Agenda Item
ASR
Control 23-000379 |
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MEETING
DATE: |
05/23/23 |
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legal entity taking action: |
Board
of Supervisors |
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board of supervisors district(s): |
5 |
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SUBMITTING Agency/Department: |
County
Counsel (Approved) |
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Department contact person(s): |
Leon
J. Page (714) 834-3303 |
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Mark
N. Sanchez (949) 252-5280 |
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Subject: Selection of Special Airport
Counsel
ceo CONCUR |
County Counsel Review |
Clerk of the Board |
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Concur |
Approved
Agreement to Form |
Discussion |
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3
Votes Board Majority |
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Budgeted: Yes |
Current Year
Cost: N/A |
Annual Cost: FY 2023-24 - $620,000.00 |
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Staffing Impact: |
No |
# of Positions: |
Sole Source: No |
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Current Fiscal Year Revenue: N/A
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Prior Board Action: 2/5/2013 #14, 9/12/2006 #60 |
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RECOMMENDED
ACTION(S):
1. |
Select the law
firms of Gatzke Dillon & Ballance LLP and Anderson & Kreiger LLP as
the primary providers of special legal services to John Wayne Airport. |
2. |
Select the law
firm of Kaplan Kirsch & Rockwell LLP as the secondary provider of
special legal services to John Wayne
Airport. |
3. |
Authorize County
Counsel to execute the standard Agreement for legal services with each of the
selected firms. |
SUMMARY:
Selection
of Gatzke Dillon & Ballance LLP and Anderson & Kreiger LLP as primary
special counsel, and Kaplan Kirsch & Rockwell LLP as secondary special
counsel will provide John Wayne Airport with legal expertise in airport related
legal, regulatory, and environmental issues.
BACKGROUND
INFORMATION:
John
Wayne Airport ("JWA" or "Airport") is one of the most
highly regulated airports in the United States.
In addition to compliance with a wide range of federal and state law and
regulation, the Airport is subject to a complex set of facility, operational,
and curfew restrictions that stem from local ordinances as well as the
settlement agreement the County entered into with the City of Newport Beach and
other settling parties in 1985 ("1985 Settlement Agreement").
The
Office of the County Counsel has contracted with various law firms for advice
and litigation assistance on Airport matters.
Since approximately 1978, the firm of Gatzke Dillon & Ballance LLP
("Gatzke") has been one of the primary firms the County has
contracted with in the areas of general airport law and airport environmental
issues. Gatzke was also directly
involved in the United States District Court lawsuit that led to the 1985
Settlement Agreement and its subsequent amendments. In addition, the firm has been instrumental
in the drafting and implementation of the Phase 2 Commercial Airline Access
Plan and Regulation ("Access Plan") and its amendments.
Since
2021, the Office of the County Counsel has contracted with the law firm
Anderson & Kreiger LLP ("Anderson"), located in Boston, MA, for
Airport matters pertaining specifically to federal law, regulation, and
litigation. Anderson successfully
defended the County in litigation against Jet Suite X resulting in the Federal
District Court dismissing the case on October 31, 2022. Anderson currently represents the County in
two ongoing Federal Aviation Administration ("FAA") complaints
related to the General Aviation Improvement Program resulting in one dismissal
thus far. The firm is recognized
nationally in federal airport law and has served the County well in its
dealings with the FAA and Federal Court.
The
services provided by Gatzke and Anderson have been above average. However, to
ensure the County is receiving the highest quality and highest value in legal
services, our office periodically initiates competitive processes for its
outside counsel contracts.
Request
for Statements of Qualification
County
Counsel initiated a competitive selection process for the retention of airport
special counsel from law firms
possessing expertise in the areas of general airport law as well as airport
environmental expertise. On November 21, 2022, the Office of the county Counsel
released a Request for Statements of Qualifications ("RFQ") for
Special Counsel for Advisory and Litigation Services in the Area of Airport Law
and Related Environmental Legal Services was sent to fifty-three (53) law
firms. Firms were permitted to submit
their qualifications in the subject area of airport law generally, airport
environmental law, or both. Six (6) law
firms responded with Statements of Qualifications ("SOQs"). All six SOQs were rated by a five-member
panel that consisted of County Counsel and Airport executives. All of the responding firms submitted their
qualifications for both general airport law and airport environmental law. The three highest ranking firms were
interviewed by the evaluation panel.
Each firm was offered time to make a presentation and answer the same
structured set of questions.
Based on the evaluation panel's review of firm SOQs and interviews, the firms
were ranked as follows:
Firm Ranking |
Total Score |
1. Kaplan Kirsch & Rockwell LLP |
6,002 |
2. Anderson & Kreiger LLP |
5,720 |
3. Gatzke Dillon & Ballance LLP |
5,686 |
As
part of the interview, firms were required to provide their proposed billing
rates in sealed envelopes. Only after
the evaluation panel had completed its review and ranking of all three firms,
were the billing rates reviewed. The
proposed billing rates for the firms are as follows:
Firm Billing
Rates |
Partner |
Associate |
Paralegal |
Kaplan
Kirsch & Rockwell LLP |
$695/hr. |
$400/hr. |
$175/hr. |
Anderson
& Kreiger LLP |
$510-$650/hr.
(Incl. Sr. Counsel) |
$300-$430/hr. |
$190-$220/hr. |
Gatzke
Dillon & Ballance LLP |
$425/hr. |
$330-$375/hr. |
$150/hr. |
We
are recommending that the Board select the law firms of Gatzke Dillon &
Ballance LLP and Anderson & Kreiger LLP as the primary providers of special
legal services to the Airport based on the exemplary service both have provided
to the County as well as their competitive billing rates.
While
Kaplan Kirsch & Rockwell LLP ("KKR") was ranked number one by the
evaluation panel, we are recommending that the firm be selected as the
secondary provider of special legal services to the Airport due to the firm's
higher blended hourly billing rate. KKR
is a national law firm with extensive expertise in proceedings before the FAA,
and at appellate and federal district courts.
Selecting
these three firms will ensure that the Airport continues to have access to
outside counsel with legal expertise in airport-related legal, regulatory, and
environmental issues.
FINANCIAL
IMPACT:
Appropriations
for this Contract are included in Fund 280, Airport Operating Fund, FY 2023-24
Budget and will be included in the budgeting process for future years.
STAFFING
IMPACT:
N/A
ATTACHMENT(S):
Attachment
A - RFQ for Airport Legal Services Final
Attachment B - JWA Special Counsel Ranking Summary Sheet
Attachment C - Proposed Legal Services Agreement - Anderson & Kreiger LLP
Attachment D - Proposed Legal Services Agreement - Gatzke Dillon & Balance
LLP
Attachment E - Proposed Legal Service Agreement - Kaplan Kirsch & Rockwell
LLP