HomeMy WebLinkAboutR-2001-066 RESOLUTION NO. 2001-066
A RESOLUTION OF-THE CITY OF DANIA BEACH, FLORIDA,
APPROVING PARTICIPATION OF THE CITY IN A
CONSORTIUM OF LOCAL MUNICIPALITIES IN LITIGATION
REGARDING A DISPUTE WITH FLORIDA POWER & LIGHT
CONCERNING A FRANCHISE FEE OFFSET.
BE IT RESOLVED BY THE CITY COMMISSSION OF THE CITY OF DANIA
BEACH, FLORIDA:
Section 1. That the City Commission of the City of Dania Beach, Florida, hereby
approves participation of the City in a consortium of local municipalities in litigation
regarding a dispute with Florida Power & Light regarding a franchise fee offset. The proper
City Officials are authorized to execute documentation evidencing such participation.
Section 2. That this Resolution shall be in force and take effect immediately upon
its passage and adoption.
PASSED AND ADOPTED this 24T" day of APRIL, 2001.
PATRICIA FLORY
MAYOR-COMMISSIONER -
ATTEST: ROLL CALL:
.� COMMISSIONER BERTINO- YES
SHERYL CHAPMANCOMMISSIONER MCELYEA - YES
ACTING CITY CLERK COMMISSIONER MIKES - YES
VICE-MAYOR CHUNN- YES
MAYOR FLURY- YES
APPROVED AS TO FORM AND CORRECTNESS:
BY:
THOMAS J. AN'SBRO
CITY ATTORNEY
rRESOLUTION NO. 2001-066
WEISS SEROTA HELFMAN
PASTORIZA & GUEDES, P.A.
ATTORNEYS AT LAW
BROWARD OFFICE
NINA L.BONISKE 3107 STIRLING ROAD, SUITE 300 DOUGLAS R.GONZALES
JAMIE ALAN COLE FORT LAUDERDALE, FLORIDA 33312 GERALD T. HEFFERNAN*
EDWARD G.GUEDES JOHN R. HERIN,JR.
STEPHEN J. HELFMAN CHRISTOPHER F.KURTZ
GILBERTO PASTORIZA JAMIE ALAN COLE PETER A.LICHTMAN
JOSEPH H.SEROTA MANAGING SHARE HOLDER-BROWARD OFFICE KAREN LIEBERMAN*
RICHARD JAY WEISS MATTHEW H. MANDEL
DAVID M.WOLPIN BERNARD S. MANDLER'
STEVEN W.ZELKOWITZ TELEPHONE (954)763-4242 GARY I. RESNICK*
TELECOPIER (954)764-7770 NANCY RUBIN*
WWW.WSH-FLALAW.COM GAIL D.SEROTA'
M IAMI-DADE OFFICE DANA S.SCHWARTZ
THOMAS J.ANSBRO* 2665 SOUTH BAYSHORE DRIVE•SUITE 420 ARI C.SHAPIRO
LILLIAN ARANGO DE LA HOZ* JEFFREY P.SHEFFEL
ALISON S.BIELER MIAM1,FLORIDA 33133 NANCY E.STROUD*
MITCHELL A. BIERMAN TELEPHONE (305)B54-0800 • TELECOPIER (305)854-2323 SUSAN L.TREVARTHEN
MITCHELL J. BURNSTEIN CARMEN I.TUGENDER
ELAINE M.COHEN �OF COUNSEL DANIEL A.WEISS'
May 11, 2001
Via Facsimile
Honorable Mayor and Commissioners
City of Dania Beach
100 West Dania Beach Boulevard
Dania Beach, FL 33004
Re: Claim Against Florida Power & Light Regarding Franchise Fee Property Tax
Offset
Dear Mayor Flury and Commissioners:
The Cities of Pompano Beach, Margate, and Tamarac have engaged our Firm to perform
legal services regarding their claims against Florida Power & Light ("FPL") over a property tax
offset or credit contained in their respective FPL franchise agreements. We have discovered that
the City of Dania Beach has the identical property tax offset provision in its franchise agreement
with FPL (as does nearly every city in Broward County). A number of other cities are
considering joining an action to challenge this offset in court. Based on my initial review of City
records, the amount at stake is in excess of$90,000.00 per year.
The legal position of the cities filing the case is that no city ever had the legal authority
to grant an exemption from real and personal property taxes unless the exemption has a
legislative and constitutional basis.' The Florida Supreme Court long ago held that a City lacks
1 See Art. VII,§ 2, Fla. Const.("all ad valorem taxation shall be at a uniform rate within each taxing unit. . .");Art.
VII, § 3 (providing for certain limited property tax exemptions,none of which apply here);Art. VII, § 9
(authorizing cities and other governmental entities to levy ad valorem taxes,but not authorizing any property tax
Honorable Mayor and Commissioners
May 11, 2001
Page 2
the power to contractually grant a tax exemption and any such agreement is ultra vires, (beyond
the legal authority of a city) and void, absent specific statutory authority. Tmlna Shiphuil_ding
Rr Fn, u� �4 Co—v Tampa, 102 Fla. 549, 136 So. 459, 463 (1931). In T htLdng, the
Court7 quoted with approval from a Missouri case to the effect that specific authority is
required before a municipality may authorize an exemption for taxes:
A municipal corporation has no power to grant exemption from
or a commutation of taxes, and a contract which undertakes to do
so is void; nor,can municipalities discriminate -in favor of ary
property. The power to exempt is not included in the power to
tax, but must be specifically conferred.'
The City of Dania Beach may be interested in joining the other cities and retaining the
Firm in connection with the same issue with FPL. I am attaching the retainer letter signed
between our Firm and Pompano Beach dated February 5, 2001 (the " original Retainer Letter").
As you can see in paragraph 2, page 2, the Retainer Letter sets forth the terms under which
other cities may join Pompano Beach, Margate and Tamarac in the matter.
® If the City of Dania Beach wants to join the Cities of Pompano Beach, Margate, and
Tamarac (and probably several other cities) in this endeavor, and if the terms of the Retainer
Letter are acceptable, we will agenda the matter for a Resolution authorizing the retaining of the
Firm as set forth in the original Retainer Letter.
Very truly yours,
WEISS SEROTA HELFMAN
PASTORIZA & GUEDES, P.A.
By:
Thomasf. Ansbro
exemptions).
z Id_at 464(quoting from Vrana v_ St_ Louis, 164 Mo. 146, 64 S.W. 180, 181 (1901);see also Lykes Bros_ v. Plant
City-, 354 So.2d 878, 880 (Fla. 1978) ( . . . our decisions uniformly hold that municipal contracts promising not to
impose taxes, or granting tax exemptions, are ultra vires and void in the absence of specific legislative authority.");
Archer v Marshall, 355 So.2d 781, 784 (Fla. 1978) ("The legislature is without authority to grant an exemption
from taxes where the exemption has no constitutional basis.")
w E I S S S E B O T A H E L F M A N
PASTORIZA & GUEDES, P.A.
• Honorable Mayor and Commissioners
May 11, 2001
Page 3
THE TERMS OF THIS LETTER
AND THE ATTACHED LETTER
ADDRESSED TO GORDON LINN,
DATED FEBRUARY 5, 2001, ARE
ACCEPTABLE TO THE CITY OF
DANIA BEACH AND ARE
HEREBY AGREED T O AND
ACCEPTE this day of
2001.
CITY OF DANIA BEACH, FLORIDA
.:a.
By:
Mayor
By:
Mana
By: CJO�AX
� City Clerk
W E I S S S E R O T A H E L F M A N
PASTOBIZA & GUEDES, P.A.
IYU, y54 I b4 I I I U
WETSS SEP. OTA HEL -FMAN
PASTOKIZA & GUEDES, P.A.
ATTORNEYS AT LAW
a ROWARO OFFICE
NINA L. BONIZKE
3111 STtALING ROAD, SUITE B
JAMIE--AN COLS GERALD T. HEFFERNA„'
UOEROALE, FLORIOA 33312 JOHN R.HERIN
EDWARO G.GUEDES FORT LA ,Jq
JTenH£N J. HELFMAN CHRI-ITOPHER o• rUR-Z
OILEIERTO PAETOR17A JAMIE ALAN GOLE PETER A.LICNTMAN
JOSEPH H,3ER0TA _ AAREN LIEBERMAN'
MANAGING SHAREHOLEIER-BROWARD GFFICB RICHARD JAY mrISu MATTNEW H. MANOEL
OAVIO M.WOLPIN BERNARD 3. MANOLER'
STEVEN W.ZELKOWITZ TELEPHONE (35s)763.4Z4Z ALEXANDER L. PALENZUCLA-HAU
TELECOPfFR (954) 76,4-7770 CARP I. :NI
NANO'RU81N-
"140MAS J.ANSORO' WWW-W2H-FLALAW.COM
GAII❑.SEROTn' .
LILLIAN ARANOO OE LA HOZ' MIAMI-C)AOe OFFICE CANA S.SCRWARTZ
ALISON-S.aICLCA Z66S SOUTH EIAYSHORE DRIVE•3V ITE 4ZO ARI C-aHAPIRO
MITCHELL A. IVERMAN HIAMI, FLORIDA-1a 133 JCFFREY P.SHEFFEL
MITCHELL J. 13URNSTF-IN TELE""ONE(305) 954-0800 • TCLECOPIER (305) H64Z323 NANCY C.ZTROUO,
ELAINE M.COHEN SUSAN L.TREvgRTHEN
07UGLA3 R. GONZALEZ CARMEN 1.TVGENOCR
OF COUNSEL OANIEL A.WEI55+
February 5, 2001
SLia T,a(Sjnj P
Gordon 13. Linn, Esq.
City Attorney
City of Pompano Beach
100 W. Atlantic 131vd.
Pompano Beach, FL 33060
Re: DhTute With Florida Power & Light Regarding Franchise Fee Offset
Dear Mr. Linn:
We are pleased that the City of Pompano Beach has engaged our Firm to perform legal
services regarding its dispute with Florida Power & Light ("FPL") over the property tax offset
contained in the franchise agreement. As we discussed, this letter will supercedc the retainer
letter dated January 11,2001.
From our experience, we have found that clients appreciate a frank and open discussion
and understanding of the services that we will perform and the basis upon which they will be
expected to pay for those.services. This letter is intended to set forth our understanding as to the
nature and scope Of the legal services we have agreed to render for the City, the amount of our
fees for those services, the manner in which our fees for those sen'ices shall be determined and
die terms upon which the City will make payment.
I .
C-' _ —
�v -
NHA Nu. 954 764 7770
P,
® Gordon B. Linn, Esq.
February 5, 2001
Page 2 "
1r nL 1aL�er�ciLcs. The City of Pompano Beach has engaged us to
7 epresent it in connection with the preparation of a demand letter to FPL, negotiations regarding
the challenged offset provision and, if necessary, litigation seeking to declare the offset Provision invalid and to recover past damages.
2. ��-r� fnr �rlyirr5.
You wiII be charged and agree to pay for our services on the basis of hourly rates
established from time to time for the attorneys in our Firm, together with applicable taxes if auy.
It is contemplated that Jamie Cole and Douglas Gonzales will have primary responsibility for this
matter. Although their customary rates are considerably higher, we have agreed to charge the
City a blended rate of$175 per hour for all attorney time, unless other cities also retain the Firm
on this matter. The City and the Firm agree that it would be advantageous for other cities to also
retain the firm on this matter and therefore agree that for each city that retains the Firm oil this
matter, the blended hourly rate shall be increased by $5.00 per hour, and that all fees shall be pro
rated between all of the cities that have retained the Firm on this matter based upon their
respective populations as set forth in the latest edition of the Membership Directory published by
® the Florida League of Cities. It is our practice to charge for actual time expended on your
behalf, but not less than 2110ths of as hour for each activity.
3. Cbsts. In addition to the fees discussed in paragraph 2, we anticipate that certain
expenses may be incurred and advanced on your behalf. These expenses may include filing fees,
recording costs, out-of-town travel expenses, delivery charges, long distance telephone charges,
Photocopies (xerox), special postage (express mail, certified mail and the like), computer
research charges, court reporter expenses (including cost of transcript and court reporter's fee for
attendance), court costs (such as filing fees, service of process, newspaper publication costs,
subpoena costs, witness fees, recording fees, etc.), accounting and appraisal fees, fees and
expenses of experts necessary to assist in the preparation and hearing of your case, investigation
costs, word processing fees, computer charges and applicable lobbyist registration fees. In
addition to our fees for legal services, you agree to pay us fnr such out-of-pocket expenditures,
provided, however, that if additional cities retain the Firm on this matter such out-of-pocket
expenditures shall be pro rated between all of the cities that have retained the Firm on this matter
based upon their respective populations as set forth in the latest edition of the Membership
Directory published by the Florida League of Cities. In the event unusually large costs or
advances are anticipated, we reserve the right to require an additional cost deposit from you prior
to undcrtaldng the expenditures of funds on your behalf
4. Pa�f Ft"-s and C osm. Cur invoices will be submitted to you on a monthly
basis and each invoice will be due and payable when rendered. You must understand that if any
invoice remains unpaid for more than 30 days after it is rendered, we reserve the right, in our
discretion (subject to court approval, if necessary), to cease to provide further legal services to
w EISS SE --�ZOT3 IHT: I.Fm
PASTOUIZ4 & GUEDES, F.;i.
flu, TA /b4 !((U
r,
Gordon B. Linn, Esq.
February 5, 2001
Pagc 3
You. You will, however, be liable to us for the payment of any _fecs earned and any costs
incurred by us to that time, together with any applicable taxes. In the event we are ultimately
required to bring suit to collect any unpaid fecs and costs, you understand that you will be
required to pay reasonable attorneys' fees as well as legal interest on the amount of any fees and
costs due us, You further understand that the have the night to retain any and all files, papers and
other property coming into our possession in connection with our engagement without an
liability to you until we have been paid all costs, fees and interest due us under this agreeirlenL
You also agree to the imposition of a charging lien for any monies due us on all real and personal
property that is preserved, protected or obtained as a result of the representation und-ertaken
herein. Interest at the rate of 12% per annum will be added to any invoice which remains unpaid
for more than 30 days after it is rendered.
5. Withdra�ar�t frnrn R rrrePniatinn, We reserve the right to withdraw from
representing the City if you have misrepresented or failed to disclose material facts to us, or if we
disagree about the course of action which should be pursued.
6. Arl_yancerl Frrc an.i ('ncr< n Qsjt Due to the continued nature of our
representation, and your assurance that all bills will be paid within thirty days, we will not
® request a retainer or cost deposit at this time. however, we request that you pay all charges
when rendered.
7. Renres ntadon of()rhrr CHe tc We are bound by rules of legal ethics not to
represent any client if the representation of that client will be directly adverse to the interests of
another client unless each such client consents to such represeivation after consultation. If this
letter is addressed to more than one person, your signature of this letter will constitute such
consent from each of you with respect to the matter or matters specificany desenIed in the
paragraph of this leuer entitled "Nature of Legal Services." In addition, by executing this
agreement, you are consenting to the Firm representing other cities against FPL on this matter.
8. £eec fnr Othrr Rnrvices, In the event you ask us to render legal services with
respect to other matters, in the absence of a written agreement specif=lly addressing chat
representation, the other matters will be handled on an hourly basis, and fees and costs will be
payable under the same terms and conditions as provided for in paragraph 2 of this letter, with no
maximum or minimum amounts.
9. ( nmwt-nr=ncnLaLR;pres=tati= If the foregoing is agreeable to you., please
acknowledge your understanding and agreement by signing this letter and delivering it to us, and
by wiring the retainer set forth above in accordance with the wiring instruction sent Herewith.
W E I S s 5E' Ro-rA HELS'--,,LAY
PAsTouiza & Guii DEs, FA.
Ub4 M l((U
® Gordon B. Linn, Esq.
February 5, 2001
Page 4
We appreciate your confidence in our Firm and we assure you that we will make eVC1.y
effort to perform our scrvices in a prompt and efficient manner.
Very truly yours,
WEISS SEROTA HELFMAN
PASTORIZ.A & G EDES, P.A.
By: ,
Jamie Cole
AGREED AND ACCEPTED on y`� 2001.
CITY OF rPANO BEACH
By:
j'1TF_ IsS SE $OTA $E1.F-MAN
Paszorzz� & G�EDES, P.A.
INTEROFFICE MEMORANDUM
CITY OF DANIA BEACH
CITY CLERK DIVISION
TO: Thomas Ansbro, City Attorney
cc: Jason Nunemaker, Acting City Manager
FROM: Charlene Johnson, Acting City Clerk
RE: Res#2001-066-Consortium of Local Municipalities
Dispute with FPL-Franchise Fee Offset
® DATE: May 18, 2001
We enclose an executed Retainer Letter and Resolution No. 2001-066 for your
distribution.
Thank you.
APR-i8-2001 WED 03:48 PM FAX N0, P. 02
WEYSS S E R 0 T A HELFI4AN
0 PAs-roRXGA & GUEDES, P.A.
ATTORNEYS AT LAW
BROWARD OFFICE
3107 STIRLING ROAD, SUITE 300 DOU 3LAS R. GONZALES
NINA, L.❑DN15KE GF.R,!LU T. HF.FFERNAN'
JAM;F ALAN COLS FORT LAUDERDALE, FLORIDA 33312 JOH J s2. HER'IN, JR.
EDWAFD 5. -;EDES CHP S','OHHER F. KURTZ
5TEPHEN J. HELF!Az tN JAMIE ALAN COLE PETER A. LICHTMAN
G;L9LRTO PA"fOR,ZA KAR7.N LIrBERMAN'
JOBEPH H. SEIiOTA MANAGING 5HAREId OLDER-d ROWARD OFFICE
MA? HEW H. MANDFL
RICHARD JAY WE.'SS
BE'+IJARD S. MANDLEft
CAVID M.WCLPIN
Ftd'.v. ZLLKOWITZ TELEPHONE (954)763-4242 GAR." I. RES NICK
TELECOPIER (954)764.7770 NA?:.Y RUBIN'
WWW_WSH-FLALAW.COM GAIL E. SERCTA'
— CAN i. SCHWARTZ
MIAMI-DADE OFFICE ARI -. SHAPIRO
TNONAS J. AN5RRL7, 2565 SOUTH BAY.5HORE DRIVE - SUITE 420
JEF REY A. 3WEFR'EL
•%1[LLIA.', AP.J•NGO DE LA 1.10Z' MIAMI, FLORICA 33133 '
fJAt,�`'E. S'rHOUD
A,LISON S. U1EL FT, TCLEPHONE (305) B54-01300 ' TELECOPIER (305) 954-2323
SUE'',N L.TREVAR7H EN
MITC'iELL A. BIERMA.N
CAR'd FN I.TUGENOER
M ITCHELL J. BJRNSTEIN
'OF COUNSEL OAF ICL A.WEISS"
ELAINE M. �.OHEN
April 18, 2001
-Via Fri, le
Honorable Mayor and CoM.missioners
City of Dania Beach
100 West Dania Beach Boulevard
Dania Beach, 11- 33004
Re: CIaim Against Florida Power & Light Regarding Franchise Fee Prop,I:rty 'fax
Offset
Dear tifayor hlury and Commissioners:
The Cities of Pompano Beach, Margate, and Tamarac have engaged our Firm tc perform
legal services regarding their claims against Florida Power & Light ("FPL") over a pre acrty tax
Offset or credit contained in their respective FPL franchise agreements. We have discovered that
ttte City of Dania Beach has the identical property tax offset provision in its franchise a areement
',with i�PL (as does nearly every city in Broward County). A number of other I..it:ies are
considering joining an action to challenge this offset in court. Based on my initial revie.v of City
records, the amount at stake is in excess of $90,000.00 per year.
The legal position of the cities filing the case is that no city ever had the legal authority
to grant an exemption from real and personal property taxes unless the exempti. )It has a
legislative and constitutional basis.' The Florida Supreme Court long ago held that a City lacks
fM 1 Si1 Art. V II; 5 2,Fla.'Const. ("all ad valorem taxation shall be at a uniform rate within each taxing un1:. . .");Art.
%'IT. § 3 (providing for ccrtaii,binitecl property tax exemptions, none of which apply here);Art. VII, § 9
(authorizing citic, and other Bove nmentai entities to levy ad valorem taxes,but nnl authorizing any prop;rty tax
APR-18-2001 WED 03:48 PM FAX NO, P. 03
Honorable Mayor and Commissioners
April 18, 2001
Page 2
the power to contractually grant a tax exemption and any such agreement is nitxa-ViEes i,bcyond
the le�(al authority of a city) and void, absent specific statutory authority. Tampa_Shipbi ilding
&Eri-'L, Cn. v pampa, 102 Fla. 549, 136 So, 459, 463 (1931). In Tampa—SEPb1iUug, the
Court quoted with approval from a Missouri case to the effect that specific auth )t iry is
required before. a municipality may authorize an exemption for taxes:
A municipal corporation has no power to grant exemption ;from
or a commutation of taxes, and a contract which undertakes to do
so is void; nor call municipalities discriminate in favor of any
property. The power to exempt is not included in the power to
tax, but must be specifically conferred.Z
The City of Dania Beach may be interested in joining the other cities and retai;� ng the
Firm in connection with the same issue with I��PL. I a1n attaching the retainer lettc., signed
between our Firm and Pompano Beach dated February 5, 2001 (the " original Retainer
As you can see in paragraph 2, page 2, the Retainer Letter sets forth the terms under which
other cities may join Pompano Beach, Margate and Tamarac in the matter.
If the City of Dania Beach wants to join the Cities of Pompano Beach, Margate, and
"Tamarac (and probably several other cities) to this endeavor, and if the terms of the Petainer
Letter are acceptable, we will agenda the matter for a Resolution authorizing the retainh. g of the
Firm as set forth in the original Retainer Letter.
Very truly yours,
WEISS SEROTA HLLFMAN
PASTORIZA & GUEDES, P.A.
By:
Thomas-`. Ansbro/
rhein(�'ion5). I.)
liL at 464 (quoting from vrAna-y—St_Laids, 164 Mo. 146, 64 S.W. 180, I81 (1901}; s:e_als� Likes A.
ty our, 364 So.2�i 873, 880 (Fla_ 1978) ( . - • decisions uniformly hold that municipal contracts prom sing not to
g tax exemptions, are ultra vines and void in the absence of specific legislative
impose raxcs, or grantin ..nE�ari h )>
ltarNhall7 355 So.2d 781, 784 (Fla. 1978) ("The legislature is without authority to grant air exemption
from taxes ttihere the exemption leas no constitutional basis_")
Wrass SExOTA HELi,--mkN
PASTORIZA & Gutl)Es, P.A..
APR-18-2001 WED 03:48 PM FAX N0, P. 04
Horx)rablc vlayor and Coiiunissioners
April 18, 2001
Page 3
THE TLRMS OF TIiIS LETTER
AND THE ATTACHED LETTER
ADDRESSED TO GOI2DON I-INN,
DATED FEBRUARY 5, 2001, ARE
ACCEPTABLE TO THE CITY OF
DANIA BEACH AND ARE
HEREBY :AGREED TO AND
ACCEPTED this _ day of
2001.
CITY OF DANIA BEACH, FLORIDA
Mayor
C'i[y Manager
City Clerk
WEISS SEROTA HELFMAN
P.kSTORIZA & GuEDES, P.A.
APR-18-2001 WED 03:48 PM FAX N0, P. 05
-W SS SEa0T.A HEI- FMA
PA.STC-RIZ-L & GuE17F..s, P.A.
ATTORNEYS AT LAW
BRe WAR❑ OFFICE
311 I 3TIRLING ROAD, 5L)1-fZ 9 CEAALQ T. 1EFF$RN^N'
J�MIE.LArI rCLE FORT LAIJCF-RDALE, FLORIDA 333(2 CmIRI TOR'E Hr KIJ
CHRI.:77PIEH P. Kuwrz
37�rncn _'. nc�FI+wN KARCN LIEBERMAN'
,.LOE'ar0 PA$TCRIZA JAMIE ALAN COLE
{,lANACING SNPFiGHOLOER-OROwnr>,D cFF�C= OCAN RD H- KANDCL
�2:RNARo '�. KANDIER'
vl u AIEXANQEI.I_aP1.r Y2U CLA-14 ALRt
❑wvlD H.•,vo
9Y1;vEN TEI VI.EPONE (95s)763-42AGZ CART 1. FIF.%NICA*
w.Zf1.11.4 TZ
TELECOPICR (96+)764.7770 NAN Cy AU I!!!!'
WWW:W� H-11"L4W.CCM GAIL D.SE-tCTA'
7HOMn�J.AN,eRo' OAIJA 5,Sc.H`YART
MIAi/l-oAOe OPPICC Alf c.aHA'�IAO
U'LLIAN AR-00 DG LA I40Z' Z66S SOUTH PAYSHORG DRIVE•3VITE'42v
.I EFFRC:Y P. SHEpFEL
MI
.u15cr:�,AICL: MIA ', F1 ORICA5 .7O133 l
NaNCY C.".rROUO
MIV-m Fl;..A- UIEAMAN
rEtrpNpMG(305) 054-060O 1 TCI.ECOPIER gUcjAH 1."gl:VAgTHCM
,+1T,HELL J. Wj RNSTEIN
CAA MEN 1.'TU C.E hDf�R
CLONE M.
DOUGLAO 5. cQNZALGS 'OF COVNsk4 Den1CL A.
February S, 2001
SLial.�csi�lile
Gordoll B. Linn, Esq.
City Attorney
City of Pompano Deach
100 W. Adantic Blvd.
Pumnano Beach, FL 33060
Re: Dispute With Florida Power & Light Regarding Franchise FeO Offs't
Dcar .Mr. Linn:
We are pleased that the City of Pompano Beach has eugaged our F rrrt to pe.-form legal
scrvices regarding its dispute with Florida Power & Light ("FPL") over the propert,f tag: offset
contained in the rraachisc agreement. As we dixussed, this letter will superccdc Lhe retainer
letter (]bled January 11, 2001.
From our experience, we .have found that clients appreciate a frank and open (iiscuSsion
acid urulers,. ding of the serriccs that we will perform and the basis upon which tl,.ey will be
expccocW to pay for those services_ This latter is intended to set 1'ortll our.understandu g, as to the
nature and scope of the legal scrvices we have agreed To render for the City, the amount of our
fees for those services, the tnauuer in which out fees for those scrvices s1=11 be dezeenuned and
Uie terms upon which the City will make payment.
C;
wJ O
-,
APR-18-2001 WED 03:48 PM FAX NO. P, 06
_. _ . . .... ..., - 11, 11LL4 nnlr L lilt i,v.
Gorden B, Linn, Fsq.
Febrr:ary 5, 2C01
T'age 2
1. �anare L_L?_V Sf rxirr The City of Pornpauo Beach has engo led us to
;el;resent it in coTuiection with the preparation of a demand letter to FPL, negotiations regarding
the challcngcd cff�ct provision and, if necessary, litigation seeking to declare the offse-: provision
invalid and to mzover past damages.
for ervicrs.
You will be charted and agree to pay for our services on the basis of h nirly rates
esrablished from timt to tiiue for the attorneys in our Firm, together with applicable to ces if any.
It is contemplated that Jamie Cole and Douglas Gonzales will have primary responsibility for this
matter. Although their customary rates are considerably higher, we have agreed to ;large, th,e
City a blended rate of$175 per hour for all attorney dine, unless other cities also rctai,i the Firm
oil this matter. The City and the Firm agree that it would be advantageous for other cities to also
rctairn the Virnz oa this irmtter and therefore agree that for each city that retains the Firm on this
matter, the blended hourly rate shall be increased by $5.00 per hour, and that all fees shall be pro
rated between all of ncc cities that have retained the .Firm on this matter based upon their
respective populations as set forth in the latest edition of the Membership Directory purblishcd by
• the Florida League of Cities. It is our practice to charge for actual time expeude 1 on your
behalf, but not less than 2I10ds of an hour for each activity.
3. rosts, In addition to the fees discussed in parsg'aph 2, we ardicipate t:a:ac Certain,
expenses may be incurred and advanced on your behalf. These expenses may include dung fees,
recording casts, out-of-town travel expenses, delivery charges, long disraace telephoic- charges,
photocopies (xerox), special postage (express mail, certified mail and the like), computer
research charges, court reporrrer expenses (including cost of transcript and court reportt.t;"s fee for
attendance), court costs (such as riling fees, service of process, newspaper publication costs,
subpoena costs, witness fees, recording fees, etc.), accounting and appraisal fees: fees and
expenses of experts necessary to assist in the preparation and hearing of your case, inlestigation
costs, word processing fees, computer charges and applicable lobbyist regisnition fees. In
addition to our fees for legal services, you agree to pair us for such out-of-pocket expernikLires,
provided, however, that if additional Cities retain the Firm on this matter such out-cif-pocket
expendiruras shall be pro rated between all of the cities that have retained the Firm on '.his mailer
based upon their respective populations as set forth in the latest edition of the Membership
Directory publisher) by the Florida League of Citics. In the event unusually large costs or
advances are anticipated, we reserve the right to require an additional cost deposit from you prior
to undcaalcing the expenditures of funds on your behalf.
4, pnu=ent of Fps Inri rngs. Our invoices will be subniittcd to you on 3 monthly
basis and each invoice will be due and payable when rerulered. You must understand ;hat if any
invoice remains unpaid for more than 30 days after it is rendcrecl, we reserve the right, in our
disc:rtion (subject to court approval, if necessary), to cease to provide further legal �crvices to
•
WEISS SF -.JOT-A. HrzFx ��
pAS70£�IZ� GITEDES, P?A_
RPR-18-2001 WED 03:49 PM FAX N0, P. 07
• Gordon R. lain, Esq.
Pe^rJary 5, 2001
'Fags 3
yeu. You will, however, he liable to us for the payment of any fecs earned and any costs
iccu,icd by t,s to tat time, together will' any applicable taxes. lu the event we are ultimately
rcgLiircd to bring suit ro collect any unpaid fecs and costs, you understand that y,lu will be
required to pay reasonable atmrueys' fecs as well as legal interest on the amount of arty fees and
costs due us. You further understand that we have the right to retain auy and all files, Tapers and
other property coming into our possession in connection with our engagement without any
liability to you until we Pave been paid all costs, fees and interest due us under this .igreemcnt,
You also agrec to the imposition of a charging lien for any monies due us on all real at:d personal
property that is preserved, protected or obtained as a result of the representation �mdertakcn
lic'rcltt. Interest at the rate of 12% per annum will be added to any invoice which reavAi's unpaid
for more than 30 clays afte' it is rendered.
5. ,u We reserve the right to withLraw from
representing the City if you have ruisrepresentcd or failed to disclose material facts to us, or if we
disagrec about the courso of action which should be pursued.
6. Allzanrerl Weds_ ands r'oars n psit. Due to the continued natu_-e of our
represcatation, and your assurance that all bills will be paid within thirty days, will not
• request a retains; or cost deposit at this time. However, we request that you pair :ril Charges
whoa rendered,
Represe=rinn of()thr-r Clients, We are bound by rules of legal ct:zics not to
represcnt any client if the representation of that shear wi.11 be dircxcUy adverse to the iaterests of
another client unless each sack client consczra to such representation after cansultaticin_ If this
letter is addressed to more than one person, your signature of this letter will cars a tc such
consent from each of you with respect to the matter or matters spc�ifically descnibed iu the
paragrapl' of this letup entitled "Natuze of Legal Services." Iu addition, by exe%uting this
agreement, you are consenting to the Punt representing other cities against FPL on this matter.
g. r-C es fr,r nrt," Sr-rv„ce-s In the event you ask us to render legal aer vices with
respect to other matters, is the absence of a written agreement spexiflumlly addrr:.ssing that
rcpreseutation, the other matters will be handled on an hourly basis, and fees and costs will be
payable under the same terms and conditions as provided for in.paragraph 2 of this lettk%r, with rio
maximum or minimum amounts.
g �'�� �, �r of R ��P+,r nr. If the foregoing is agreeable w j ou, please
acknowledge youz understanding and agreement by signing this Ictter and delivering it to us, and
by wiring the retainer set forth above in accordance with the wiring instnttotion sent lief twich.
WEISS SE -ROTA EzL1" i4N
z'_A,.SZOUIz_-& & Gu!IDES, F.A.
APR-18-2001 WED 03:49 PM FAX N0.1l 11V JY u4 P. 08
Gordon B. Lir;n, Esq.
February 5, 2001
Pagf; 4
We appreciate your confidence in Our Finn and we assure you that we will ma-ce every
effort to perform our sczvices in a prompt and efficient manner.
Very truly yours,
WEISS SEROTA HELFIJAN
PASTOR17.A & G EDES, P.A.
By:
Jamie Cole
AGREED AND ACCEPTED on
CITY OF P ANO BEACH
By:
wF_ I55 5E80TA $ E7.FKA
P.�szox:zz.� �c Ge'En�s, P.A_