HomeMy WebLinkAboutR32-Economic Development AgencyECONOMIC DEVELOPMENT AGENCY
OF THE CITY OF SAN BERNARDINO
FROM: Maggie Pacheco SUBJECT: 2007 Con:rect Amendment for Agency
Executive Director Legal Counsel Services
DATE February 26, 2007
Svnoasis of Previous Commission/CounciVCommittee Action(s):
On February 22, 2007, the Redevelopment Committee recommended approval of an amendment to the contract for Agency
leeal counsel services.
Recommended Motion(s):
(Community Develo4ment Commission)
Resolution of the Community Development Commission of the City of San Bernardino approving and authorizing
the Executive Director of the Redevelopment Agency of the City of San Bernardino to execute Amendment No. 1 to
the 2006 Legal Counsel Services Agreement with Lewis, Brisbois, Bisgaard & Smith, L.L.P.
Contact Person(s): Maggie Pacheco/Barbara Lindseth Phone: (909) 663-1044
Project Area(s): All Wazd(s): All
Supporting Data Attached: ~ Staff Report ~ Resolution(s) ~ Agreement(s)/Amendment(s) ^ Map(s) ^ Other(s)
FUNDING REQUIREMENTS: Amount: $ I.5 M Source: All
Budget Authority: Fiscal Year 2006-2007 Budget/Requested
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sIGNAruRE: ~ ~ ~ ~~uL~-
Maggic Pacheco, Executive Director Bazb a Lindseth, ini ative Services Director
P 1AyeMUtComm Dev[ommiuamCDC?OOT03-O5~01 LCygl COUmel ycrvius-AmeMmem No.I SR.EOC COMMISSION MEETING AGENDA
Meeting Date: 03/05/2007
Agenda Item Number:
ECONOMIC DEVELOPMENT AGENCY
STAFF REPORT
2007 CONTRACT AMENDMENT FOR AGENCY LEGAL COUNSEL SERVICES
BACKGROUND:
On August 10, 2000, the Redevelopment Committee recommended to the Community Development
Commission of the City of San Bemazdino ("Commission") that the law firm of Sabo & Green be
approved as Special Legal Counsel to provide legal services to the Redevelopment Agency of the
City of San Bernardino ("Agency"). The Agreement provided that hourly rates range from $95 to
$140 per hour, plus reimbursable expenses. However, prior to final Commission approval of the
proposed Agreement with Sabo & Green, Mr. Timothy Sabo requested an assignment of the
Agreement with Sabo & Green to the law firm he had recently joined owing to the dissolution of the
Sabo & Green partnership. Mr. Sabo has a long history with the Agency dating back to the eazly
1980's and so, on November 6, 2000, the Commission approved the assignment of the 2000
Agreement to Mr. Sabo's new law firm Lewis, D'Amato, Brisbois & Bisgaazd, L.L.P (now Lewis,
Brisbois, Bisgaazd & Smith, L.L.P.) ("EBBS"). The 2000 Agreement was for 5 years with an
expiration date of November 6, 2005.
On October 17, 2005, the Commission authorized the Executive Director of the Agency to execute
Amendment No. 1 to the 2000 Agreement with EBBS extending the 2000 Agreement for 6 months,
or through April 30, 2006, on the same terms and conditions as the 2000 Agreement. Although
several complex projects were underway at the time, the primary reason for this decision was not to
bind the new administration, which was to take office in March 2006, with a new 5 yeaz legal
services agreement but rather to allow the administration the decision making on this matter.
As a result of further Commission action on April 3, 2006, terminating the contract for Agency legal
services with the City Attorney who served as_ Agency Counsel, it was also necessary to retain new
Agency Counsel. Accordingly, prior to the expiration of the 6 month extension of the EBBS 2000
Agreement on April 30, 2006, Staff corresponded by mail with 9 Southern Califomia law practices
specializing in Califomia Community Redevelopment Law, Community Development Programs,
Affordable Housing, HOME program activities and HUD 108 Financing, requesting a proposal
("RFP") for legal counsel services for the Agency. In addition, Staff advertised in the Mazch 6, 2006
issue of the Califomia Baz Journal, a statewide legal publication, inviting law firms specializing in
California Redevelopment Law to submit a proposal. In response, proposals for legal services were
received from 3 law firms: 1) Kane, Ballmer & Berkman; 2) EBBS; and 3) Richards, Watson &
Gershon.
The 3 firms were interviewed by a panel consisting of the Agency Executive Director, Project
Manager and Senior Assistant City Attomey. The firms were evaluated by the criteria as follows: 1)
Statement of Qualifications; 2) client list of other cities/agencies served; 3) years in existence; 4)
appearance of proposal; and 5) hourly cost of staff assigned.
PUgeiMas\Comm Dcv CommissbnCDC 300]'A1~05-0)4gal Coumel5ervias-Aneidnam NO ISA. doc COMMISSION MEETING AGENDA
Meeting Date: 03/0512007
Agenda Item Number: ~~
Economic Development Agency Staff Report
Amendment No. 1-Legal Counsel Services
Page 2,
The professional hourly rates in the 2006 LBBS bid ranged from $85.00 to $150.00, which proposed
only a $10.00 increase for the services of a senior attorney since 2000. Of the 3 firms, LBBS was the
lowest bidder ranging between 33% to 50% per professional hour less for the services of a senior
attorney, and was lower overall for all other professional staff. While all 3 firms possessed the
necessary expertise, it was determined that because Mr. Sabo of LBBS has served as Special Counsel
of the Agency for over 2 decades, he is in possession of an invaluable amount of knowledge and
history of the Agency and the City. Therefore, on May 1, 2006, the Commission approved a 1 year
2006 Agreement with LBBS for legal counsel services.
CURRENT ISSUE:
The 2006 Agreement with LBBS will expire on May 1, 2007 and based upon the above mentioned
criteria as to why LBBS was chosen for the 1 yeaz 2006 Agreement, it is proposed that the 2006
Agreement be amended and extended for a period of 3 yeazs with a proposed $10.00 per professional
hour increase to bring the services of a senior attorney to $160.00; all other professional hour service
costs will remain the same. Based upon the fact that the 2006 LBBS bid was between 33% to 50%
per professional hour lower for the services of a senior attorney, this proposed $10.00 increase would
still keep the cost of a senior attorney for LBBS lower than the same position with the other 2 firms
who bided. All the same terms and conditions in the 2006 Agreement will remain the same.
ENVIRONMENTAL IMPACT:
None.
FISCAL IMPACT:
In the fiscal year 2006-2007 budget, the Commission approved the sum of $500,000 for Agency legal
services. These funds come primarily from tax increment from all redevelopment project azeas and
from the Low- and Moderate-Income Housing Fund. It is anticipated that legal services will continue
at approximately $500,000 per year for the next 3 years.
RECOMMENDATION:
That the Community Development Commission adopt the attached Resolution.
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aggie Pacheco, Executive Director
P.Ugendu\Carmm Dcs~ Cormmisswn.CDC :OOTOS~05~0) Legal Counsel Smites . Amendment NO I SR dot
COMMISSION MEETING AGENDA
Meeting Date: 03/05/2007
Agenda Item Number: ~~
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RESOLUTION NO.
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING
THE EXECUTIVE DIRECTOR OF THE REDEVELOPMENT AGENCY OF
THE CITY OF SAN BERNARDINO TO EXECUTE AMENDMENT NO. 1 TO
THE 2006 LEGAL COUNSEL SERVICES AGREEMENT WITH LEWIS,
BRISBOIS, BISGAARD & SMITH, L.L.P.
WHEREAS, the Redevelopment Agency of the City of San Bemazdino ("Agency") desired
to retain Legal Counsel Services for the California Redevelopment Law, CDBG, HOME, HUD 1
financing, economic development and redevelopment related legal matters; and
WHEREAS, in Mazch 2006, according to Agency procurement policies and
Agency Staff solicited proposals from law firms across the State of California; and
WHEREAS, in April 2006, an evaluation of the three (3) proposals submitted by law
was completed and graded according to a set of criteria; and
WHEREAS, on May 1, 2006, the Community Development Commission of the City of
IBemazdino ("Commission") approved a one (1) yeaz contract with Lewis; Brisbois, Bisgaazd &
Smith, L.L.P. ("2006 Agreement"), for legal counsel services; and
WHEREAS, said 2006 Agreement will expire May 1, 2007.
NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION OF THE
CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER, AS
FOLLOWS:
Section 1. The Commission hereby desires to enter into Amendment No. 1 to the
Agreement with Lewis, Brisbois, Bisgaazd & Smith, L.L.P., to extend the 2006 Agreement for three
(3) yeazs to expire May 1, 2010, allowing fora $10.00 per professional hour increase for the
services of a senior attorney, and with all other terms, conditions and hourly rates remaining the
same, as incorporated herein by reference as though fully set forth at length.
Section 2. The Commission hereby approves and authorizes the Executive Director
the Agency to execute Amendment No. 1 to the 2006 Agreement for Legal Counsel
("Amendment No. 1 2006 Legal Counsel Services Agreement").
Section 3. The Resolution shall become effective immediately upon its adoption.
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RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING
THE EXECUTIVE DIRECTOR OF THE REDEVELOPMENT AGENCY OF
THE CITY OF SAN BERNARDINO TO EXECUTE AMENDMENT NO. 1 TO
THE 2006 LEGAL COUNSEL SERVICES AGREEMENT WITH LEWIS,
BRISBOIS, BISGAARD & SMITH, L.L.P.
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Community
Development Commission of the City of San Bernazdino at a
meeting
thereof, held on the day of , 2007, by the following vote to wit:
Commission Members: Aves Nays Abstain Absent
ESTRADA .
BAXTER
BRINKER
DERRY
KELLEY
JOHNSON
MC CAMMACK
Secretary
The foregoing Resolution is hereby approved this day of , 2007.
Patrick J. Moms, Chairperson
Community Development Commission
of the City of San Bernardino
Approved as to Form:
By: L
Agency unsel
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P UgnMU~.Resolutions~ResolusionsLWTOJ-OS-OI LBBS legal Caunul - AmanCmen~ NO I CDC Reao doc
Amendment No. l
to the
2006 Agreement
(Lewis, Brisbois, Bisgaard & Smith, L.L.P.)
This Amendment No. 1 ("Amendment No. 1") to that certain 2006 Agreement for legal
counsel services, dated May 1, 2006 ("Agreement"), is dated as of May 1, 2007, by and between the
Redevelopment Agency. of the City of San Bemazdino, a public body, corporate and politic (the
"Agency"), and Lewis, Brisbois, Bisgaard & Smith, L.L.P. ("Legal Counsel"), and is entered into in
light of the facts as set forth in the following Recitals:
RECTTALS
WHEREAS, the Agency and Legal Counsel have previously entered into the Agreement as
referenced above for a term of one (1) yeaz from May 1, 2006 through May 1, 2007; and
WHEREAS, the Agreement will expire on May 1, 2007, and the parties to the Agreement
desire to extend the term of the Agreement for a period of three (3) years which shall be deemed to
be May 1, 2010, for the reasons noted in the complimentary Staff Report to this Amendment No. 1;
and
WHEREAS, all other terms, provisions and conditions of the Agreement shall remain in full
force and effect, except to the extent specifically modified by this Amendment No. 1.
NOW, THEREFORE, the parties to this Amendment No. 1 to the Agreement agree as
follows:
Section 1. Recitals.
The facts and statements contained in the Recitals hereto aze true and accurate in all
respects to the best knowledge of the parties as of the date hereof.
Section 2. Further Extension of Term of Aereement.
The parties intend by the approval and execution of this Amendment No. 1 to extend
the term of the Agreement until May 1, 2010, on the same terms and conditions of
the Agreement.
Section 3. Professional Rates.
Section 3(a) of the 2006 Agreement shall be amended to provide fora $10.00 per
professional hour rate increase for the services of a senior attorney for a total of
$160.00 per professional hour. All other professional hourly rates shall remain the
same.
P. V,genduV,yendn AnchmcmAAp,ms-AmeM 300TO105-0] INNS Icgal G~u,ucl ~ Amcndmenl No. I.hc
Section 4. EfFective Date.
This Amendment No. 1 shall take effect and be in full force and effect from and after
the date of approval hereof by the governing body of the Agency and the final
execution and delivery of this Amendment No. 1 by both parties to the Agreement.
IN WITNESS WHEREOF, the parties have executed this Amendment No. 1 as of the date
first above written.
REDEVELOPMENT AGENCY
OF THE CITY OF SAN BERNARDINO
Date:
Date: ~-- 'a- ~ G By:
Lewis, Brisb is Bisgaard & Smith, L.L.P.
Maggie Pacheco, Executive Director
LEGAL COUNSEL
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