HomeMy WebLinkAboutContracts & Agreements_93-2007_CCv0001.pdf BEST ]REST & KRIEGER
INDIAN WELLS A�ffOHNEVS AT LAW
(760)568-2611 SACRAMENTO
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Riverside,California 92502-1028 SAN DIEGO
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— eeKlaw,com (925)977-3300
ONTARIO
(909)989-8584
Francis J.Baum
(951)826-8274
Francis.Baumftbklaw.corn
May 31, 2007
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City of Redlands
35 Cajon Street
Redlands, CA 92373
Re: Legal Services Relating to Formation of Redlands Utility Authority and
Lease of Utility Enterprises
Ladies and Gentlemen:
This letter sets forth our proposal for legal services to the City of Redlands (the "City") in
connection with the proposed lease of the City's water and wastewater system pursuant to
Section 10061 of the California Public Utilities Code to a joint powers authority to be formed
within the City. It is our understanding that the City's staff is recommending the lease of the
water and wastewater systems (the "Utility Enterprises") to a joint exercise of powers authority
to be formed by the City and the Redevelopment Agency of the City of Redlands. We have
provided legal services in the past to the City of Needles and the City of Colton in connection
with the formation of similar utility authorities in those cities and the lease of their public
utilities. We would be happy to provide legal services to the City of Redlands in connection with
the formation of a Redlands Utility Authority and the preparation of the related legal documents
in connection with the lease by the City of the T Ttility Enterprises to the Authority,
Our legal services would include the preparation of a joint powers agreement between the
City and the Redevelopment Agency, bylaws and related formation documents, drafting of a
lease agreement leasing the Utility Enterprises from the City to the Authority and a management
agreement providing for continued City management of the Utility Enterprises and all other
necessary approving resolutions and notices of public hearings and providing related legal
advice.
Our legal fees for the foregoing services would be $25,000. Our fees would be payable
upon completion of the formation of the Authority and finalizing of the lease documents for the
Utility Enterprises. In the event this matter is not completed by the City, we would expect to be
compensated a reasonable amount for our legal set-vices provided to the date of abandonment and
to be mutually agreed to by the City and us.
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NO
BEST BEST & KRIEGER
ATTORNEYS AT LAU,
City of Redlands
May 31, 2007
Page 2
In addition to the above legal fees, we would expect to be reimbursed for out-of-pocket
expenses incurred by us on behalf of the City, such as long distance telephone calls, messenger
and courier services, travel at the request of appropriate officials, duplicating and the like. We
would expect such expenses to not exceed$1,500.
If this arrangement is satisfactory to the City, please have an authorized officer of the
City sign and return a copy of this letter to me.
Very truly yours,
V U
Francis J. Baum
of BEST BEST&KRIEGER LLP
FJB-jcq
TERMS OF EMPLOYMENT APPROVED
THIS 5th DAY OF JUNE 2007
thorized Officer, City of Redlands
Wu
/Jon Harrison, Mayor
ATTEST:
Lorr* Poyzer 'It Clerk
L/
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