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02-05-2002 - Increase in City Attorney Hourly FeesE a TO: Andrew G. Pasmant, City Manager and City Council FROM: Artie A. Fields, Assistant City Manager SUBJECT: INCREASE IN CITY ATTORNEY HOURLY FEES City of West Covina Memorandum AGENDA ITEM NO. C — 6d DATE February 5, 2002 u SUMMARY: West Covina City Attorney, Aniold Alvarez-Glasman, is requesting an' increase in the hourly rate that his firm, Alvarez-Glasman & Colvin receives for providing legal services to .the City of West Covina, West Covina Redevelopment Agency, and the West Covina Finance Authority. BACKGROUND: On July 18, 2000 the West Covina City Council approved the contract with the law firm of Alvarez-Glasman & Colvin to serve as the West Covina City Attorney and provide legal services for the City of West Covina, West Covina Redevelopment Agency, and the West Covina Public Finance Authority. The law firm of Alvarez-Glasman & Colvin has requested an increase in the hourly rate for services for the City Council's consideration. DISCUSSION: { The current contract with Alvarez-Glasman & Colvin allows for the billing of the first 50 hours of service to be billed at $120/hour (Retainer). Each additional hour is paid at a rate, dependent on the professional providing the consultation, as shown in the attached contract (Attachment A). The firm of Alvarez-Glasman & Colvin submitted a request to Andrew Pasmant, City Manager, on January 11, 2002 requesting an increase in the hourly rate for the retainer and professional services. The letter is attached for your reference in Attachment B': Amending the contract requires the City Council's consideration and approval. The City Council approved $216,000 for legal fees incurred by the City Attorney's firm for Fiscal Year 2001-2002. This is less than previous years, as the list below shows. • Fiscal Year 1998-1999 $250,204 • Fiscal Year 1999-2000 $393,613 • Fiscal Year 2000-2001 $259,857* • Fiscal Year 2001-2002 (Budgeted) $216,000 *Alvarez-Glasman & Colvin invoices for the Fiscal Year 2000-2001 was $196,255 City staff collected invoices from August 2000 through November 2001 from Alvarez'- Glasman & Colvin, to determine the average monthly costs of legal services for the City of West Covina and West Covina Redevelopment Agency. The attached worksheet', Attachment C, illustrates the average monthly legal fees and the anticipated costs with the new fee structure. With the current savings experienced this year, City staff believes that the increase in legal fees can be absorbed in this fiscal year's budget. FISCAL IMPACT: Based on 16 months of service with Alvarez-Glasman & Colvin, the City of West Covina spends an average of $16,969 per month and the Redevelopment Agency $6,369 per month. The proposed increases are as follows: Professional Providing Service Current Rate Proposed Rate Retainer $ 120 $ 135 Partner (Alvarez-Glasman & Colvin) $ 140 $ 150 Associate Adams & Docimo) $ 135 $ 140 Associate Others $ 125 $ 140 Law Clerk/Paralegal $ 80 $ 90 The proposed increase from Alvarez-Glasman & Colvin will approximately cost the City of West Covina an additional $1,597 per month and the West Covina Redevelopment Agency an additional $348 per month in legal fees. City staff. anticipates that the additional costs will be absorbed within the current fiscal year budget. RECOMMENDATIONS: It is recommended that the City Council accept the City Attorney's request for a fee increase and authorize the Mayor and City Clerk to execute an amendment to the Agreement for City Attorney Services. Prepared by: Chris Freeland Administrative Analyst II Approved by: Artie A. ie s Assistant City Manager ATTACHMENT A • DATE AGREEMENT FOR CITY ATTORNEY SERVICES THIS AGREEMENT is entered into this %Y day of July, 2000, by and between the City of West Covina, the West Covina Redevelopment Agency, (collectively referred to herein as "CITY") and ALVAREZ-GLASMAN & COLVIN , a Professional Partnership (hereinafter referred to as "ATTORNEYS"). WHEREAS, the CITY desires to employ ATTORNEYS to perform the duties and fulfill the obligations of the office of City Attorney and General Counsel to the Redevelopment Agency; WHEREAS, ATTORNEYS are experienced in the field of municipal and redevelopment 11 law, and are prepared and able to provide all legal services required and necessary to perform the duties and fulfill the obligations of the office of City Attorney and General Counsel to the Redevelopment Agency. NOW, THEREFORE, CITY and ATTORNEYS agree as follows: Section 1. AGREEMENT FOR SERVICES. The CITY employs ATTORNEYS!to render and ATTORNEYS agree to render all legal services incident to the office of City Attorney and General Counsel of the Redevelopment Agency. Section 2. SCOPE OF WORK. The ATTORNEYS shall provide the necessary personnel, facilities, equipment and materials to provide to the CITY legal services incident to the office of City Attorney and General Counsel to the Redevelopment Agency, including, but not limitedi to, those services set forth in Attachment A, to be compensated for their professional services as follows: A. Notwithstanding the hourly rate and fee schedule described below, the CITY shall pay a retainer of $6,000.00 per month which the CITY shall be entitled to the first 50 hours of legal services provided by ATTORNEYS to the CITY. B. For all attorney services provided to CITY over and above the monthly retainer set forth above, ATTORNEYS shall be entitled to fees for their professional services in accordance with the hourly fee schedule set forth in Attachment B and made a part hereof. Section 3. MODIFICATION OFSCOPE OF WORK. The services specified herein and in the attachments to this Agreement may be modified from time to time upon the written agreement of the parties to this Agreement. Section 4. DISTRIBUTION OF COSTS. ATTORNEYS shall bear all costs of providing legal services to CITY, including attorneys overhead, personnel expenses„ modem, word processing, and secretarial costs. CITY shall pay costs as billed by ATTORNEYS for filing fees, service fees, 592319.1 witness fees, deposition costs, subpoena fees and other similar court costs and for those fees , delineated on Attachment "C".. Section 5.. DESIGNATION OF PRINCIPAL ATTORNEYS. In order to assign direct responsibilities for the foregoing legal services, designation of responsibility shall be made as follows. A. Arnold Alvarez-Glasman shall be designated as City Attorney; B. Arnold Alvarez-Glasman shall be designated as General Counsel to the Redevelopment Agency; and C. Scott E. Nichols shall be designated as Assistant City Attorney. The foregoing designation of attorneys is subject to change pursuant to mutual agreement between CITY and ATTORNEYS. In addition to the designated attorneys, the full legal and support staff of ATTORNEYS shall be available to provide services to CITY. Section 6. INSURANCE. During the term of this Agreement, ATTORNEYS shall maintain Comprehensive General Liability Insurance; Workers Compensation Insurance as required by California statutes; and Professional Errors and Omissions Liability Insurance in the amount of One Million Dollars ($1,000,000.00) individual and Two Million Dollars ($2,000,000.00) aggregate. Section 7. QUALITY OF WORKAND SUPPORT FACILITIES. ATTORNEYS agree that the performance of work and services pursuant to the requirements of this Agreement shall conform to high professional standards and that further, during the term of this Agreement, ATTORNEYS shall maintain a library focused on public law and a skilled support staff, in order to facilitate rapid response time in the preparation of opinions, documents, pleadings and other matters incident to or arising from the performance of services under this Agreement. Section 8. CONFLICT OFINTEREST. The ATTORNEYS hereby state that they do not represent and shall not represent any clients with adverse interests to the CITY or any agency or department of the CITY during the term of this Agreement. Section. 9 TERMINATION OF AGREEMENT. Either CITY or ATTORNEYS may terminate this Agreement at any time without cause by giving thirty (30) calendar days written notice to the other of such termination and specifying the effective date of such termination. In the event this Agreement is terminated by any party for any reason, ATTORNEYS shall be paid by CITY for the reasonable value of services provided up to the date of notice of termination is given. Section 10. MAINTENANCE OFFINANCL4L BOOKSAND RECORDS. ATTORNEYS shall maintain and keep financial books and records on a current basis, recording all transactions in a form in accordance with general acceptable accounting principles. Such books and records shall 592319.1 2. be made available to the CITY and to any authorized representatives therefore for purposes of audit at all reasonable time and places. All such books and records shall be retained for such periods of time as required by law, provided, however, notwithstanding any shorter periods of retention, all books, records and supporting detail shall be retained for a period of at least three yearn after the expiration of terms of this Agreement. Section 11. HOLD HARMLESS AND INDEMNIFICATION. ATTORNEYS hereby agree to, and shall, indemnify, defend and hold harmless the CITY and their elective and appointed boards, commissions, officers, agents, representatives and employees harmless from any liability, loss, costs, obligations, including reasonable attorneys or liabilities, damages or claims, injury of any kind which may arise or are alleged to arise from ATTORNEYS performance under this Agreement, whether that performance be by ATTORNEYS or any one or more persons directly or indirectly employed by or acting as agents for ATTORNEYS. I Section 12. ASSIGNMENT. ATTORNEYS shall not assign or transfer its interest in this Agreement. Section 13. C0MPLL4NCE WITH APPLICABLE LAWS. In performance of this Agreement, ATTORNEYS shall abide by and conform to any and all applicable laws of the United States, State of California, City of West Covina, and the policies of the CITY. i Section 14. EMPLOYMENT OF OTHER COUNSEL, SPECL4LIST OR ATTORNEYS shall not employ or otherwise incur an obligation to pay other counsel, experts for services in connection with this Agreement without prior approval of the and/or City Manager. Section 15. AMENDMENT. This Agreement may be amended in writing si parties. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be and attested by their respective officers on July 11 2000. CITY OF WEST COVINA A Public Body Corporate and Politic By: �— Mayor 592319.1 3 PERTS. ;ialist or Council by both . i ATTEST: City Clerk APPROVED AS TO FORM: COLIN LENNARD Interim City Attorney ALVAREZ GLASMAN & COLVIN By: ARNbLb M. VAREZ-GLASMAN Partner ATTACHMENT "A" COMPENSATION AND REIMBURSEMENT FOR LEGAL SERVICES A. SCOPE OF ATTORNEYS WORK Attend all meetings of the West Covina City Counsel and West Covina Redevelopment Agency, including, but not limited to, regular sessions, adjourned regular sessions, special sessions, closed sessions and as needed work sessions. Attend as directed, meetings of the Planning Commission and certain other City Commissions, boards or committees. Review and/or prepare ordinances, resolutions, agreements, forms, notices, declarations, ii certificates, deeds, leases, and other documents required by the City or Redevelopment Agency. Consult with councilmembers, Redevelopment Agency members and City and Redevelopment Agency staff as needed, rendering legal advice and opinions concerning legal matters that affect the City or Redevelopment Agency, including new legislation, court decisions, and employee relations. Perform research and interpret laws, court decisions and other legal authorities in order to prepare legal opinions and to advise the Council and Redevelopment Agencyi� members and management staff on legal matters pertaining to City and Redevelopment Agency operations. Perform and accomplish legal work pertaining to roe acquisition,property, P g P g property q �disposal, public improvements, public rights -of -way and easements, and matters relating to asessment districts and public utilities. Coordinate the work of outside legal as needed and as directed by the City Council and the City Manager. Preparation of pleadings and representation of the CITY in all litigation, grievance, arbitration and administrative hearing procedures, legal action related to zoning enforcement or ii prosecution, search warrants and other related legal requirements for zoning enforcement unless otherwise being performed by retained outside legal counsel. 592319.1 ATTACHMENT "B" COMPENSATION FOR LEGAL SERVICES For professional services over and above the monthly retainer amount, ATTORNEY shall be compensated at the following hourly rates for general legal services, including but not limited to, litigation affecting the City and services - for the Redevelopment Agency and Public Financing Authority: Arnold M. Alvarez-Glasman (Senior Partner) $140.00 Roger A. Colvin (Senior Partner) $140.00 Scott E. Nichols (Associate) $135.00 Richard L. Adams II (Associate) $135.00 Gregory A. Docimo (Associate) $135.00 William A. Vallejos (Associate) $125.00 James M. Casso (Of Counsel) $125.00 Joanna Africa (Associate) $125.00 A. John Olvera (Associate) $125.00 Stephanie Chavez (Associate) $125.00 Law Clerk/Paralegal $ 80.00 592319.1 T • . • • ATTACHMENT "C" REIMBURSEMENT FOR EXPENSES i AG&C seeks to be reimbursed for usual and customary expense normally charged by law firms in the municipal area. These charges include: Photocopying charges $0.20 per page Facsimile charges $0.50 per page Mileage fees $0.35 per mile, but no charges for travel to and from City Hall from the office or to Pomona Superior Court. Parking fees Actual cost Mailing costs Actual cost of overnight or special mailing fees. Messenger fees Actual cost of special messenger deliveries. No cost for deliveries to City Hall. Conference registration and To be charged only if specifically travel expenses requested by client ATTACHMENT • • 2-5-P2— DATE ARNOLD M. ALVARE2-GLASMAN ROGER A. COLVIN RICHARD L. ADAMS ]L GREGORY A. DOCIMO SCOTT E. NICHOLS DANIEL P. AGUILERA JOANNA G. AFRICA A. JOHN OLVERA STEPHANIE A. CHAVEZ Andrew Pasmant City Manager. City of West Covina 1444 W. Garvey Avenue West Covina, CA 91790 Dear Mr. Pasmant: A.LVAREz-GLASMAN & COLVIN ATTORNEYS AT LAW - 100 N. BARRANCA AVENUE SUITE IO50 - WEST COVINA, CALIFORNIA 91791 ' TELEPHONE 1626) 858-9121 FACSIMILE 1626) 858-2779 January 8, 2002 OF COUNSEL - JAMES MARJIL LASSO As you know, our firm is pleased to serve as the City Attorney for the City of West Covina. We feel that we have been able to demonstrate our track record in providing the City with quality legal services at a reasonable price. However, due to the economic needs of running our firm, we find it necessary to request a slight increase in our hourly rate. Effective February 1, 2002, we are requesting an adjustment to our hourly billing rates as follows: $135.00 per hour for the first 50 hours of service by our law firm (monthly retainer) $150.00 per hour for services rendered by Arnold Alvarez-Glasman and Roger Colvin $140.00 per hour for services rendered by all other attorneys of our law firm $90.00 per hour for services rendered by law clerks The above rates are still lower than or comparable to fees paid to other law firms representing municipal clients. Please take all necessary steps to obtain the City Council's approval of this rate increase. If you have any questions or would care to discuss this matter in further detail, please feel free to contact me. We look forward to our continued service to you, the City Council and the City of West Covina. Very truly yours, Arnold M. Alvazezlasman AMAG/dlb ATTACHMENT U- DATE a-5-0�- City Attorney Fees (August 2000 to November 2001) Citv of West Covina Retainer 120 800 $ 96,000 135 $ 108,000 Partner 140 463.4 64,876 150 69,510 Associate Adams & Docimo 135 389.4 52,569 140 54,516 Associate Others 125 449.35 56,169 140 62,909 Law Clerk/Paralegal 80 23.7 1,896 90 2,133 Overall Totals 2126 $ 271,510 $ 297,068 Monthly Totals 133 $ 16,969 $ 18,567 Yearly Totals 1594 $ 203,632 $ 222,801 Additional Cost/Month I $ J,597 Redevelopment & Housing Partner 140 216.6 $ 30,324 150 $ 32,490 Associate Adams & Docimo 135 425.6 57,456 140 5,9,584 Associate Others 125 58.65 7,331 140 18,211 Law Clerk/Paralegal 80 5.3 424 90 I477 Overall Totals 706 $ 95,535 $ 100,762 Monthly Totals 47 $ 6,369 $ 1,6,717 Yearly Totals 565 $ 76,428 $ 80,610 - Additional Cost/Month $ 348