HomeMy WebLinkAbout03-20-2000 Meeting
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LAW DEPARTMENT
SUBCOMMITTEE
COMMITTEE ROOM - March 20, 2000
4:00 P.M.
PRESENT: B. Young, Mayor, 1. Beard, Chairman, W. Mays, Mayor Pro Tern, S.
Shepard, M. Williams, members, 1. Bonner, Clerk of Commission.
ALSO PRESENT: H. Brigham and A. Cheek, Commissioners.
MEDIA: T. Cox, Augusta Focus.
Overview:
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As you know, the Mayor and Mayor Pro Tern established this committee to look into the
possibility of whether we are going to have in-house staff counselor outside counsel. In
our last meeting we came to the conclusion that we would get information from other
cities and see what they were doing. We have received information from those cities and
we have since added to that list of cities. We also requested information from GMA and
ACCG. We have received that information and have received packets that included that
information. I think, today we'll review all the models that we have received. I hope that
we'll keep in mind that at this meeting and the next meetings that we have, we have until
July to come up with something that we can present to the full Commission. I hope we
can have that worked out prior that time. I hope that in the next meeting that we'll be in a
position to know the direction in which we're going. Af1:e,r reviewing this, we should
come to a conclusion. We have a couple of options here that we can come up with. We
can have an in-house staff counsel. We can have outside counsel. I understand that if we
do that we would possibly have to change the bill. Or we could have a hybrid type
situation, in-house staff counsel and outside counsel. And I think this would give us the
opportunity to satisfy the bill. I hope at the next meeting we'll know where we're going
and which direction and possibly bringing in some help and assistance to set this up. We
have communicated with Ed Sumner, at GMA and he has agreed to assist us whenever
we made a decision as to which way we want to go. He also mentioned that his wife had
been in-house counsel at one time and that she would possibly be able to give us some
assistance. He also asked us to call on the city of Roswell because they have just
completed something in their legal section. At this time the floor is open for discussion.
Review submitted models:
Mr. Shepard: I just want to say that we are not the only players in this game.
There is a bill in the Legislature that was introduced that would change "shall to may"
and would do some other things. We may be acting without a full schedule or
information at this time.
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Mr. Beard: It's my opinion that the best thing to have here is a combination, in-
house counsel and outside counsel. I think that's workable. I think it would still satisfy
the bill and everybody.
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Mr. Williams: If we go back to what our consolidation bill calls for and it has not
been changed. What I'm looking at is what we're paying out versus what the bill says
that we should have an in-house attorney. My reason for wanting an in-house attorney is
because he would be on a salary, plus we would have to probably get other outside
sources to assist and that would be more money. But if we were doing what the bill
called for us to do and that's to have an in-house attorney. Mr. Wall is a fine attorney
and I have nothing against him. But when we talk to Mr. Wall and when we get
something done, it's an on-going basis. This is tax based money we're talking about
spending. As a governing body of this city we need to be into utilizing every cent and
that means we want the most bang for our buck. I think we need to go ahead and do what
the law has required us to do. And we have been negligent in doing that for some time.
This should have been done years ago. I think we should go ahead and move for an in-
house attorney. I talked with several other Commissioners and Councilmen in
Washington, DC from all over the country whose cities are working fine who think we
have spent entirely too much with an outside source. They have an in-house attorney that
they can go to at any time. They are on a salary base where the salary runs from eighty to
one hundred twenty-five thousand dollars a year. But when we talk about one million
sixty-eight thousand, versus the in-house attorney, we will save a lot of money.
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Mr. Beard: In all fairness, I think we have to look at the financial aspect and some
documentation that this is what we paid out. If we have that documentation that we spent
over a million dollars in law fees, that should be documented and substantiated before we
start throwing those figures out because it can create a problem; especially with the I
public. Secondly, I've always said that we need two things when we're looking at this.
We need the level 0 f service that is being presented to us. We need to look at the
financial aspect, not in a suggestive manner but in a concrete manner that this is what we
paid out. And the last point is diversity. The in-house staff counsel plus an outside one,
a hybrid effect of the two would, I believe, satisfy the bill. I have no concrete evidence
on that but I feel with that you could satisfy the bill.
Mr. Wall: Rev. Williams, I would like to respond to the issue about cost, because
I think there has been a misunderstanding. According to my 1999 permanent budget, the
1999 actual budget and the 2000 permanent budget, I came in under budget. My budget
was $420,000. I came in at $419,798. As far as the million dollars is concerned, maybe
this was a mistake in hindsight but I did this for a reason. We were involved in the
sludge litigation. We were employing experts, we were doing a lot of testing, we had
until roughly sometime in June to disclose our experts. We wanted to be able to do the
testing and find out if we had a problem. Have consulting experts that would consult with
us and advise us about the test that needed to be done, etc. I talked with Randy and I said
lets run the money through a trust account and we'll send a bill. I'll have a cover sheet
that shows the amount of the Kilpatrick, Stockton bill or the amount of the invoice that
comes from ABC testing laboratory and mark that attorney client privilege and we'll say
those bills are on tile in the office of the city attorney. So they are not laying around in
Purchasing for open records request for people to go through. All of those records I'll
more than willing bring over here, show you each and every invoice, show you each and I
every invoice from the attorney's office. The checks were written to our firm and we got
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a 1099 that shows more than a million dollars. You are absolutely correct that that check
was written to our firm. But that money was paid, and I've done an update on a
spreadsheet and I furnished this spreadsheet some months ago after you had taken a seat
on the Commission. But our firm has been paid through March 20, $289,000, not a
million dollars. You have paid out in expenses $739,000 through March 20. You've paid
out attorney's fees to Kilpatrick and Stockton thus far $438,838. Those expenses are not
a part of this budget. Were not deemed to be apart of this budget and those were paid
outside. But we have not been paid a million dollars in attorney fees. And I don't know
where that information has come from. I know it's on the 1099 form that was issued to
our firm, again because the checks were issued to us. I will be more than happy to
produce each and every statement that we have submitted for our attorney's fees. I'll be
happy for you or anyone else to examine the invoices that are from testing laboratories.
But I did that to protect Augusta. Perhaps I put myself in harms way in the process of
for someone picking up that number and thinking that our law firm had been paid a
million dollars. But I deemed it important to keep that information confidential and I
think it's important that it remain confidential until this litigation is over with. And I
have tried to furnish information to you as Commissioners to show what the expenses
were to show whom the checks were issued to, etc. But in so far as the general legal
work is concerned it came in under budget. In so far as the sludge litigation is concerned,
that is an usual case that has lots oframifications. As you know it's under national
discussion. We have spent an immense amount of time and effort in defending that case.
But our firm has not been paid a million dollars.
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After further discussion,
Mr. Cheek: One of the things I've noticed and I've gotten a good deal of
documents from finance and other sources. There are some arguments on both sides of
this issue. But what we don't have that I've seen for our needs is a total snap shot of our
financial cost for legal services. Jim, I know you have certain cost, we hire certain
sp~cialist. There are other attorneys representing different boards within the city,
Planning & Zoning is just one example. There are some other cost and there are awards
for litigation. If we could see a spreadsheet with that information detailing the total legal
cost for the city of Augusta. Not just your cost, but the total cost for the entire legal
operations of the city. That would be a more accurate presentation as compared to some
of these other cities. I will say that this has served us well until this point. I do notice
that a lot of the cities that tend to be on the move and growing have gone towards a
hybrid mix. That too is something I'm in favor of.
Mr. Beard: Of the three things I thought we needed; we talked about level of
services, finances and the last two items are questionable and will have to be ironed out
before we go any further. But I do agree with the financial aspect of it. We're throwing
out these figures and we need documentation that this actually happened. I think at the
next meeting we need to ask finance to provide that information to us, exactly what was
paid out. I also think we need to add to that what was paid out to Harry James.
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Mr. Williams: I would like to include what was paid to Mr. Wall's firm in 1997
and 1998.
Mr. Wall: Ask Finance to pull the statements otherwise you'll get a false number.
After further discussion,
Mr. Shepard: What I would like to know is if the in house people will be strong
enough to'go into court. I think what I worry about mostly is that you create an in house
bureaucracy that for one reason or another does not go to court. So then you end up with
another whole set of going to court lawyers, whether you call them trial lawyers or
plaintifflawyers or on the other side litigators. I would like specifically if we could find
out, not just budget, not just bodies on organizational charts, find out who goes to court
and how is that delineation between the people who are actually in the line of fire in the
courtroom and I'll tell you our lawyer is. I think that's something gentlemen, in terms of
results that you'll never really quantify. I think we enjoy a relationship now with a most
senior member of the bar who is well respected in every court he goes into. And that has
value.
Mr. Wall: Something else that I would want to ask is; do these places have
SPLOST or do they have capital budgets, to what extent is their condemning property.
How much of their work is related to condemnation matters.
After further discussion,
Mr. Beard: I think we have things down to a factor here that we can look at. I
think we should meet again sometime in April because we need to go ahead and get this
out. I think what has been really effective here is that we have it down to three things:
level of service, finance and diversity. With the finance, if we could get the cost that has
been mentioned there. I think we also need to get from Mr. Wall some kind of outline on
diversity. If you could tell us at the next meeting some of the things you could possibility
do to become more diversified. I also think at the next meeting we need to select and
come prepared to vote on whether we're going to have a hybrid, in house or outside.
I think we need to settle that at the next meeting.
With no further business, the meeting was adjourned.
Lena J. Bonner
Clerk of Commission
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