HomeMy WebLinkAboutItem 4.07 Budget Adjustment Legal Svcs CITY OF DUBLIN
AGENDA STATEMENT
CITY COUNCIL MEETING DATE: March 23, 1992
SUBJECT: Budget Adjustment - Legal Services
(Prepared by: Paul S. Rankin, Assistant City
Manager)
EXHIBITS ATTACHED: None
RECOMMENDATION: Authorize an Additional Appropriation in the
amount of $68, 200 to the Legal Services Budget,
comprised of $44,200 from the Contingent Reserve,
and $26,000 from New Revenues.
FINANCIAL STATEMENOr: It is anticipated that 1991-92 Legal Service Costs
will exceed the Budget by $68, 200. Of that
amount, $26, 000 will be offset from additional
charges for services related to development. A
budget transfer from the Contingent Reserve in the
amount of $42, 200 will be required to offset the
difference.
DESCRIPTION: At the City Council meeting on January 13, 1992,
the City Council reviewed projections of revenues and expenditures for the
remainder of the year. Staff anticipated that budget adjustments would be
required, however, it waa recommended that the City Council approve - the =
actual adjustments later in the Fiscal Year, when expenditures . would
actually exceed the Budget. .
In January, Staff projected that the Legal Services Activity would expend a
total of $159, 000. The approved budget for 1991-92 is $128,250. At the
time that data was collected for the mid-year analysis only four months of
actual legal bills were available. The most recent analysis by Staff has
found that the average hours of service in the first 4 months understated
the actual experience from July through February.
Budget vs. Protected Expenditures
The following identifies a comparison of the projected differences:
Budget
91 /92 Projected Adjustment
Budget 91 /92 Required
Personal Services (PERS) $ 3,250 $ 3,250 $ 0
Contract Services - General 105, 000 138,200 33,200
Contract Services - Litigation 20,000 55, 000 35,000
Total $128,250 $196,450 $68,200
Litigation
The Mid-year Financial Report projected a need for a total adjustment of
$30,750. This amount was primarily as a result of unanticipated litigation
and the revised projection noted above tracks close to this amount. As
stated in the 1991 /92 Budget, the approved funding substantially reduced
the contingency for potential litigation. The Budget provided estimated
funding for pending lawsuits at the time the budget was prepared. During
1991 /92, the City incurred costs for the following unanticipated expenses:
COPIES TO:
ITEM NO. 4 IT CITY CLERIC
FILE L II H2ofl
I 4f
JMH (The City recovered attorney's fees upon settlement of this
matter. )
Far West Construction
Dublin Meadows Partners (J L Construction)
Appeal of Measure D Superior Court Decision
In the event the City prevails on the Measure D case, attorney fees may be
included in the final judgement. The actual budgeting of Litigation
Expenses can fluctuate substantially between fiscal years. The projected
adjustment is estimated to cover expenses for current litigation. In the
event that the City becomes involved in additional matters further
modifications may be required.
General Legal Services
General Legal Services have been impacted by major Planning projects. The
total projected cost of Legal Services attributable to the Eastern Dublin
General Plan Study and the Western Dublin General Plan Study are
approximately $27,800. This represents 84% of the additional funds
estimated as being required for General Legal Services category.
The Planning activities will generate unanticipated revenue. ' All
processing costs on the Planning Applications are recovered from
development fees charged to the applicants. These fees were not
anticipated when the 1991-92 Budget was prepared. The Budget projected
$2,500 in revenue for legal services on Planning Applications. The revised
revenue estimate of $28,500, is $26,000 more than assumed in the approved
1991-92 Budget. The additional revenue will offset the majority of this
increased expense.
The General Legal Services Budget has also been impacted by several one
time projects which are of significance. These include:
Development of Density Bonus Ordinance " "' '°
Development of Tri-Valley Transportation Council Agreement
Right of Entry for Camp Parks (Dublin Boulevard Extension)
Bren Development Agreement
Report on Directly Elected Mayor
Development of a Harassment Policy
Review of Property Ownership Documents for Bike Path Development
Development of Inclusionary Housing Ordinance
Work on the Santa Rita Tax Exchange Agreement
The list shown above is only a summary of some of the more time consuming
projects reviewed by the City Attorney's Office. The City Attorney is
regularly consulted on the review of agreements, ordinances, and other
actions to be considered by the City Council.
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