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HomeMy WebLinkAboutResolution 4891-01-2018 A Resolution NO. 4891-01-2018 AUTHORIZING THE EMPLOYMENT OF GRETA E. COWART OF THE LAW FIRM OF WINSTEAD, PC, AS OUTSIDE LEGAL COUNSEL TO ASSIST THE CITY ATTORNEY'S OFFICE IN ADVISING THE FIRE DEPARTMENT AND HUMAN RESOURCES DEPARTMENT CONCERNING A PROPOSAL FROM THE IAFF LOCAL 440 TO PROVIDE HEALTHCARE AND OTHER RELATED BENEFITS THROUGH A TRUST TO ACTIVE AND CERTAIN RETIRED FIREFIGHTERS, AND THEIR ELIGIBLE SPOUSES AND DEPENDENTS, AND AUTHORIZING PAYMENT OF COUNSEL FEES IN AN AMOUNT NOT TO EXCEED$50,000.00 WHEREAS, the City of Fort Worth periodically requires legal advice regarding its employee and retiree health and welfare benefit plan services, including legal advice with regards to the City's compliance with applicable federal and state laws relating to healthcare benefits; and WHEREAS, applicable state and federal laws include employer-mandated coverage and reporting requirements that affect municipalities; and WHEREAS,a specific need has arisen to protect the City's interests regarding the proposal from the IAFF Local 440 to provide healthcare and related benefits through a trust for active fire fighters, fire fighter retirees and their eligible spouses and dependents, funded by contributions from the City and certain plan participants; and WHEREAS, Greta Cowart has special competency in the areas of health care, trust administration, and tax related issues, and regularly assists municipalities with maintaining regulatory compliance, and has agreed to assist the City with these issues. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS, THAT: 1. The City is authorized to retain Greta E. Cowart of the law firm of Winstead, PC, as outside counsel under Chapter VI, Section 3 of the City Charter, for legal services related to advising the Fire Department and Human Resources Department in employee health and welfare benefit matters, including legal advice with regard to the proposal from the IAFF Local 440 to provide healthcare and related benefits through a trust for active fire fighters, fire fighter retirees and their L—r— ORTWO eligible spouses and dependents; and 2. The City is authorized to pay counsel fees to Greta E. Cowart of the law firm of Winstead, PC, in an amount not to exceed $50,000.00. Adopted this 91h day of January, 2018. ATTEST A.: �- 6k. FORT O U = By: -- -- — --- ------------ *: M ry J. Kayse i S etary TEXP►S FORTWORTH City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 1191201$ -.ResolutionNo. 49141.204,S ,.., DATE: Tuesday, January 9, 2018 REFERENCE NO.: **C-28523 LOG NAME: 12RETAIN LEGAL COUNSEL FOR IAFF LOCAL 440 HEALTHCARE PROPOSAL SUBJECT: Adopt Resolution Authorizing Employment of Greta E. Cowart of the Law Firm of Winstead, PC, as Outside Counsel for Legal Services Related to the Proposal from the IAFF Local 440 to Provide Healthcare and Related Benefits Through a Trust to Active Fire Fighters, Retirees, Eligible Spouses and Dependents, and Authorizing Payment of Counsel Fees in an Amount Not to Exceed $50,000.00 (ALL COUNCIL DISTRICTS) RECOMMENDATION: It is recommended that the City Council adopt the attached resolution authorizing the employment of Greta E. Cowart of the law firm of Winstead, PC, as outside counsel under Chapter VI, Section 3, of the City Charter for legal services related to employee health and welfare benefit matters, including the proposal from the IAFF Local 440 to provide healthcare and related benefits through a trust for active fire fighters, fire fighter retirees and their eligible spouses and dependents, and authorizing payment of counsel fees in an amount not to exceed $50,000.00. DISCUSSION: The Human Resources Department and the City Attorney's Office have requested that the City retain the services of Greta E. Cowart of the law firm of Winstead, PC, with regard to the City's employee health and welfare benefit plans, in order to assist the City Attorney's Office in advising the Human Resources Department and to provide legal advice with respect to the proposal from the IAFF Local 440 to provide healthcare and related benefits through a trust for active fire fighters, fire fighter retirees and their eligible spouses and dependents. Ms. Cowart has extensive experience advising municipalities on complex employee benefit plan issues, trust administration, and many issues under the Affordable Care Act and related tax regulations. The City and the IAFF Local 440 are engaged in collective bargaining negotiations concerning the implementation of the IAFF Local 440's proposal to provide healthcare and related benefits through a trust for active fire fighters, fire fighter retirees and their eligible spouses and dependents. Such healthcare and related benefits will be funded, in whole or in part, by contributions from the City, active fire fighters and certain retired fire fighters or their eligible spouses or dependents. As part of those negotiations, the City has a need for expert legal advice concerning a myriad of trust, federal tax and regulatory compliance issues, and drafting of related documents, that must be completed before the City and the IAFF Local 440 can execute a collectively-bargained Agreement implementing the IAFF Local 440 proposal concerning fire fighter, retiree, spousal and dependent healthcare. The City has previously engaged the legal services of Ms. Gowart in 2004 (M&C G-14301), 2005 (M&C G- 14650) and 2015 (M&C G-27268)to provide advice on a myriad of trust, federal tax and regulatory compliance issues and well as the City's self-insured health and welfare benefit plans. Therefore, Staff recommends engaging Greta Cowart as outside counsel because of her considerable Logname: 12RETAIN LEGAL COUNSEL FOR IAFF LOCAL 440 HEALTHCARE PROPOSAL Page I of 2 experience in health care law, trust administration, municipal regulatory compliance and federal tax regulatory compliance. FISCAL INFORMATION I CERTIFICATION: The Director of Finance certifies that funds are available in the Fiscal Year 2018 operating budget, as appropriated. FUND IDENTIFIERS (FIDs): TO Fund Departmentccoun Project JProgram ctivity Budget Reference # moun ID 1A ID Year (Chartfield 2) FROM Fund Departmentccoun Project rrogramActivi Budget Reference # Amount ID 1A ID Year (Chartfield 2) L101001 0148510 153305001 1$50,000.00 CERTIFICATIONS: Submitted for City Manager's Office by: Susan Alanis (6222) Originating Department Head: Christopher A. Troutt (7609) Additional Information Contact: Brian Dickerson (7783) Logname: 12RETAIN LEGAL COUNSEL FOR IAFF LOCAL 440 HEALTHCARE PROPOSAL Page 2 of 2