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CiTY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
From: JAMES F. PENMAN
City Attorney
Subject: Professional Services Agreement between the
City of San Bernardino and the law firm of Arias,
Lockwood & Gray to represent the City of San
Bernardino in the case of People of the State of
California vs. Manta Management, et al.
Dept: CITY ATTORNEY
Date: August 16,20040RI61NA:
Synopsis of Previous Council Action:
Mayor and Council approved the hiring of Arias, Lockwood & Gray to represent the City in the subject court
action.
Recommended motion:
Adopt Resolution.
Contact person: James F. Penman
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Supporting data attached: Staff Renort
Ward:
All
FUNDING REQUIREMENTS: Amount:
Source:
Finance:
Council Notes:
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Agenda Item No.--1/
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STAFF REPORT
Council Meeting Date: AUlrust 16. 2004
TO:
FROM:
DATE:
AGENDA ITEM:
Mayor and Common Council
James F. Penman, City Attorney
August 16, 2004
Professional Services Agreement between the City of San Bernardino
and the law firm of Arias, Lockwood & Gray to represent the City of
San Bernardino in the case of People of the State of California vs. Manta
Management, et aL
The Mayor and Common Council approved the law firm of Arias, Lockwood & Gray to
represent the City in the above-referenced court action. Attached hereto is the Professional Services
Agreement which reflects such approval, including a ceiling of $25,000 on attorney fees and the
requirement of regular status reports.
It is requested by the City Attorney that the floor motion be adopted so that the Mayor is
authorized to execute said Professional Services Agreement on behalf of the City of San Bernardino.
That the Mayor of the City of San Bernardino is hereby authorized and directed to execute
on behalf of the City of San Bernardino the Professional Services Agreement with the law firm of
Arias, Lockwood & Gray to represent the City of San Bernardino in the case of People of the State
of California vs. Manta Management, et al.
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RESOLUT~ glPY
2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO AUTHORIZING THE EXECUTION OF A PROFESSIONAL SERVICES
3 AGREEMENT BETWEEN ARIAS, LOCKWOOD & GRAY AND THE CITY OF SAN
BERNARDINO TO REPRESENT THE CITY IN THE CASE OF PEOPLE OF THE STATE OF
4 CALIFORNIA v. MANTA MANAGEMENT, et aL
5 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY
6 OF SAN BERNARDINO AS FOLLOWS:
7 SECTION 1. The Mayor of the City of San Bernardino is hereby authorized and directed
8 to execute on behalf of said City a Professional Services Agreement between Arias, Lockwood
9 & Gray and the City of San Bernardino for legal services, a copy of which is attached hereto
10 marked Exhibit "A" and incorporated herein by reference as fully as though set forth at length.
11 SECTION 2. The authorization granted hereunder shall expire and be void and of no
12 further effect if the agreement is not executed by both parties and returned to the office of City
13 Clerk within sixty (60) days following effective date of the resolution.
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IEG/dn [MantaRLA.Res] 1
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1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO AUTHORIZING THE EXECUTION OF A PROFESSIONAL SERVICES
2 AGREEMENT BETWEEN ARIAS, LOCKWOOD & GRAY AND THE CITY OF SAN
BERNARDINO TO REPRESENT THE CITY IN THE CASE OF PEOPLE OF THE STATE OF
3 CALIFORNIA v. MANTA MANAGEMENT, et al.
4 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and
5 Common Council of the City of San Bernardino at a
meeting thereof,
6 held on the
day of
, 2004, by the following vote, to wit:
7 COUNCIL MEMBERS:
8 ESTRADA
9 LONGVILLE
10 MCGINNIS
II DERRY
12 KELLEY
13 VAN JOHNSON
14 MCCAMMACK
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AYES
NAYS
ABSTAIN ABSENT
CITY CLERK
,2004.
The foregoing Resolution is hereby approved this _ day of
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JUDITH V ALLES, Mayor
City of San Bernardino
Approved as to form and
23 legal content:
24 JAMES F. PENMAN,
City Attorney
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EXHIBIT "A"
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II
PROFESSIONAL SERVICES AGREEMENT
PEOPLE OF THE STA TE OF CALIFORNIA v. MANTA MANAGEMENT, et al.
San Bernardino Superior Court Case No: SCVSSI17285
1. The CITY OF SAN BERNARDINO (hereinafter "CITY") and the law firm of
ARIAS, LOCKWOOD & GRAY (hereinafter "AL&G") are the parties to this Agreement.
2. AL&G will be representing the following entities and persons in this litigation:
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PEOPLE OF THE STATE OF CALIFORNIA by and through James F. Penman City Attorney for
the City of San Bernardino. AL&G shall not represent any client in any type of claim against the
CITY without prior written approval to do so from the CITY OF SAN BERNARDINO through the
City Attorney's Office.
3. AL&G shall be paid at the hourly rates set forth below:
Attorneys - $ 125.00 per hour; and,
Law Clerks/Paralegals - $50.00 per hour.
The amounts expended under this agreement for attorneys fees shall not exceed
$25,000 without further approval of the Mayor and Common Council.
4. Bills shall be submitted at least quarterly.
5. The actual cost for filing fees. telephone charges, photocopying, postage, lodging,
mileage and related travel costs shall be itemized when submitted to the CITY for reimbursement.
AL&G may include a single charge in an amount not to exceed four percent (4%) of fees in lieu'of
reimbursement for photocopying, telephone charges, and postage.
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6.
If attorney's fees are charged "portal to portal" (e.g., from office to court and return),
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then AL&G shall not be entitled to reimbursement for mileage and parking fees.
7. AL&G shall obtain approval from the CITY to retain expert consultants and other
professionals (not including court reporters) for purposes of defending the litigation. AL&G may,
if it chooses, pay the fees and charges of such consultants and seek reimbursement form CITY on
its periodic statement, or it may forward the consultant's bill to CITY with a request that the CITY
pay it directly. Consultants shall not bill the CITY directly without prior approval of the CITY'S
Finance Department.
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8. Status reports will be submitted to CITY through the City Attorney's Office whenever
any significant event occurs, and in any event at least quarterly. Information sufficient to set
reserves, including, without limitation, potential liability exposure and percentage of fault shall be
included.
9. Copies of all opinions, pleadings, discovery and motions shall be provided to the City
Attorney's Office which may reproduce same and provide copies to other parties or attorneys in this,
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or other litigation.
10. Copies of any correspondence and other documents sent to any of the defendants in
this action shall also be provided to the CITY through the City Attorney's Office.
II. Any and all settlements shall require CITY approval. Request for settlement authority
shall be made through the City Attorney's Office which shall obtain the necessary CITY approvals.
12. In the event the settlement value of this case appears to exceed $50,000.00 the City
Attorney's Office shall be notified immediately.
13. Only Joseph Arias of ARIAS, LOCKWOOD & GRAY or other senior attorney
approved by the City shall try this case.
14. No client development costs are to be included in billings.
15. No continuing education expenses are to be included in billings.
16. Final billing shall be accompanied by copies of the Request for Dismis~al,
Satisfaction of Judgment, Release and any other final documents.
17. Either party may terminate this contract at will. AL&G will continue to represent the
CITY on the terms and conditions in this Agreement until the case and file are transferred to another
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attorney.
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18.
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a)
AL&G is an independent contractor as to the CITY.
AL&G shall maintain the following types of insurance with limits as shown:
Workers Compensation as required by the laws of the State of California,
including Employment Liability with $250,000 limits covering all persons providing
service on behalf of AL&G and all risks to such persons under this Agreement.
AL&G shall require its Workers Compensation carrier to waive all rights of
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subrogation against the CITY and its officers and employees and any others for
whom services are being provided under this Agreement.
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b)
Comprehensive General and Automobile Liability Insurance coverage to
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include contractual coverage and automobile coverage for owned, hired and non-
owned vehicles. The policy shall have at least a combined single limit of$I ,000,000
for bodily injury and property damage.
c)
Professional Liability Insurance with limits of at least $ I ,000,000 per claim.
In lieu of naming the CITY as an additional insured, the policy may be endorsed as
follows:
"Insurance coverage afforded by this policy shall also apply
to the liability assumed by the Insured under the Agreement with the
CITY OF SAN BERNARDINO for legal defense services, provided
such liability results from an error, omission or negligent act of the
insured, its officers, employees, agents, or subcontractors. All other
provisions of this policy are to remain unchanged."
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AL&G shall furnish certificates of insurance and certified copies of all policies and
endorsements to the City Attorney's Office evidencing the insurance coverage above required prior
to the commencement of performance of services hereunder, which certificates shall provide that
such insurance shall not be terminated or expire without thirty (30) days written notice to the City
Attorney's Office, and shall maintain such insurance from the time AL&G commences performance
of services hereunder until the completion of such services.
All policies, with respect to the insurance coverage above required, except for the
Workers Compensation insurance coverage and professional liability coverage, if applicable, shall
obtain additional endorsements naming the CITY and all panies represented under this Agreement,
their employees, agents, volunteers and officers as additional named insured with respect to
liabilities arising out of the performance of services hereunder.
All policies required above are to be primary and non-contributing with any insurance or self-
insurance programs carried or administered by the CITY or other parties represented under this
Agreement.
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All communications and billings to the CITY are to be directed as follows:
City Attorney's Office
CITY OF SAN BERNARDINO
300 North "D" Street
San Bernardino, CA 924] 8
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,2004
ARIAS, LOCKWOOD & GRA Y
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, 2004
CITY OF SAN BERNARDINO
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By: Judith Valles, Mayor
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Approved as to form and
legal content:
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18 JAMES F. PENMAN,
City Attorney
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CITY OF SAN BERNARDINO
Interoffice Memorandum
CITY CLERK'S OFFICE
Records and Information Management (RIM) Program
DATE:
August 20, 2004
TO:
Edna DiVellis, Operations Supervisor
FROM:
Michelle Taylor, Senior Secretary
RE:
Resolution 2004-255 - Arias, Lockwood & Gray
CC:
Veronica Martinez, Senior Secretary
Attached is a fully executed copy of the agreement with Arias, Lockwood & Gray to represent
the City in the case of People of the State of California v. Manta Management, et al. The
original agreement is on file in the City Clerk's Office.
If you have any questions, please call me at ext. 3206.