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HomeMy WebLinkAbout14100 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 Clerk’s 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.