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HomeMy WebLinkAbout25- City Attorney CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION From: James F. Penman Dept: City Attorney ORIGINAL Date: April 4, 2011 Re: Current Litigation Report/Claims and Judgments Payable Synopsis of Previous Council action: March 21. 2011: that the City Manager's recommendations be approved as follows: 1) Authorize the Director of Finance to make all payments submitted from the CAO for FY 2011/11; 2) After the CAO's current budget appropriation is expended, the General Fund, on behalf of the CAO, will take out a loan up to $410,000; and 3) A budget reduction will come from the CAO's FY 2011'12 budget to repay the loan. Recommended motion: 1. Reconsider Council Action of March 21, 2011 requiring paying back loan from 2011- 2012 City Attorney budget for Outside Counsel and Litigation Expenses, and 2. That funding for the $410,000 requested by the City Attorney for the balance of fiscal year 2010/1011 be allocated from the Claims and Judgments Payable fund/account. Signature Contact person: James F. Penman Phone: 4355 Supporting data attached: Staff rgport Ward: All FUNDING REQUIREMENTS: Amount: $410,000 Source: (Acct Description) Claims and Judgments Payable fund/account Finance: Council Notes: �C-D 75-0262 Agenda Item No. 25 Entered Into Rec, at MCC/CDC Mtg: 44/1 by: '— Agenda ItO No: ;),,5- by: _-2:!� C1 City Clek DC Secretary City of San Bernardino r Staff Report-Agenda Item #25 City Council Meeting April 4, 2011 TO: Mayor and Common Council FROM: James F. Penman, City Attorney DATE: April 4, 2011 AGENDA ITEM: #25 On March 21,2011 during the regular council meeting,agenda item#22 and#28(combined) the Director of Finance advised the Mayor and Council during a"PowerPoint"presentation that the City's Liability Reserve budget was running a deficit of$672,500. On March 30, 2011 the Director of Finance advised the City Attorney, City Manager and certain City staff that the "Claims and Judgements Payable" fund/account was funded at $3,636,724.00 as of June 30, 2010. On April 4,2011 the Director of Finance informed City Attorney management staff that the "Claims and Judgements Payable" fund/account was funded at $5,195,320.00. To date, the sum of $570,325.26 has been paid out of FY 2010/2011 on judgements, settlements and claims, leaving a balance of$4,624,994.74 in said fund account. Therefore,there is no need to"borrow"against the 2011/2012 City Attorney Budget the sum of$410,000 to meet the FY 2010/2011 Outside Counsel and Litigation Expense costs. Z:\PENMAN\Agenda Items-forms\Staff Report.25,4.2.1 l.wpd