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File Number: 18-145 <br />The City contracted with the law firm of Bertrand, Fox, Elliot, Osman & Wenzel for its proven <br />success rate and experience representing public agencies in tort litigation. The Mengel and <br />Woody litigation budget for defense costs was originally estimated to be less than $50,000.00, <br />and the actual defense costs totaled $42,000.00. <br />The law firm continues to provide excellent service on other tort claims and litigation assigned to it <br />and charges reasonable hourly rates for service. Due to these successful outcomes of litigated <br />matters, City staff requested, with the City Attorney’s approval, the continued use of Bertrand, <br />Fox, Elliot, Osman & Wenzel legal services for a variety of risk management issues and tort <br />claims. <br />The City of San Leandro’s risk pool, California Joint Powers Risk Management Association <br />(CJPRMA) highly recommended this law firm to defend the City in tort claims litigation due to its <br />success rate and experience realized with other member cities. Since 2013, the law firm has <br />litigated 22 tort claims with 59% settled and 41% dismissed on behalf of the City. Currently, the <br />law firm is handling 10 open tort claims in litigation. The City has exhausted funding to support <br />this legal services agreement and requires additional funding to cover legal costs associated with <br />the 10 open tort claims in litigation, and any subsequent tort claims litigation. Therefore, staff <br />requests approval of an Amendment No. 2 to the Agreement with Bertrand, Fox, Elliot, Osman & <br />Wenzel to utilize the firm’s services on as needed bases when approved by the City Attorney. <br />Fiscal Impacts <br />The agreement amendment is to increase an additional not to exceed amount of $600,000.00 <br />and to extend the term of the Agreement through June 30, 2021. <br />Since 2013 through current fiscal year, the City has expended $650,000 for legal services relating <br />to tort claims litigation which fully exhausts approved funding. The 2017-18 Self-Insurance Fund <br />operating budget contains sufficient funding for tort claims litigation for the remainder of this fiscal <br />year. <br />Budget Authority <br />The 2017-18 Self-Insurance Fund operating budget for General Liability legal fees reflects an <br />appropriation of approximately $822,000.00 in account # 689-19-004-5110 which has sufficient <br />funds to cover legal services of tort claims litigation for the remainder of this fiscal year. <br />ATTACHMENT <br />None <br />PREPARED BY: David Baum, Director of Finance, Finance Department <br />Page 2 City of San Leandro Printed on 4/10/2018 <br />69