CITY OF LAGUNA NIGUEL
CITY COUNCIL AGENDA ITEM
To: Honorable Mayor and Council Members
FROM: Tamara S. Letourneau, City Manager
DATE: August 19, 2025
SUBJECT: Legal Counsel Rate Adjustment
RECOMMENDATION
Staff recommends that the City Council affirm that a positive annual evaluation of the City Attorney occurred as required for the rate adjustments specified in the City's Legal Services Agreement with Best Best & Krieger, LLP, effective September 1, 2025.
BACKGROUND
On May 2, 2023, at the City Council regular meeting, the City Council approved a Legal Services Agreement ("Agreement") with Best Best & Krieger, LLP ("BB&K") for City Attorney services (Attachment A). The Agreement includes a provision entitled "Annual Adjustments," which states in relevant part:
"If BB&K obtains an overall positive evaluation by the City Council in the annual review process held pursuant to Section 3.9 of this Agreement, compensation amounts ... shall be adjusted in accordance with the annual average Consumer Price Index of the prior calendar year, ... up to a maximum percentage of five percent (5%) ... on September 1st following that evaluation, beginning September 1, 2024 and continuing thereafter." (Section 3.9, Exhibit "A" para. 10.)
On August 5, 2025, the City Council completed its annual review of BB&K with a positive evaluation.
ANALYSIS
The rate adjustments specified in the Agreement are contained in the attached correspondence from BB&K dated August 7, 2025 (Attachment B). Effective September 1, 2025, the monthly retainer charged by BB&K for general legal services will increase by $854 to $26,729; the hourly rates for special legal services will increase by $12 to $364/hr for attorneys and $6 to $177/hr for paralegals, law clerks and analysts.
FISCAL REVIEW
The annual fiscal impact of this action is approximately $10,250, plus some increment for special services if necessary during the year.
The rate adjustments are consistent with the contractual language in the Agreement, in that they follow a positive annual evaluation of BB&K by the City Council, and are adjusted in accordance with the annual average Consumer Price Index of the prior calendar year, All Urban Consumers, Los Angeles-Long Beach-Anaheim Counties, which is 3.3%.
CONCLUSION
Staff recommends that the City Council affirm that a positive annual evaluation of the City Attorney occurred as required for the rate adjustments specified in the City's Legal Services Agreement with Best Best & Krieger, LLP, effective September 1, 2025. ~~~
Tamara S. Letourneau
~""- 0 ~
Kevin O'Connor
City Manager Assistant to the City Manager
Attachments:
A. BB&K City Attorney Services Agreement
B. 2025 Rate Notice Correspondence
ATTACHMENT A
BB&K City Attorney Services Agreement
DocuSign Envelope ID: E0128363-70E0-49A4-A71F-944E6CDDFB46
AGREEMENT FOR CITY ATTORNEY LEGAL SERVICES
BETWEENTHE
1. PARTIES AND DATE
CITY OF LAGUNA NIGUEL
AND
BEST BEST & KRIEGER LLP
This Agreement is made and entered into as of the 2nd day of May, 2023, by and between the City of Laguna Niguel, a California municipal corporation ("Client") and Best Best & Krieger LLP, a limited liability partnership engaged in the practice of law ("BB&K").
2. RECITALS
2.1 Client wishes to engage the services of BB&K as its City Attorney to perform all necessary legal services for the Client on the terms set forth below. ':l
3. TERMS.
3.1 Term. The term of this Agreement shall commence on May 3, 2023 and shall continue in full force and effect until terminated in accordance with Section 3.12.
3.2 Scope of Services. BB&K shall serve as City Attorney and shall perform legal services ("Services") more particularly described in Exhibit "A" hereto and incorporated herein, as may be required from time to time by the Client as set forth by this Agreement, unless otherwise agreed to by the Client and BB&K. As part of the Services to be performed hereunder, BB&K shall be responsible for the following:
3.2.1 Preparation for, and attendance at, regular meetings of the Client;
3.2.2 Provision of legal counsel at such other meetings as directed by the Client;
3.2.3 Preparation or review of Client ordinances and resolutions, together with such staff reports, orders, agreements, forms, notices, declarations, certificates, deeds, leases and other documents as requested by the Client;
3.2.4 Rendering to the officers and employees of the Client legal advice and opinions on all legal matters affecting the Client, including new legislation and court decisions, as directed by the Client;
3 .2.5 Researching and interpreting laws, court decisions and other legal authorities in order to prepare legal opinions and to advise the Client on legal matters pertaining to Client operations, as directed by the Client;
3 .2.6 Performing legal work pertaining to property acquisition, property disposal, public improvements, public rights-of-way and easements, as directed by the Client; 3 ,2. 7 Responding to inquiries and review for legal sufficiency ordinances, resolutions, contracts, and administrative and personnel matters, as directed by the Client;
3.2.8 Representing and assisting on litigation matters, as directed by the Client.
Such services shall include, but shall not be limited to, the preparation for and making of appearances, including preparing pleadings and petitions, making oral presentations, and preparing answers, briefs or other documents on behalf of the Client, and any officer or employee of the Client, in all federal and state courts of this State, and alternative dispute resolution officer, and before any governmental board or commission, including reviewing, defending or assisting any 09959.00000\41180805.S
DocuSign Envelope ID: E012B363-70E0-49A4-A71F-944E6CDDFB46 insurer of the Client or its agents or attorneys with respect to any lawsuit filed against the Client or any officer or employee thereof, for money or damages.
3.3 Designated City Attorney. Scott C. Smith shall be designated as City Attorney, and shall be responsible for the performance of all Services under this Agreement, including the supervision of Services performed by other members of BB&K. Isra Shah shall be designated as Assistant City Attorney, and shall attend such meetings as may be requested by the City Attorney.
No change in these assignments shall be made without the consent of the Client.
3.4 Time of Performance. The Services of BB&K shall be performed expeditiously in the time frames and as directed by the Client.
3.5 Assistance. The Client agrees to provide all information and documents necessary for the attorneys at J3B&K to perform their obligations under this Agreement. 3 .6 Independent Contractor. BB&K shall perform all legal services required under this _Agreement as an independent contractor of the Client and shall remain, at all times as to the Client, a wholly independent contractor with only such obligations as are required under this Agreement.
Neither the Client, nor any of its employees, shall have any control over the manner, mode or means by which BB&K, its agents or employees, render the legal services required under this Agreement, except as otherwise set forth. The Client shall have no voice in the selection; discharge, supervision or control of BB&K's employees, representatives or agents, or in fixing their number, compensation, or hours of service.
).7 Fees and Costs. BB&K shall render and bill for legal services in the following categories and at rates set forth in Exhibit "A" and in accordance with the BB&K Billing Policies set forth in Exhibit "B", attached hereto and incorporated herein by reference. In addition, the Client shall reimburse BB&K for reasonable and necessary expenses incurred by it in the performance of the Services under this Agreement. Authorized reimbursable expenses shall include, but are not limited to, printing and copying expenses, long distance telephone and facsimile tolls, computerized research time ( e.g. Lexis or Westlaw), research services performed by BB&K's library staff, extraordinary mail or delivery costs (e.g. courier, overnight and express delivery), court fees and similar costs relating to the Services that are generally chargeable to a client. However, no separate charge shall be made by BB&K for secretarial or word processing services or for mileage expenses or toll road expenses. BB&K shall not bill for travel time or mileage for meetings in the City of Laguna Niguel.
3.8 Billing. BB&K shall submit monthly to the Client a detailed statement of account for Services. The Client shall review BB&K's monthly statements and pay BB&K for Services rendered and costs incurred, as provided for in this Agreement, on a monthly basis. The first month's retainer billing shall be reduced by: (I) two days for the first two days BB&K will not be serving in the City in the month of May 2023, and (2) an additional prorated amount of the monthly retainer to exclude "ramp up" time spent on acquiring institutional knowledge and familiarization with matters. Hourly charges for special services shall also exclude similar charges for ramp up time.
3.9 Annual Reviews. The Client and BB&K agree that a review of performance should occur at least every August following the end of each fiscal year.
3.10 Insurance. BB&K carries errors and omissions insurance with Lloyd's of London.
After a standard deductible, this insurance provides coverage beyond what is required by the State -2-
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DocuSign Envelope ID: E0128363-70E0-49A4-A71F-944E6CDDFB46 of California. A declaration page containing information about BB&K's errors and omissions insurance policy is available upon Client's request.
3 .11 Attorney-Client Privilege. Confidential communication between the Client and BB&K shall be covered by the attorney-client privilege. As used in this article, "confidential communication" means information transmitted between the Client and BB&K in the course of the relationship covered by this Agreement and in confidence by a means that, so far as the Client is aware, discloses the information to no third persons other than those who are present to further the interests of the Client in the consultation or those to whom disclosure is reasonably necessary for the transmission of the information or the accomplishment of the purpose for which BB&K is consulted, and includes any legal opinion formed and advice given by BB&K in the course of this relationship.
3.12 Termination of Agreement and Legal Services. This Agreement and the Services rendered under it may be terminated at any time upon thirty (30) days' prior written notice from either party, with or without cause. In the event of such termination, BB&K shall be paid for all Services authorized by the Client and performed up through and including the effective date of termination. BB&K shall also be reimbursed for all costs associated with transitioning any files or other data or documents to a new law firm or returning them to the Client.
3.13 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements.
3.14 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in Orange County.
3.15 Amendment; Modification. No supplement, modification or amendment of this Agreement shall be binding unless executed in writing and signed by both parties.
3.16 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a party shall give the other party any contractual rights by custom, estoppel, or otherwise.
3.17 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.
3 .18 Counterparts. This Agreement.may be signed in counterparts, each of which shall constitute an original.
3 .19 Delivery of Notices. All notices permitted or required under this Agreement notices shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose:
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DocuSign Envelope ID: E0128363-70E0-49A4-A71F-944EBCDDFB46 Client:
BB&K:
3.20 Indemnification.
City of Laguna Niguel
30111 Crown Valley Park.way
Laguna Niguel, CA 92677
Attention: Tamara Letourneau, City Manager
Best Best & Krieger LLP
18101 Von Kannan, Ste. 1000
Irvine, CA 92612
Attention: Scott C. Smith
(A) BB&K agrees to indemnify Client, its officers, employees and agents against, and will hold and save each of them harmless from, any and all actions, suits, claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities (herein "claims or liabilities") that may be asserted or claimed by any person, firm or entity arising from the negligent acts or omissions of BB&K hereunder, or arising from BB&K's negligent performance of any term, provision, covenant or condition of this Agreement, except to the extent such claims or liabilities arise from the negligence or willful misconduct of Client, its officers, agents or employees.
(B) Client acknowledges BB&K is being appointed as City Attorney pursuant to the authority of Government Code Section 36505, and has the authority of that office. Accordingly, the Client is responsible pursuant to Government Code Section 825 for providing a defense for the City Attorney for actions within the scope of its engagement hereunder. Therefore, Client agrees to undertake its statutory duty and indemnify BB&K, its officers, employees and agents against and will hold and save each of them hannless from, any and all claims or liabilities that may be asserted or claims by any person, firm or entity arising out of or in connection with the work, operations or activities of BB&K within the course and scope of its performance hereunder, but nothing herein shall require Client to indemnify BB&K for liability arising from its own negligence or alleged negligence. In connection herewith:
(i) Client will promptly provide a defense and pay any judgment rendered against the Client, its officers, agency or employees for any such claims or liabilities arising out of or in connection with such work, operations or activities of Client hereunder; and (ii) In the event BB&K, its officers, agents or employees is made a party to any action or proceeding filed or prosecuted against Client for such damages or other claims solely arising out of or in connection with the work operation or activities of Client hereunder, Client agrees to pay to BB&K, its officers, agents or employees any and all costs and expenses incurred by attorney,. its officers, agents or employees in such action or proceeding, including, but not limited to, legal costs and attorneys' fees.
IN WITNESS WHEREOF, the Client and BB&K have executed this Agreement for City Attorney Legal Services as of the date first written above. (SIGNATURES CONTAINED ON FOLLOWING PAGE)
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DocuSign Envelope ID: E0128363-70E0-49A4-A71 F-944E6CDDFB46
SIGNATURE PAGE TO
AGREEMENT FOR CITY ATTORNEY LEGAL SERVICES
BETWEENTHE
CITY OF LAGUNA NIGUEL
AND
BEST BEST & KRIEGER LLP
CITY OF LAGUNA NIGUEL:
By: ~
Name: Tamara Letourneau
Title: City Manager
Date: 5/4/2023 2023
ATTEST:
By: ~
Name: Marissa Asistin
Title: City Clerk
Date: 5/4/2023 2023
BEST BEST & KRIEGER LLP:
By: ~ '
N~mlth
Title: Partner
Date: 5/4/2023 2023
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DocuSign Envelope ID: E0128363-70E0-49A4-A71F-944E6CDDFB46
EXHIBIT A
TO
AGREEMENT FOR CITY ATTORNEY LEGAL SERVICES
BETWEEN
THE CITY OF LAGUNA NIGUEL
AND
BEST BEST & KRIEGER LLP
SERVICES AND BILLING ARRANGEMENTS
1. Basic Legal Services - Description. Basic legal services shall include all services provided to Client= including staffing the City Council and Planning Commission and the work required to prepare for their meetings = that are not otherwise specifically identified below as either Special Legal Services, Third Party Reimbursable Legal Services, or Public Finance Legal Services.
2. Basic Legal Services - Rates. Client shall pay a fixed monthly fee of $25,000 for Basic Legal Services.review
3. Special Legal Services - Description. Special Legal Services shall include the following types of services:
A. Litigation and formal administrative or other adjudicatory hearing matters B. Labor relations and employment matters
C. Non-routine real estate matters (e.g. CC&R's, deed or title work) D. Land acquisition and disposal matters (including pre-condemnation) E. Taxes, fees and charges matters ( e.g. Prop. 218 & Mitigation Fee Act) F. Public construction disputes
G. Non-routine contract negotiation matters (including non-BB&K model agreements and franchise agreements)
H. Non-routine land use and development ~atters (including general plan updates, Williamson Act issues, annexations and development agreements) I. Environmental matters (e.g. CEQA, NEPA, endangered species) J. Tax and ERISA related matters
K. Toxic substances matters (e.g. CERCLA, RCRA)
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DocuSign Envelope ID: E012B363-70E0-49A4-A71F-944E6CDDFB46 L. Complex public utility matters ( e.g. electric, natural gas, telecommunications, water, rail or transit that involve state or federal regulatory issues) M. Renewable energy and energy efficiency project contracts and power purchase agreements
N. Intergovernmental Relations and Advocacy efforts (e.g. legislative and regulatory representation) at the federal and state level.
0. Non-routine election law matters, including election law litigation.
P. PRA Policy drafting including reviewing, assessing, and updating records-related policies to reflect current legal standards and best practices.
Q. Other extraordinary matters mutually agreed upon between BBK and the City Manager.
4. Special Legal Services - Rates. Client shall pay for Special Legal Services at the following rates:
Attorneys $340
Paralegals, Law Clerks, and Analysts $165
In addition to paralegals and attorneys, other similarly-credentialed BB&K professionals described in section 9 may be called upon from time to time to work on matters as particular needs arise.
Other titles may be used in our legal services. Those professionals will be billed at the paralegal rate unless otherwise agreed to by Client in writing.
5. Third Party Reimbursable Legal Services - Description. Third Party Reimbursable Legal Services shall include legal services provided to Client for which Client receives reimbursement from a developer or other third party. These reimbursable legal services include, but are not limited to, negotiation and review of development agreements, planning entitlements, review of CC&Rs; establishment of financing districts (i.e., Community Facilities Districts; Assessment Districts; Landscape and Lighting Maintenance Districts); the processing ofland use/environmental projects for which Client is entitled to seek time and materials reimbursement, as well as defending any challenges to project entitlements or any dispute or litigation related to such reimbursable legal services.
6. Third Party Reimbursable Legal Services - Rates. Client shall pay for Third Party Reimbursable Legal Services at BB&K's then current published standard private client rates, minus ten percent (10%). Upon execution of this Agreement, BB&K shall provide a copy of its published rate schedule to Client. BB&K shall also provide annual written updates to Client when changes are made to the published rate schedule.
7. Public Finance and Bond Rates. BB&K will provide bond counsel, special counsel or disclosure counsel services at the request of Client. Such bond counsel and special counsel services include the preparation of all legislative approvals and legal documentation relating to the appropriate sale and delivery of the bonds, notes or other obligations. BB&K will also prepare A-2
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DocuSign Envelope ID: E0128363-70E0-49A4-A71F-944E6CDDFB46 such closing certificates and legal opinions necessary for the delivery of the bonds. As disclosure counsel, we will prepare the disclosure documents for Client and conduct the necessary due diligence related to the transaction. Our fees will be determined based upon the type of financing and the expected involvement of the attorneys involved. We will provide Client with a detailed description of our services and our fees and reimbursable costs upon Client's request.
Notwithstanding the foregoing, in those cases where the fees are reimbursable by a third party, at BB&K's option it may proceed on an hourly basis and utilize the Third Party Reimbursable Legal Services category provided for in this Amendment, including with respect to services rendered for the formation of, or annexation to, a CPD (of either Client or other local public agency), as well as the negotiation and preparation of funding agreements and joint financing agreements. Legal services related to Client's compliance with its continuing disclosure covenants and provide such necessary advice on Client's compliance shall be billed as Special Legal Services, above.
8. Agreement Regarding Rate Categories. If BB&K believes that a matter falls within the Third Party Reimbursable Legal Services or Public Finance Legal Services rate categories, BB&K shall so confirm with the City Manager or their designee. The City Manager's or their designee's approval of such a request from BB&K shall not be unreasonably withheld.
9. Other Billing Personnel. Additional billing personnel may be employed in the provision of legal services by BB&K. If, as, and when BB&K employs additional or different billing personnel, BB&K shall do so with prior written approval from the City Manager. The titles of other billing personnel include, but are not limited to the following:
• Government Affairs/ Advocacy
• Consultants
• Docketing and Auditing Specialists
10. Annual Adjustments. If BB&K obtains an overall positive evaluation by the City Council in the annual review process held pursuant to Section 3 .9 of this Agreement, compensation amounts (with the exception of Applicant - Initiated rates, which shall be adjusted as described above) shall be adjusted in accordance with the annual average Consumer Price Index of the prior calendar year, All Urban Consumers, Los Angeles-Riverside-Orange Counties up to a maximum percentage of five percent (5%), whichever is less, on September 1st following that evaluation, beginning September 1, 2024 and continuing thereafter.
11. Additional Services. BB&K offers the following additional services which are subject to additional rates and fees and shall be provided upon Client's request. This Agreement may be supplemented by written administrative memoranda, providing for the additional services and billing rates for related personnel, which memoranda may be approved by the City Manager. a) BB&K's Project 5 Program. Provides participants with memoranda summarizing new changes in case law under th~ California Environmental Quality Act ("CEQA"), an annually updated set of CEQA notices and forms to aid participants in meeting CEQA's requirements, an annually updated set of Local CEQA Guidelines and a draft Resolution for adopting Local CEQA Guidelines, memoranda summarizing pending and recently passed CEQA legislation, and other CEQA resources and materials. Memoranda, forms, and guidelines are provided to A-3
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DocuSign Envelope ID: E0128363-70E0-49A4-A71F-944E6CDDFB46 participating agencies via the CEQA Guidelines Client Portal, a secure website providing an on-demand and continually updating library of CEQA resources. By providing our Project 5 Program updates to a large pool of participants, BB&K is able to divide the overall cost of the products among all participants and charge only a :fraction of the total costs to the individual client agencies. b) Advanced Records Center Services. Through its new Advanced Records Center ("ARC"), BB&K combines its legal acumen and experience with cutting-edge technology to provide comprehensive and cost-effective support for non-routine records-related matters. Specifically, at the Client's option, the ARC team will assist Client with non-routine Public Records Act Processing and Policy Drafting, as detailed below. See Exhibit "E" for more details.
c) Trainings. BB&K offers a variety of trainings to public agency and private business leadership and staff on topics required by law, as well as preventative and educational legal topics. The trainings are interactive and can be given onsite, via live webinar or virtual on-demand. Some of our most popular trainings include AB 1234 Ethics, Workplace Civility and Sexual Harassment Avoidance Training, The Brown Act "Open Meetings Law," Crystalizing Your Agency's CPRA Policies & Procedures and SB 1343 Sexual Harassment Avoidance Training for Non Supervisors.
d) Election Law Center Subscription Services. Participants in BB&K' s Election Law Center will be given access to up-to-date election document templates, including resolutions and other mandatory election documents. The annual subscription also gives participants access to BB&K's Election Law Center hotline, which participants can use for guidance on day-to-day election law questions that arise during campaign and election season.
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EXHIBITB
TO
AGREEMENT FOR CITY ATTORNEY LEGAL SERVICES
BETWEENTHE
CITY OF LAGUNA NIGUEL
AND
BEST BEST & KRIEGER LLP
BB&K BILLING POLICIES
Our century of experience has shown that the attorney-client relationship works best when there is mutuai understanding about fees, expenses, billing and payment terms. Therefore, this statement is intended to explain our billing policies and procedures. Clients are encouraged to discuss with us any questions they have about these policies and procedures. Clients may direct specific questions about a bill to the attorney with whom the client works or to our Accounts Receivable Department ([email protected]). Any specific billing arrangements different from those set forth below will be confirmed in a separate written agreement between the client and the firm.
INVOICE AND PAYMENT OPTIONS
Best Best & Krieger strives to meet our clients' needs in terms of providing a wide variety of invoice types, delivery and payment options. Please indicate those needs including the preferred method of invoice delivery (Invoice via Email; or USPS). In addition, [email protected] can provide a W-9 upon request and discuss various accepted payment methods.
FEES FOR ELECTRONICALLY STORED INFORMATION ("ESI") SUPPORT AND
STORAGE
BBK provides Electronically Stored Information ("ESI") services for matters requiring ESI support - typically litigation or threatened litigation matters. BBK provides services for basic ESI processing and storage at the following rates per month based on the number of gigabytes of data ("GB") processed and stored:
1GB -250GB: $10 per GB
251GB - 550GB: $8 per GB
551GB - 750GB: $6 per GB
751GB- 1TB: $4 per GB
The amount BBK charges for basic processing and storage of ESI allows BBK to recover the costs of providing such services, plus a net profit for BBK. BBK believes that the rates it charges for processing and storage are lower than comparable services available from third party vendors in the market. If you wish to contract separately with a third party vendor for processing and storage costs, please notify BBK in writing. [OPTIONAL BBK also provides advanced ESI processing services at hourly rates for personnel in its Litigation Support Group. A copy ofBBK's current rates for such services will be provided upon request.] BBK shall not incur costs for ESI B-1
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DocuSign Envelope ID: E0128363-70E0-49A4-A71F-944E6CDDFB46 support on a particular matter without first confmning by email or written correspondence with the client that the client agrees such services are necessary for the matter at hand.
FEES FOR PROFESSIONAL SERVICES
Unless a flat fee is set forth in our engagement letter with a client, our fees for the legal work we will undertake will be based in substantial part on time spent by personnel in our office on that client's behalf. In special circumstances which will be discussed with the client and agreed upon in writing, fees will be based upon the novelty or difficulty of the matter, or the time or other special limitations imposed by the client.
Hourly rates are set to reflect the skill and experience of the attorney or other legal personnel rendering services on the client's behalf. All legal services are billed in one-tenth of an hour (0.10/hour) or six-minute increments.
Non-Attorney Personnel: BBK may employ the services of non-attorney personnel under the supervision of a BBK attorney in order to perform services called for in the legal services agreement. The most common non-attorney personnel utilized are paralegals. Other types of non attorney personnel include, but are not limited to, case clerks, litigation analysts, and specialty consultants. The client agrees that BBK may use such non-attorney personnel to perform its services when it is reasonably necessary in the judgment of the responsible BBK attorney.
FEES FOR OTHER SERVICES, COSTS AND EXPENSES
We attempt to serve all our clients with the most effective support systems available.
Therefore, in addition to fees for professional legal services, we also charge separately for some other services and expenses to the extent of their use by individual clients. These charges include but are not limited to extraordinary telephone and document delivery charges, copying charges, computerized research, court filing fees and other court-related expenditures including court reporter and transcription fees. No separate charge is made for secretarial or word processing services.
We may need to advance costs and incur expenses on your behalf on an ongoing basis.
These items are separate and apart from attorneys' fees and, as they are out-of-pocket charges, we need to have sufficient funds on hand from you to pay them when due. We will advise the client from time to time when we expect items of significant cost to be incurred, and it is required that the client send us advances to cover those costs before they are due.
MONTHLY INVOICES AND PAYMENT
Best Best & Krieger LLP provides our clients with monthly invoices for legal services performed and expenses incurred. Invoices are due and payable upon receipt.
Each monthly invoice reflects both professional and other fees for services rendered through the end of the prior month, as well as expenses incurred on the client's behalf that have been processed by the end of the prior month. Processing of some expenses is delayed until the next month and billed thereafter.
Our fees are not contingent upon any aspect of the matter and are due upon receipt. All billings are due and payable within ten days of presentation unless the full amount is covered by the balance of an advance held in our trust account.
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DocuSign Envelope ID: E0128363-70E0-49A4-A71F-944E6CDDFB46 It is our policy to treat evecy question about a bill promptly and fairly. It is also our policy that if a client does not pay an invoice within 60 days of mailing, we assume the client is, for whatever reason, refusing to pay. We reserve the right to terminate our engagement and withdraw as attorney of record whenever our invoices are not paid. If an invoice is 60 days late, however, we may advise the client by letter that the client must pay the invoice within 14 days or the firm will take appropriate steps to withdraw as attorney of record. If the delay is caused by a problem in the invoice, we must rely upon the client to raise that with us during the 14-day period. This same policy applies to fee arrangements which require the client to replenish fee deposits or make deposits for anticipated costs.
From time to time clients have questions about the format of the bill or description of work performed. If you have any such questions, please ask them when you receive the bill so we may address them on a current basis.
CHANGES IN FEE BUDGETS
Because of the uncertainties involved, any estimates of anticipated fees that we provide at the request of a client for budgeting purposes, or otherwise, can only be an approximation of potential fees.
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ATTACHMENT B
2025 Rate Notice Correspondence
August 7, 2025
BBK
BEST BEST & KRIEGER LLP
ATTORNEYS AT LAW
VIA E-MAIL TO: LET OURNEAU@C ITYOFLAGUNAN IGUEL. ORG
CC: TAGRELIUS@CITY OFLAGUNAN IGUEL. ORG
Tamara Letourneau , City Manager
City of Laguna Niguel
30111 Crown Valley
Laguna Niguel, CA 92677
Billie Sumera
Business Analyst 1
(951 ) 444-0942
billie.sumera @bbklaw.com
Re: Annual Notice of Automatic Increase in Legal Services Rates based upon CPI Dear Ms. Letourneau ,
Pursuant to our current agreement , and with conclusion of the City Council ' s positive evaluation on Tuesday , we are writing to inform you of the hourly rate adjustment due under our legal services agreement (effective on September I st of each year, in accordance with the All Urban Consumer Price Index , Los Angeles-Long Beach-Anaheim, CA area 2024 annual percent).
The Index has increased by 3.3% , therefore , the hourly rates will be:
Monthly Retainer- Basic Legal Services: $26,729
S(!ecial Legal Services Rate/Hr.
All Attorneys $ 364
Non-Attorneys $ 177
These rates will adjust automatically on September I, 2025.
Best Best & Krieger sincerely appreciates your continuing loyalty and the choice of our firm for your legal services . If you have any questions about this or any of our billing policies , please contact your BB&K attorney , Scott Smith.
Best Best & Krieger LLP I 655 West Broadway, Suite 1500, San Diego, Californ ia 92101 Phone: (619) 525-1300 I Fax: (619) 233-61181 bbklaw .com August 7, 2025
Sincerely ,
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umera
Department
for BEST BEST & KRIEGER LLP
Best Best & Krieger LLP