HomeMy WebLinkAboutResolution 4001-07-2011A Resolution
NO. 4001 -07 -2011
TO INCREASE THE AMOUNT TO BE PAID TO THE LAW FIRMS OF KELLY HART &
HALLMAN, L.L.P AND MCCALL, PARKHURST & HORTON, L.L.P., AS OUTSIDE
COUNSEL TO ASSIST THE CITY ATTORNEY'S OFFICE IN THE PREPARATION OF
LOAN DOCUMENTS FOR THE FINANCE DEPARTMENT
WHEREAS, on January 25, 2011, (M &C G- 17186), the City Council authorized the execution
of a Loan Agreement with the Fort Worth Air and Space Museum Foundation for Up to $3 million from
the General Fund and other agreements necessary to secure such loan; and
WHEREAS, on February 15, 2011, (M &C G- 17205) the City Council authorized the
employment of Kelly Hart & Hallman, L.L.P and McCall, Parkhurst & Horton, L.L.P., as outside
counsel to assist and advise the City on legal issues related to the preparation of a loan agreement and
other instruments necessary to secure a loan to the Fort Worth Air and Space Museum Foundation; and
WHEREAS, an additional amount of $2,274.20 beyond the current authorized amount of
$15,000.00 will be needed for the legal services performed by Kelly Hart & Hallman, L.L.P. and
McCall, Parkhurst & Horton, L.L.P.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FORT
WORTH, TEXAS:
I.
The compensation authorized to be paid to the Law Firms of Kelly Hart & Hallman, L.L.P. and
McCall, Parkhurst & Horton, L.L.P., as outside counsel in the preparation of a loan agreement and other
instruments necessary to secure a loan to the Fort Worth Air and Space Museum Foundation is hereby
increased from $15,000.00 to $17,274.20.
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APPROVED
CITY COUNCIL
JUN 12 2011
City Secretmy of the
City of Fort Worth, Tom
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 7/1212011 - Resolution No. 4001
DATE: Tuesday, July 12, 2011 REFERENCE NO.: * *G -17309
LOG NAME: 12AVIATION MUSEUM OUTSIDE COUNSEL INCREASE
SUBJECT:
Adopt Resolution Authorizing an Increase of $2,274.20, for a Total of $17,274.20, to Be Paid to the Law
Firms of Kelly Hart & Hallman, L.L.P., and McCall, Parkhurst & Horton L.L.P., as Outside Legal Counsel to
Assist and Advise the City on Legal Issues Related to the Preparation of a Loan Agreement and Other
Instruments Necessary to Secure a Loan to the Fort Worth Air and Space Museum Foundation
RECOMMENDATION:
It is recommended that the City Council adopt the attached resolution authorizing an increase of
$2,274.20 to the maximum amount to be paid to the Law firms of Kelly Hart & Hallman, L.L.P., and
McCall, Parkhurst & Horton, L.L.P., as outside legal counsel to assist the City Attorney with legal issues
related to the preparation of a loan agreement and other instruments necessary to secure a loan to the
Fort Worth Air and Space Museum Foundation.
DISCUSSION:
On January 25, 2011, the City Council approved M &C G -17186 which authorized the execution of a Loan
Agreement with Fort Worth Air and Space Museum Foundation (the Foundation) for up to $3 million from
the General Fund and other agreements necessary to secure such loan. On February 15, 2011, the City
Council approved M &C G -17205 which authorized the employment of Kelly Hart & Hallman, L.L.P., and
McCall Parkhurst & Horton L.L.P., as outside Legal Counsel to assist and advise the City on legal issues
related to the preparation of the Loan agreement and other instruments necessary to secure such loan in
an amount not to exceed $15,000.00.
In order to minimize legal fees, the City Attorney's Office conducted the negotiations and preliminary
review and drafting of the majority of the documents, which constituted the bulk of the time devoted to this
project. However, outside legal expertise was needed for complex commercial and financial issues such
as perfecting a security interest and drafting of documents for filing of necessary security agreements to
secure the City's interest in the loan.
Due to the complex legal issues related to the preparation of loan documents, the cost was slightly more
than anticipated. Therefore, it is recommended that the City Council authorize additional funds in the
amount of $2,274.20 to cover the cost of the legal services.
FISCAL INFORMATION / CERTIFICATION:
The Financial Management Services Director certifies that funds are available in the current operating
budget, as appropriated, of the General Fund.
FUND CENTERS:
TO Fund /Account/Centers FROM Fund /Account /Centers
Logname: 12AVIATION MUSEUM OUTSIDE COUNSEL INCREASE Pagel of 2
GG01 538110 0121000
CERTIFICATIONS:
Submitted for City Manager's Office by: Karen Montgomery (6222)
Sarah J. Fullenwider (7606)
Originating Department Head: Lena Ellis (8517)
Additional Information Contact: Maleshia B. Farmer (7647)
$2,274.20
Logname: 12AVIATION MUSEUM OUTSIDE COUNSEL INCREASE Page 2 of 2