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Richards, Watson & Gershon (1998) *f 411 411 AGREEMENT FOR LEGAL SERVICES FOR THE CITY OF RANCHO PALOS VERDES, THE RANCHO PALOS VERDES REDEVELOPMENT AGENCY AND THE RANCHO PALOS VERDES IMPROVEMENT AUTHORITY This Agreement is made and entered into by and between the law firm of Richards, Watson & Gershon, a professional corporation (hereinafter "the Firm") , and the City of Rancho Palos Verdes (hereinafter "City") , the Rancho Palos Verdes Redevelopment Agency (hereinafter "Agency") , and the Rancho Palos Verdes Improvement Authority (hereinafter "Authority") , referred to collectively as "the Parties" . RECITAL S: A. City, Agency and Authority desire to continue to retain the Firm to discharge the duties of the office of City Attorney and Legal Counsel for the Agency and Authority, as directed by the City Council, the Redevelopment Agency, the Improvement Authority, the City Manager and the Executive Director. B. The attorneys of the Firm are duly licensed under the laws of the State of California and are fully qualified to discharge the duties of the office of City Attorney and Legal Counsel for the Redevelopment Agency and the Authority and to provide the services contemplated by this Agreement. NOW, THEREFORE, the Parties hereto agree as follows: 1. Scope of Services. The Firm shall discharge the duties of the office of City Attorney of the City and Legal Counsel for the Redevelopment Agency and Improvement Authority and shall use its best efforts to provide legal services in a competent and professional manner. The legal services to be provided by the Firm shall consist of those set forth in Exhibit "A" attached hereto and shall be billed at the rates set forth therein. 2 . Designation of City Attorney. Carol W. Lynch is designated as City Attorney for the City and Legal Counsel for the Agency and the Improvement Authority, and Craig Steele is designated as Assistant City Attorney, Assistant Legal Counsel to the Agency and to the Authority. The Parties understand and agree that the Firm may, from time to time, utilize other attorneys within the Firm to assist Ms. Lynch and Mr. Steele in the performance of this Agreement. .• 111 111 3 . Billing Procedures and Monthly Statements. City agrees to pay the Firm for performing services for City, Agency agrees to pay the Firm for performing services for Agency, and Authority agrees to pay the Firm for performing services for Authority in accordance with the following terms: a. The Firm shall submit to City, Agency, and Authority, within thirty (30) days after the end of each calendar month, an itemized statement of the professional services provided and the time expended providing those services in the form customarily submitted by the Firm to clients which are billed on an hourly basis. The Parties acknowledge that payment of all monthly statements is expected to be made within forty- five (45) days of the billing date. b. The Firm will bill City, Agency and Authority for items such as, but not limited to, long distance telephone calls, filing fees, document duplication, computerized legal research, and similar out-of-pocket expenditures. These items will be separately designated on the Firm's monthly statements as "disbursements, " and will be billed in addition to the fees for professional services. c. Time will be charged by the Firm in increments of 1/10 of an hour (i.e. , six-minute units) . The rate structure in general, or the rates of particular attorneys, may be increased from time to time, after written notice to City, Agency and Authority. 4. Resolution of Fee Disputes. City, Agency and Authority are entitled to require that any fee dispute be resolved by binding arbitration in Los Angeles pursuant to the arbitration rules of the Los Angeles County Bar Association for legal fee disputes. In the event that City, Agency or Authority chooses not to utilize the Los Angeles County Bar Association's arbitration procedures, each of them agrees that all disputes regarding the professional services rendered or fees charged by the Firm shall be submitted to binding arbitration in Los Angeles to be conducted by the American Arbitration Association in accordance with its commercial arbitration rules. 5. Term of the Agreement. This Agreement shall commence as of July 1, 1998 and shall be and remain in full force and effect until terminated in accordance with the provisions of Section 6 hereof. 6. Termination of the Agreement. City, Agency and Authority have the right to terminate the Firm's representation at any time, without cause, subject to 980623 L:\voll\cwl\RPV.K(3) - 2 - C, 411 an obligation to give notice in writing to the Firm at least thirty (30) days prior to termination. The Firm has the same right, subject to an obligation to give to City, Agency and Authority written notice at least ninety (90) days prior to termination so that they will be able to arrange alternative representation. In either circumstance, City, Agency and Authority agree to secure new counsel as quickly as possible and to cooperate fully in the substitution of the new counsel as counsel of record. The Firm agrees to cooperate fully in any such transition, including the transfer of files. Notwithstanding the termination of the Firm's representation, City, Agency and Authority will remain obligated to pay to the Firm all fees and costs incurred prior thereto. 7. Files. All legal files of the Firm pertaining to the City, the Agency and the Authority shall be and remain the property of the respective entity. The Firm will control the physical location of such legal files during the term of this Agreement and shall be entitled to retain copies of such files upon termination of this Agreement. 8. Modifications to the Agreement. Unless otherwise provided for in this Agreement, modifications relating to the nature, extent or duration of the Firm's professional services to be rendered hereunder shall require the prior written approval of the City Manager or in the case of the Agency and the Authority, the Executive Director. Any such written approval shall be deemed to be a supplement to this Agreement and shall specify any changes in the Scope of Services and the agreed-upon billing rate to be charged by the Firm and paid by City, Agency or Authority. 9. Independent Contractor. No employment relationship is created by this Agreement. The Firm shall, for all purposes, be an independent contractor to City, Agency and Authority. 10. Nondiscrimination. In the performance of this Agreement, the Firm shall not discriminate against any employee or applicant for employment because of race, religion, color, sex, national origin, sexual orientation or medical condition. The Firm shall take affirmative action to insure that applicants are employed, and that employees are treated during their employment, without regard to their race, religion, color, sex, national origin, sexual orientation or medical condition. Such actions shall include, but not be limited to, the following: employment, upgrading, demotion or transfer; recruitment or recruitment 980623 L:\voll\cwl\RPV.K(3) - 3 - 111 111 advertising; layoff or termination; rates of pay or other forms of compensation, and selection for training. 11. Assignment and Delegation. This Agreement contemplates that the personal professional services of the Firm and this Agreement, or any portion thereof, shall not be assigned or delegated without the prior written consent of City, Agency or Authority. Delegation to attorneys outside the Firm shall be limited to those situations in which the Firm is disqualified by virtue of a conflict of interest, or where the Firm does not possess the expertise to perform services in a particular practice area. Delegation shall not be made without the prior approval of the City Manager or in the case of the Agency and the Authority, the Executive Director. The Firm shall supervise delegated work, except where precluded from doing so by virtue of a conflict of interest, and where otherwise agreed to by the Parties hereto. 12. Insurance. a. The Firm shall obtain and maintain in full force and effect a professional liability insurance policy which provides coverage in an amount not less than $2, 000,000 per occurrence and $7,000, 000 in the aggregate. Said insurance policy shall provide coverage to City, Agency and Authority for any damages or losses suffered by City, Agency or Authority as a result of any error or omission or neglect by the Firm which arises out of the professional services required by this Agreement. Such insurance may be subject to a self-insured retention or deductible to be borne entirely by the Firm. b. The Firm shall obtain and maintain workers' compensation insurance in accordance with Section 3700 of the California Labor Code. c. The Firm shall obtain and maintain a policy of comprehensive general liability insurance in the aggregate amount of $1, 000, 000. 00 covering claims for personal injuries or property damage. d. The Firm agrees to notify City, Agency and Authority in the event the limits of its insurance should fall below the coverages stated in this paragraph or if the insurance policies noted here are allowed to lapse and substitute insurance is not obtained. 13 . Entire Agreement. This Agreement, together with any written modification pursuant to Paragraph 8 above, shall constitute the full and complete agreement and understanding of the Parties and shall be deemed to supersede all other written or oral statements of any party relating to the subject matter hereof. 980623 L:\voll\cwARPV.K(3) - 4 - 11111 111 IN WITNESS WHEREOF, the duly authorized representatives of the Parties have caused this Agreement to be executed as of the dates indicated below. Dated: 6P/Arne CITY OF RANCHO PALOS VERDES THE RANCHO PALOS VERDES REDEVELOPMENT AGENCY, AND THE RANCHO PALOS VERDES IMPROVEMENT AUTHORITY BY iedajetA_AJ\Y&SA-,42-0 BARBARA FERRARO MAYOR AND CHAIRPERSON ATTEST: DEPUTY CITY CLERK Dated: RICHARDS, WATSON & GERSHON A Profe ional Corporation By WILLI *1 STRAUSZ CHAIRMAN THE BOARD 980623 L:\voll\cw1\RPV.K(3) — 5 - 4 111 411 EXHIBIT "A" SCOPE OF SERVICES AND APPLICABLE BILLING RATES I. GENERAL LEGAL SERVICES A. The general legal services to be provided by the Firm to City shall include, without limitation, the following: 1. Provide routine legal assistance, advice and consultation to the City Council and to City staff, which do not fall within the categories of special services listed below in Sections II, III and IV, relating to land use, CEQA, general municipal law issues, enforcement of the Municipal Code, potential tort liability, and risk management. 2 . Prepare and review legal opinions, ordinances, resolutions, agreements and related documents. 3 . Review draft environmental impact reports and related environmental documents. 4. Attend all regular meetings of the City Council, and such other meetings of the Council and other City Commissions and Boards as may from time to time be specified by the City. 5. Monitor pending state and federal legislation and regulations, and new case law, as appropriate. 6. Perform such other or additional general legal services as may be requested by City, acting by and through the City Council or the City Manager. B. The general legal services specified in paragraph A above shall be provided at the rate of $145.00 per hour. II. LITIGATION SERVICES A. The litigation services to be provided by the Firm on behalf of City, Agency and Authority shall include, without limitation, the following: 980623 L:\voll\cw1\RPV.K(3) - 6 - 111 1. Litigation matters previously assigned to the Firm by City, Agency or Authority, including "Superfund" environmental litigation, litigation involving view restoration matters, litigation regarding the enforcement of the provisions of the Municipal Code, Mr. Ralph Ortolano, Dr. and Mrs. Hunt, and insurance coverage disputes regarding these and other matters. 2 . Litigation matters hereafter assigned to the Firm by City, Agency or Authority, which may include litigation related to eminent domain proceedings. B. The litigation services specified above in paragraph A shall be billed at the regular hourly rate of the attorney or attorneys providing such services, discounted by ten percent (10%) . III. SPECIALIZED LEGAL SERVICES The specialized legal services (excluding litigation services) to be provided by the Firm to City, Agency and Authority shall include the following: A. Labor Relations and General Personnel and Employment Advice. These specialized legal services shall include advice relating to labor relations matters and advice relating to general personnel and employment matters; these specialized legal services shall be billed at the rate of $165. 00 per hour; B. Other than litigation and the specialized legal services referred to in the other paragraphs of this Section III, legal services provided to the Redevelopment Agency and the Improvement Authority shall be billed at the rate of $145. 00 per hour; C. Environmental Legal Services (beyond those specified as general legal services) ; D. Franchise Negotiations and drafting of franchise agreements; E. Bond Counsel and Municipal Finance Services and tax advice; F. Other matters which are deemed by the Parties to constitute specialized legal services shall be subject either to a separate agreement between City, Agency or Authority and the Firm, or to the prior written approval of the City Manager or in the case of the Agency and the Authority, the Executive Director; 980623 L:\voll\cwl\RPV.K(3) - 7 - 411 G. Matters for which a trust account has been established with the City for purposes of reimbursing the City for the time expended by City Staff and Consultants, including the City Attorney's office; H. With the exception of the services specified in paragraphs A and B above, which shall be provided at the hourly rates set forth in those paragraphs, specialized legal services of the nature specified above in paragraphs C through G shall be billed at the regular hourly rate of the attorney or attorneys providing such services. IV. EXTRAORDINARY LEGAL SERVICES The determination as to whether a particular matter or assignment is to be considered to require extraordinary service, as opposed to routine general or specialized legal services, will be made jointly by the City Attorney and the City Manager or in the case of the Agency and the Authority, the Executive Director. Extraordinary legal services will be billed at the regular hourly rate of the attorney or attorneys providing such services. 980623 L:\vollkwl\RPV.K(3) - 8 -