HomeMy WebLinkAboutAGENDA REPORT 2013 0403 CCSA REG ITEM 10I ITEM 10.1.
City Council i eetinQ
MOORPARK CITY COUNCIL -- -,-_-- - '3- o
AGENDA REPORT ACTION: -
TO: Honorable City Council
FROM: Deborah S. Traffenstedt, Deputy City Manager
DATE: March 28, 2013 (CC Meeting of 413/13)
SUBJECT: Consider City Attorney (Richards, Watson and Gershon) Conflict
Waiver to Permit Simultaneous Representation of the City of Moorpark
and Shea Homes Including Review of Subdivision Improvement
Agreement for Tentative Tract No. 5425
Background and Discussion
As previously disclosed to the City Council at the time an agreement was approved with
RWG for City Attorney services, a RWG attorney has been providing legal services to
Shea Homes Limited Partnership (Shea Homes) in a matter before the California Coastal
Commission involving a residential development proposed in Huntington Beach, California.
In order for a RWG attorney to review a draft Subdivision Improvement Agreement for a
Shea Homes project in the City of Moorpark (Tentative Tract No. 5425/Residential Planned
Development Permit No. 2003-02), RWG has obtained a waiver from Shea Homes. Staff
is now requesting that the City Council authorize the City Manager to sign an
Acknowledgment, Consent and Waiver to allow RWG to represent the City of Moorpark in
the pending matter involving Shea Homes in Moorpark while representing Shea Homes in
the unrelated matter before the Coastal Commission, as further explained in the attached
letter from Kevin Ennis, City Attorney. Chapter 16.36, Security and Improvements, of Title
16, Subdivisions, of the Moorpark Municipal Code requires a subdivider to enter into a
contract with the City, in a form acceptable to the City Engineer and City Attorney, for the
construction of required improvements prior to the approval by the City Council of any final
map or the acceptance of the dedication of any of the streets, alleys or other public places.
Fiscal Impact
None.
Staff Recommendation
Authorize the City Manager to sign an Acknowledgment, Consent and Waiver to permit
RWG to represent the City of Moorpark in the Shea Homes project in Moorpark while
simultaneously continuing to represent Shea Homes in the matter before the Coastal
Commission, subject to City Manager final language approval of Waiver.
Attachment: Letter dated 3/26/2013, including draft Acknowledgment, Consent and
Waiver 106
11t0J►1J RICHARDS I WATSON I GERSHON
,`ACC! ATTORNEYS AT LAW-A PROFESSIONAL CORPORATION
-iSS South Grand Avenue.4oth Floor.Los Anzeles.California Qoo71-41oi
R'["A(916 iq88� March 26, 2013
GLENN R.WATSON
(1917-2010) Steve Kueny
HARRY L.GERSHON
(1922-2007) City Manager
STEVEN L.DORSEY City of Moorpark
WILLIAM L.STRAUSZ
MITCHELL E.ABBOTT 799 Moorpark Avenue
GREGORY W.STEPANICICH
QUINNLM.BAR OW Moorpark, California 93021
CAROL W.LYNCH
GREGORY M.KUNERT
THOMAS M.JIMBO
ROBERT C.CECCON Re: Conflict Waiver: Shea Homes Project(Tentative Tract Map No. 5425 and PD
STEVEN H.KAUFMANN �T (� (�
ROBIN DG HARRIS No• 2003-02)
MI CHAELESTRAOA
LAURENCE S.WIENER
STEVEN R.ORR
B.TILDEN KIM Dear Steve.
SASKIA T.ASAMURA
KAYSER O.SUME
PETER M.THORSON
JAMES L.MAR MAN As you know, an attorney In our firm has been providing legal services to
CRAIG A.STEELE
T.PETER PIERCE Shea Homes Limited Partnership ("Shea Homes") in a matter before the California
TER EN CE R.BOGA
LISA BOND
JANET E.[OLESON Coastal Commission involving a residential development proposed in Huntington
ROKAN N E M.D IAZ
JIM G.GRAYSON Beach, California(the "Coastal Matter.")
ROY A.CLARKE
WILLIAM P.CURLEY III
MI CHAEL F.YOSHIBA
REGINA N.DANNER In connection with our work for the City of Moorpark ("City"), we have been
PAULA GUTIERREZ BAEZA
BRUCE
NA K.CLHUANG asked to review an "Agreement for Construction of Subdivision Improvements and
PATRICK K.BOBKO
NORMAN A.DUPONT Reimbursement" and related land use approvals, permits and agreements for a Shea
DAVID M.SNOW
LOLLYA.ENRIQUEZ Homes project in the City. The project is generally described as Tentative Tract Map
KI RSTEN R.BOWMAN
GINETTA L. CO
TRISHA 5425 and Residential Planned Development Permit No. 2003-02 for the development
HA OR ORTIZ
CANDICE K.LEE
BILLY D.OUNSMORE of 102 Housing Units on a 15.13 acre parcel located at the terminus of Fremont
AMY GREYSON
DEBORAH R.HAKMAN Street, South of Los Angeles Avenue and east of Majestic Court in the City
D.CRAIG FOX
MARK GIE E.MASTIN NET (`Moorpark Project").
GENA M.STIN NETT
JENNIFER PETRUSIS
STEVEN L.FLOWER
CHRISTOPHER).DIAZ
ERIN L POWEERS RS Upon receipt of the request to work on the Moorpark Project, we sought and
TOUSSAINT S.BAILEY
SERITA R.YOUNG obtained a conflict waiver from Shea Homes related to the Coastal Matter that allows
SHIRI KLIMA
DIANA H. RAT
JULIE A.HA MILI us to represent the City in matters related to the Moorpark Project. At this time, the
ANDREW I.BRADY AARON C.O,DELL ELL Shea Homes waiver allows us to provide services to the City on any aspect of
BYRON MILLER
SPENCER B.KALUCK Moorpark Project excluding litigation. A copy of that Shea Homes waiver letter is
PATRICK D.SKAHAN },,
OF COUNSEL attached.
MARK L.LAMKEN
SAYRE WEAVER
JIM R. RPIAK
TERESA HO-URANO We now write to formally disclose to the City our work for Shea Homes in the
NO
SAN FRANCISCO OFFICE Coastal Matter and seek the City's consent to provide services to the City on the
TELEPHONE 415.421.8484
Moorpark Project given our representation of Shea Homes in the Coastal Matter.
ORANGE COUNTY OFFICE
T ELEPHONE 714.990.0901
TEMECULA OFFICE Our firm does not believe that the representation of the Shea Homes in the
TELEPHONE 951.695.2373
Coastal Matter will present a conflict of interest with our representation of the City in
12853-0001\1S42723v1.doc
107
RICHARDS I WATSON I GERSHON
ATTORNEYS AT LAW-A PROFESSIONAL CORPO RAF]ON
Steve Kueny
March 26, 2013
Page 2
connection with the Moorpark Project. The separate and distinct natures of the two
representations effectively ensure (1) that we would not obtain any confidential
information of the City that would be relevant to our representation of Shea Homes in
the Coastal Matter, and (ii) that there would be no substantive opportunity for us to
disclose confidential information of the City in our work for Shea Homes in the
Coastal Matter.
The purpose of this letter is to request the consent of the City to permit our
firm to provide services to the City in connection with the Moorpark Project, while at
the same time permitting our firm to continue to represent Shea Homes Limited
Partnership in the Coastal Matter. Rule 3-310(C)(1) of the Rules of Professional
Conduct of the State Bar of California states, in relevant part, as follows:
"(C) A member shall not, without the informed written consent of
each client:
(3) Represent a client in a matter and at the same time in a
separate matter accept as a client a person or entity whose interest in
the first matter is adverse to the client in the first matter."
Rule 3-310(E) of the Rules of Professional Conduct of the State Bar of California
provides as follows:
"A member shall not, without the informed written consent of the
client or former client, accept employment adverse to the client or
former client where, by reason of the representation of the client or
former client, the member has obtained confidential information
material to the employment."
A strict reading of Rule 3-310(C) does not, in our opinion, require written
consent from the City because the City is not adverse to Shea Homes in the existing
Coastal Matter. Similarly, we do not believe Rule 3-310(E) applies because we have
not obtained any confidential information in either matter that would be material to
the other matter. Nonetheless, we did need to obtain the consent of Shea Homes to
work for the City on the Moorpark Project. In addition, we do need to formally
disclosure our representation of Shea Homes in the Coastal Matter to the City.
12853-0001\1542723v1.doc
108
RICHARDS I WATSON I GERSHON
ATTORNEYS AT LAW-A PROFESSIONAL CORPORATION
Steve Kueny
March 26, 2013
Page 3
Where a conflict of interest exists, we are obligated to inform you fully of the
relevant circumstances" and of the "actual and reasonably foreseeable adverse
consequences" of the separate representation.
We have provided extensive advice to Shea Homes in connection with the
Coastal Matter, and we intend to continue to fully represent Shea Homes in that
Coastal Matter. In our view, providing services to the City of Moorpark in
connection with the Moorpark Project is unrelated to the services our firm provides to
Shea Homes in the Coastal Matter.
We do not foresee the possibility that any confidential information of the City
would be material or related in any way to our services as special counsel to the Shea
Homes in the Coastal Matter, and vice-versa.
We can and will continue to zealously represent the City and have absolutely
no reason to believe that our objectivity or representation will be compromised in any
way by our simultaneous representation of Shea Homes in the Coastal Matter.
If, after considering the foregoing, the City agrees to waive any potential
conflict of interest arising from our separate and continued representation of the Shea
Homes in the Coastal Matter, we would appreciate it if you would sign and return a
copy of this letter.
Please do not hesitate to call me if you wish to discuss the matter further.
Very truly yours, /
Kevin G. Ennis
Enclosure
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109
RICHARDS I WATSON I GERSHON
ATTORNEYS AT LAW-A PROFESSIONAL CORPORAL ION
Steve Kueny
March 26, 2013
Page 4
ACKNOWLEDGMENT, CONSENT AND WAIVER
Based upon the foregoing disclosures, the City of Moorpark acknowledges
receipt of and understands the disclosures made herein and consents to the Finn's
simultaneous representation of the City of Moorpark in connection with
administrative, non-litigation matters, including the review and approval of an
"Agreement for Construction of Subdivision Improvements and Reimbursement" and
related land use approvals, permits and agreements for the Moorpark Project and the
continued representation of Shea Homes Limited Partnership in connection with the
Coastal Matter, and waives any actual, potential or perceived conflict arising from the
simultaneous representation.
City of Moorpark
By Date: 2013
Title
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110
11flki RICHARDS j WATSON GERSHON
,k1l 9 ATTORNEYS AT LAW-A PROFESSIONAL CORPORAT!ON
its South Grand Avenue.troth Floer,Los Aneeles.California geon-aioi
RIEHAR 6 iqS March 18,2013
GLENN R.WATSON
(191'-2°10) John Vander Velde
HARRY L.GERSHON
Vice President
sTEYEN 11 DORSEY Shea Dome Limited Partnership
WILLtAAS L.STRAUSZ [ Court, Suite MITCHELL E.ABBOTT 1250 Corona Pointe Court Suite 600
G REGO RY W,S I EPANICICH >
LE BROWNS
QUINN M.BARROW Corona, California 92879
QUINN
CAROL W.LYNCH
GREGORY M.KUNERT
rHOMAS M.IIMDO
ROBERT C.CFCCON Re: Conflict Waiver: City of Moorpark Agreements and Matters
STEVEN H.KAUFNAANN
KEVIN G.ENNIS
ROBIN D.HARRIS
MICHAE S.WIENER UURENCE S.WIE Dear Mr. Vander Velde:
STEVEN R.ORR
B.TIL05N KIM
SAS KIA T.ASAMURA
KAY ER O.SUME As you know, my fine specializes in representing public entities. In the past
PETER M.THORSON
JAMES L.MARKMAN we have discussed conflict issues when one or more Shea entities is proposing a
CRAIG A.STEELE
T.PETER B transaction with a public entity that the firm represents.
E
TEREN C R..BOLA OGA
LISA BOND
JANET E COL ESON
RO", A YSON DIAL
H",G.GRA This letter seeks a conflict waiver that will permit the firm to represent City of
G.
EOV 0..C R,KE
WILLIAM P.CURLEVIII Moorpark ("City') in connection with the review and approval of an "Agreement for
MICHAEL:.YOSHIBA
REGTE REZANNER Construction of Subdivision Improvements and Reimbursement' and related land use
PAULA GUTIERPEZ BAELA
BRUCE W.GALLOWAY
DIANA K.CHUANG approvals, pen-nits and agreements for a Shea Homes project in the City. The project
PATRICK K.DOD KO
NORMAN A.DUPONT is generally described as Tentative Tract Map 5425 and Residential Planned
DA ID M.SNOW
LOLLY A.ENRIQUEZ Development Permit No 2003-02 for the development of 102 Housing Units on a
KIRSTEN R.BOWMAN
GINETT iRCO
TRISHA ORTIZ 15.13 acre parcel located at the terminus of Fremont Street, South of Los Angeles
RISNA
CANDICE
DU NSMOKSMORE E
D-
91LLY D-DU Avenue and east of Majestic Court in the City("Moorpark Project').
AMY GREYSON
DEBORAH R,HARMAN
D.CRAIG FOX
MARICELA E MARROQUIN Kevin G_ Ennis of our firm is the recently appointed City Attorney for the
GENA M.STIN NETT
JENNIFER L PETRUSIS City.
STEVEN FLOWER C C
CHRISTOPHER I.DIAZ
ERIN L POWERS
TOUSSAI NT S.DAILEY vices to
SERITA R.YOUNG As you know, our firm currently is and has been providing legal ser
SNLRI KLIMA
DIANA H.VARAT Shea Homes Limited Partnership, a matter before the California Coastal Commission
JULIE A.HAMILL
ANDREWI.BRADY (nvolvtna a residential development ent proposed b
In Huntington Beach, California the
AARON EO'DELL b
GVRON MILIER "
SPENCER R.KA LUCK Coastal Matter." Our role as counsel for the City would be handled by a lawyer in a
PATRICK O.SKAHAN
different practice group and does not involve any substantive issues relating to the
DFCOUNSEL
MARK L IAMKEN Coastal tatter.
SAYRE WEAVER
JIM R.KARPMK
TERESA u0-URANO
SAN FRANCISCO OFFICE Our firm does not believe that the representation of the City will present a
TELEPHONE 415.421,8484 conflict of interest with our continued representation of Shea Homes Limited
ORANGE COUNTYOFFt CE
IF,FPHONF?"1.99..0901 Partnership in connection with the Coastal matter. The separate and distuict natures
TEMECULA of the two representations effective) ensure t that we have not obtained an
TELEPHONE 95..695.2 j7) Y Y (•) Y
confidential information of Shea Homes Limited Partnership that would be relevant
12853-0001\1540101v1.doc
111
RICHARDS j WATSON 1 GERSHON
ATTORNEYS AT LAW-A FRO FESSiCN AL CUR POP;F!UN
John Vander Velde
March 18, 2013
Page 2
to our representation of the City, and (ii) that there would be no substantive
opportunity for us to disclose confidential information of Shea Homes Limited
Partnership in our work as City Attorney for the City.
The purpose of this letter is to request the consent of Shea Homes Limited
Partnership to permit our firm to provide services to the City in connection with the
Moorpark Project, while at the same time permitting our firm to continue to represent
Shea Homes Limited Partnership in the Coastal matter. Rule 3-310(C)(1) of the
Rules of Professional Conduct of the State Bar of California states, in relevant part,as
follows:
"(C) A member shall not, without the informed written consent of
each client:
(3) Represent a client in a matter and at the same time in a
separate hatter accept as a client a person or entity whose interest in
the first matter is adverse to the client in the first matter."
Rule 3-310(E) of the Rules of Professional Conduct of the State Bar of California
provides as follows:
"A member shall not, without the informed written consent of the
client or former client, accept employment adverse to the client or
former client where, by reason of the representation of the client or
former client, the member has obtained confidential information
material to the employment."
A strict reading of Rule 3-310(C) does not, in our opinion, require written
consent because the City is not adverse to Shea in the existing Coastal matter.
Similarly, we do not believe Rule 3-310(E) applies because we have not obtained any
confidential information in either matter that would be material to the other matter.
Nonetheless, we feel it is in the spirit of these rules to disclose that representation to
Shea Homes Limited Partnership and provide it the opportunity to evaluate and
consent to our continued representation.
Where a conflict of interest exists, we are obligated to inform you fully of the
"relevant circumstances" and of the "actual and reasonably foreseeable adverse
consequences"of the separate representation.
12853-0001\1540401v1.doc
112
RICHARDS I WATSON I GERSHON
AI TGRNEYf AT(Aw-A RRO:E SSMC":At CC FVORAT I ON
John Vander Velde
March 18. 2013
Page 3
We have provided extensive advice to Shea Homes Limited Partnership in
connection with the Coastal matter, and we intend to continue to fully represent Shea
EIomes Limited Partnership in that matter. In our view, providing services to the City
of Moorpark in connection with the Moorpark Project and is unrelated to the services
our firm provides to Shea in the Coastal matter.
We do not foresee the possibility that any confidential information Shea
Homes Limited Partnership might impart to the lawyers at the firm handling the
unrelated Coastal matter would be material or related in any way to our services as
City Attorney for the City in connection with the Moorpark Project,or vice-versa.
We can and will continue to zealously represent Shea Home Limited
Partnership and have absolutely no reason to believe that our objectivity or
representation will be compromised in any way by our simultaneous representation of
the City in the Moorpark Project.
If, after considering the foregoing, Shea agrees to waive any potential conflict
of interest arising from our separate representation of the City of Moorpark in the
Moorpark Project, we would appreciate it if you would sign and return a copy of this
letter.
Please do not hesitate to call me if you wish to discuss the matter further.
Very truly yours,
Steven 1-1. Kaufmann
12853-0001\1540401v1.doc
113
RICHARDS I WATSON i GERSHON
ATTCRNEY$AT LAW-A 7RUtE5SlE)ft A 1.CORPORA T!ON
John Vander Velde
'March I8. 2013
Page 4
ACKNOWLEDGMENT CONSENT AND WAIVER
Based upon the foregoing disclosures, Shea flomes Limited Partnership
acknowledges receipt of and understands the disclosures made herein and consents to
the Firm's simultaneous representation of the City of Moorpark in connection with
administrative, non-litigation matters, including the review and approval of an
"Agreement for Construction of Subdivision Improvements and Reimbursement"and
related land use approvals, permits and agreements for the Moorpark Project and the
continued representation of Shea Homes Limited Partnership in connection with the
Coastal matter, and waives any actual, potential or perceived conflict arising from the
simultaneous representation.
Shea Homes Limited PArtg6ship
By Date: I 2013
{J
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Title
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