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HomeMy WebLinkAboutItem 13 - Second Amendment to Legal Services Agreement City Attorney’s Office www.santa-ana.org/city-attorneys-office Item # 13 City of Santa Ana 20 Civic Center Plaza, Santa Ana, CA 92701 Staff Report November 19, 2024 TOPIC: Legal Services Agreement with Nathan & Kamionski LLP AGENDA TITLE Second Amendment to Legal Services Agreement with Nathan & Kamionski LLP to Amend Hourly Rates RECOMMENDED ACTION Approve Second Amendment to Legal Services Agreement with Nathan & Kamionski LLP to amend the hourly rates: Partners from $350 to $325 and Paralegals from $150 to $125 (Agreement No. A-2024-XXX). GOVERNMENT CODE §84308 APPLIES: Yes DISCUSSION On May 7, 2024, the City engaged the law firm of Nathan & Kamionski LLP to provide legal services to defend the City and individually named employees in the matter of Ramon Alvarez v. City of Santa Ana, et al, United States District Court Case No. 8:24- cv-00516-DMG-KS. Nathan & Kamionski was selected by the City after staff issued requests for proposals to firms which specialize in civil rights defense cases for public entities. Agreement No. N-2024-171 (“Agreement”) is in effect through May 5, 2026. Initial engagement was done to have the firm immediately represent the City and individually named employees at an amount no greater than allowed under the City Manager’s Authority of $50,000. On June 4, 2024, the parties entered into a First Amendment to the Agreement (A-2024-072) to increase the compensation by an additional $450,000, for a total not to exceed amount of $500,000. The City is a member of the Independent City Risk Management Authority (“ICRMA”). Nathan & Kamionski LLP has notified the City they wish to proactively reduce their rates to match the hourly rates consistent with other member cities, which are part of ICRMA, to bring greater value to ICRMA clients and ensure consistency, as detailed below. Legal Services Agreement with Nathan & Kamionski LLP November 19, 2024 Page 2 4 6 6 4 Classification Current Hourly Rate Proposed Hourly Rate Partners & Senior Associates $350/hour $325/hour Associates $300/hour $300/hour Paralegals $150/hour $125/hour ENVIRONMENTAL IMPACT There is no environmental impact associated with this action. FISCAL IMPACT Funds are budgeted and available in the following account for the current fiscal year and will be budgeted in the following account for the following fiscal years: Fiscal Year Accounting Unit- Account # Account Description Amount FY 23-24 08009051-64050 Liability and Property Ins Fund $25,000 FY 24-25 08009051-64050 Liability and Property Ins Fund $250,000 FY 25-26 08009051-64050 Liability and Property Ins Fund $225,000 Total:$500,000 EXHIBIT(S) 1. Second Amendment to Legal Services Agreement with Nathan & Kamionski LLP Submitted By: Sonia Carvalho, City Attorney Approved By: Alvaro Nuñez, City Manager 1 SECOND AMENDMENT TO LEGAL SERVICES AGREEMENT WITH NATHAN & KAMIONSKI LLP This Second Amendment is made and entered into on this 19th day of November, 2024, by and between Nathan & Kamionski LLP, an Illinois limited liability company (“Attorneys”), and the City of Santa Ana, a charter city and municipal corporation duly organized and existing under the constitution and laws of the State of California ("City”). RECITALS A. On May 7, 2024, the City and Attorneys entered into Agreement No. N-2024-171 (“Agreement”) to provide legal services to defend the City and certain individually named Defendant employees in the matter of Ramon Alvarez v. City of Santa Ana, et al, United States District Court Case No.:8:24-cv-00516-DMG-KS. The Agreement is still in effect. B. On June 4, 2024, the parties entered into a First Amendment to the Agreement (#A-2024-072) to increase the compensation by an additional $450,000.00, for a total not to exceed amount of $500,000.00. C. City is a member of the Independent City Risk Management Authority (“ICRMA”). Attorneys have notified City that they wish up update their rates match the hourly rates consistent with other member cities, which are part of the ICRMA, to bring greater value to ICRMA clients and ensure consistency. City and Attorneys agree that these rates are consistent with the value provided by Attorneys. D. The Parties now wish to amend the Agreement to update the hourly rates provided by Attorneys. No other changes, including to the overall compensation noted in Recital B, are contemplated by this Second Amendment. The Parties therefore agree: 1. Section 2.b, Compensation for Services Rendered, is hereby amended to reflect the following hourly rates: Partners ($325/hr.), Associates ($300/hr.), Paralegals ($125/hr.) The revised rates will not affect the total not to exceed amount of $500,000.00. 2. Except as modified by this Second Amendment, all terms and conditions of the Agreement, as amended, shall remain in full force and effect. [Signatures on following page] 2 IN WITNESS WHEREOF, the parties hereto have executed this Second Amendment on the day and year first above written. ATTEST: _________________________ JENNIFER L. HALL City Clerk APPROVED AS TO FORM: SONIA R. CARVALHO City Attorney By: _________________________ TAMARA BOGOSIAN Senior Assistant City Attorney CITY OF SANTA ANA ____________________________ ALVARO NUÑEZ City Manager NATHAN & KAMIONSKI, LLP ______________________________ By: Title: