HomeMy WebLinkAbout25K - AGMT FOR SPECIALIZED LEGAL SERVICESREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
DECEMBER 1, 2020
TITLE:
APPROVE AMENDMENT TO AGREEMENT
WITH KING & SPALDING LLP FOR
SPECIALIZED LEGAL SERVICES IN AN
AMOUNT NOT TO EXCEED $850,000
(GENERAL FUND)
/s/ Kristine Ri
CITY MANAGER
CLERK OF COUNCIL USE ONLY:
F-ITUBT156TRI191
❑ As Recommended
❑ As Amended
❑ Ordinance on 1" Reading
❑ Ordinance on 2i1 Reading
❑ Implementing Resolution
❑ Set Public Hearing For_
CONTINUED TO
FILE NUMBER
RECOMMENDED ACTION
Authorize the City Manager to execute an amendment to the agreement with the law firm of King
& Spalding LLP for specialized legal services related to the matter entitled City of Santa Ana V.
County of Orange et al., United States District Court Case No. 8:20-cv-00069-DOC (KESx), to
increase the amount to be expended under the agreement from $350,000 to $850,000, subject to
non -substantive changes approved by the City Manager and the City Attorney.
DISCUSSION
On January 13, 2020, following authorization by the City Council, the City of Santa Ana initiated
the above legal action against the County of Orange and the cities of Dana Point, San Clemente,
and San Juan Capistrano over those cities' alleged plans to transport homeless individuals in their
jurisdictions to the City of Santa Ana, and more generally, over the County's failure to provide
homeless shelters and services elsewhere than in Santa Ana, which has resulted in disproportional
burdens and impacts on Santa Ana. By the action, the City is seeking a more equitable sharing of
homelessness -related solutions and also reimbursement for its substantial efforts in this area over
the years.
While the cities are no longer parties to the action, the County remains a defendant. As alleged,
this case raises important and sophisticated claims against the County and implicates various
theories of relief.
On April 21, 2020, the Council approved a contract with the law firm of Boies Schiller Flexner LLP
("BSF") for a three-year term, with an option to extend the agreement for up to two years. The
Council subsequently approved for assignment to the law firm of King & Spalding LLP, on May 5,
2020, following the transition of the BSF team to King & Spalding. King & Spalding continues to
provide the City with a seamless legal representation.
Due to the complex and ongoing nature of the litigation, additional compensation detailed in the
amendment for $350,000 is required to meet the City's goals. Under the amendment, the total
amount to be expended for this agreement shall not exceed $850,000.
25K-1
Agreement with King & Spalding
December 1, 2020
Page 2
FISCAL IMPACT
Specialized legal services during the term for this Agreement will be paid out of the City Attorney
Office's Contractual Services (Account No. 01108032-62300). As noted in the First Quarter Budget
Update on November 17, litigation costs are tracking to exceed the budget. The cost of this
contract amendment will be included in a proposed budget adjustment at Midyear.
Fiscal Year
Accounting Unit -Account #
Account Description
Amount
FY 20-21
01108032-62300
Contractual Services -Professional
$500,000
FY 21-22
01108032-62300
Contractual Services -Professional
$250,000
FY 22-23
01108032-62300
Contractual Services -Professional
$100,000
Total
$850,000
Fiscal Impact Verified By: Kathryn Downs, CPA, Executive Director — Finance and Management
Services Agency
Submitted By: Sonia R. Carvalho, City Attorney - City Attorney's Office
Exhibit: 1. Amendment to Agreement with King & Spalding for Legal Services
25K-2
FIRST AMENDMENT TO LEGAL SERVICES AGREEMENT WITH
KING & SPALDING, LLP
THIS FIRST AMENDMENT to the above -referenced agreement is entered into on December 1,
2020, by and between King & Spalding LLP ("Attorneys"), and the City of Santa Ana, a charter
city and municipal corporation organized and existing under the Constitution and laws of the State
of California ("City"), collectively referred to as the "Parties".
RECITALS
A. The Parties entered into Agreement No. A-2020-190, on May 27, 2020, by which Attorneys
agreed to provide legal services to the City ("Agreement'). The original term of the Agreement
is for a three-year term until May 27, 2023, with an option to extend the term of the Agreement
for up to two (2) years. The Agreement is current and in effect.
B. The Parties now wish to amend the Agreement and increase the amount of compensation.
The Parties therefore agree:
1. Section 3, Fees and Expenses, is amended as follows:
The total sum to be expended under this Agreement shall not exceed $850,000, including any
extension periods.
2. Except as modified by this First Amendment, all terms and conditions of the Agreement shall
remain in full force and effect.
IN WITNESS WHEREOF, the parties hereto have executed this First Amendment to the
Agreement on the date and year first written above.
ATTEST
Daisy Gomez
Clerk of the Council
APPROVED AS TO FORM
Sonia R. Carvalho
City Attorney
By: 40L /W
in M. Funk
Senior Assistant City Attorney
CITY OF SANTA ANA
Kristine Ridge
City Manager
KING & SPALDING LLP
Quyen Ta
Partner
UML[1141.01
25K-3