,781 $9.3 million 3313,778 Contrac� induded 565.63
Indio $60,000 Contrac�t'
La Quinta 36,145 s31,621,848 s400,000` Contract 3150,000 $15.22
Orinda 17,500 s9 million $210,OOOs Contract 335,000 512.00
Rancho Mirage 16,416 520,342,389 3495,000° Contr�t induded $30.15
San Clementie 65,380 542.5 miHion s103,000 Contract Contract $1.58
Tustin 70,871 343 milNon a500,000 Conbiact tV/A $7.06
Walnut Creek 66,000 $50 milUon s1 m�ion In-house CoMEacx 515.15
Palm Dosat 48 0�00 6�t0 6� 000 Contract lndu�drd s10.�2
'Alameda: In-house with assistanoe from ouCside oounsel on selected issues
and/or transactions.
ZAlameda: Contrac�s out for iitigati�on servioes at an add�ional cost of$465,000.
3lndio: The City of Indio did not respond to the original survey and was, therefore,
not included in the report dated April 17, 2006; since then� w�e have rec�eived a copy of
the new oontract, which sets a flat fee of;60,000 per month, a!I-indusiv�e, up to 343
hours per month. Additional hours above and beyond that amount ar�e billed
separatey.
'La Quinta: C�bra�cts out for RDA at a cost of an additional $419,750
SOrinda: Also has an additional cost ot�140,000 for City Attomey staff
gRancho Mirage: CoMracts out for Housing Authority and RDA at an additional
c�st of�405,000