HomeMy WebLinkAboutResolution 4941-06-2018 A Resolution
NO. 4941-06-2018
TO INCREASE THE AMOUNT TO BE PAID TO THE LAW FIRM
OF KELLY HART & HALLMAN, LLP, AS OUTSIDE COUNSEL
FOR LEGAL SERVICES RELATED TO LAWSUITS
CHALLENGING THE CITY'S GAME ROOM ORDINANCES
WHEREAS, on October 14, 2014, the City of Fort Worth adopted Ordinance Nos.
21499-10-2014 and 21500-10-2014 to regulate game rooms through licensing and zoning;
and
WHEREAS, the City has been sued in three separate lawsuits, to date, challenging
the City's Ordinance Nos. 21499-10-2014 and 21500-10-2014, in Cause No. 48-276440-
15, Apolonio Garcia, et ux. v. City of Fort Worth, Cause No. 17-276483-15, Jack Davis,
et al. v. City of Fort Worth, and Cause No. 352-276568-15, AFAD Investments, Inc. v. City
of Fort Worth; and
WHEREAS, last year the Court entered a judgment in the Davis litigation. Both
parties filed an appeal and the Second Court of Appeals heard oral arguments in January;
and
WHEREAS, the City, on August 18, 2015 hired the Law Firm of Kelly Hart &
Hallman, LLP, as outside counsel to provide legal representation regarding any lawsuit
filed challenging the City's game room ordinances; and
WHEREAS, to date, the cost of legal services by Kelly Hart & Hallman, LLP, as
outside counsel to provide legal representation regarding any lawsuit filed challenging the
City's game room ordinances, has been approximately $344,846.74; and
WHEREAS, the subject litigation is still pending and it is estimated that an
additional amount of approximately $10,000.00 beyond the current authorized $350,000.00
will be needed for the legal services necessary to bring these lawsuits to a successful
conclusion.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF FORT WORTH, TEXAS:
That the compensation authorized to be paid to the Law Firm of Kelly Hart &
Hallman, LLP, as outside counsel, to provide legal representation regarding any lawsuit
filed challenging the City's game room ordinances, is hereby increased from $350,000.00
to an amount not to exceed $360,000.00.
ORTWO T
Resolution No.4941-06-2018
Adopted this 5th day of June, 2018.
ATTEST: F VORr
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By — — — -- -------
Mary J. Kaye ity c tary ....
FoR_T%bRTR
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 6/6/2018 - Resolution No. 4941-06-2018
DATE: Tuesday, June 5, 2018 REFERENCE NO.: **G-19288
LOG NAME: 12GAMEROOM LITIGATION-ADDL FUNDS18
SUBJECT:
Adopt Resolution Authorizing an Increase of$10,000.00 in the Total Amount to be Paid to the Law Firm of
Kelly Hart & Hallman, LLP, as Outside Legal Counsel for Legal Matters Relating to Lawsuits Challenging
the City's Game Room Ordinances for a Total Amount of$360,000.00 (ALL COUNCIL DISTRICTS)
RECOMMENDATION:
It is recommended that the City Council adopt the attached resolution authorizing an increase in the
amount of$10,000.00 to the maximum amount to be paid to the law firm of Kelly Hart & Hallman, LLP, as
outside legal counsel for legal services related to lawsuits challenging the City's Game Room Ordinances,
for a total amount of$360,000.00.
DISCUSSION:
On August 18, 2015, by Mayor and Council Communication M&C G-18529 and Resolution No. 4501-08-
2015, the City Council approved the Law Firm of Kelly Hart & Hallman, LLP, as legal counsel to provide
legal representation regarding any lawsuit filed challenging the City's game room ordinances. The City has
been sued in three separate lawsuits challenging the City's new game room ordinances. The three
separate lawsuits are as follows: Cause No. 48-276440-15, Apolonio Garcia, et ux. v. City of Fort Worth,
Cause No. 17-276483-15, Jack Davis, et al. v. City of Fort Worth and Cause No. 352-276568-15, AFAD
Investments, Inc. v. City of Fort Worth. Last year the Court entered a judgment in the Davis
litigation. Both parties filed an appeal and the Second Court of Appeals heard oral arguments in
January. Because of the complex nature of the litigation and the importance to the City, the City hired the
Law Firm of Kelly Hart & Hallman, LLP, to represent the City in any litigation related to the game room
ordinances.
On May 3, 2016, by Mayor and Council Communication M&C G-18724 and Resolution No. 4621-05-2016,
the City Council approved an additional $100,000.00 beyond the original $100,000.00 for a total of
$200,000.00 to represent the City in this litigation.
On February 21, 2017, by Mayor and Council Communication M&C G-18949 and Resolution No. 4746-02-
2017, the City Council approved an additional $100,000.00 for a total of$300,000.00 to represent the City
in this litigation.
On September 19, 2017, by Mayor and Council Communication M&C G-19097 and Resolution No. 4844-
09-2017, the City Council approved an additional $50,000.00 for a total of $350,000.00 to represent the
City in this litigation.
The litigation is still pending and it is estimated that an additional amount of approximately $10,000.00
beyond the current authorized $350,000.00 will be needed for the legal services necessary to bring these
lawsuits to a successful conclusion.
Logname: 12GAMEROOM LITIGATION-ADDL FUNDS 18 Page I of 2
Adoption of this Resolution will increase the amount of compensation to be paid to the Law Firm of Kelly
Hart & Hallman, LLP, by $10,000.00, for a total amount of$360,000.00.
This M&C does not request approval of a contract with a business entity.
FISCAL INFORMATION / CERTIFICATION:
The Director of Finance certifies that upon approval of these recommendations, funds are available within
existing appropriations in the current operating budget of the Risk Management Fund. Prior to an
expenditure being incurred, the participating department has the responsibility to verify the availability of
funds.
FUND IDENTIFIERS (FIDs):
TO
Fund Department ccoun Project Program ctivity Budget Reference # moun
ID ID Year Chartfield 2
FROM
Fund Department Accoun Project ProgramActivity Budget Reference # Amount
ID I ID Year Chartfield 2
L601111 0147120 15520114 1 1 2018 1 1$10,000.00
CERTIFICATIONS:
Submitted for Cily Manager's Office by: Jesus Chapa (5804)
Originating Department Head: Sarah Fullenwider (7606)
Additional Information Contact: Christopher B. Mosley (7603)
Logname: 12GAMEROOM LITIGATION-ADDL FUNDS 18 Page 2 of 2