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RESOLUTION NO. 14100
A RESOLUTION ENGAGING VAUGHAN & DEMURO TO
PROVIDE LEGAL SERVICES TO THE CITY RELATING TO
CONSTRUCTION CONTRACT DISPUTE
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1.
The engagement letter between Vaughan & Demuro., and the City of Pueblo, a
copy of which is attached hereto, having been approved as to form by the City Attorney,
is hereby approved. The City Attorney is authorized to execute the engagement letter on
behalf of the City.
SECTION 2.
The compensation and costs of special counsel are authorized to be paid out of
Sewer User Funds upon approval thereof by the City Attorney.
SECTION 3.
The officers and staff of the City are directed and authorized to perform any and
all acts consistent with the intent of this Resolution and the attached engagement letter
to effectuate purposes of same.
SECTION 4.
This Resolution shall become effective immediately upon final passage.
INTRODUCED November 26, 2018
BY: Ed Brown
MEMBER OF CITY COUNCIL
APPROVED:
PRESIDENT OF CITY COUNCIL
ATTESTED BY:
ACTING CITY CLERK
City Clerkâs Office Item # M-8
Background Paper for Proposed
Resolution
COUNCIL MEETING DATE: November 26, 2018
TO: President Christopher A. Nicoll and Members of City Council
CC: Sam Azad, City Manager
VIA: Brenda Armijo, Acting City Clerk
FROM: Daniel C. Kogovsek, City Attorney
SUBJECT: A RESOLUTION ENGAGING VAUGHAN & DEMURO TO PROVIDE LEGAL
SERVICES TO THE CITY RELATING TO CONSTRUCTION CONTRACT
DISPUTE
SUMMARY:
Attached is a proposed Resolution authorizing the City to engage Vaughan & Demuro to provide
legal services relating to construction contract dispute.
PREVIOUS COUNCIL ACTION:
None.
BACKGROUND:
In 2017, the City commenced the Selenium Reduction J-1 Lining Project. The purpose of the
Project is to create a test site to establish to the satisfaction of the Colorado Water Quality Control
Commission and the EPA that the work done under the Project will adequately keep groundwater,
including groundwater with high concentrations of Selenium, from entering the wastewater
system. Progress on the Project had become unacceptably delayed and significant defects in the
work performed had arisen necessitating termination of the construction contract. City anticipates
litigation will be filed by the contractor. Given the amount involved, the specialized nature of the
claims and likely venue same will be filed and the potential conflicts in the law department as
witnesses, it would be in the best interest of the City to engage the services of legal counsel to
represent the City. Vaughan & Demuro has been recommended for such representation and has
a proven and established reputation and work history with the City including representation of the
City in numerous federal district court actions.
FINANCIAL IMPLICATIONS:
The total cost of this engagement to the City is unknown. Gordon L. Vaughan has agreed to
represent the City at a reduced rate of $180.00 per hour.
BOARD/COMMISSION RECOMMENDATION:
Not applicable.
STAKEHOLDER PROCESS:
Not applicable.
ALTERNATIVES:
The City could engage a different firm to provide these services.
RECOMMENDATION:
Approve the engagement.
Attachments:
Engagement letter.