HomeMy WebLinkAboutItem 2g: Approve Additional Funding for Legal FeesROPER MINA
21192
DATE: May 7, 2013
TO: Honorable Mayor and City Council
STAFF REPORT
Administrative Services Department
FROM: Hue C. Quach, Administrative Services Director
By: Heather McDowell, Senior Human Resources Analyst
SUBJECT: APPROVE AN INCREASE OF $40,000 IN THE AGREEMENT WITH
LIEBERT CASSIDY WHITMORE TO FUND UNANTICIPATED
PERSONNEL - RELATED LEGAL FEES
Recommendation: Approve
SUMMARY
On June 19, 2012, the City Council authorized the City Manager to execute an
agreement for personnel - related legal services with Liebert Cassidy Whitmore for Fiscal
Year 2012 -13 in an amount not to exceed $42,000. During this past Fiscal Year, the
City has incurred legal fees for various unanticipated personnel - related matters wherein
the budgeted legal fees were exceeded.
It is recommended that the City Council authorize the reallocation of unused funds in
other areas of the Department budget, in the amount of $40,000, to cover the additional
expenses and satisfy payment of this obligation.
DISCUSSION
The City has utilized the legal services of Liebert Cassidy Whitmore for many years.
The expertise and services they have provided have been invaluable and have been of
great assistance to the Human Resources Division. Specifically, the depth and diversity
of their experience, coupled with their ability to provide practical applications to the
myriad of laws in this area has proven extremely helpful. Unfortunately, the City has
seen an increase in personnel related matters that have caused substantial legal fees to
represent the City and provide legal opinions and guidance to City staff.
The increase in legal services was due to hiring outside counsel to conduct multiple
in -depth personnel investigations related to violations of City Administrative policies,
engaging in various Workers Compensation and /or ADA interactive process meetings,
representation of the City at Human Resources Commission appeal hearings related to
Appropriation for Personnel Legal Fees
May 7, 2013
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disciplinary matters, and the provision of ongoing legal counsel to Human Resources
staff and Department Executives.
Although the City has seen an unprecedented amount of activity in relation to personnel
matters in the last Fiscal Year, it is not likely that this will be an ongoing trend. It is
anticipated that additional legal fees will be required for FY 2013 -14 due to upcoming
labor negotiations, but those estimates have already been built into next year's budget
proposal.
Contained in the Administrative Services Department's budget are cost savings of
$10,000 for labor relations and additional cost savings in salaries and benefits, which
will cover the remainder of the balance due.
FISCAL IMPACT
The original budgeted amount for personnel legal fees in FY 2012 -13 was $42,000. It is
estimated that the City will incur an additional $40,000 through the end of FY 2012 -13.
The additional expenditure can be reasonably funded from unspent funds in the Labor
Relations account, in the amount of $10,000, and the remainder from Salary & Benefits
budget savings in this Department.
RECOMMENDATION
It is recommended that the City Council approve an increase of $40,000 in the
agreement with Liebert Cassidy Whitmore and reallocate unspent funds within the
Administrative Services Department to fund the additional personnel - related legal fees.
Approved:
Dominic Lazzar t
City Manager