2014.11.18 Work Session Packet (1st)4141 Douglas Drive North • Crystal, Minnesota 55422-1696
Tel: (763) 531-1000 • Fax: (763) 531-1188 • www.crystalmn.gov
AL
CRYSTAL CITY COUNCIL
FIRST WORK SESSION AGENDA
Tuesday, November 18, 2014
6:30 p.m.
Conference Room A
Posted: November 14, 2014
Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the City
Charter, the first work session of the Crystal City Council was held at p.m. on Tuesday,
November 18, 2014 in Conference Room A located at 4141 Douglas Drive, Crystal, Minnesota.
I. Attendance
Council members Staff
Budziszewski Norris
Deshler Therres
Hoffmann Revering
Libby Serres
Peak Norton
Selton
Adams
II. Agenda
The purpose of the work session is to discuss the following agenda item:
• City Attorney and Prosecuting Attorney services contracts
III. Adjournment
The work session adjourned at p.m.
Auxiliary aids are available upon request to individuals with disabilities by calling the City Clerk at (763)
531-1145 at least 96 hours in advance. TTY users may call Minnesota Relay at 711 or 1-800-627-3529.
Memorandum
CITY of
CRYSTAL
DATE: November 10, 2014
T0: Mayor and City Council
FROM: Anne Norris, City Manageri-1.
SUBJECT: City Attorney Services Agreement — 2015 and 2016
BACKGROUND
The City's current contract with Kennedy & Graven for city attorney services expires
December 31, 2014. Current hourly rates are $150 — $160, depending on the attorney
involved and type of legal services provided. We also pay a monthly retainer of $3,750
which covers much of the routine legal services and inquiries. The hourly rates are the
same in 2015 as they are in 2014 and the retainer in 2015 is a 2% increase over the
current amount.
A proposed two year contract with Kennedy & Graven for 2015 — 2016 is attached. The
proposed hourly rates and the retainer in the contract are as follows:
2015 % increase
Hourly rates $150-$160 0%
Retainer $3,833 2%
2015
$155-$165
$3,917
The proposed 2015 rates are reflected in the 2015 budget.
% increase
3%
2%
At its November 6 meeting, the City Council continued consideration of the agreement
pending discussion at the November 18 work session before the meeting.
RECOMMENDATION
Recommend approval of a two year contract for city attorney services with Kennedy &
Graven for 2015-2016 as outlined the proposed contract and authorize the Mayor and
City Manager to sign the contract.
Attach:
AGREEMENT FOR LEGAL SERVICES
This Agreement, entered into between the CITY OF CRYSTAL, a Minnesota municipal
corporation (City) and the law firm of KENNEDY & GRAVEN, CHARTERED (City Attorney)
effective as of this 1 st day of January, 2013, provides as follows:
Section 1. Background: Findings.
1.01. Pursuant to Section 6.02 of the City Charter the appointment and removal of the
City Attorney are made by the City Council.
1.02. At a duly called regular meeting of the City Council held on ,
2014, the City Council determined that the firm of Kennedy & Graven, Chartered be engaged as
City Attorney, with Michael T. Norton of that firm serving as primary legal counsel for the City,
and instructed the City Manager to prepare an agreement between the firm and the City setting
forth the terms and conditions of the engagement.
Section 2. Terms and Conditions.
2.01. In consideration of the mutual promises and conditions contained in this
Agreement the City and the City Attorney agree to the terms and conditions set forth in this
section.
2.02. a) The City appoints the firm of Kennedy & Graven, Chartered as City
Attorney, with Michael T. Norton acting as primary legal counsel for the City; Troy J.
Gilchrist serving as Assistant City Attorney; and Martha N. Ingram serving as EDA
Counsel.
b) The City Attorney agrees to perform all usual and customary legal
services for the City in accordance with the terms of this Agreement.
C) The City agrees to compensate the City Attorney for services as follows:
An annual retainer fee as follows: $46,000 payable in monthly
installments of $3,833 commencing as of January 1, 2015 and continuing through
December 31, 2015; $47,000 payable in monthly installments of $3,917 commencing as
of January 1, 2016 and continuing through December 31, 2016. Services to be covered
by the retainer fee are as follows:
1) Attendance at all Council meetings, regular and special;
2) Meetings with staff and public groups as requested by the Council
or the City Manager and public hearings before the Council;
446639v1 MTN CR205-30
3) Review and preparation of contracts, performance bonds,
insurance and other routine legal documents;
4) Routine ordinance code amendments and preparation of
resolutions;
5) Formal and informal legal advice to Council and staff,
commissions and committees;
6) Inquiries from the public on non -police matters, i.e., matters not
directly related to criminal prosecution activities; and
7) All other legal services except litigation, eminent domain, local,
state and federal administrative proceedings, labor matters, code enforcement
matters, services to the Economic Development Authority and services to the
Crystal Charter Commission.
2.03. As an aid to the interpretation and administration of Sections 2.02 and 2.04 of this
Agreement, the following definition of terms is agreed upon:
"Routine" means matters that regularly reoccur and are customarily undertaken by a City
Attorney in the discharge of the office. A matter that does not occur regularly is not routine.
Review of a typical public works contract, and preparation or review of a usual and customary
ordinance, are examples of a routine matter. Preparation or review of a significant contract
related to a unique project, and preparation and research related to a unique ordinance, are
examples of a non -routine matter.
"Litigation" means services performed by the City Attorney a) in response to an action
commenced against the City or its officers by the service of legal process, and b) services
performed by the City Attorney in matters where litigation, in the judgment of the City Manager,
is certain to be commenced.
"Eminent domain" means services performed directly related and preparatory to the
commencement of an action of eminent domain by the City.
"Administrative proceedings" means services directly related and preparatory to
representing the City before a federal, state or regional administrative agency or an
administrative agency of the City or another political subdivision of the state.
"Labor Matters" means advice or other services related to a specific employee or labor
union. General advice regarding labor or employment law, not related to a specific employee or
union, is not considered a "labor matter" for the purposes of this Agreement.
"Code Enforcement" means any services related to civil enforcement of ordinances,
including without limitation research and advice regarding the prospects for success.
"Development" and "redevelopment" mean, with reference to the EDA, the negotiating
and drafting of development contracts, tax increment financing plans, development and
446639v1 MTN CR205-30 2
redevelopment plans and related technical services other than routine services to the EDA,
typically paid by the developer of the project as a pass through cost.
The City Manager and the City Attorney are authorized and directed to consult on the
application of these defined terms to any particular matter, but the final determination of their
application is to be made by the City Manager.
2.04. For legal services, except as provided in Section 2.09, the City agrees to
compensate the City Attorney at the following hourly rates for services indicated in the year and
at the hourly rates indicated below:
General civil matters 2015 2016
directors $150 $155
associate attorneys 147 150
clerks and paralegals 107 110
Charter Commission
directors $150 155
associate attorneys 145 150
clerks and paralegals 107 110
Economic Development Authorit
General EDA advice
directors
$150
155
associate attorneys
145
150
clerks and paralegals
107
110
Litigation, eminent domain
and administrative proceedings
directors
$160
165
associate attorneys
150
155
clerks and paralegals
107
110
Economic Development Authority
- development and redevelopment
projects -fees paid by the developer
directors $225 230
associate attorneys 195 200
clerks and paralegals 115 120
2.05. The City Attorney will record all time spent on general matters covered by the
retainer fee described in Section 2.02 at the rates specified above for "General Civil Matters."
2.06. The City will compensate the City Attorney for the following actual and
necessary expenses incurred by the City Attorney on behalf of the City:
a) Mileage at the City rate to and from locations where services on behalf of
the City are performed, including parking fees.
446639v 1 MTN CR205-30 3
b) Meals purchased by the City Attorney when it is not reasonable, because
of City business, for the City Attorney to dine at home.
C) Printing, photocopying and telephone charges at the actual cost thereof.
d) An annual subscription to the official City newspaper.
These expenses will be billed monthly and accompany monthly billing statements.
2.07. Billings by the City Attorney to the City for services will be on a monthly basis,
except as may otherwise be agreed upon by the parties as to the retainer fee as set forth in
Section 2.02.
2.08. The retainer fee and hourly rates specified in this Agreement will remain in effect
until December 31, 2016.
2.09. The City Attorney will act as approving bond counsel for the City if so requested
by the City. These services are not part of this Agreement, but may be made such by mutual
agreement of the parties. In the event such services are desired by the City, fees for these
services will be those usual and customarily charged by the firm of Kennedy & Graven,
Chartered.
2.10. It is the intention of the parties and it is hereby agreed by the City Attorney, that
the term "primary legal counsel" as used herein means and refers to Michael T. Norton who will,
except in the case of extraordinary circumstances involving disability, unavoidable conflict or
other good and substantial reasons, perform, supervise and be responsible to the City for the
legal services to be provided, with Troy J. Gilchrist as Assistant City Attorney.
2.11. This Agreement may be amended by the parties at any time by mutual consent.
2.12. This Agreement may be terminated by the City or by the City Attorney upon 60
days written notice by either party. In the event of termination, the City may request the City
Attorney to assist with designated "transition" services subsequent to the effective date of
termination, which shall be billed at the then applicable rate as described in Section 2.04 above.
446639v MTN CP205-30 4
IN WITNESS WHEREOF, the parties have caused this agreement to be duly executed by
their proper officers and representatives as of the day and year first above written.
CITY OF CRYSTAL, MINNESOTA
By
Jim Adams
Its Mayor
By
Anne Norris
Its City Manager
KENNEDY & GRAVEN, CHARTERED
Utz
446639v1 MTN CR205-30
Michael T. Norton
City Attorney
Memorandum
CITY of
CRYSTAL
DATE: November 10, 2014
TO: Mayor and City Council
FROM: Anne Norris, City Manager
SUBJECT: Prosecuting Attorney Services Agreement
BACKGROUND
The City's current contract with MacMillan, Wallace & Athanases, P.A. for prosecuting
attorney services expires December 31, 2014. Current hourly rates are $140, with an
annual cap of $115,000.
Attached is a proposed three year contract with the following rates:
2015 2016 2017
Hourly rate $140 $145 $150
Annual cap $130,000 $135,000 $140,000
The annual cap increase is largely due to changes in how the courts schedule cases
that require attorneys to be at the court for longer periods of time, rather than only for
the time for specific cases.
At its November 6 meeting, the Council continued consideration of this agreement
pending discussion at the November 18 work session before the regular meeting.
RECOMMENDATION
Police department staff is very satisfied with the prosecuting services provided by Peter
MacMillan and other staff at MacMillan, Wallace & Athanases, P.A.. I recommend
approval of a three year contract for prosecuting attorney services with MacMillan,
Wallace & Anathases, P.A. for 2015-17.
Attach:
LEGAL SERVICES AGREEMENT
THIS AGREEMENT, made and entered into this day of 52014,
by and between the City of Crystal, a Minnesota municipal corporation, hereinafter referred to as
"Crystal" and MacMillan, Wallace & Athanases, P.A.., a Minnesota professional corporation
hereinafter referred to as "Attorney" or "law firm".
WHEREAS, the parties hereto desire to enter into an agreement regarding prosecution
services;
NOW, THEREFORE, in consideration of the mutual promises of the parties, Crystal and
Attorney hereby agree:
Crystal hereby retains said law firm to perform all of the municipal criminal prosecution
work for Crystal for the three year period commencing January 1, 2015, and said law firm
agrees to do so.
2. For said services, Crystal agrees to pay Attorney at the rate of One Hundred Forty Dollars
($140.00) per hour during the year 2015, One Hundred Forty-five Dollars ($145.00) per hour
during the year 2016 and One Hundred Fifty Dollars ($150.00) per hour for the balance of
the term of the contract, plus costs, such payment to be on a monthly basis as billed,
3. The attorney fees will not exceed $130,000.00 in 2015, $135,000.00 in 2016 or $140,000,00
per calendar year for the balance of the term of the contract. It is understood and agreed that
the parties will in good faith adjust said cap in the event of unforeseen changes in attorney
time requirements.
4. The parties may by mutual consent amend this agreement at any time.
IN WITNESS WHEREOF, the parties have, on the date first above written, executed this
Agreement in duplicate, each of which shall be considered an original.
THE CITY OF CRYSTAL
By:
Jim Adams
Its Mayor
By:
Anne Norris
Its City Manager
MacMILLAN, WALLAC THANASES, P.A.
By:
Peter A. MacMillan
Secretary/Treasurer