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HomeMy WebLinkAbout18 - City Attorney Office Mission, Goals & StandardsCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. 18 January 25, 2011 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Office of the City Attorney David R. Hunt, City Attorney ext. 3131, dhunt_pNewportBeachCA.gov SUBJECT: Review of Office of the City Attorney Mission, Goals and Standards ISSUE: Review status of operations within the Office of the City Attorney and its approved mission. RECOMMENDATION: Receive and file or give direction as you deem appropriate. At the beginning of 2009 the Council embarked on a program. of building the Office of the City Attorney ( "OCK) in order to meet the City's ongoing egal needs. The new City Attorney was directed to develop a department that would either meet or oversee all of the legal services provided to the City and to integrate the legal function into the day -to -day operations of the City.' This agenda item is brought to the Council in order to report on the progress of this effort and give the Council the opportunity to give new direction if it desires. 1. Mission and Allocation of Internal Resources. In August 2009 the Council reviewed and accepted a Mission, Goals, and Standards Statement ( "Mission ") drafted for the OCA. A copy of the Statement is appended as Attachment "l." The Mission contemplates the OCA performing four essential legal functions. Stated briefly, those functions are: ➢ Advise on legal issues; I This approach is consistent with trends being seen in the legal industry, both in the public and private sector. See news articles regarding this issue appended as Attachment 4. Review of Office of the City Attorney Mission, Goals and Standards January 25, 2011 Page 2 ➢ Enforce as the Chief Prosecutor under the direction of the City Manager as Chief Code Enforcement Officer, the City Charter, ordinances, and policies; ➢ Representthe City in legal proceedings; and ➢ Administer the legal business of the City either through providing the necessary legal services with in -house resources or overseeing the services provided by outside counsel and managing their relationship with the City. At the time this project began there was the full -time equivalent (FTE) of 3.7 attorneys serving the City, with one additional Assistant City Attorney position authorized to be filled by the new City Attorney and one part -time paralegal position within the office for a total FTE of 5.4 professional legal staff. Since that time, the Council authorized adding two additional Deputy City Attorneys and making the paralegal position full -time for a total FTE legal staff of 6.7 legal professionals? The Council also authorized an increase in support staff to meet the needs of the additional legal professionals by 1.3 FTE support staff, though that increase is not the focus of this report .3 At present the professional legal staff is assigned to the tasks performed by the OCA as set out in the table below using FTE to allocate to function: 2 The Council also authorized the recruitment of one additional paralegal, but that recruitment has been put on hold in light of budgetary concerns. 3 One Part-Time Office Assistant position was made full -time and then elevated to Department Assistant status and one part- time Office Assistant position added, then made full -time in the 2010111 budget. 4 This total does not include the authorized second paralegal position since it has not been filled. .. ®.. '� .,a • •. �mm'ar 1 •1 1 •1 •1 1 •1 1 1 1 1 1 :1 11 ��� a � 1 1 1 1 1 1 1 1 1 1 1® 1 1 1 •1 ®�', . 1 1 asa 1 1 as 1' 1 2 The Council also authorized the recruitment of one additional paralegal, but that recruitment has been put on hold in light of budgetary concerns. 3 One Part-Time Office Assistant position was made full -time and then elevated to Department Assistant status and one part- time Office Assistant position added, then made full -time in the 2010111 budget. 4 This total does not include the authorized second paralegal position since it has not been filled. Review of Office of the City Attorney Mission, Goals and Standards January 25, 2011 Page 3 As represented by the pie chart below, the vast majority of OCA resources are allocated to providing day -to -day advice on City matters. Resources by Task e Advise u Enforce m Represent m Administer 2. Additional Services Provided. The expansion of the OCA has added to the services provided by the City's in -house legal department. Generally speaking it is now active in providing day - to-day legal services to the City, having expanded its role regarding: • Charter, ordinance, and policy review and implementation • Risk management • Contracting • Personnel matters, particularly discipline and investigation • Boards and commissions advice as needed, including Civil Service Board, Harbor Commission, Parks, Beaches and Recreation Commission • General laws such as the Public Records Act, Brown Act, Political Reform Act • Enforcement issues Review of Office of the City Attorney Mission, Goals and Standards January 25, 2011 Page 4 We have appended a table as Attachment "2" showing a representative sampling of the significant projects and work products addressed by the OCA recently addressed s 3. Budgetary Impacts' This expansion of the role of the OCA has resulted in a reduction in the use of outside counsel in several areas of City service, thus reducing outside legal costs incurred by the City in those areas. We have appended a table as Attachment "3" that identifies functions brought back in -house to the City and the estimated savings in legal costs attributed to each function. We continue to use outside counsel, however, to meet workload demands and to address specialty areas of the law, but the systemized regular use of outside counsel has been largely eliminated. Additionally, compensating for the impact of the cost of outside representation in group homes matters, legal expenditures have reduced over the last two years when compared to the prior year.$ The table below shows the cost figures: 5 This attachment is not intended to be a comprehensive list by any means, but simply represents the most significant projects that come to mind. Additionally, we have reported specifically on the period of 7/112010 to date since we reconfigured our system effective this fiscal year so we can report on specific numbers of projects completed. Prior to that time we used a more general filing /matter system. 5 We note that the OCA's role is to support staffs pursuit of the projects directed by the City Manager on behalf of the Council. Except with respect to handling and appearing in litigation, the OCA is a support department and exists to serve the City Council by serving the City Manager and the operational departments carrying out the Council's policy decisions. 7 This analysis is based upon actually expended amounts and budgeted amounts and does not address the proposed budget update in another item on this agenda. 8 Accounting practices for attorneys fees have changed in the last three years and it would be difficult to develop an accurate assessment of all attorneys fees expended in years previous to FY 2007108. It can certainly be done, however, should the Council so direct. 9 These totals have been compiled by Administrative Services running vendor payment totals in each fiscal year. Now, commencing FY 10/11, all outside counsel expenses are to be accounted to three new budget line items specifically dedicated to attorneys fee expenses. This change should make it easier to compare legal expenses incurred indifferent fiscal years. OUTSIDE COUNSEL EXPENSES9 Adjusted Total Total Outside Group Homes Citywide without Counsel Outside Counsel Group Homes Expenses Expenses Expenses Fiscal Year 07/08 $ 1,423,916.96 $ 452,292.63 $ 971,624.33 Fiscal Year 08/09 $ 2,310,014.30 $ 872,670.36 $ 1,437,343.94 Fiscal Year 09110 $ 1,443,280.27 $ 825,102.12 $ 618,178.15 $ 5,354,105.13 $ 2,150,065.11 $ 3,027,146.42 5 This attachment is not intended to be a comprehensive list by any means, but simply represents the most significant projects that come to mind. Additionally, we have reported specifically on the period of 7/112010 to date since we reconfigured our system effective this fiscal year so we can report on specific numbers of projects completed. Prior to that time we used a more general filing /matter system. 5 We note that the OCA's role is to support staffs pursuit of the projects directed by the City Manager on behalf of the Council. Except with respect to handling and appearing in litigation, the OCA is a support department and exists to serve the City Council by serving the City Manager and the operational departments carrying out the Council's policy decisions. 7 This analysis is based upon actually expended amounts and budgeted amounts and does not address the proposed budget update in another item on this agenda. 8 Accounting practices for attorneys fees have changed in the last three years and it would be difficult to develop an accurate assessment of all attorneys fees expended in years previous to FY 2007108. It can certainly be done, however, should the Council so direct. 9 These totals have been compiled by Administrative Services running vendor payment totals in each fiscal year. Now, commencing FY 10/11, all outside counsel expenses are to be accounted to three new budget line items specifically dedicated to attorneys fee expenses. This change should make it easier to compare legal expenses incurred indifferent fiscal years. Review of Office of the City Attorney Mission, Goals and Standards January 25, 2011 Page 5 This table reveals that outside counsel expense for Fiscal Year 09/10 was $353,443.18 lower than Fiscal Year 07/08 and $819,165.79 below outside counsel expense from Fiscal Year 08/09, when adjusting out the cost of the group homes litigation. This relationship is graphically represented in the bar chart below: $2,500,000.00 $ 2,000,000.00 $1,500,000.00 $1,000,000.00 $500,000.00 S- Outside Counsel Expenses FiscalYear07 /08 FiscalYear08 /09 FiscalYear09 /10 2 Total Outside Counsel Expenses Group Homes Outside Counsel Expenses u Total Citywide without Group Homes Expenses We can compare these savings to the increased wages and benefit expenses of the expanded office. These figures are reflected in the table below. Review of Office of the City Attorney Mission, Goals and Standards January 25, 2011 Page 6 10111 ���' Attorney Fees Budgeted $1,605,155.00 $794,501.00 $ (1,255,343.94) $ (460,842.94) As you can see, when comparing the difference against FY 07/08, while there is a savings in outside counsel expense, there is a net increase in cost when comparing the savings against salary increases since FY 07/08. On the other hand, there is a net savings when comparing to FY 08/09. FY 08/09 may have been the "high watermark" for outside counsel expense. These figures do not include the cost of tort defense counsel. Those costs are largely handled through the City's Third Party Administrator, Cad Warren & Company, and Risk Management with advisement from the OCA. In addition to providing legal assistance in managing this area of expense, the OCA has assisted in settling four cases over the last two years without the need to forward to outside counsel. The expenses paid in the last three (3) fiscal years are reflected in the table below. Attorney Legal Fees Paid Per Policy Year on Tort Claim Matters Attorney Fees # New Claims Policy Year 07108 $ 475,604.95 104 Policy Year 08109 $ 252,190.77 112 Policy Year 09110 $ 368,911.52 140 The attorney legal fee expenses are graphically depicted below. Govt. Tort Claim Attorney Fees $500,000.00 $450,000.00 $400,000.00 $350,000.00 $300,000.00 $250,000.00 $200,000.00 $150,000.00 $100,000.00 $50,000,00 Policy Policy Policy Year Year Year 07108 08/09 09/10 w Attorney Fees Review of Office of the City Attorney Mission, Goals and Standards January 25, 2011 Page 7 While this is a significant amount of money, it in fact shows a relatively low expense incurred by the City in defending general liability tort litigation over the last three fiscal years. In the end, it is clear the City has been doing well in loss management over the last few years. In summary, there have been savings in outside counsel expense, but whether the City has experienced a net savings depends on what you compare those savings to. When reviewing the full scope of outside counsel services, there is still significant room to improve. 4. The Future. The last two years have brought fairly dramatic change to the way legal services are provided to the City. This change has not been without difficulty by any means. There are significant areas where the OCA must improve its service to the Council and the departments. With this in mind, the recommendation for the coming year is to: Improve and Systemize: Improve service to Council and staff on advisory matters by consolidating the gains of the last two years and systemize in an efficient manner the provision of legal services, particularly in the area of contract processing.10 2. Systemize OCA and Train: The current OCA is a young office that has changed how it does everything since January 1, 2009. It needs to complete its internal SOP and standardizing it practices to take advantage of the efficiencies available to it and continue training its attorneys and staff on the operations and culture of the City and the OCA. 3. Reduce OCA involvement in Day-to -Day Tasks: There are a number of day -to -day quasi - administrative tasks that do not require the continuous involvement of the OCA. While the OCA can and should provide training on the legal issues and legal support as needed, it could use its resources better by pulling back from the day -to -day tasks that can be performed 10 The ground work is well under way and there is another item on your agenda addressing an update of Council Policy F -14 and F -5. The steps for completing this task are: (1) updating of Council policies governing contracting and purchasing; (2) develop standardized administrative procedures for processing contracts and putting those procedures in an Administrative Procedure Manual as the first such procedure; (3) completing the update of all contract templates, a process that is well underway in the OCA, and distribute them to staff and train in their use. Review of Office of the City Attorney Mission, Goals and Standards January 25, 2011 Page 8 equally well by other City Employees. These tasks include, though probably are not limited to: L Contracting: The OCA can perform its Charter obligations though finalizing new templates, training staff on their use, and then simplify the processing of contracts. In addition, it can, and is in the process of, developing a short form contract for small and non -risk intensive agreements that will not require day - today review so long as the contract template is used without change. ii. Response to Public Records Act Requests and other Records Issues: The OCA does not need to see every Public Records Act request as required by Council Policy E -1 nor does it need to be involved in the response to all subpoenas. Again it can train and assist in putting into place procedures for their handling and then provide support on an as needed basis. iii. Claims: The OCA does not need to see all claims, and there are a lot: The City's Risk Management team can handle those matters on a day - today basis and City Attorney involvement in claims should be on a "threshold" basis only. We can and should develop thresholds for what claims the OCA needs to see and then it will not be necessary to forward all claims to the OCA as is currently the practice. Environmental Review This matter does not contemplate a matter that would be a "project" under the California Environmental Quality Act and thus does not require environmental review. Public Notice Notice has been given consistent with the Ralph M. Brown Act. No other public notice is required by this item. Funding Availability There is no funding impact for this matter unless directed by Council. CONCLUSION The role of the OCA has increased significantly in the City over this two (2) year initiative. This change has brought a great deal more involvement of the OCA in the business of the City. It has also reduced the City's regular and systematic dependence Review of Office of the City Attorney Mission, Goals and Standards January 25, 2011 Page 9 on outside counsel, with the notable exception of the Group Homes litigation, though there has been more use of outside counsel in specialty litigation services and some advisory services than is ideal. This reduction has resulted in significant net savings in attorney expense when compared against what appears to be the City's high water mark for use of outside counsel services. We thank you for your attention to this matter and ask you to receive and file or give new direction as you see fit. Prepared and Submitted by: OFFICE OF THE CITY ATTORNEY By: \ � David R. Hunt, City Attorney Attachment 1: Mission, Goals and Standards Statement Attachment 2: Representative Listing of Major Projects by Legal Team 2010 Attachment 3: Reduction of Outside Counsel Use by Function Attachment 4: Various Articles Regarding Trend of Bringing Services Back In -House IA08- 000361 M &CC from DRH 1.25.11 re OCA Mission Statement A TTA CHMENT 1 City Council Agenda January 25, 2011 Mission, Goals and Standards Statement MISSION. GOALS AND STANDARDS STATEMENT Office of the City Attorney of Newport Beach (August 19, 2009) The mission of the Office of the City Attorney is to provide excellent, prompt, practical, solution oriented legal advice to the Council, staff, and Boards and Commissions of the City of Newport Beach; to effectively represent the City's interests before all courts and administrative bodies; and to act as the City's chief prosecutor in all code enforcement matters. We seek to integrate the legal function with administrative and policy functions of the City at the most basic levels in order to assist in achieving the Council's policy objectives and protect the City from liability. GOALS AND STANDARDS Our goal is to provide excellent quality, responsiveness and value in performing the legal services necessary to successfully achieve our mission. This goal, and the standards for judging its accomplishment, is defined as: • Quality: We must always provide excellent legal services. That having been said, we also must recognize excellence will be tempered by the amount of resources available to perform a particular task. Therefore, we must perform excellent legal work as defined by and within the constraints with which we are presented. Our legal services shall have the following characteristics: • We are to approach all tasks with integrity and courage. Regardless of the interests being addressed we shall speak truth and protect the credibility of the institution of City government. • Our legal advice and representation will be well thought out and thoroughly researched. We will avoid, to the greatest extent possible, "flying by the seat of our pants" so as to minimize changes in opinion or recommendation. • Our advice is to be practical and solution oriented while minimizing - - legal risks to the City. • We shall avoid being "naysayers" to the greatest extent possible, and instead look for a means within the law to achieve the goals sought to be pursued by policymakers. • We shall be vigorous and formidable advocates of City interests in courts and before administrative agencies. We shall, however, remain objective counselors behind closed doors giving practical and constructive legal advice to seek early, economically realistic resolution of disputes. That having been said, we shall remain ready, willing and able to try all cases that need to be resolved by the courts. • We shall present our legal opinions and ourselves in the community in a manner that lends credibility to the office and to City government as a whole. MissioN, GOALS AND STANDARDS STATEMENT Office of the City Attorney of Newport Beach (August 19, 2009) Responsiveness: We must be sensitive to the needs of Council, staff, and Boards and Commissions. We must respond to them promptly within time frames defined by their needs. The policymakers define our priorities; we do not define theirs. We will hold ourselves to the following standards: • Regular work turnaround within ten business days. • Rush turnaround within three business days. • Emergency /critical needs receive immediate response. • Deadlines for all large projects shall be worked out with staff so that the needs of the City are met, both in timing and excellence in legal advice. • Contracts are a priority. Standard contract turn around in no longer than ten working days in OCA, though hopefully sooner, as follows: 1. Initial review and triage by Paralegal within 3 business days — returned to department if changes needed, otherwise forwarded to the ACA for review and signature; 2. ACA to review and sign within 2 days of Paralegal forwarding and contract should be routed back to the department at that time; 3. Process starts over again when returned by department after clarification /correction. 4. Goal is to turn contracts around, fully completed and signed off, in no more than 10 business days, and if they come through in clean condition within no more than five business days in department. 5. Complex, non - standard contracts, to be completed within negotiated time frame as meets the needs of City business. • Telephone calls returned within the same day or the next business day morning at the latest. • Emails reviewed and triaged within two business days, if out of office assistant not activated and if it is, within two business days of return.' Value: We must provide our services in a manner that gives the City excellent "bang for its buck." We shall maximize the value to the City of our office and minimize the expense, making sure to deliver excellent legal services in an efficient and cost effective manner. We shall do the following to achieve this end: ' It should be noted that while emails are an excellent, inexpensive, and potentially effective means of communication, they can give a false impression of actual receipt. Sender often assumes the email has been read, and in many circumstances it has not been. If a matter is urgent in any way, it is best to call on the telephone. MISSION, GOALS AND STANDARDS STATEMENT Office of the City Attorney of Newport Beach (August 19, 2009) • Develop and maintain effective form templates that reflect the current status of the law and give certainty to the conduct of City business. • Develop and maintain efficient procedures for handling workload so that it can be effectively handled. • Utilize technology in a way that it enhances productivity and preservation of resources without becoming an impediment to thorough, thoughtful legal analysis. Whatever we do, we must not allow technology to drive us instead of our using it. • Achieve a proper balance between in -house legal services and outside legal services, proactively managing outside legal services to assure the City receives the best "bang for its buck." • Actively monitor legal expense in order to assure budgetary compliance, providing timely identification and processing of budget exceptions relating to use of outside counsel. (A09- 003981 Mission and Goals Statement ATTACHMENT 2 City Council Agenda January 25, 2011 Representative Listing of Major Projects by Legal Team 2010 Representative Listing of Major Projects by Legal Team 2010 Advise CMO Commence support of efforts in renegotiating DRH Organizational efforts begun in order to "T JWA Settlement Agreement; conducted RFP on Up" negotiations for renewal of JWA CEQA and FAA counsel and retained CEQA Settlement Agreement. Counsel Planning General Plan Implementation /Zoning Code _ LM /MT Deeply involved in supporting the process Update bringing the Zoning Code to Council for completion. Planning/Pub. Marina Park (CEQA review/ project approval DRH /LM /MT Support provided with State Lands _Y______ Works through Coastal / State Lands) Commission and issues related to the project. Planning/Pub. Sunset Ridge Park (CEQA review/ project LM /MT Support completion of EIR, addressing Coastal Works approval throu h Coastal ) Act nmrpsq CMO /Harbor Harbor Fees Update DRH /LM /MT Support extensive effort in preparing for Resources dealing with fee issues; drafting extensive legal opinions; select outside counsel for assistance and support. Planning Lido Marina Village Redevelopment (marina, LM /MT Provided legal support in RFP and contracting City Hall site) - Supported RFP and contracting process; draft lease for LMV Tidelands. with planning consultant in Via Lido Marina Village, Via Oporto and nearby property project; Supported preparation of land swap MOU for Pavilions and City Hall Planning Airport Business Area Integrated Conceptual LM Assisted in resolving legal issues regarding Development Plan (Koll / Conexant) (CEQA project and bringing the matter to Council for review / project approval) action. Utilities Big Canyon Sewer Agreement LM /MT Drafted all necessary agreements and provided legal assistance regarding fee issues Planning 0' Hill /Golf Realty (CEQA review) LM /MT Provided legal support in working through - completing use and application issues. Planning NextG and Telecommunications Issues LM /MT Supported staff in addressing telecommunications permit issues including - - -- - - -- - -NextG application. Harbor Resources Rhine Channel Dredging Project (CEQA review / DRH /LM /MT Supported drive to complete CEQA process project implementation) and commence project consistent with Long Beach time line; commence review of insurance issues for possible contribution to project. CMO Civic Center Sculpture Garden MOU LM /MT Drafted provided legal support in negotiation of agreement. Pub. Works Civic Center CM at Risk agreements LM - Drafted and assured legal compliance of CM at Risk contracts. Adm. Services Civic Center financing LM Working closely with bond and disclosure counsel in completing all necessary legal documents for bond financing. Page 1 Representative Listing of Maior Projects by Legal Team 2010 Risk Mgt. _ ______ _,._ ... .__. Civic Center OCIP Program ....... ._..--.----..-__ ___....- DRH /MDB _-_- -____......_.______ __.�__.,.....___._.. Engaged in process of developing recommendation; provided legal advice in RFP process; assisted in completion of contract documents. Pub. Works NPDES State Unfunded Mandate Claim LM Support and drafting of claim to Unfunded '.. Mandate Commission regarding expense in complying with NPDES mandates. HR Personnel related matters MDB Provided legal support regarding organizational issues. Pub. Works 3 Assessment District Proceedings MDB all were successfully formed, but they still required extensive support, and perhaps more. CMO Complete Balboa Market Purchase MDB Contract and all related documents drafted and oversaw completion of purchase. Mayor and Charter Update Process DRH with support Supported seven month process from Charter Council of full office Update Commission through Council action placing no ballot. HR Civil Service Update DRH /MDB Update Civil Service Ordinance and Civil Service Rules consistent with Charter Update - Presented to CSB and coming to Council 10/12 CMO /Planning Group Homes Administrative Proceedings CMW /RWG (DRH The administrative proceeding for prior is ethically operators were completed in February and walled out of March; additional proceedings for new these applicants have been addressed and a proceedings.) requested Use Permit amendment application is pending and will likely go to hearing. CMO /Planning Group Homes: Completed MISR Zoning DRH /CMW Second reading set for 9/28. Agreement Planning Group Homes: Procedures for Zoning DRH /KER /CMW SLBTS Development Agreement Review is Agreement Review and Enforcement of permits coming to the Council on 10/12. Police July Planning and Procedures KER Support toward creating new procedures for Jul 4 enforcement. CMO /HR Support Labor Negotiations and Strategize final DRH Public Safety completed; provide ongoing negotiation of public safety unions support for miscellaneous units. Planning Balboa Village revitalization LM /MT Assisting with legal issues regarding development of Balboa Market property, parking and Balboa Theater portions of the ro ect. All Departments Total of 216 Assignments "Completed" from OCA This number is actually low in that we had not 1/1/2010 to 9/25/2010 changed our system to monitor specific assignment performance until July 1. All Departments 115 Contract Assignments completed from OCA These matters are handled underthe assigned 7/1/2010 to 9/25/2010 ACA direction. All Departments 66 Public Records Act Responses completed OCA These matters are handled under the assigned from 7/1/2010 to 9/25/2010 ACA direction. All Departments 21 Risk Management and Claims matters OCA These matters are handled under the assigned completed 7/1/2010 to 9/25/2010 ACA direction with support from DRH /KER. Page 2 Representative Listing of Maior Projects by Legal Team 2010 CM0 Advised on administration of Beacon Bay Lease DRH /CMW Collected significant back rent and assisted in Sites processing multiple transfers of lease site issues. Enforce OCA Brought all Code Enforcement Matters back in DRH /KER /CMW We had two outside law firms performing house except two that were pending (Leason code enforcement functions costing and Reumont) approximately $180,000 per year. Code /OCA Successfully resolved six code enforcement KER /CMW Entering into covenants re illegal housing and matters short of trial between July 1 and supporting Code in its efforts. September 25 CMO /Planning Group Homes Litigation .DRH /KER /CMW Supported commencement of abatement efforts on four non - conforming commercial uses after LUP certified. CMO /Code Abate Nuisances on Mariner's Mile at DRH /KER Filed nuisance abatement litigation and Dover /PCH leveraged settlement agreement. Fire /Code /PD Support effort to bring Code Restaurant into DRH /KER Violations ceased and successfully resolved compliance with laws criminal prosecution short of trial. PD /OCA Medical Marijuana DRH /KER Supporting PD in developing a cross- departmental approach to medical marijuana dispensaries; assisted in addressing two locations. OCA Newport Beach v. Leason and Newport Beach DRD /KER Oversaw and directed the successful handling v. Lu of these civil code enforcement matters. Represent OCA Group Homes Litigation DRH /KER /CMW Our office associated in with RING on the Group Homes Litigation in order to have a greater impact on its handling. OCA Save Irreplaceable Landforms v. Newport DRH /LM /MT/ We handled the City's side of this case which Beach (Aerie Case) KA ultimately lead to its dismissal. OCA Banning Ranch Conservancy v. Newport Beach DRH /KER We are associated in this matter to make the (Sunset Ridge Park Case) motion to disqualify Shute Mihaley, which was successful. Now DCA Rowen has prepared and we have filed a preliminary response to — - --- - -- BRC's petition for writ of mandate in the court of appeal. PIM /PD Media Access to Police Materials DRH /MDB/ Worked through issues updating procedures CMW in PD regarding availability of information in police log to meet Government Code requirements and balance media's need to know while avoiding privacy issues. Administer OCA Banning Ranch EIR and Water Supply LM /MT Oversaw outside counsel services working on Assessment Banning Ranch EIR and Water Supply Assessment Page 3 Representative Listing of Major Projects by Legal Team 2010 OCA Zoning and Development Agreement and DRH /LM Conducted RIP process to retain assistance i Transactional Legal Assistance with land use and zoning work specifically development agreements, pursuant to subcommittee request. OCA Telecommunication legal assistance and DRH /LM _. Conducted RIP Process for obtaining litigation representation RIP support services in the area of telecommunications, NextG v. CNB. OCA 1WA Settlement Agreement Extension - RIP for DRH Conducted RIP for CEQA and FAA legal CEQA and FAA legal services services for 1 WA Settlement Agreement extension negotiations. OCA Administer Office DRH Oversee the provision of services and report to Council periodically regarding progress. Page 4 A TTACHMENT 3 City Council Agenda January, 25, 2011 Reduction of Outside Counsel Use by Function Reduction of Use of Outside Counsel by OCA Function ''s t j 3 t,`ajn :�f RJ P O"' i i I i CS Adi&i Reed & Davidson Firm on $2,000 per month retainer before 2009. Now handle $ 24,000.00 C all election and conflict issues in house unless occasionally seek support advice. . Labor and Employment OCA handles all labor and employment issues at least up to $ - -_ Counsel C58 level whereas matters routinely referred to outside counsel in the past. 7. Police Legal Advisor The Police Department had an internal attorney who provided $ - services to the department including advice on police and enforcement issues, personnel, contracting, Airborne Law ,r Enforcement IPA, and other issues. This position was 4 eliminated and its duties returned to the OCA. m , Woodruf, Spradlin & Smart We brought code enforcement litigation back in house with $ 90,000.00' the hiring of DCA Bowen and DCA Torres ° Aleshire & Wynder All code enforcement handled in house since hiring DCA $ 90,000.00 Bowen and DCA Torres; we allowed cases to stay to Y, €,._....,,.._ completion but sent no more; only two still pending - Leason M and Reumont. ' District Attorney DA handled municpal code misdemeanor enforcement but $ 10,000.00 taken back in since we can handle more efficiently and achieve better results. r' ' k ? Police Legal Advisor Formerly represented the City on Peace Officer Records issues (Pitchess Motions); Duties returned to the OCA ke it Irreplaceable This matter was handled on by the OCA on behalf of the City. $20,000 -i". Land forms v. CNB Aerie Catanzarite v. CNB Handled in house for first responsive pleadings; sent to outside $ - r<. counsel while Hunt and Beauchamp out. .. ;;r e... Banning Ranch Conservancy OCA successfully handled trial court motion to disqualify $ 15,000.00 v. CNB opposing counsel and now handling writ and appeal proceedings re: same. •',. I° Various Tort Actions OCA has either settled or been instrumental in settling several $ 10,000.00 - tort actions filed and served on City prior to City having to file `. responsive pleadings. ' All legal business now being All billings and oversight goes through OCA, most notably $ - administered by the OCA Group Homes $ 259,000.00 A TTACHMENT 4 City Council Agenda January 25, 2011 Various Articles Regarding Trend of Bringing Services Back In -House Print Article: City pays attorneys twice '05 fees City pays attorneys twice '05 fees Brittany Levine Register Writer 2010 -10 -12 00:00:00 Nine months into 2010 the city of San Juan Capistrano racked up about $978,500 in attorneys' fees, almost double what the city spent on lawyers five years ago. Page 1 of 1 Since 2005, payments to city law firm Woodruff, Spradlin & Smart have increased almost every year, according to city records analyzed by The Orange County Register. The city uses the firm to help clarify legal questions at City Council meetings and handle litigation. A current lawsuit against the city regarding delays caused in building a proposed housing development may lead to a judgment of at least $9.4 million. According to Orange County Superior Court records, San Juan was the defendant in at least five cases in 2009. The law office is paid $175 an hour for attorney services, $95 an hour for paralegal and law clerk work, and charges a $35 fee for messenger services, according to a 2005 contract with the city. The city boosted attorney pay by about 10 percent that year at the request of the law firm, records show. The fees have been rising since 2005, minus a 22 percent dip in 2008. That anomaly was followed by a 68 percent increase in 2009. Attorney fees by year: 2005: $399,763.34 2006: $455,968.42 2007: $728,391.25 2008: $563,099.18 2009:$948,873.73 2010 (through September): $978,508.53 © Copyright 2011 Freedom Communications. All Rights Reserved. Privacy Policy I User gmement I Site Mao http : / /www.ocregister.com/common /printer /view.php ?db= ocprint &id =91918 01/11/2011 Daily Journal - California's Largest Legal News Provider Page 1 of 3 J)01*1";!0t1rnd1 Classifieds : Experts /Services : CLE : Search WEDNESDAY THURSDAY FRIDAY MONDAY TODAY SEARCH /RESULTS Wednesday, November 3,2010 Bookmark Reprints Corporate Counsel Go on Internal Hiring Spree to Lower Legal Costs By Sara Randazzo Corporate law departments are bulking up, bringing on attorneys and paralegals to fill needs previously met by outside counsel. It's a move motivated by cost savings, but also by the realization that bringing specialized legal expertise into the fold can be a better way to run a business. "As we hold the legal budget flat, we're forced to make choices between trying to get more out of the outside counsel we use... and bringing other stuff in house," said John Kuo, general counsel of Varian Medical Systems Inc. A series of recent studies confirm the trend. Legal consulting firms Altman Weil and Hildebrandt Baker Robbins both released surveys in October concluding internal spending is up, and outside counsel costs are on the chopping block. Of the 174 chief legal officers surveyed by Altman Weil, 63 percent said they increased their internal budgets from 2009 to 201o, and 41 percent plan to hire a new lawyer over the next year. Hildebrandt found outside counsel spending decreased 6 percent worldwide between 2008 and 2009. 'As we hold the legal budget flat, we're forced to make choices between trying to get more out of the outside counsel we use ... and bringing other stuff in house.' John kuo varian medical systems The Association of Corporate Counsel also released a study, in conjunction with Serengeti Law, a legal project management and e- billing system provider, that found the ratio of outside to in -house spending dropped precipitously over the past to years, from 2.2 to 1.5. The report concluded outside counsel must now compete for work not only with other law firms, but with their own clients' law departments. http: / /www.dailyjoumal.com/ subscriber lSubMain.cfm ?shCenFileName = SEARCH &shNews... 01/11/2011 Daily Journal - California's Largest Legal News Provider For Sanmina -SCI Corp. general counsel Michael Tyler, the survey results come as no surprise. Over the past two years, he's moved nearly all of his corporate securities work - including the preparation of SEC documents such as the io -K, 8 -K and Form 4s - to his own staff, and hired over a corporate securities expert from the legal team of Synopsys Inc. Wilson Sonsini Goodrich & Rosati used to handle the matters, but now he only turns to them for difficult questions that he believes need an outside eye. The result has been not only "stark, fantastic" cost savings, but greater efficiency, because new lawyers don't have to get up to speed before every filing, Tyler said. Within the past year, Sanmina, which oversees manufacturing facilities for other companies, has also hired another attorney to work on contracts, something the department handles in spades. Tyler said he hasn't seen much of a reaction from the outside counsel he's phasing out, and no one has offered to lower their rates to keep the work. "Their model must be, there's a certain type of work they want, premiere, high - billing work," Tyler said. "They are pursuing policies resulting in this model. The firms, via their pricing, are encouraging us" to bring more work in house. Judy Allen, a recruiter with Major, Lindsey & Africa who heads the firm's Northern California offices, said she's noticed pent -up demand to hire more attorneys internally, with many companies still waiting for the economy to improve before taking the plunge. She said the expansion isn't happening just at corporate headquarters. Adding internal lawyers is also in vogue internationally, particularly in Europe and Asia. Several recruiters and consultants cited compliance work as an area more in -house legal departments are handling themselves, especially in the wake of the Sarbanes- Oxley Act enacted in 2002 to increase regulation of public companies. Laurie Grayson, a legal recruiter who works "primarily on retained searches for in- house legal departments, said she's seen more interest in adding highly specialized positions, particularly in the compliance and social media areas. She recently placed a law firm lawyer who specializes in social media into the department of a traditional, Fortune 500 company, and said she has more searches in place. "Social media is just starting to grow, and is just going to get bigger," Grayson said. "It's one area of law that can help companies create profit." For the most part, in -house departments are still looking to hire lawyers with several years of experience at another company or in a law firm. However, even that long- standing practice is slowly changing. This fall, for the first time, Hewlett- Packard hired recent law school graduates who will receive their legal training in house. On a smaller scale, the four - lawyer legal team at technology company Blue Coat Systems also has a first -year attorney. White he was initially sent to work at Blue Coat from McDermott Will & Emery while waiting out a Page 2 of 3 http: / /www.dailyjoumal.coml subscriber lSubMain.cfm ?shCenFileName = SEARCH &shNews... 01/11/2011 ,a Daily Journal - California's Largest Legal News Provider deferral, the department realized "we had more need for him than they did," general counsel Betsy Bayha said, and so he's stayed on board. Bayha called the opportunity to hire young attorneys a "low -risk proposition' and "an incredible resource that's out there for GCs, provided they're willing to spend a little extra time." Kuo of Varian Medical said he's hired three young lawyers recently who are all in the first few years of their careers. "The economy was so bad, there was a glut of people out there," Kuo said. He said he's still reluctant to hire a fresh law school graduate with no hands -on experience, and one way he's helped his most junior lawyer get training is to send her to one of the law firms they work with. From department to department, the nature and execution of the internal adjustments may vary, but one thing seems certain - change is here to stay. "Forget the economy," Bayha said. "You can be so much of a better business partner to the rest of the company by doing as much as we can in house." Page 3 of 3 http: / /www.dailyjoumal.coml subscriber lSubMain.cfin ?shCenFiloName = SEARCH &shNews... 01/11/2011 Daily Journal - California's Largest Legal News Provider Page 1 of I at ;c�t�C �tl Classifieds :Experts /Services = CL)C Search WEDNESDAY THURSDAY Thursday, November u, 2010 FRIDAY MONDAY TODAY SEARCH /RESULTS Bookmark Reprints Audit Fault's MTA for High Legal Fees By Ciaran McEvoy A government audit has found the Los Angeles County Metropolitan Transportation Authority spent tens of millions of dollars on legal fees during the last five years with few controls over expenditure limits. The MTA spent more than $8o million on six cases alone, according to the audit. County Supervisor Mark Ridley- Thomas, who along with Los Angeles Mayor Antonio Villaraigosa asked for the audit in February, said the MTA now has better controls over legal bills. But Ridley- Thomas added that "money for lawyers had been leaving MTA's hands with the speed of a runaway train." Media reports highlighted one case involving contractor Tutor - Saliba over the construction of Los Angeles' Red Line subway. The lawsuit has been litigated for 15 years at a cost exceeding $32 million. http: / /www.dailyjoumal.com/ subscriber /SubMain.cfm ?shCenFileName= SEARCH &shNews... 01 /11/2011 Daily Journal - California's Largest Legal News Provider Page 1 of 2 Classifieds : Experts /Services : CLE : Search WEDNESDAY THURSDAY FRIDAY MONDAY TODAY SEARCH /RESULTS Bookmark Reprints Monday, December 20, 2010 S.D. Cutting Outside Legal Costs By Pat Broderick SAN DIEGO - The city of San Diego managed to reduce the cost of outside legal counsel, according to new reports released Friday. Quoting numbers released by the city's Risk Management Department, the costs have been cut to $6 million from $io.g million the prior fiscal year. The news comes after the Watchdog Institute, a nonprofit investigative reporting center based at San Diego State University, issued a critical report, noting that the city's costs of handling claims and lawsuits against the city had more than tripled in recent years, and describing the city's system for evaluating risk as "significantly flawed." In a statement released Friday, City Attorney Jan Goldsmith attributed the turnaround to a system he initiated at the beginning of his tenure two years ago to screen and limit the use of outside counsel "only where required by law." "We're now a real law firm, with efficient training, quality control and supervision," Goldsmith said. "We have confidence in our lawyers to handle big and important cases and we're winning." Lorie Hearn, Watchdog director, said that's good news, but it only goes so far. "Our report attempted to look at how the city assesses risks and handles liability questions," she said. "It's a bigger issue than just the city attorney's office." But, she added, "Outside counsel was a major part of the expenses. As a taxpayer, I'm happy to see expenses go down." http: / /www.dailyjournal.com/ subscriber /SubMain.cfm ?shCenFileName= SEARCH &sbNews... 01/11/2011 �Corporate Counsel Go on internal, U*�Rg S -e to pre Lower - CosLs 9y Sara Randazzo Dally Journal Staff Writer Corporate flaw departments are bulk ing up, brining on attorneys and_para- legals to fill) ;needs previously met by outside counsel. It's a move motivated by cost savings, but also by the real- ization that bringing specialized legal expertise into More recruiting the fold can be a stories on. pages 6.7. better way to run. a business. MMEMINIUMMERNIP "As we .hold . the legal budget flat, we're forced' to make choices between trying to get more out of the outside counsel we use... and bringing other stuff in house;' said john Kuo, general counsel of Varian Medical Systems Inc. A series of recent studies confirm the trend. Legal consulting firms Altman Weil and Hildebrandt Baker Robbins both released surveys in October con- cluding internal spending is up, and out- side counsel costs are on the chopping block. Of the 174 chief legal officers surveyed by Altman Weil, 63 percent said they increased their internal bud- gets from 2009 to 2014, and 41 percent plan to hire a new lawyer over the next that found the ratio of outside to in- house spending dropped precipitously over the past 10 years, from 2.2 to 1.5. The report concluded outside counsel must now compete for work not only `As we hold the legal budget flat, We're forced to malice choices between trying to get, more out of Vie outside counsel we use ... and bringing other stuffs house: JOHN KUO VARIAN MEDICAL SYSTEMS year. Hildebrandt found outside counsel spending decreased 6 percent world- wide between 2008 and 2009. The Association of Corporate Coun- sel also released a study, in conjunction with Serengeti Law, a legal project man- agement and e- billing system provider, with other law firms, but with their own clients' law departments. For Sanmina -SCI Corp. general coun- sel Michael Tyler, the survey results come as no surprise, Over the past two years, he's moved nearly all of his corporate securities work — including the preparation of SEC documents such as the 10 -K, 8•K and Form 4s — to his own staff, and hired over a corporate securities expert from the legal team of SynopsysInc. Wilson Sonsini Goodrich & Rosati used to handle the matters, but now he only turns to them for difficult questions thatte believes need an outside eye. The result has been not only "stark, fantastic" cost savings, but greater efficiency, because new lawyers don't have to get up to speed before every filing, lyle;.said. MrAlk the past year, Samna, which oversees manufactur- ing facilities for other companies, has also hired another attorney to work on contracts, something the department handles in spades. Tyler said he hasn't seen much of a reaction from the outside counsel he's phasing out, and no one has offered to lower their rates to keep,the work. "Their model must be, there's a cer. tain type of work they want, premiere, See Page 4 — CORPORATE Corporate Counsel Go on Hiring Spree Continued from page 1 high - billing work," Tyler said. "They are pursuing policies re- sulting in this model. The firms, via their pricing, are encouraging us" to bring more work in house. l eaAllen, a recruiter with Major, Lindsey & Africa who eads the firm's Northern Califor- nia offices, said she's noticed pent - up demand to hire more attorneys internally, with many companies still waiting for the economy to improve before taking the plunge. She said the expansion isn't happening just at corporate head- quarters. Adding internal lawyers is also in vogue internationally, particularly in Europe and Asia. Several recruiters and consul- tants cited compliance work as an area more in -house legal depart- ments are, handling themselves, especially in the wake of the Sal banes -Oxley Act enacted in 2002 to increase regulation of public companies. Laurie Grayson, a legal re- cruiter who works primarily on retained searches for in -house legal departments, said she's seen more interest in adding highly specialized positions, particularly fn the compliance and social me- dia areas. She recently placed a law firm lawyer who specializes in social media into the depart- ment of -a traditional, Fortune 500 company, and said she has more searches in place. "Social media is just starting to grow, and is just going to get big- ger," Grayson said. "It's one area of law that can help companies create profit." For the most part, in -house departments are still looking to hire lawyers with several years of experience at another company or in a law firm. However, even that long-standing practice is slowly changing. This fall, for the first time, Hewlett- Packard hired recent law school graduates who will receive their legal training in house. On a smaller scale, the four - lawyer legal team at technology com- pany Blue Coat Systems also has a first -year attorney. White he was initially sent to work at Blue Coat from McDermott Will & Emery while waiting out a deferral, the department realized "we had more need for him than they did," general counsel Betsy Bayha said, and so he's stayed on board. Bayha called the opportunity to hire young attorneys a "low-risk proposition" and "an incredible resource that's out there for GCs, provided they're willing to spend a little extra time." Kuo of Varian Medical said he's hired three young lawyers recently who are all in the first few years of their careers. "The economy was so bad, there was a glut of people out there," Kuo said. He said he's still reluctant to hire a fresh law school graduate with no hands -on experience, and one way he's helped his most junior lawyer get training is to send her to one of the law firms they work with. From department to depart- ment, the nature and execution of the internal adjustments may vary, but one thing seems certain — change is here to stay. "Forget the economy," Bayha said. "You can be so much of a bet- ter business partner to the rest of the company by doing as much as we can in house." sans randazzo @dailyjournal.cam month, an even split of owed bursement of his capital con - rrding to the documents filed In, he is entitled to $10,000 a the next 27 years — a total the terms of his retirement filler and the firm coincided . prosecutions involving An- •ivate detective whose wire - led lawyers and Hollywood 1irement -funds attorney at ras difficult to know why the A Miller his retirement. d standpoint, he acted ethi- ed with the judgment" she details into the arbitration e firm sued Miller after he Aner in May 2006. By that iship exception ly where there o conclude that ental to child. , DAR p. 17167 ing compensa- and Harbor ct, national i employee rly applied. rf Workers' (emper Insur- 9th, DAR p. re: District =rror in incor- t's sentence was ir- U.S, v. Grout ar in insert ancy av ivally YYt011. SKIP MILLER "I'm satisfied with my award," Miller said, "I wish my old partners the best — I hope they do really well" He said he was proud of his legal team on the case, led by Justin Ehrlich, a former associate at his old firm now working at the Law Offices of Ian "Buddy" Herzog, as well as his two sons Danny and Jimmy, who work at Miller Barondess. He declined to comment on the details of the arbi- tration, citing confidentiality clauses, as did Jim Sch- reier, general counsel of Glaser, Weil, Jacobs, Fink, Howard & Shapiro, who returned calls on the matter. The firm's attorney, Peter Jarvis, of Hinshaw & Culb- ertson, did not return calls seeking comment. The arbitration took place over the course of eight days at American Arbitration Association's downtown BRIEFLY ales County Metropolitan Transportati tority'spent tens of millions of dollars agal fees during the last five years wit controls over expenditure limits. The spent more than $80 million on six ss alone, according to the audit. Coun ervisor Mark Ridley- Thomas, who alon Los Angeles Mayor Antonio Villaraigo ;d for the audit in February, said the h has better controls over legal bills. B °y- Thomas added that "money for law. A San Francisco federal judge on Wednesday denied Wells Fargo & Co.'s request that he stay pending appeal the entry of a $203 million judgment against the bank -in -a- case related to overdraft policies. The bank had also argued that it should not have to post bond on the judgment since it is able'to pay the full $203 million. In a filing last month, the bank said it reported $609 billion in assets in its last annual report. But U.S. District I­ I,,, IM IN-- U A1.n .- ..I...I +I...+ nH 1.r. ;— for nearly three decades. Christensen was convict in August 2008, and a federal judge handed dowt three -year prison sentence, though he remains ft pending appeal. Some observers questioned whether Miller's c parture was related to the fact that his own billion: client, Alec Gores, had worked with Pellicano. Got testified at Pellicano's trial in April 2008 that worked directly with the private detective. The Daily Journal reported in 2006 that the fir lamed Miller's departure on sanctions against t rm from a case he oversaw, but that Miller blam is departure on a reluctance to work with Chr cnsen after the indictment. Glaser Weil, which lost a string of partners a) Fits name several times, has stabilized, wi bout 90 lawyers. Miller, who leases space in a Century City buildh 1cross from his old firm, has grown Miller Baronde to 18 lawyers. As litigation over Don't Ask, Don't Tell moved to 1pe U.S. Supreme Court, the Obama administrpon on Wednesday argued that the justices sgpuld leave in place the policy over gays and lsbians in the military while the 9th U.S. qifcuit Court of Appeals considers the adminIlItration's appeal of a ruling by a Los Angeles trial judge that the policy is unconstitdjional. Last week the Log Cabin Republican. plaintiffs asked the high court to dissolve the circuit's stay of the trial judge's ruling. Wednesday's pleading explained that despite Pre €ident Obama's belief that the policy should end, the administration wants Congress, not the courts, to repeal DADT because it was Judge 1 San Die desire 1 person the past "I a financial condition of a national bank wou have been unquestionably strong enough" negate the need for a bond, "the recent toll pse of the economy and attendant bailout of ation banks including Wells Fargo have cha d the anlysis:' Alsup ordered the bank to p Ide a submission on its net liquid assets w in seven days of his order so he can deter, ne if a bond is necessary. As litigation over Don't Ask, Don't Tell moved to 1pe U.S. Supreme Court, the Obama administrpon on Wednesday argued that the justices sgpuld leave in place the policy over gays and lsbians in the military while the 9th U.S. qifcuit Court of Appeals considers the adminIlItration's appeal of a ruling by a Los Angeles trial judge that the policy is unconstitdjional. Last week the Log Cabin Republican. plaintiffs asked the high court to dissolve the circuit's stay of the trial judge's ruling. Wednesday's pleading explained that despite Pre €ident Obama's belief that the policy should end, the administration wants Congress, not the courts, to repeal DADT because it was Judge 1 San Die desire 1 person loCal 6 I Tuesday, Oct. i2, 2010 ski ` The Orange County Re¢ a� = tEx.Thecityusesthefirn cis ps ",.help clarify legal.questi ±at City Council meeti !1rfl e and handle litigation. a�`� ito li Acurrsntlawsuita& ca, used building a ] I� 9 «gthe city regarding a I {� gosedh0us;mg developn �mayleadtoaj e�' udgment'� 6 Ace ! I' i least $9.4 nullion• ° mg to Orange County 8 I San Juan records, ll �q y ;Juan was the defendai Capistrano tlaa0, five in 26 at least cased racked U� nEl`'z ,; Thelawoffieeispaid $1 mifli6n in le 11 an hourfor attorney se es;. 95, an hour for pa Oil tills Y-Ea9" 1 :' gal and law clerk work f i, x e)larges a $35 fee for+i 1. Nine months into 20ii' a Apr services, accol the San Juan !Capi 1 city of eo te.ano racked tip .aka cit�.The eitybooste 3 ",: l�: $97$,500; m a ttorneys� noypaYbY about 10.p? the requ ti ... almost t1 tkiat year at ble wti i' t11e law firm, records, t:. city.' s The1'eesbavebeen a;” .. on 1 ". " „' since 2005, Minus. 209$; Cent dip in A o anomaly was followe g II j �tiTAM Sin, " +�" l g8 percent increq 2009. fees by Attorney k WINTER ' $399,763.34 otty ,';' I e 2005, 2006 $455968.4 1 E�, • 200? $128,391:2P 1 2008 $563,099;11 Ql �N i TOO KOW ��rt ' • 2009: $948,873:7 (tUrough ". R1UE�16tf�Atir� a 201 i? tor", ,fl{ ber)'$97$508.63 "' 00114 J 1' biI}ryM9SS90to actor; to i eityk ) . cor Cp'NTACT THE —� — 5yzed'. "" . Daily Journal - California's Largest Legal News Provider Page 1 of 3 pailU,?ournal Classifieds : Experts /Services : CLE : Search TUESDAY WEDNESDAY THURSDAY FRIDAY TODAY Previous Next Bookmark Reprints NE S.D. Cutting Outside Legal Costs Mon Zon Wat By Pat Broderick Calif mun SAN DIEGO - The city of San Diego managed to reduce the cost of outside legal revie counsel, according to new reports released Friday. uphe Los. Quoting numbers released by the city's Risk Management Department, the costs have been cut to $6 million from $1o.9 million the prior fiscal year. Gov Brit The news comes after the Watchdog Institute, a nonprofit investigative reporting Mari center based at San Diego State University, issued a critical report, noting that the city's that costs of handling claims and lawsuits against the city had more than tripled in recent exch years, and describing the city's system for evaluating risk as "significantly flawed." for b hum In a statement released Friday, City Attorney Jan Goldsmith attributed the turnaround to a system he initiated at the beginning of his tenure two years ago to Teel screen and limit the use of outside counsel "only where required by law." Pate The "We're now a real law firm, with efficient training, control and supervision," E affin quality Goldsmith said. "We have confidence in our lawyers to handle big and important cases dispi and we're winning." the f biote Lorie Hearn, Watchdog director, said that's good news, but it only goes so far. GOv "Our report attempted to look at how the city assesses risks and handles liability ; Con questions," she said. "It's a bigger issue than just the city attorney's office." i The Pres: But, she added, "Outside counsel was a major part of the expenses. As a taxpayer, I'm 2. ludic happy to see expenses go down." prog 1 infra Proi Ex E Previous Next 1 The senic to pr their Lime Lau On] http: / /www.dailyjoumaLcom /subscriber /submain.cfin 12/20/2010