1997 MIN AUG 19 - Laserfiche WebLink

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Interim City Manager Wood requested that Item 22 of the present Agenda be discussed at this time. Motion/second by cm Hutton/Sanders to advance Item 22 for discussion with Item 2 carried upon unanimous vote. City Attorney Biggs, under Perry Mason disguise, made a comprehensive presentation on the subject of legal fees, which included duties and practice of in-house counsel, cases requiring special counsel, costs versus savings and manner of hiring outside counsel. Lengthy discussion followed regarding the need to include cost factor for hiring of legal counsel for specialized areas, namely bond counsel, Redevelopment Agency and Electric. City Attorney Biggs informed that in determining cost for bond counsel there is a need to determine bond proceeds, as costs are based on a percentage of said proceeds. Finance Director Anna Vega provided amounts for bond counsel in the amount of $45,000 and $15,000 for disclosure counsel, which generated a little over $4 million in proceeds. For Sabo and Green, Director Vega recalled that the City was spending approximately $6,000 a month. She indicated there was extraordinary work done in the first part of the fiscal year where the City spent $60,000 in the first four months. Utility Director Clarke commented on bond counsel for the enterprise and legal fees and costs. Finance Director Vega informed that $43,000 was the City's share ofFarecal cost of $95,000. Interim City Manager Wood offered to have staff compile a complete list of all attorney fees, in all areas. City Attorney Biggs informed that legal fees for Risk Management were not part of the $650,000. Motion/second by CM Sandoval/Hutton to accept the report presented by City Attorney Biggs and to continue with the current services of the present City Attorney. Discussion followed on how to address the cost containment issue. Ms. Elaine Craig, representing SBPEA, and Messrs. Steve Anderson and Bill Yahn supported having in-house counsel. Above motion to accept the report and continue with the current services of the present City Attorney carried with CM Sanders, CM Bennett and Mayor Gaytan voting "No." As requested, Mayor Gaytan directed the City Manager to return this item to the Agenda. At Interim City Manager Wood request for clarification, Mayor Gaytan stated it would return for discussion for possible action. CITY TREASURER'S ITEMS: After brief discussion, motion by Mayor Gaytan, seconded by CM Cook, to accept the City Treasurer's Report for May 31, 1997, carried upon unanimous vote. �.' i « n t u 1 I City Council Minutes August 19, 1997 3