City Attorney’s Office
www.santa-ana.org/city-attorneys-office
Item # 23
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
November 21, 2023
TOPIC: Agreements and Amendments to Agreements for Legal Services
AGENDA TITLE
Approve Agreement for Legal Counsel Services and Approve a Separate Agreement for Special Services: Training and Consulting Services with Liebert Cassidy Whitmore (LCW); Approve Amendment to Agreement with Richards Watson & Gerson APC for Legal Services; Approve Agreement with Ring Bender for Legal Services; and Approve Agreement with Goldfarb & Lipman LLP for Legal Services (General Fund)
RECOMMENDED ACTION
1. Authorize the City Manager to execute an Agreement with LCW to provide special legal counsel services for an amount not to exceed $300,000 for a term beginning November 21, 2023 and ending December 31, 2026 with one optional one-year extension, subject to non-substantive changes approved by the City Manager and City Attorney (Agreement No. 2023-XXX).
2. Authorize the City Manager to execute a separate Agreement for Special Services with LCW to provide training and consulting services as a member of the Orange County Employment Relations Committee, renewable annually, in an amount not to exceed $5,000 plus a 5% annual increase, per year, subject to non-substantive changes approved by the City Manager and City Attorney (Agreement No. 2023- XXX).
3. Authorize the City Manager to execute a first amendment to an agreement with the law firm of Richards Watson & Gershon APC (RWG) for legal services for municipal advisory and litigation services including, but not limited to, elections work and employment matters, for the period of June 1, 2020 until May 31, 2024, in an amount not to exceed $300,000 for a total amount not to exceed $550,000, subject to non- substantive changes approved by the City Manager and the City Attorney (Agreement No. 2023-XXX).
4. Authorize the City Manager to execute a legal services agreement with the law firm of Ring Bender LLP for municipal litigation services, including but not limited to
Agreements and Amendments to Agreements for Legal Services November 21, 2023
3 8
8 4
litigation regarding AC 2525 Main v. City of Santa Ana, for the period of November 21, 2023 to June 30, 2026, with an option to extend for up to one year, in an amount not to exceed $500,000, subject to non-substantive changes approved by the City Manager and City Attorney (Agreement No. 2023-XXX).
5. Authorize the City Manager to execute a legal services agreement with the law firm of Goldfarb & Lipman LLP for municipal advisory and litigation services, including but not limited to, defending the City in litigation challenging the Rent Stabilization and Just Cause Eviction Ordinance, housing, affordable housing, fair housing, rent stabilization, land use, and real property issues for the period of November 21, 2023 to November 30, 2026, with an option to extend for up to one year, in an amount not to exceed $500,000, subject to non-substantive changes approved by the City Manager and City Attorney (Agreement No. 2023-XXX).
GOVERNMENT CODE §84308 APPLIES: Yes
DISCUSSION
Liebert Cassidy & Whitmore
The City has had a contractual relationship with LCW for special legal counsel services, primarily in the area of labor relations, labor negotiations, and representing the City in administrative hearings before the Public Employment Relations Board. This Agreement will provide the Human Resources Department with the resources necessary to efficiently meet the specialized legal needs of the City, on an as-needed basis. LCW has specialized experience and expert knowledge in the fields of employment and labor law matters. The Agreement is for an amount not to exceed $300,000 for a term beginning November 21, 2023 and ending December 31, 2026 with one optional one- year extension.
The City has been a member of the Orange County Employment Relations Consortium for several years. This membership has an annual fee of less than $5,000 and provides the City with group training workshops, monthly newsletters covering employment relations developments, and annual access to LCW library services. This Agreement expires on December 31, 2023. However, the Human Resources Department is seeking approval to execute an agreement to renew the membership for another year through December 31, 2024, for a total amount not to exceed $5,000. If the membership is renewed at the end of each agreement term, the total annual fee will increase by 5% annually.
Staff recommends approval of the agreements to provide the special legal and training/consulting services in an efficient manner, on an as-needed basis by the City.
The two Agreement do not guarantee work for LCW.
Agreements and Amendments to Agreements for Legal Services November 21, 2023
3 8
8 4
Richards Watson & Gershon APC
On June 1, 2020, the City Attorney's Office engaged RWG for specialized municipal litigation and advisory services and for overflow work when necessary. In particular, the City Attorney's Office has utilized RWG for elections matters. The City exercised its option to extend the term of the Agreement to continue services until May 31, 2024 and now seeks approval to add $300,000 in funds to the agreement for a total not to exceed amount of $550,000. RWG currently represents the City in ongoing litigation brought by Share Our Selves Corporation in federal court challenging the validity of a zoning ordinance adopted by the City.
The law firm of Richards, Watson & Gershon is a well-regarded municipal law firm specializing in general municipal law services and litigation.
Ring Bender LLP
The legal services agreement with Ring Bender LLP is set at a not-to-exceed amount of $500,000 for the term of November 21, 2023 to June 30, 2026 for municipal litigation services, including but not limited to litigation regarding AC 2525 Main, LLC v City of Santa Ana. Ring Bender has successfully represented the City in prior engagements with the City Attorney’s Office (CAO) and its attorneys have a long history of representing municipal entities on a wide range of matters and litigation including on environmental, land use, water rights, governance, contractual, Section 1983 claims, and employment issues.
Goldfarb & Lipman LLP
The legal services agreement with Goldfarb & Lipman LLP is set at a not-to-exceed amount of $500,000 for the term of November 21, 2023 to November 20, 2026 for municipal advisory and litigation services including defending the City in litigation involving challenges to the City’s Rent Stabilization and Just Cause Eviction Ordinance.
Legal services provided by this firm focus on serving public entities with a positive community impact through affordable housing and community economic development.
Its range of services will provide CAO access to a firm with decades of experience in housing, affordable housing, fair housing, rent stabilization, land use, and real property.
FISCAL IMPACT
Liebert Cassidy & Whitmore
The estimated expenditures below are strictly approximations; contract authority may be paid in its entirety during any given fiscal year, expended throughout the term of the contract, or not spent at all. Moreover, any contract services and associated expenditures are subject to available funding in the Human Resources Department budget. Funds for the Special and Legal Services Agreement are budgeted and available in the Human Resources Services, Contract Services-Professional account (no. 01109051 – 62300) for FY2023-24. Future fiscal year funding will be included in the proposed budgets for City Council consideration.
Agreements and Amendments to Agreements for Legal Services November 21, 2023
3 8
8 4
Fiscal Year Amount
2023-24 $100,000
2024-25 $100,000
2025-26 $100,000
Total $300,000
Funds for the Agreement for Special Services are budgeted and available in the Human Resources Services, Training account (no. 01109050 – 62120) for FY2023-24 and will be budgeted on an ongoing basis. This initial agreement is not to exceed $5,000 plus a 5% annual increase, per year.
Richards Watson & Gershon APC
Specialized legal services during the remainder of the term for this Agreement, fiscal year 2023-24, will be paid out of the General Non-Departmental Contractual Services (Account No. 01105015-62300)** funds.
Ring Bender LLP
Funds are available in the General Non -Departmental fund contractual services (Account No. 01105015- 62300)** and will be budgeted in future fiscal years as follows.
Future fiscal year funding will be included in the proposed budgets for City Council consideration.
Fiscal Year Amount
2023-24 $200,000
2024-25 $150,000
2025-26 $150,000
Total $500,000
Goldfarb & Lipman LLP
Funds are available in the General Non -Departmental fund contractual services (Account No. 01105015- 62300)** and will be budgeted in future fiscal years as follows.
Future fiscal year funding will be included in the proposed budgets for City Council consideration.
Fiscal Year Amount
2023-24 $200,000
2024-25 $150,000
2025-26 $150,000
Total $500,000
Note: The FY 2023-24 budget includes $600,000 for litigation in the non-departmental section of the General Fund budget. This is enough to get started with these contracts.
However, staff expects to need additional funding. The Finance Department intends to Agreements and Amendments to Agreements for Legal Services November 21, 2023
3 8
8 4
bring forward a staff report with recommended budget adjustments no later than the Mid-Year Budget Report currently scheduled for the second meeting in February.
EXHIBIT(S)
1. Legal Services Agreement with Liebert Cassidy Whitmore
2. Agreement for Special Services (Orange County Employment Relations Consortium) with Liebert Cassidy Whitmore
3. First Amendment to Agreement with Richards Watson & Gershon APC
4. Agreement for Legal Services with Ring Bender LLP
5. Agreement for Legal Services with Goldfarb & Lipman LLP Submitted By: Sonia Carvalho, City Attorney
Approved By: Steven A. Mendoza, Acting City Manager