TO: AC Transit Board of Directors
FROM: Aimee L. Steele, General Counsel/Chief Legal Officer
SUBJECT: Contract Amendment for Outside Legal Counsel
ACTION ITEM
AGENDA PLANNING REQUEST: ?
RECOMMENDED ACTION(S):
Title
Consider authorizing the Interim General Manager to execute an amendment to Contract 2022-10480 with Herrig & Vogt, LLP, adding $250,000 to the contract and extending the term to December 31, 2025, for legal services related to disputes arising out of the construction of the East Bay Bus Rapid Transit (BRT) Project.
Staff Contact:
Aimee L. Steele, General Counsel/Chief Legal Officer
Body
STRATEGIC IMPORTANCE:
Goal - Financial Stability and Resiliency
Initiative - Financial Efficiency and Revenue Maximization
The BRT Project has been operational as the Tempo line since August 2020. The District has been engaged in potential litigation and litigation pertaining to delays of completion of the Project. Outside counsel was procured in November 2021 to assist in the handling of litigation and potential litigation. In August 2023 the Board approved settlement with the prime contractor O.C. Jones & Son, Inc. (O.C. Jones) to resolve delay claims alleged against the District. The District continues to seek recovery from third parties for delays not attributed to the District. This litigation and potential litigation continue to date.
BUDGETARY/FISCAL IMPACT:
Approving the contract amendment will increase the available funds to pay legal fees and /costs expenses by $250,000. To date approximately $1.78 million have been spent on fees and costs/ expenses. Approximately $400,000 remain on the current purchase order. The District expects to offset some of the costs / expenses through third party claims and litigation.
BACKGROUND/RATIONALE:
The BRT project was implemented in three construction bid packages. The first two construction bid packages were successfully completed and closed out without any claims. The third construction bid pa...
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