Title
Legal Fees Processing and Delegation of Settlement Authority
Action
Action:
Adopt a resolution clarifying the authority to pay city incurred legal fees and updating the delegation of settlement authority.
Body
Staff Resource(s):
Anthony Fox, Interim City Attorney
Explanation
§ In 1995, Council delegated authority to the City Manager to award contracts and amendments that do not exceed $100,000.
§ In 1995, Council also delegated authority to the City Manager and the City Attorney to settle claims and lawsuits (including land condemnation lawsuits) when the amount involved does not exceed $100,000 (Manager) or $50,000 (Attorney).
§ In 2018, Council updated its delegation of contract award authority to the City Manager, increasing the authority to award contracts and amendments that do not exceed $500,000. The delegation of settlement authority has not been updated since 1995.
§ Legal services are inherently related to claims and the settlement of legal disputes. Such services are often required immediately and the ability to retain the best qualified or most appropriate firm or specific attorney is of critical importance.
§ The city has traditionally procured, used, and managed outside legal services flexibly based on the special, and often unique needs, of each individual legal matter. For that reason, the city’s annual budget ordinance has granted the Chief Financial Officer the authority to pay legal fees specifically since 2014.
§ Raising the City Attorney’s settlement authority to $100,000 would bring it in line with the Manager’s settlement authority, thereby creating process consistency and efficiency.
§ Affirming the delegation of authority to pay legal fees incurred by the city and specifying that these fees must be approved by the City Attorney enhances consistency and comprehensiveness of the city’s processes. This action further clarifies that the delegation to pay legal fees incurred by the city is not dependent on renewal with each annual budget ordinance.
Attachments
Attachment(s)
Resolution