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Resolution No. 2016-022RESOLUTION NO. 2016-22 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING THE GENERAL FORM OF ATTORNEY SERVICES CONTRACTS WHEREAS, the City of Vernon (the "City"), is a municipal corporation and a chartered city of the State of California organized and existing under its Charter and the Constitution of the State of California; and WHEREAS, an open and transparent, competitive bidding and purchasing process serves the interests of all of Vernon's stakeholders and constituencies, including its individual, corporate and business residents, as well labor organizations and workers within Vernon, all of whom deserve the highest quality of municipal services; and WHEREAS, on December 18, 2012, the City Council of the City of Vernon adopted Ordinance No. 1200, as amended by Ordinance No. 1221 on May 20, 2014, amending Article IV of Chapter 2, Sections 2.17 through 2.31, to make necessary changes to the City's purchasing system in order to create the foundation for an open and transparent, competitive bidding and purchasing process; and WHEREAS, Article IV of Chapter, Section 2.17.34 provides that the City Council shall approve, by Resolution, the general forms of contract, purchase order contracts, notice inviting bids, and the general provisions of bid specifications and request for proposals for use in City purchasing; and WHEREAS, on February 5, 2013, the City Council of the City of Vernon adopted Resolution No. 2013-23, approving the General Form of Personal Service Contracts, Types of Insurance and Indemnity, Purchase Order Contracts, Requests for Proposals and Attorney Services Contracts; and WHEREAS, by memorandum dated May 17, 2016, the City Attorney has recommended the approval of the general form of Attorney Services Contracts in order to update changes in current law or procedure, and/or increase efficiency and the office's ability to conduct meaningful oversight of outside legal work and costs; and WHEREAS, the City Council of the City of Vernon desires to approve the general form of attorney services contracts. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS: SECTION 1: The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct. SECTION 2: The City Council of the City of Vernon finds that this action is exempt under the California Environmental Quality Act (CEQA), because it is a continuing administrative activity that will not result in direct or indirect physical changes in the environment, and therefore does not constitute a "project" as defined by CEQA Guidelines section 15378. SECTION 3: The City Council of the City of Vernon hereby approves and adopts the general form of attorney services contracts for use by the City Attorney's Office as attached hereto as the following Exhibits: A. Attorney Services (Litigation) Agreement. B. Attorney Services (Transactional) Agreement. SECTION 4: The City Council of the City of Vernon hereby authorizes and empowers the City Attorney to make whatever administrative and non -material changes to the approved documents, as - 2 - are necessary from time -to -time in order to carry out the intent of this Resolution. SECTION 5: The City Clerk, or Deputy City Clerk, of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk, or Deputy City Clerk, of the City of Vernon shall cause this resolution and the City Clerk's, or Deputy City Clerk's, certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 17th day of May, 2016. Name: William J. Davis Title: Mayor / r Pro - ATTEST: aria E Ayala City Clerk / APPROVED AS TO FORM: Zay4�h Moussa, Senior Deputy City Attorney - 3 - STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) I, Maria E . Ayala City Clerk the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 2016-22, was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Tuesday, May 17, 2016, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this t(5?4--day of May, 2016, at Vernon, California. (SEAL) - 4 - aria E Ayala City Clerk / e-p-uty G t�rl EXHIBIT A ATTORNEY SERVICES AGREEMENT (LITIGATION) BETWEEN THE CITY OF VERNON AND [ASSOCIATE COUNSEL] REGARDING [CASE NAME] COVER PAGE Associate Counsel: Responsible Principal of Associate Counsel Notice Information - Associate Counsel Notice Information - City: Commencement Date: Termination Date: Consideration: [insert name of Associate Counsel] [insert name, title] [insert name of Associate Counsel] [insert street address] [insert city, state, zip code] Attention: [insert name, title] Phone: [insert phone number] Facsimile: [insert fax number] City of Vernon 4305 Santa Fe Avenue Vernon, CA 90058 Attention: [insert department head] [insert department head title] Telephone: (323) 583-8811 ext. [insert] Facsimile: [insert fax number] [insert commencement date] [insert termination date] Total not to exceed $[insert amount] (includes all applicable sales tax); and more particularly described in Exhibit B Records Retention Period Three (3) years, pursuant to Section 12.2 ATTORNEY SERVICES AGREEMENT (LITIGATION) BETWEEN THE CITY OF VERNON AND [NAME OF FIRM] REGARDING [CASE NAME] This Agreement is entered into by and between the City of Vernon, a California charter City and California municipal corporation ("City") and [Associate Counsel's Name], a [State incorporated in] corporation ("Associate Counsel"). City and Associate Counsel are collectively referred to herein as the "Parties." RECITALS [OPTION 1: ONGOING / AS -NEEDED AGREEMENT] WHEREAS, the City, acting through its City Attorney, desires to engage Associate Counsel, in association with the City Attorney, to assist the City Attorney in various cases in litigation, and to provide advice and assistance in other legal matters from time to time; and [OPTION 2: ONE-TIME CASE ASSIGNMENT] WHEREAS, a lawsuit entitled was filed in [insert name of court or other tribunal], Case No. herein referred to as the "Action"; and WHEREAS, Associate Counsel possesses the skills, qualifications and experience necessary to assist as Associate Counsel in the Action; and WHEREAS, the City Attorney of the City of Vernon, herein referred to as "City Attorney," is the chief legal advisor and litigator for the City and is charged with the responsibility of protecting the interests of the City, its Council, officers, employees and agents in any litigation initiated by or against the City, its Council, officers, employees and agents as provided for by California law and the Charter and ordinances of the City; WITNESSETH: NOW, THEREFORE, THE PARTIES HERETO AGREE AS FOLLOWS: 1.0 Scope of Services. Associate Counsel hereby is associated as Counsel of Record in association with the City Attorney to perform such legal services as may be required from time to time in connection with assigned litigation and other matters as specified in Exhibit "A" hereto. [principal member name], a principal member of the firm of Associate Counsel, shall be responsible for the performance of services hereunder, shall personally handle all significant matters, and shall supervise any services performed by other members of Associate Counsel's firm and by its employees. It is understood that the City Attorney is chief counsel of record for all purposes relating to litigation, and Associate Counsel's performance hereunder shall be under the direction and supervision of the City Attorney, that Associate Counsel shall coordinate its services hereunder with the City Attorney to the extent required by said City Attorney, and that all performances required hereunder by Associate Counsel shall be performed to the satisfaction of said City Attorney. 2 Associate Counsel shall report to and receive direction from the City Attorney only, and not from any other Department Head or City staff. 2.0 Time of Performance. The services of Associate Counsel are to commence as of the signing hereof (the "Effective Date") and the written assignment of particular matters, provided, the effectiveness of this Agreement is subject to approval by the City Council or City Administrator (as appropriate), and shall be undertaken and completed in such sequence as to assure their completion as expeditiously as is consistent with professional skill and care. This Agreement shall automatically terminate three (3) years from the Effective Date, subject and pursuant to the terms of this Agreement. 3.0 Litigation Budgeting. Associate Counsel handling City matters will be expected to institute and to adhere to litigation budgeting and planning procedures in the sole discretion of the City Attorney. The general framework of the litigation budgeting and planning procedures is as follows: 3.1 Case Budget: 3.1.1 Associate Counsel shall, if requested by the City Attorney, provide a Litigation Plan and a Case Budget, or revisions thereof, which will include a projection of recommended steps to be taken in the litigation and a range of costs for each step. The Plan and Budget will be reviewed and updated as necessary, at least every twelve months, or as more frequently requested by the City Attorney. 3.1.2 The Case Budget shall include an estimate of Associate Counsel's attorneys' hours, fees and disbursements during each phase and activity, including: 1) pre -commencement (legal and factual research for the complaint or answer); 2) pleadings; 3) motions (including research); 4) initial discovery; 5) factual investigation of merits (interviewing clients, employees and third parties); 6) review and analyze City's documents; 7) expert (non -medical) investigation and reports; 8) medical experts and examinations; 9) legal research on merits; 10) more thorough discovery (including the identity of deponents and expected costs of each deposition and preparation); 11) post -discovery pre-trial dispositive motions; 12) settlement evaluation and negotiations; 13) trial preparation; and 14) trial. All anticipated expenses must be listed and costs estimated. 3.1.3 The Case Budget should include the anticipated cost of each line item, the time estimated to complete it and the identity (name, title, billing rate) of the primary attorney handling it. 3 3.1.4 Each line item should be given a code number that can be used in the billing process and in preparation of updated progress reports. 3.1.5 The Case Budget is not a fixed fee agreement and is subject to revision. However, Associate Counsel understands and agrees that failure to timely submit a Case Budget or major unjustified deviations therefrom may constitute a breach and result in termination of this Agreement with Associate Counsel. 3.2 Litigation Plan. 3.2.1 In addition to the Case Budget, Associate Counsel shall prepare a Litigation Plan, on forms as may be required by the City, at least every twelve months or as more frequently requested. The Litigation Plan will start as an initial evaluation (before substantial costs are incurred) and shall include, with a discussion (where applicable): a) anticipated total costs; b) the primary issues and likely resolution; c) the probability of success — either on the merits or on procedural grounds; d) a strategy for defense/offense/resolution, including a settlement/trial recommendation based on a cost -benefit analysis; e) damages claimed; f) evidence (i.e., witness, documentary or demonstrative) relevant to liability or damages; g) recent developments such as law and motion rulings, judicial opinions in other cases, and legislative/executive action; h) deposition summaries, if appropriate and cost effective; and i) settlement demands. The Litigation Plan will be modified during the litigation as the need arises. The City Attorney shall be consulted by Associate Counsel regarding the component parts of projects/cases handled so that the City Attorney can determine, or secure a determination from the City Council, as appropriate, tactics, strategy and whether a particular activity makes sense from an economic standpoint or can be done more economically in another fashion. 3.2.2 The City Attorney is to be consulted regarding staffing of litigation and is to be advised of any significant shift in staffing. 3.2.3 The City Attorney is to be provided with copies of any billing manuals or directions for billing practices in use by Associate Counsel within thirty (30) days of signing this Agreement. 3.2.4 It is the policy of the City of Vernon to avoid a "deep pockets" reputation by taking a "hard-nosed" approach to settlements, and by not giving nuisance settlements. Settlement will generally be considered only where there is some liability exposure. If there is no liability exposure, trial is generally the only option. 4.0 Compensation, Reimbursement and Methods of Payments. 4.1 Compensation. Associate Counsel has established rates for the City of Vernon which are comparable to and do not exceed the best rates offered to other governmental entities in and around Los Angeles County for the same services. Fees for all services provided hereunder by all billers shall be charged in accordance with Exhibit "B", which is attached hereto and fully incorporated herein by reference. The grand total compensation under this Agreement shall not 4 exceed the amount of $[insert amount], without prior approval of the City Council and written amendment of this Agreement. 4.2 Reimbursement. In addition to the compensation provided above, the City will reimburse Associate Counsel only for the following expenses: printing, copying costs (not to exceed 15 cents a page), long distance telephone calls, faxes, transcription fees, reporter's fees and ground transportation (in the amount set forth by the Internal Revenue Service standard mileage rate). Any other expense (e.g., travel expenses or travel time beyond Southern California) must be approved by the City Attorney in writing and in advance. No compensation shall be allowed for general overhead or support services such as typing, word processing, scanning hard -copy documents to .pdf format, secretarial time of any nature (normal, overflow or overtime), clerical work, Lexis or Westlaw, equipment rental, calendaring, setting up files, updating files, computer time or service, nor any other expense not itemized in the approved Case Budget or otherwise approved by the City Attorney. There shall be no mark-ups on outside services. 4.3 The City Attorney must approve in advance any single disbursement item in excess of $500.00, including, but not limited to, investigators, copying and experts. Requests for costs exceeding $500.00 shall contain a recommendation of alternative information services, including use of City employees. Associate Counsel will use City Staff in lieu of outside experts whenever feasible. 4.4 The City expects moderation with regard to all expenses. 4.5 Method of Billing. Unless otherwise agreed, Associate Counsel shall provide monthly bills unless fees and costs for a particular month are insignificant (i.e., $500 or less), in which case such charges will be added to the following month's bill. The following information must be provided in monthly bills: A. A detailed description of work, in time increments of .1 hour (one tenth of an hour) for and by each and every individual billing services. Associate Counsel shall keep the City advised regarding the identity and the billing rates of those people who work on the litigation account. B. Identification of the lawyer who is in charge of the matter. C. Detailed disbursement breakdowns, including the nature and purpose of each disbursement. D. Each billing item will be separately stated on a separate line identifying the biller, the time spent and the exact nature of the service rendered. Narrative billing and block billing are unacceptable. For example, if numerous tasks are undertaken in one day, each should be identified with a specified time for performing that task, i.e. a telephone call, a court appearance, a meeting or legal research. All tasks performed on the same day should be entered as separate entries, identifying the time spent on each. Telephone conferences should specify the participants and the subject matter discussed. The City will not pay for vague descriptions for services which do not state the precise 9 nature of the work performed and the need for the work. Words such as "research", "strategy", "analysis", "discovery", "conference", "preparation", "case management", "memorandum", "correspondence", "telephone call" or "meeting," without an explanation of (1) the specific topic or subject matter, (2) the persons involved, and (3) the need therefor, do not allow for accountability and are therefore non -reimbursable. E. The City will not pay for inter -office conferences among attorneys/billers unless a conference is a necessary strategy meeting relating to some significant legal issue or event, such as an upcoming trial, and then only one attorney may be billed. Where charges are made for conferences, the specific reason and need for each conference must be stated in detail, and the participants identified. F. Where charges are made for research time, the specific issue being researched and the need must be identified. City has retained Associate Counsel for its expertise, and therefore expects not to be billed for introductory or background research. The City will not pay for attorneys, law clerks and paralegals educating themselves or doing work of a transient nature on the case. G. The City expects the attorney assigned to the case to handle all significant matters in the litigation. If other attorneys are assigned to assist the primary attorney, the City must be notified. The City may request that the assigned work be instead handled by the primary attorney. Thus, only those attorneys or persons approved in advance by the City may bill on the case. Upon City request, resumes will be provided for all persons (other than clerical or secretarial) working on the case. H. No more than two non -attorney support staff may bill on a particular case without the prior approval of the City. I. One paralegal may be used. Assignment of work to such paralegal should not result in duplicative work by the attorneys or reworking of paralegal's work. Paralegal shall not perform clerical work, such as filing, indexing, date - stamping, organizing, etc., but shall perform work such as research, summarizing depositions, investigation, interviews of witnesses, etc. J. Upon request, each item billed must be coded to a specific Case Budget line item, so a bill may be easily compared with the approved Case Budget. K. A tracking system must be set up to periodically, at least every six months, compare the amount of work completed to a percentage of the Case Budget absorbed. L. The City Attorney reserves the right to request various levels of detail and specific formats (such as columnar comparisons with established budgets). M. The City will not pay for more than one biller doing any task (e.g. two or more attorneys attending the same depositions or the same court appearances, a biller redoing the work of another biller, or duplicative entries for reviewing and analyzing documentation and legal research). N. Charges for time spent complying with billing inquiries and/or City audits are non -reimbursable. O. Photocopies of deposition transcripts shall be made whenever possible to reduce deposition expenses. P. No finance charge or interest will be paid by the City, nor billed by Associate Counsel. 4.6 Timing of Payment. The City shall pay Associate Counsel for services rendered and costs incurred hereunder, at the rates and in the amounts provided hereunder, on a monthly basis. 5.0 Engagement of Other Counsel, Specialists or Experts. Associate Counsel shall not engage or otherwise incur an obligation to pay other counsel, specialists or experts for services in connection with this Agreement without the prior written approval of the City Attorney. 6.0 Termination of Agreement and Legal Services. Subject to the applicable provisions of the Rules of Professional Conduct of the State Bar of California, this Agreement and all legal services to be rendered hereunder may be terminated at any time by written notice from either party with or without cause. In such event, all finished or unfinished documents, project data and reports, both originals and all duplicate copies, in all forms and media requested by the City, shall immediately be turned over to the possession of City, which owns all such materials. In the event of such termination, Associate Counsel shall be paid for all satisfactory work, unless such termination is made for cause, in which event compensation, if any, shall be adjusted, in the City's sole discretion, in light of the particular facts and circumstances involved in such termination. 7.0 Interest of Members of Local Public Agency. No member of the governing body of the City, and no other officer, employee or agent of the City who exercises any discretion, function or responsibility in connection with the carrying out of any project to which this Agreement pertains, shall have any personal interest, direct or indirect, in this Agreement. 8.0 General Procedures. 8.1 Copies of major pleadings, reports on significant developments and quarterly status reports shall be submitted to keep the City Attorney advised of any major developments in the lawsuit. Once the Litigation Plan is approved, Associate Counsel need not advise the City of each and every step being taken. As long as Associate Counsel is complying with the Litigation Plan, it should provide periodic reviews and information on significant matters. 7 The City does not, however, want boilerplate routine letters announcing each and every procedural step being taken. 9.0 Policy for Investigation and Discovery Assistance. A copy of the City Attorney's Policy for Investigation and Discovery Assistance is attached hereto as Exhibit "C" which is attached hereto and fully incorporated herein by reference. 10.0 Conflict of Interest. Associate Counsel certifies that no member, officer or employee of Associate Counsel is an officer or employee of the City of Vernon except to the extent permitted by law. Associate Counsel agrees to secure the informed written consent of the City Attorney before accepting any representation adverse to the City (actual or apparent) during the term of this Agreement, and to forego such representation if the City Attorney, in his/her sole discretion, objects for any reason. 11.0 Maintenance and Inspection of Records. 11.1 The City and any other Federal, State or local governmental agency, and any of their authorized auditors or representatives, shall have access to, and the right to audit and reproduce any of Associate Counsel's records to the extent the City or such other governmental agency deems necessary to ensure that City is paying only the amounts to which Associate Counsel is properly entitled or for other purposes relating to the Agreement. 11.2 Associate Counsel shall maintain and preserve all such records for at least three (3) years after termination of the Agreement or until an audit has been completed and accepted in writing by City. Upon written notice by the City, the Associate Counsel shall promptly make all such records available to auditors or other representatives of the City or other governmental agencies. 11.3 If Associate Counsel does not maintain such records in the City of Vernon, Associate Counsel shall either deliver said records at its expense to City or shall promptly reimburse City for all reasonable costs incurred in conducting the audit at a location other than the City of Vernon, including, but not limited to, expenses for personnel, salaries, private auditors, lodging, meals and overhead. 12.0 Indemnity. 12.1 Associate Counsel agrees to indemnify City, its officers, elected officials, 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"), including but not limited to professional negligence, that may be asserted or claimed by any person, firm or entity arising out of or in connection with the work, operations or activities of Associate Counsel, its agents, employees, subcontractors, or invitees, provided for herein, or arising from the acts or omissions of Associate Counsel hereunder, or arising from Associate Counsel's performance of or failure to perform any term, provision, covenant or condition of this Agreement, except to the 8 extent such claims or liabilities arise from the gross negligence or willful misconduct of City, its officers, elected officials, agents or employees. 13.0 INSURANCE. Associate Counsel shall, at its own expense, procure and maintain policies of insurance of the types and in the amounts set forth below, for the duration of the Agreement, including any extensions thereto. 13.1 Automobile Liability with minimum limits of at least $100,000/300,000/500,000 if written on a personal automobile liability form, for using a personal vehicle; or an amount of $500,000 including owned, hired, and non -owned liability coverage if written on a Commercial automobile liability form. 13.2 General Liability with minimum limits of at least $1,000,000 combined single limits written on an Insurance Services Office (ISO) Comprehensive General Liability "occurrence" form or its equivalent for coverage on an occurrence basis. Premises/Operations and Personal Injury coverage is required. The City of Vernon, its Council, commissioners, officers, employees, agents and volunteers registered with the City of Vernon must be endorsed on the policy as additional insureds as respects liability arising out of the Associate Counsel's performance of this Agreement. 13.3 Professional Errors and Omissions coverage in a sum of at least $1,000,000. If a claims -made policy is obtained, a "tail" of at least three years shall be purchased if non -renewed within three (3) years of completion of performance under this Agreement. Applicable aggregates must be identified and claims history provided to determine amounts remaining under the aggregate. 13.4 Associate Counsel shall comply with the applicable sections of the California Labor Code concerning workers' compensation for injuries on the job. Compliance is accomplished in one of the following manners: 13.1.1 Provide copy of permissive self-insurance certificate approved by the State of California; or 13.1.2 Secure and maintain in force a policy of workers' compensation insurance with statutory limits and Employer's Liability Insurance with a minimal limit of $1,000,000 per accident. The policy shall be endorsed to waive all rights of subrogation against City, its Council, commissioners, officers, employees, and volunteers for losses arising from performance of this Agreement; or 13.1.3 Provide an insurance exemption form certifying that no employees subject to workers' compensation law will be used in performance of this Agreement. 13.1.4 Each insurance policy included in this clause shall be endorsed to state that coverage shall not be canceled except after thirty (30) days' prior written notice to City. PJ 13.1.5 Insurance shall be placed with insurers with a Best's rating of no less than B:VIII. 13.1.6 Prior to commencement of performance, Associate Counsel shall furnish City with a certificate of insurance for each policy. Each certificate is to be signed by a person authorized by that insurer to bind coverage on its behalf. The certificate(s) must be in a form approved by City. City may require complete, certified copies of any or all policies at any time. 13.1.7 Failure to maintain required insurance at all times shall constitute a default and material breach. In such event, Associate Counsel shall immediately notify City and cease all performance under this Agreement until further directed by the City. In the absence of satisfactory insurance coverage, City may, at its option: (a) procure insurance with collection rights for premiums, attorney's fees and costs against Associate Counsel by way of set-off or recoupment from sums due Associate Counsel, at City's option; (b) immediately terminate this Agreement; or (c) self -insure the risk, with all damages and costs incurred, by judgment, settlement or otherwise, including attorney's fees and costs, being collectible from Associate Counsel, by way of set-off or recoupment from any sums due Associate Counsel. 14.0 Choice of Forum. This Contract shall be governed by and construed in accordance with the laws of the State of California. Associate Counsel agrees that the State and Federal courts which sit in the State of California shall have exclusive jurisdiction over all controversies and disputes arising hereunder, and submits to the jurisdiction thereof. 15.0 Incorporation by Reference. This contract incorporates by reference the Request for Proposal and specifications therein, and all attachments, and the Proposal by Associate Counsel, and all attachments. 16.0 Order of Precedence. In case of conflict between the terms of this Agreement and the terms in any document attached as an exhibit or otherwise incorporated by reference, the terms of this Agreement shall strictly prevail. 17.0 Living Wages. Associate Counsel working on City service contracts of any amount, as to all employees spending time on City contracts, shall observe the City's Living Wage Ordinance 10 and all requirements thereof at all times on City contracts. The Current Living Wage Standards are set forth in Exhibit "D". Upon request, certified payroll shall be provided to the City. 18.0 Equal Employment Opportunity Practices. Associate Counsel certifies and represents that, during the performance of this Agreement, it and any other parties with whom it may subcontract shall adhere to equal employment opportunity practices to assure that applicants, employees and recipients of service are treated equally and are not discriminated against because of their race, religion, color, national origin, ancestry, disability, sex, age, medical condition, sexual orientation or marital status. Associate Counsel further certifies that it will not maintain any segregated facilities. The Equal Employment Opportunity Practices provisions are set forth in Exhibit "E". 19.0 Ethical Guarantees 19.1 Associate Counsel warrants that no gratuities (in the form of entertainment, gifts, or otherwise were offered or given by Associate Counsel, or any agent or representative of Associate Counsel, to any officer or employee of City with a view toward securing this Agreement or favorable treatment with respect to any determination concerning the performance of this Agreement. In the event of breach of this warranty, City shall be entitled to pursue the same remedies including, but not limited to, termination, against Associate Counsel as it could pursue in the event of Associate Counsel's default. 19.2 Associate Counsel and its members shall comply with all applicable federal, state and local laws and regulations, including the conflict of interest provisions of Government Code Section 1090 and the Political Reform Act (Government Code Section 81000 et seq.). 20.0 Right to Offset Claims for Money. All claims of money due or to become due from City shall be subject to deduction or offset by City from any monies due Associate Counsel by reason of any claim or counterclaim arising out of: (i) this Agreement, or (ii) any purchase order, or (iii) any other transaction with Associate Counsel. 21.0 Modification. Any modification of this Agreement will be effective only if it is in writing signed by all parties to this Agreement, and, where applicable, if it is approved by City Council. 22.0 Severability/Partial Invalidity. If any term or provision of this Agreement, or the application of any term or provision of this Agreement to a particular situation, shall be finally found to be void, invalid, illegal, or unenforceable by a court of competent jurisdiction, then notwithstanding such determination, such term or provision shall remain in force and effect to the extent allowed by such ruling and all other terms and provisions of this Agreement or the application of this Agreement to other situations shall remain in full force and effect. Notwithstanding the foregoing, if any material term or provision of this Agreement or the application of such material term or condition to a particular situation is finally found to be void, invalid, illegal, or 11 unenforceable by a court of competent jurisdiction, then the parties hereto agree to work in good faith and fully cooperate with each other to amend this Agreement to cant' out its intent. 23.0 Time of the Essence. Time is of the essence in the performance of this Agreement. 24.0 No assignment by a party hereto of any rights under or interest in this Agreement will be binding on another party hereto without the written consent of the party sought to be bound; and specifically but without limitation, moneys that may become due and moneys that are due may not be assigned without such consent (except to the extent that the effect of this restriction may be limited by law), and unless specifically state to the contrary in written consent to an assignment no assignment will release or discharge the assignor from any duty or responsibility under the Agreement. [Signatures Begin on Next Page]. 12 IN WITNESS WHEREOF, the City and Associate Counsel agree as set forth hereinabove. DATED: DATED: ATTEST: Maria E. Ayala, City Clerk APPROVED AS TO FORM: Hema Patel, City Attorney CITY OF VERNON, a California charter City and California municipal corporation By: Hema Patel, City Attorney [ASSOCIATE COUNSEL'S NAME], a [State incorporated in] corporation M- Name: Title: 13 EXHIBIT A SCOPE OF SERVICES 14 IWA011".111 LAW FIRM xxxxxxxxxxxxxxxx Los Angeles, CA XXXXX (XXX) XXX-XXXX Hema Patel City Attorney City of Vernon 4305 Santa Fe Avenue Vernon, CA 90058 Re: Plaintiff v. City of Vernon City Attorney No.: XXXXX Dear Mrs. Patel: The following hourly fees are agreeable: A) [Insert Partner Name], Partner $ B) [Insert Associate Name], Associate $ C) One paralegal $ Very truly yours, For the Firm 15 EXHIBIT C POLICY FOR INVESTIGATION AND DISCOVERY ASSISTANCE The following sets forth the policy of this office regarding investigation and other assistance in the defense of liability cases involving the City of Vernon or City employees. The objective is to provide current and long-range investigative assistance and guidance on all liability cases. Copies of the summons, complaint and claims investigation reports, if available, will be forwarded to Associate Counsel upon assignment of the lawsuit to defense counsel. 2. Associate Counsel, in evaluating the lawsuit, is to advise the City Attorney as to further investigative needs. The services of an investigating agency, approved by the City Attorney, may be requested to assist Associate Counsel in their investigation. The agency is to furnish this office with copies of all its reports. 3. After receiving Associate Counsel's request, the investigating agency commences the specified investigation and outlines its recommendations for additional investigation, but does not commence such additional investigation until specifically requested by Associate Counsel to do so. 4. In addition to investigation, the investigating agency assists with such discovery, needed diagrams, photographs and other information as may be requested by Associate Counsel. 5. Associate Counsel is requested to review the claims investigation file sent with the assignment of defense so as to preclude unnecessary or duplicate investigative expenses. 6. Copies of the Vernon Municipal Code and other City documents can be readily obtained from the City Attorney's Office. 7. Attendance at mandatory settlement conferences will include only Associate Counsel and an attorney from the City Attorney's Office. Neither the Claims Coordinator nor investigators shall attend unless specifically requested to do so by this office. 16 EXHIBIT D LIVING WAGE PROVISIONS Minimum Living Wages: A requirement that Employers pay qualifying employees a wage of no less than $10.30 per hour with health benefits, or $11.55 per hour without health benefits. Paid and Unpaid Days Off: Employers provide qualifying employees at least twelve compensated days off per year for sick leave, vacation, or personal necessity, and an additional ten days a year of uncompensated time for sick leave. No Retaliation: A prohibition on employer retaliation against employees complaining to the City with regard to the employer's compliance with the living wage ordinance. Employees may bring an action in Superior Court against an employer for back pay, treble damages for willful violations, and attorney's fees, or to compel City officials to terminate the service contract of violating employers. 17 EXHIBIT E EQUAL OPPORTUNITY EMPLOYMENT PRACTICES PROVISIONS A. Associate Counsel certifies and represents that, during the performance of this Agreement, the contractor and each subcontractor shall adhere to equal opportunity employment practices to assure that applicants and employees are treated equally and are not discriminated against because of their race, religious creed, color, national origin, ancestry, handicap, sex, or age. Contractor further certifies that it will not maintain any segregated facilities. B. Associate Counsel agrees that it shall, in all solicitations or advertisements for applicants for employment placed by or on behalf of Associate Counsel, state that it is an "Equal Opportunity Employer" or that all qualified applicants will receive consideration for employment without regard to their race, religious creed, color, national origin, ancestry, handicap, sex or age. C. Associate Counsel agrees that it shall, if requested to do so by the City, certify that it has not, in the performance of this Agreement, discriminated against applicants or employees because of their membership in a protected class. D. Associate Counsel agrees to provide the City with access to, and, if requested to do so by City, through its awarding authority, provide copies of all of its records pertaining or relating to its employment practices, except to the extent such records or portions of such records are confidential or privileged under state or federal law. E. Nothing contained in this Agreement shall be construed in any manner as to require or permit any act which is prohibited by law. 18 EXHIBIT B ATTORNEY SERVICES AGREEMENT (TRANSACTIONAL) BETWEEN THE CITY OF VERNON AND [ASSOCIATE COUNSEL] COVER PAGE Associate Counsel: Responsible Principal of Associate Counsel Notice Information - Associate Counsel: Notice Information - City: Commencement Date: Termination Date: Consideration: Records Retention Period [insert name of Associate Counsel] [insert name, title] [insert name of Associate Counsel] [insert street address] [insert city, state, zip code] Attention: [insert name, title] Phone: [insert phone number] Facsimile: [insert fax number] City of Vernon 4305 Santa Fe Avenue Vernon, CA 90058 Attention: [insert department head] [insert department head title] Telephone: (323) 583-8811 ext. [insert] Facsimile: [insert fax number] [insert commencement date] [insert termination date] Total not to exceed $[insert amount] (includes all applicable sales tax) Three (3) years, pursuant to Section 12.2 ATTORNEY SERVICES AGREEMENT (TRANSACTIONAL) BETWEEN THE CITY OF VERNON AND [ASSOCIATE COUNSEL] This Agreement is entered into by and between the City of Vernon ("City"), a California charter City and California municipal corporation ("City"), and [Associate Counsel's Name], a [State incorporated in] corporation ("Associate Counsel"). City and Associate Counsel are collectively referred to herein as the "Parties." RECITALS [OPTION 1: ONGOING / AS -NEEDED AGREEMENT] WHEREAS, the City, acting through its City Attorney, desires to engage Associate Counsel, in association with the City Attorney, to assist the City Attorney in connection with various transactions, and to provide advice and assistance in other legal matters from time to time; and [OPTION 2: ONE-TIME TRANSACTION ASSIGNMENT] WHEREAS, the City is involved in a transaction specifically described as [insert description] (the "[insert short name] Transaction"); and WHEREAS, Associate Counsel possesses the skills, qualifications, and experience necessary to assist as Associate Counsel in [OPTION 1 ] transactional matters [OPTION 2] the [insert short name] Transaction; and WHEREAS, the City Attorney of the City of Vernon, herein referred to as "City Attorney," is the Chief Legal Advisor for the City and is charged with the responsibility of protecting the interests of the City, its Council, officers, employees and agents, as provided for by California law and the Charter and ordinances of the City. WITNESSETH: NOW, THEREFORE, the Parties agree as follows: 1.0 Scope of Services. Associate Counsel hereby is associated as Counsel of Record in association with the City Attorney to perform such legal services as may be required from time to time in connection with specific transactional matters and other legal matters as specified in Exhibit "A", hereto. [principal member name], a principal member of the firm of Associate Counsel, shall be responsible for the performance of services hereunder, shall personally handle all significant matters, and shall supervise any services performed by other members of Associate Counsel's firm and by its employees. It is understood that the City Attorney is chief counsel of record for all purposes, and Associate Counsel's performance hereunder shall be under the direction and supervision of the City Attorney, that Associate Counsel shall coordinate its services hereunder with the City Attorney to the extent required by said City Attorney, and that all performances required hereunder by Associate Counsel shall be performed to the satisfaction of said City Attorney. 2 Associate Counsel shall report to and receive direction from the City Attorney only, and not from any other Department Head or City staff. 2.0 Time of Performance and Term. The services of Associate Counsel are to commence upon the signing hereof ("Effective Date"), and the written assignment of particular matters, provided, the effectiveness of this Agreement is subject to approval by the City Council or City Administrator (as appropriate), and shall be undertaken and completed in such sequence as to assure their completion as expeditiously as is consistent with professional skill and care. This Agreement shall automatically terminate three (3) years from the Effective Date, subject and pursuant to the terms of this Agreement. 3.0 Budgeting. Associate Counsel handling specific City matters will be expected to institute and to adhere to budgeting and planning procedures in the sole discretion of the City Attorney. The general framework of the litigation budgeting and planning procedures is as follows: 3.1 Budget: 3.1.1 Associate Counsel shall, if requested by the City Attorney, provide a Plan and a Budget, or revisions thereof, which will include a projection of recommended steps to be taken in the assigned matter and a range of costs for each step. The Plan and Budget will be reviewed and updated as necessary, at least every twelve months, or as more frequently requested by the City Attorney. 3.1.2 The Budget shall include an estimate of Associate Counsel's attorney's hours, fees, and disbursements during each phase and activity. 3.1.3 The Budget should include the anticipated cost of each line item, the time estimated to complete it, and the identity (name, title, billing rate) of the primary attorney handling it. 3.1.4 Each line item should be given a code number that can be used in the billing process and in preparation of updated progress reports. 3.1.5 The Budget is not a fixed fee agreement and is subject to revision. However, Associate Counsel understands and agrees that failure to timely submit a Budget or major unjustified deviations therefrom may constitute a breach and result in termination of this Agreement with Associate Counsel. 3.2 Plan. 3.2.1 In addition to the Budget, Associate Counsel shall prepare a Plan, at least every twelve months, or as more frequently requested. The plan will start as an initial evaluation (before substantial costs 3 are incurred) and shall include, with a discussion (where applicable): a) anticipated total costs; b) the primary issues; and c) tasks toward completion. 3.2.2 The City Attorney shall be consulted by Associate Counsel regarding the component parts of projects/cases handled so that the City Attorney can determine, or secure a determination from the City Council, as appropriate, tactics, strategy, and whether a particular activity makes sense from an economic standpoint or can be done more economically in another fashion. 3.2.3 The City Attorney is to be consulted regarding staffing of litigation and is to be advised of any significant shift in staffing. 3.2.4 The City Attorney is to be provided with copies of any billing manuals or directions for billing practices in use by Associate Counsel within thirty (30) days of signing this Agreement. 4.0 Compensation. Reimbursement and Methods of Payments. 4.1 Compensation. Associate Counsel has established rates for the City of Vernon which are comparable to and do not exceed the best rates offered to other governmental entities in and around Los Angeles County for the same services. Fees for all services provided hereunder by all billers shall be charged in accordance with Exhibit "B", which is attached hereto and fully incorporated herein by reference. Associate Counsel's grand total, not -to -exceed compensation for the three (3) years of this Contract shall not exceed the amount of $[insert amountl, without prior approval of the City Council and written amendment of this Contract. 4.2 Reimbursement. In addition to the compensation provided above, the City will reimburse Associate Counsel only for the following expenses: printing, copying costs (not to exceed 15 cents a page), long distance telephone calls, faxes, transcription fees, reporter's fees and ground transportation (in the amount set forth by the Internal Revenue Service standard mileage rate). Any other expense (e.g., travel expenses or travel time beyond Southern California) must be approved by the City Attorney in writing and in advance. No compensation shall be allowed for general overhead or support services such as typing, word processing, scanning hard -copy documents to .pdf format, secretarial time of any nature (normal, overflow, or overtime), clerical work, Lexis or Westlaw, equipment rental, calendaring, setting up files, updating files, computer time or service, nor any other expense not itemized in the approved Case Budget or otherwise approved by the City Attorney. There shall be no mark-ups on outside services. 4.3 The City Attorney must approve in advance any single disbursement item in excess of $500.00, including, but not limited to, investigators, copying, and experts. Requests for costs exceeding $500.00 shall contain a recommendation of alternative information services, including use of City employees. Associate Counsel will use City Staff in lieu of outside experts whenever feasible. 4.4 The City expects moderation with regard to all expenses. 4 4.5 Method of Billing. Unless otherwise agreed, Associate Counsel shall provide monthly bills unless fees and costs for a particular month are insignificant (i.e., $500 or less), in which case such charges will be added to the following month's bill. The following information must be provided in monthly bills: A. A detailed description of work, in time increments of .1 hour (one tenth of an hour) for and by each and every individual billing services. Associate Counsel shall keep the City advised regarding the identity and the billing rates of those people who work on the litigation account. B. Identification of the lawyer who is in charge of the matter. C. Detailed disbursement breakdowns, including the nature and purpose of each disbursement. D. Each billing item will be separately stated on a separate line identifying the biller, the time spent, and the exact nature of the service rendered. Narrative billing and block billing are unacceptable. For example, if numerous tasks are undertaken in one day, each should be identified with a specified time for performing that task, i.e. a telephone call, a court appearance, a meeting or legal research. All tasks performed on the same day should be entered as separate entries, identifying the time spent on each. Telephone conferences should specify the participants and the subject matter discussed. The City will not pay for vague descriptions for services which do not state the precise nature of the work performed and the need for the work. Words such as "research", "strategy", "analysis", "discovery", "conference", "preparation", "case management", "memorandum", "correspondence", "telephone call" or "meeting", without an explanation of (1) the specific topic or subject matter, (2) the persons involved, and (3) the need therefor, do not allow for accountability and are therefore non -reimbursable. E. The City will not pay for inter -office conferences among attorneys/billers unless a conference is a necessary strategy meeting relating to some significant legal issue or event, such as an upcoming trial, and then only one attorney may be billed. Where charges are made for conferences, the specific reason and need for each conference must be stated in detail, and the participants identified. F. Where charges are made for research time, the specific issue being researched and the need must be identified. City has retained Associate Counsel for its expertise, and therefore expects not to be billed for introductory or background research. The City will not pay for attorneys, law clerks and paralegals educating themselves or doing work of a transient nature on the case. G. The City expects the attorney assigned to the case to handle all significant matters in the case. If other attorneys are assigned to assist the primary attorney, the City must be notified. The City may request that the assigned work be instead handled by the primary attorney. Thus, only those attorneys 9 or persons approved in advance by the City may bill on the case. Upon City request, resumes will be provided for all persons (other than clerical or secretarial) working on the case. H. No more than two non -attorney support staff may bill on a particular case without the prior approval of the City. I. One paralegal may be used. Assignment of work to such paralegal should not result in duplicative work by the attorneys, or reworking of paralegal's work. Paralegal shall not perform clerical work, such as filing, indexing, date - stamping, organizing, etc., but shall perform work such as research, summarizing depositions, investigation, interviews of witnesses, etc. J. Upon request, each item billed must be coded to a specific budget line item, so a bill may be easily compared with the approved budget. K. A tracking system must be set up to periodically, at least every six months, to compare the amount of work completed to a percentage of the budget absorbed. L. The City Attorney reserves the right to request various levels of detail and specific formats (such as columnar comparisons with established budgets). M. The City will not pay for more than one biller doing any task (e.g. two or more attorneys attending the same depositions or the same court appearances, a biller redoing the work of another biller, or duplicative entries for reviewing and analyzing documentation and legal research). N. Charges for time spent complying with billing inquiries and/or City audits are non -reimbursable. O. Photocopies of deposition transcripts shall be made whenever possible to reduce deposition expenses. P. No finance charge or interest will be paid by the City, nor billed by Associate Counsel. 4.6 Timing of Payment. The City shall pay Associate Counsel for services rendered and costs incurred hereunder, at the rates and in the amounts provided hereunder, on a monthly basis. 5.0 Engagement of Other Counsel. Specialists or Experts. Associate Counsel shall not engage or otherwise incur an obligation to pay other counsel, specialists or experts for services in connection with this Agreement without the prior written approval of the City Attorney. 11 6.0 Termination of Agreement and Legal Services. Subject to the applicable provisions of the Rules of Professional Conduct of the State Bar of California, this Agreement and all legal services to be rendered hereunder may be terminated at any time by written notice from either party with or without cause. In such event, all finished or unfinished documents, project data and reports, both originals and all duplicate copies, in all forms and media requested by the City, shall immediately be turned over to the possession of City, which owns all such materials. In the event of such termination, Associate Counsel shall be paid for all satisfactory work, unless such termination is made for cause, in which event compensation, if any, shall be adjusted, in the City's sole discretion, in light of the particular facts and circumstances involved in such termination. 7.0 Interest of Members of Local Public Agency. No member of the governing body of the City, and no other officer, employee or agent of the City who exercises any discretion, function or responsibility in connection with the carrying out of any project to which this Agreement pertains, shall have any personal interest, direct or indirect, in this Agreement. 8.0 Interest of Counsel. Associate Counsel agrees to secure the informed written consent of the City Attorney before accepting any representation adverse to the City (actual or apparent) during the term of this Agreement, and to forego such representation if the City Attorney, in his sole discretion, objects for any reason. 9.0 General Procedures. 9.1 Copies of major documents, correspondence and periodic status reports shall be submitted to keep the City Attorney advised of any major developments in the matter. Once the Plan is approved, Associate Counsel need not advise the City of each and every step being taken. As long as Associate Counsel is complying with the Plan, it should provide periodic reviews and information on significant matters. The City does not, however, want boilerplate routine letters announcing each and every procedural step being taken. 10.0 Policy for Investigation and Discovery Assistance. A copy of the City Attorney's Policy for Investigation and Discovery Assistance is attached hereto as Exhibit "C" which is attached hereto and fully incorporated herein by reference. 11.0 Conflict of Interest. Associate Counsel certifies that no member, officer or employee of the Associate Counsel is an officer or employee of the City of Vernon except to the extent permitted by law. 7 Associate Counsel agrees to secure the informed written consent of the City Attorney before accepting any representation adverse to the City (actual or apparent) during the term of this Agreement, and to forego such representation if the City Attorney, in his/her sole discretion, objects for any reason. 12.0 Maintenance and Inspection of Records. 12.1 The City and any other Federal, State or local governmental agency, and any of their authorized auditors or representatives, shall have access to, and the right to audit and reproduce any of Associate Counsel's records to the extent the City or such other governmental agency deems necessary to ensure that City is paying only the amounts to which Associate Counsel is properly entitled or for other purposes relating to the Agreement. 12.2 Associate Counsel shall maintain and preserve all such records for at least three (3) years after termination of the Agreement or until an audit has been completed and accepted in writing by City. Upon written notice by the City, the Associate Counsel shall promptly make all such records available to auditors or other representatives of the City or other governmental agencies. 12.3 If Associate Counsel does not maintain such records in the City of Vernon, Associate Counsel shall either deliver said records at its expense to Vernon or shall promptly reimburse City for all reasonable costs incurred in conducting the audit at a location other than the City of Vernon, including, but not limited to, expenses for personnel, salaries, private auditors, lodging, meals, and overhead. 13.0 Indemnity. Associate Counsel agrees to indemnify City, its officers, elected officials, 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"), including but not limited to professional negligence, that may be asserted or claimed by any person, firm or entity arising out of or in connection with the work, operations or activities of Associate Counsel, its agents, employees, subcontractors, or invitees, provided for herein, or arising from the acts or omissions of Associate Counsel hereunder, or arising from Associate Counsel's performance of or failure to perform any term, provision, covenant or condition of this Agreement, except to the extent such claims or liabilities arise from the gross negligence or willful misconduct of City, its officers, elected officials, agents or employees. 14.0 INSURANCE. Associate Counsel shall, at its own expense, procure and maintain policies of insurance of the types and in the amounts set forth below, for the duration of the Agreement, including any extensions thereto. 8 14.1 Automobile Liability with minimum limits of at least $100,000/300,000/500,000 if written on a personal automobile liability form, for using a personal vehicle; or an amount of $500,000 including owned, hired, and non -owned liability coverage if written on a Commercial automobile liability form. 14.2 General Liability with minimum limits of at least $1,000,000 combined single limits written on an Insurance Services Office (ISO) Comprehensive General Liability "occurrence" form or its equivalent for coverage on an occurrence basis. Premises/Operations and Personal Injury coverage is required. The City of Vernon, its Council, commissioners, officers, employees, agents, and volunteers registered with the City of Vernon must be endorsed on the policy as additional insureds as respects liability arising out of the Associate Counsel's performance of this Agreement. 14.3 Professional Errors and Omissions coverage in a sum of at least $1,000,000. If a claims -made policy is obtained, a "tail" of at least three years shall be purchased if non -renewed within three (3) years of completion of performance under this Agreement. Applicable aggregates must be identified and claims history provided to determine amounts remaining under the aggregate. 14.4 Associate Counsel shall comply with the applicable sections of the California Labor Code concerning workers' compensation for injuries on the job. Compliance is accomplished in one of the following manners: 14.4.1 Provide copy of permissive self-insurance certificate approved by the State of California; or 14.4.2 Secure and maintain in force a policy of workers' compensation insurance with statutory limits and Employer's Liability Insurance with a minimal limit of $1,000,000 per accident. The policy shall be endorsed to waive all rights of subrogation against City, its Council, commissioners, officers, employees, and volunteers for losses arising from performance of this Agreement; or 14.4.3 Provide an insurance exemption form certifying that no employees subject to workers' compensation law will be used in performance of this Agreement. 14.4.4 Each insurance policy included in this clause shall be endorsed to state that coverage shall not be canceled except after thirty (30) days' prior written notice to City. 14.4.5 Insurance shall be placed with insurers with a Best's rating of no less than B:VIII. E 14.4.6 Prior to commencement of performance, Associate Counsel shall furnish City with a certificate of insurance for each policy. Each certificate is to be signed by a person authorized by that insurer to bind coverage on its behalf. The certificate(s) must be in a form approved by City. City may require complete, certified copies of any or all policies at any time. 14.4.7 Failure to maintain required insurance at all times shall constitute a default and material breach. In such event, Associate Counsel shall immediately notify City and cease all performance under this Agreement until further directed by the City. In the absence of satisfactory insurance coverage, City may, at its option: (a) procure insurance with collection rights for premiums, attorney's fees and costs against Associate Counsel by way of set-off or recoupment from sums due Associate Counsel, at City's option; (b) immediately terminate this Agreement; or (c) self -insure the risk, with all damages and costs incurred, by judgment, settlement or otherwise, including attorney's fees and costs, being collectible from Associate Counsel, by way of set-off or recoupment from any sums due Associate Counsel. 15.0 Choice of Forum. This Contract shall be governed by and construed in accordance with the laws of the State of California. Associate Counsel agrees that the State and Federal courts which sit in the State of California shall have exclusive jurisdiction over all controversies and disputes arising hereunder, and submits to the jurisdiction thereof. 16.0 Incorporation by Reference. This contract incorporates by reference the Request for Proposal and specifications therein, and all attachments, and the Proposal by Associate Counsel, and all attachments. 17.0 Order of Precedence. In case of conflict between the terms of this Agreement and the terms in any document attached as an exhibit or otherwise incorporated by reference, the terms of this Agreement shall strictly prevail. 18.0 Living Wages. Associate Counsel working on City service contracts of any amount, as to all employees spending time on City contracts, shall observe the City's Living Wage Ordinance and all requirements thereof at all times on City contracts. The Current Living Wage Standards are set forth in Exhibit "D". Upon request, certified payroll shall be provided to the City. 10 19.0 Equal Employment Opportunity Practices. Associate Counsel certifies and represents that, during the performance of this Agreement, it and any other parties with whom it may subcontract shall adhere to equal employment opportunity practices to assure that applicants, employees and recipients of service are treated equally and are not discriminated against because of their race, religion, color, national origin, ancestry, disability, sex, age, medical condition, sexual orientation or marital status. Associate Counsel further certifies that it will not maintain any segregated facilities. The Equal Employment Opportunity Practices provisions are set forth in Exhibit "E". 20.0 Ethical Guarantees. 20.1 Associate Counsel warrants that no gratuities (in the form of entertainment, gifts, or otherwise) were offered or given by Associate Counsel, or any agent of representative of Associate Counsel, to any officer or employee of City with a view toward securing this Agreement or favorable treatment with respect to any determination concerning the performance of this Agreement. In the event of breach of this warranty, City shall be entitled to pursue the same remedies including, but not limited to, termination, against Associate Counsel as it could pursue in the event of Associate Counsel's default. 20.2 Associate Counsel and its members shall comply with all applicable federal, state and local laws and regulations, including the conflict of interest provisions of Government Code Section 1090 and the Political Reform Act (Government Code Section 81000 et seq.). 21.0 Right to Offset Claims for Money. All claims of money due or to become due from City shall be subject to deduction or offset by City from any monies due Associate Counsel by reason of any claim or counterclaim arising out of: (i) this Agreement, or (ii) any purchase order, or (iii) any other transaction with Associate Counsel. 22.0 Modification. Any modification of this Agreement will be effective only if it is in writing signed by all parties to this Agreement, and, where applicable, if it is approved by City Council. 23.0 Severability/Partial Invalidity. If any term or provision of this Agreement, or the application of any term or provision of this Agreement to a particular situation, shall be finally found to be void, invalid, illegal, or unenforceable by a court of competent jurisdiction, then notwithstanding such determination, such term or provision shall remain in force and effect to the extent allowed by such ruling and all other terms and provisions of this Agreement or the application of this Agreement to other situations shall remain in full force and effect. Notwithstanding the foregoing, if any material term or provision of this Agreement or the application of such material term or condition to a particular situation is finally found to be void, invalid, illegal, or unenforceable by a court of competent jurisdiction, then the parties hereto agree to work in good faith and fully cooperate with each other to amend this Agreement to carry out its intent. 11 24.0 Time of the Essence. Time is of the essence in the performance of this Agreement. 25.0 No assignment by a party hereto of any rights under or interest in this Agreement will be binding on another party hereto without the written consent of the party sought to be bound; and specifically but without limitations, moneys that may become due and moneys that are due may not be assigned without such consent (except to the extent that the effect of this restriction may be limited by law), and unless specifically state to the contrary in written consent to an assignment no assignment will release or discharge the assignor from any duty or responsibility under the Agreement. [Signatures Begin on Next Page]. 12 IN WITNESS WHEREOF, the City and Associate Counsel agree as set forth hereinabove. DATED: DATED: ATTEST: Maria E. Ayala, City Clerk APPROVED AS TO FORM: Hema Patel, City Attorney CITY OF VERNON, a California charter City and California municipal corporation Hema Patel, City Attorney [ASSOCIATE COUNSEL'S NAME], a [State incorporated in] corporation By: Name: Title: 13 EXHIBIT A SCOPE OF SERVICES 14 EXHIBIT B LAW FIRM XXXXXXXXXXXXXXXX Los Angeles, CA XXXXX (XXX) XXX-XXXX Hema Patel City Attorney City of Vernon 4305 Santa Fe Avenue Vernon, CA 90058 Re: Plaintiff v. City of Vernon City Attorney No.: XXXXX Dear Mrs. Patel: The following hourly fees are agreeable: A) [Insert Partner Name], Partner $ B) [Insert Associate Name], Associate $ C) One paralegal $ Very truly yours, For the Firm 15 EXHIBIT C POLICY FOR INVESTIGATION AND DISCOVERY ASSISTANCE The following sets forth the policy of this office regarding investigation and other assistance in the defense of liability cases involving the City of Vernon or City employees. The objective is to provide current and long-range investigative assistance and guidance on all liability cases. Copies of the summons, complaint and claims investigation reports, if available, will be forwarded to Associate Counsel upon assignment of the lawsuit to defense counsel. 2. Associate Counsel, in evaluating the lawsuit, is to advise the City Attorney as to further investigative needs. The services of an investigating agency, approved by the City Attorney, may be requested to assist Associate Counsel in their investigation. The agency is to furnish this office with copies of all its reports. 3. After receiving Associate Counsel's request, the investigating agency commences the specified investigation and outlines its recommendations for additional investigation, but does not commence such additional investigation until specifically requested by Associate Counsel to do so. 4. In addition to investigation, the investigating agency assists with such discovery, needed diagrams, photographs and other information as may be requested by Associate Counsel. 5. Associate Counsel is requested to review the claims investigation file sent with the assignment of defense so as to preclude unnecessary or duplicate investigative expenses. 6. Copies of the Vernon Municipal Code and other City documents can be readily obtained from the City Attorney's Office. 7. Attendance at mandatory settlement conferences will include only Associate Counsel and an attorney from the City Attorney's Office. Neither the Claims Coordinator nor investigators shall attend unless specifically requested to do so by this office. 16 EXHIBIT D LIVING WAGE PROVISIONS Minimum Livina Waaes: A requirement that Employers pay qualifying employees a wage of no less than $10.30 per hour with health benefits, or $11.55 per hour without health benefits. Paid and Unpaid Days Off: Employers provide qualifying employees at least twelve compensated days off per year for sick leave, vacation, or personal necessity, and an additional ten days a year of uncompensated time for sick leave. No Retaliation: A prohibition on employer retaliation against employees complaining to the City with regard to the employer's compliance with the living wage ordinance. Employees may bring an action in Superior Court against an employer for back pay, treble damages for willful violations, and attorney's fees, or to compel City officials to terminate the service contract of violating employers. 17 EXHIBIT E EQUAL EMPLOYMENT OPPORTUNITY EMPLOYMENT PRACTICES PROVISIONS A. Associate Counsel certifies and represents that, during the performance of this Agreement, the contractor and each subcontractor shall adhere to equal opportunity employment practices to assure that applicants and employees are treated equally and are not discriminated against because of their race, religious creed, color, national origin, ancestry, handicap, sex, or age. Contractor further certifies that it will not maintain any segregated facilities. B. Associate Counsel agrees that it shall, in all solicitations or advertisements for applicants for employment placed by or on behalf of Associate Counsel, state that it is an "Equal Opportunity Employer" or that all qualified applicants will receive consideration for employment without regard to their race, religious creed, color, national origin, ancestry, handicap, sex or age. C. Associate Counsel agrees that it shall, if requested to do so by the City, certify that it has not, in the performance of this Agreement, discriminated against applicants or employees because of their membership in a protected class. D. Associate Counsel agrees to provide the City with access to, and, if requested to do so by City, through its awarding authority, provide copies of all of its records pertaining or relating to its employment practices, except to the extent such records or portions of such records are confidential or privileged under state or federal law. E. Nothing contained in this Agreement shall be construed in any manner as to require or permit any act which is prohibited by law. 18 TRANSMITTAL COMMUNICATION CITY CLERK'S OFFICE INTEROFFICE MEMORANDUM DATE: May 19, 2016 TO: Maria Ayala, City Clerk Daniel Calleros, Police Chief Carlos Fandino, City Administrator William Fox, Finance Director/City Treasurer Isaac Garibay, Director of Human Resources Lisette Grizzelle, Interim Director of Human Resources Peter Hervish, Interim Director of Vernon Gas & Electric Masami Higa, Assistant Finance Director Alex Kung, Economic Development Manager Joaquin Leon, Deputy City Treasurer Hema Patel, City Attorney Derek Wieske, Director of Public Works, Water & Development Services Ernesto Smith, Information Technology Manager Michael Wilson, Fire Chief FROM: Deborah Juarez, Records Management Assistant,(,:, RE: Resolution No. 2016-22 — A Resolution of the City Council of the City of Vernon Approving the General Form of Attorney Services Contract Transmitted herewith is a copy of Resolution No. 2016-22 referenced above, which was approved by City Council on May 17, 2016. Thank you. Attachment c: Resolution No. 2016-22 STAFF REPORT MAY10��� CITY CLERK'S OFFICE STAFF REPORT CITY ATTORNEY'S OFFICE DATE: May 17, 2016 TO: FROM: RE: Honorable Mayor and City Council Hema Patel, City Attorney ti RECEIVED MAY 0 9 2016 CITY ADMINISTRATION S-q-l4 Approval of the General Form of Attorney Services Contracts under the Competitive Bidding and Purchasing Ordinance. Recommendation A. Find that approval of the forms of contract and of related documents in this staff report is exempt from California Environmental Quality Act ("CEQA") review, because it is a continuing administrative activity that will not result in direct or indirect physical changes in the environment, and therefore does not constitute a "project" as defined by CEQA Guidelines section 15378; and B. Adopt the attached Resolution approving the general form of attorney services contracts. The Proposed Form Contracts Presented to the City Council Support the Recommendations of Continued Good Governance Efforts Senator Kevin De Leon's Critical Path Reforms and Independent Reform Monitor, John Van De Kamp's Reports both made substantial and detailed recommendations for Vernon's procurement practices. As the initial step in carrying out those recommendations, a Competitive Bidding and Purchasing Ordinance, Ordinance No. 1200, amending Article IV of Chapter 2, Sections 2.17 through 2.31, was adopted on December 18, 2012, and was amended by Ordinance No. 1221 on May 20, 2014, to make necessary changes to the City's purchasing system. The Ordinance established, among other things, an open and competitive process for service and personal services contracts. On February 5, 2013, the City Council of the City of Vernon adopted Resolution No. 2013-23, approving the General Form of Personal Service Contracts, Types of Insurance and Indemnity, Purchase Order Contracts, Requests for Proposals and Attorney Services Contracts. The Resolution presented to City Council with this Staff Report will, in turn, standardize a number of the contracts used by the City Attorney's Office in order to further institutionalize the recommendations of Senator De Leon and Reform Monitor Van De Kamp in the day to day work of Vernon. The form of documents presented are the basis for the contracting activity of the City Attorney's Office, whether approved by City Council or approved by the City Administrator according to the dollar thresholds established in the Competitive Bidding and Purchasing Ordinance. This provides a core of intelligible and commercially reasonable documents for Vernon. As part of the City Attorney's Office continued review and analysis of all form documents, several revisions and updates are being proposed to the form Attorney Services agreements. These updates reflect changes in current law or procedure, and/or are aimed at increasing efficiency and the Office's ability to conduct meaningful oversight of outside legal work and costs. A further resolution will be brought forward in the near future with additional updates to the other form documents for City Council approval. Title and Summary of Documents to Be Approved by the Attached Resolution 1. Attorney Services (Litigation) Agreement. This is the model contract to be used for procuring Litigation Services for Vernon from outside law firms. As required by the good governance reforms, there is a recital that the rates charged to Vernon do not exceed the rates charged to other governmental entities (Section 4.1), a recital that, for services of a continuing nature, the contract will not exceed a term of three years (Section 2.0), and a stated not to exceed amount for the contract (Section 4.1). In addition, it has an Equal Employment Opportunity Practices Provision (Section 19.0 and Exhibit E) and a Living Wages Provision (Section 18.0 and Exhibit D). 2. Attorney Services (Transactional) Agreement. This is the model contract to be used for procuring Transactional Services for Vernon from outside law firms. As required by the good governance reforms, there is a recital that the rates charged to Vernon do not exceed the rates charged to other governmental entities (Section 4.1), a recital that, for services of a continuing nature, the contract will not exceed a term of three years (Section 2.0), and a stated not to exceed amount for the contract (Section 4.1). In addition, it has an Equal Employment Opportunity Practices Provision (Section 19.0 and Exhibit E) and a Living Wages Provision (Section 18.0 and Exhibit D). Fiscal Impact There is no direct fiscal impact as a result of adopting the general form of attorney services contracts. Standardizing documents and processes will sustain efficiencies that work to the financial benefit of Vernon over time. -2-