CAPISTRANO VALLEY WATER DISTRICTi
AGREEMENT FOR LEGAL SERVICES
THIS AGREEMENT is made this 19th day of October, 1993 by and between
the City of San Juan Capistrano, hereinafter referred to as "CITY," and the Capistrano
Valley Water District, hereinafter referred to as "DISTRICT."
WHEREAS, District desires to obtain legal services as hereinafter provided; and,
WHEREAS, City employs a City Attorney who is a duly qualified and licensed
attorney to practice law under the laws of the State of California; and,
WHEREAS, the City has consented to provide services of City Attorney on a
contract basis to District.
NOW, THEREFORE, BE IT RESOLVED, between District and City as follows:
1. LEGAL SERVICES/COMPENSATION
City Attorney shall provide General Counsel Services consisting of personally
attending all board meetings and other meetings as may be required for and on behalf
of the District, preparing and/or reviewing legal documents, and consulting from time
to time with the General Manager and staff of District and/or members of the Board
of Directors of District, representing the District at hearings, conferences or court
proceedings. District shall pay City Forty-eight dollars ($48) per hour plus overhead
of 61 % for the General Counsel Services for actual time spent on District business,
and $17 per hour plus overhead of 61 % for actual time spent on District business by
paralegal staff under the supervision of City Attorney. The hourly rate shall be
adjusted annually on July 1 based on the actual pay rates and overhead rate. City
Attorney shall provide Litigation Services at the same hourly rate stated above, but
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shall not commence the defense or prosecution of litigation matters without advance
written approval of the District's General Manager. City Attorney will use his best
efforts to provide both General Counsel Services and Litigation Services in a
professional, thorough and competent manner in accordance with the California Rules
of Professional Conduct.
2. COMPENSATION FOR 1992-93 FISCAL YEAR
In addition to the compensation provided for in Section 1 which will commence
upon execution of this Agreement, District shall pay the sum of Twenty-five Thousand
Dollars (525,000) for General Counsel Services provided by City for Fiscal Year
1992/93, and billings will be issued in accordance with this Agreement effective July
1, 1993. Payment of the $25,000 shall be made within thirty (30) days of the
execution of this Agreement.
3. TERM
This Agreement may be terminated by either of the parties with or without
cause, providing 90 days advance written notice of said termination is provided to the
other party. For a period of one year subsequent to termination of this Agreement,
City Attorney will not litigate against or oppose the District on behalf of any other
client including the City.
4. SCHEDULE OF INVOICES AND PAYMENT
City shall provide District with a quarterly accounting of time spent on the
District's behalf in sufficient detail to justify the hours billed. District agrees to make
payments within thirty (30) days of receipt of the quarterly invoice.
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5. CONFLICTS OF INTEREST
Any requests for legal services that may be a Conflict of Interest between the
City and District will be declined and District will engage independent counsel.
6. ADDITIONAL COSTS
The overhead rate paid to City by District shall include all routine overhead
costs such as paper, supplies, clerical services, equipment and computers, telephone,
copying, etc. District shall pay for additional out-of-pocket costs, including but not
limited to travel outside of Orange County, conferences relating to water issues, etc.,
arising out of City Attorney's performance of legal services provided for in this
Agreement. City Attorney shall use his best efforts to obtain prior approval of any
cost in excess of $250.
7. INDEMNIFICATION
City shall indemnify and defend District against any and all claims, occurrences
or causes of action arising solely from the provision of legal services by City Attorney
pursuant to the terms of this Agreement; City is insured through the Southern
California Joint Powers Insurance Authority, and to the extent applicable to services
provided under this Agreement, agrees to maintain said coverage or its equivalent
during the term of this Agreement.
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement as
of the date first written above.
"DISTRICT"
CAPISTRANO VALLEY WATER DISTRICT
BY:
Ray Auerbach
General Manager
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"CITY"
\LEGALCOUNSEL.AGR
AGENDA ITEM:
TO: George Scarborough, City Manager
November 2, 1993
FROM: Cynthia L. Pendleton, Director of Administrative Services
SUBJECT: Consideration of Agreement for Legal Services to be Provided to the
Capistrano Valley Water District
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RECOMMENDATION:
By motion, Approve the Agreement for Legal Services between the City and District, and
authorize the City Manager to execute the Agreement on behalf of the City.
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A. SITUATION AND RECOMMENDATION:
The City Attorney provides legal servi
In an effort to formalize the scope o
other issues, staff recommends that
Capistrano Valley Water District for
Attorney.
B. Background
ces to the Capistrano Valley Water District.
f work, method and amount of payment and
the City enter into an agreement with the
legal services to be provided by the City
In fiscal year 1992-93 the City Attorney began providing general counsel services to
the Capistrano Valley Water District on a contract basis.
The City expects to continue these services on an annual basis. The services include
attendance at all board meetings and other meetings as required, preparation and/or
review of legal documents, consultation with District staff and/or Board members
and representation of the District at hearings, conferences or court proceedings.
The City and the District have agreed that $25,000 is reasonable for those services
provided in fiscal year 1992-93. For the duration of the agreement, the District
shall be charged for the actual cost of the City Attorney and his staff. This cost
will include the current hourly rate paid plus the current City overhead rate.
COMMISSION/BOARD REVIEW, RECOMMENDATION:
N/A
FINANCIAL CONSIDERATIONS:
The City estimated $5,000 in fees to be received for fiscal year 1992-93 and has
recognized that revenue. The City has also estimated $25,000 in revenue from the
Capistrano Valley Water District for fiscal year 1993-94 and will incorporate this figure
into the mid -year budget.
FOR CITY COUNCIL AGEND
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AGENDA ITEM
NOTIFICATION:
N/A
ALTERNATE ACTIONS:
-2-
November 2, 1993
1. By motion, Approve the Agreement for Legal Services between the City and
District, and authorize the City Manager to execute the Agreement on behalf of the
City.
2. Do not approve the Agreement for Legal Services between the City and the District.
3. Direct staff to provide additional information.
RECOMMENDATION:
By motion, Approve the Agreement for Legal Services between the City and District, and
authorize the City Manager to execute the Agreement on behalf of the City.
Respectfully submitted,
* X.
Cynthia L. Pendleton
CLP:ja
Attachment
0 9
Ms. Pendleton explained that staff considered charging a percentage of market value and determined
the rents would not comply with HUD requirements for rent consistency for all tenants. She stated that
the City has the option of leaving the rents as they are today, which are below the 30% income level.
She noted that there is a waiting list of about 30 people for the Little Hollywood houses.
Council Member Hausdorfer stated that options were few in this matter since the Community
Redevelopment Agency purchased these properties with HUD assistance, and that the City must comply
with HUD restrictions. He suggested that the hearing be continued so that staff could provide a series
of options, from the minimum to the maximum.
Mr. Tomlinson noted that the proposed rent structure would not become effective until each unit had
been completely rehabilitated.
Continuation of Hearing:
It was moved by Council Member Hausdorfer, seconded by Council Member Vasquez, that the hearing
be continued, to a date uncertain, for staff to provide a series of options, including guidelines for people
who wish to apply for this housing. The motion carried unanimously with Mayor Jones abstaining. The
hearing will be re -noticed and re -advertised when scheduled for the agenda.
RECESS AND RECONVENE
Council recessed at 7:55 p.m. to convene the San Juan Capistrano Community Redevelopment Agency, and
reconvened at 8:00 p.m.
ADMIMSTRATiVE ITEMS
DIRECTOR OF ADMINISTRATIVE SERVICES
Chairman Nash left the Chamber at 8:00 p.m.
--� 1. CONSIDERATION OF AGREEMENT FOR CITY ATTORNEY TO PROVIDE LEGAL
Written Communication: 1
Report dated November 2, 1993, from the Director of Administrative Services, recommending that the
Agreement for Legal Services between the City and the Capistrano Valley Water District be approved
to provide legal services to the District by the City Attorney, at a cost of $25,000 for fiscal year 1992-93.
For the duration of the agreement, the District will be charged for actual costs of the City Attorney and
staff, which includes the current hourly rate plus current City overhead.
Approval of Agreement
It was moved by Council Member Vasquez, seconded by Council Member Hausdorfer, that the
Agreement for Legal Services be approved between the City and the Capistrano Valley Water District
for legal services to be provided by the City Attorney. The City Manager was authorized to execute the
agreement on behalf of the City. The motion carried unanimously, with Council Member Nash absent.
Chairman Nash returned to the Chamber at 8:01 p.m.
City Council Minutes -6- 11/2/93