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HomeMy WebLinkAboutResolution 4560-01-2016 A Resolution NO. 4560-01-2016 INCREASING THE AMOUNT TO BE PAID TO JOHN ALLEN CHALK, SR. AND THE LAW FIRM OF WHITAKER CHALK SWINDLE & SCHWARTZ, PLLC, AS OUTSIDE COUNSEL FOR 1,EGAL MATTERS RELATED TO THE ACQUISITION OF PROPRTY OWNED BY BODYCOTE THERMAL PROCESSING, INC. FORT MULTIPURPOSE ARENA AND SUPPORT FACILITIES PROJECT WHEREAS, on November 4, 2014, Fort Worth voters approved certain venue project tax funding for the Multipurpose Arena and Support Facilities Project in the Cultural District; WHEREAS, in order to proceed with the Multipurpose Arena and Support Facilities Project, it is necessary to acquire certain property owned by Bodycote Thermal Processing, Inc. (the "Bodycote Property"), through eminent domain if necessary; WHEREAS, on March 17, 2015 the City hired John Allen Chalk, Sr. and the law I firm of Whitaker Chalk Swindle & Schwartz., Pl,l-,C, as outside counsel. to assist in the acquisition of the Bodycote Property; WHEREAS, to date, the cost of legal services by John Allen Chalk, Sr., and the law firm of Whitaker Chalk. Swindle & Schwartz, PLI.,C, as outside counsel for the Bodycote Property acquisition has been approxirnately $150,000.00; and WHEREAS, this property acquisition involves untisuatly complex issues, and it is estimate(] that an additional amount of approximately $100,000000 beyond the currently authorized level of legal and consulting services will be needed to bring this matter to a successful conclusion; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY O F F ORT WORTH, TEXAS® THAT the compensalion authorized to be paid to John Allen Chalk, Sr., and the law firm of Whitaker Chalk Swindle & Schwartz, PL.1,C, as Outside counsel, as well as consultants hired. to assist the City, in the acquisition of the Bodycote Property is hereby increased from $150,000.00 to an amount not to exceed $250,000.00. Adopted this L2 th day of ja:nUary, 2016. ...................-- 4 ATTEST: f OR?- '0 00000000 4* -0�0 oo 0 00 �0 PA,d 1 6 0 ®r P..O ®A0 0 0 OZO By- 0 ................................... 00 00 000 Mary J. K se Secretary Oa04tt 000*000 XY &F YRTIVOUU'�L� qW it of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 1/12/2016 - Resolution No. 4560-01-2016 DATE: Tuesday, January 12, 2016 REFERENCE NO.: **C-27584 LOG NAME: 12WHITAKERCHALKAMEND2 SUBJECT: Adopt Resolution Authorizing an Increase in the Total Arnount to be Paid to John Allen Chalk, Sr., and the Law Firm Whitaker Chalk Swindle & Schwartz, PLLC, to Include Consulting Fees, as Outside Counsel for Legal Matters Related to the Acquisition of Property Owned by Bodycote Thermal' Processing Inc., for the Multi-Purpose Arena and Support Facilities Project (COUNCIL DISTRICT 7) RECOMMENDATION: It is recommended that the City Council adopt the attached resolution authorizing an increase ncrease in the amount of$100,000.00 to the maximum amount to be paid to John Allen Chalk, Sr., and the Law Firm of Whitaker Chalk Swindle & Schwartz, PLLC, as outside legal counsel for legal services related to the acquisition of property owned by Bodycote Thermal Processing, Inc., for t ul'ti-Purpose Arena and Support Facilities Project, for a total amount not to exceed $250,000.00. DISCUSSION: On March 17, 2015 (Mayor and Council Communication (M&C) C-27222 and Resolution No. 4426-03- 15), the City Council approved John Allen Chalk, Sr,,, and the Law Firm of Whitaker Chalk Swindle & Schwartz, PLLC, as legal counsel to assist the City of Fort Worth in the Multi-Purpose Arena and Support Facilities Project and appropriated the amount of$50,000.00 for that purpose. On August 4, 2015, Council approved M&C C-27401 for an additional' $100,000.00 to pay Whitaker Chalk Swindle & Schwartz, PLLC, and consultants hired to assist the City. The City requires the Bodycote property for the Multi-Purpose Arena and Support Facilities Project, Staff has been working with Bodycote since January 2015 on a MUtUaHy agreeable settlement for the acquisition and relocation of the Bodycote facility,. To support the acquisition of the necessary property, Staff is recommending an increase in the scope of services of John Allen Chalk, Sr., and the Law Firm of Whitaker Chalk Swindle & Schwartz, PLI C, and to also include consulting services, is has required an increase in the maximum of compensation for the firm to a total amount of $250,000.00. The City will likely acquire the property through eminent domain and there may be issues in the litigation related to the property, its value, equipment and relocatilon. Experts are required to support the City in its acquisition efforts and testing and inventories are required. Additionally, the property must be acquired in time to meet the City's construction schedule. Adoption of this resolution will increase the amount of compensation to be paid to John Allen Chalk, Sr., and the Law Firm of Whitaker Chalk Swindle & Schwartz, PLLC, by $100,000.00 for a total amount of $250,000.00. This expenditure will be part of the $225,000,000.00 commitment by the City of Fort Worth to the multi- purpose arena and is ultimately intended to be funded through Project Finance Zone No. 1., ............ ........................­­.......... Logname: 12WHI'I'A.K..ER(".HAI,K.AMF..Nit.)2 Page I of 2 FISCAL INFORMATION I CERTIFICATION: The Financial Management Services Director certifies that funds are available in the Culture and Tourism Capital Projects Fund for the Mulb•Purpose Arena and Support Facilities Project. As of December 17, 2015 appropriations in the project are $12,199,251.00 of which $73,608.r0 O has been encumbered and $801,147.00 has been expended leaving a balance of$11,324,496.00. FUND IDENTIFIERS tFIQ 1:�5 TO c66n'T oroiiia�ro-giam c6ii� --b-6dg-oef-f ----mou-n- [Fun".ii Department I Y1 . .......... D� FROM Fund Depuartment Acco n Project Frogram ct vity Budget Reference # Amount ID ID Year ............ ............ ........... ................... .................... ....................... 30101 0240450 5330500 C40004 C00780 2016 ...........-.1.. ........... .. ...... ............. 4100,000,00 ........... CERTIFICATIONS: Submitted for Cfty_ManAgpr s_Q Office b ® Susan Alanis (8180) Originating_Pe part ment Mead Christopher B. Mosley (7603) - Additional Information Contact: Teresa Johnson (7604) L(Iwgna,mee 12W1-J1TAKE�R('F1ALK-A.M,IND2 Page 2 of 2