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HomeMy WebLinkAbout08/01/2006 Blue Sheet Attorney Conflict of Interest Waivers TOWN COUNCIL MEETING INFORMATION TOWN OF MARANA MEETING DATE: August 1,2006 AGENDA ITEM: 1.4 TO: MAYOR AND COUNCIL FROM: Frank Cassidy, Town Attorney SUBJECT: Resolution No. 2006-115: Relating to Administration; authorizing the Town Attorney in consultation with the Town Manager to exe- cute attorney conflict-of-interest waivers in certain circumstances. DISCUSSION Outside law firms that provide legal services to the Town sometimes request conflict waivers to allow representation of other clients in matters against the Town or that come before the Town. This item seeks to formalize the Town Attorney's authorization to execute attorney conflict waivers on the Town's behalf in certain circumstances. The law firm that most often seeks conflict waiver requests is Lewis & Roca, which frequently represents the Town in personnel matters that are covered by the Town's insurer, the Arizona Municipal Risk Retention Pool. Lewis & Roca frequently asks for the waivers so that it can rep- resent landowners, developers and builders in matters related to development and real estate where the Town will be involved either as a reviewing entity or as a party to contract negotia- tions or litigation. Partner Todd Hale of Lewis & Roca typically represents the Town on person- nel matters, while a separate division of Lewis & Roca, which includes attorneys Si Schorr, Frank Bangs, Mary Beth Savel, Keri Silvyn and others, represents landowners, developers and builders in real estate matters. As a practical matter, Lewis & Roca's representation of third-parties before and against the Town on real estate matters has no effect whatsoever on Lewis & Roca's representation of the Town through the Risk Pool on personnel matters. Moreover, a failure to waive the conflict would inevitably result in Lewis & Roca's choosing not to represent the Town on personnel mat- ters, eliminating the Town's ability to hire this leading Arizona law firm. This issue is not limited to the law firm of Lewis & Roca. Because of the relatively small number of leading Arizona law firms that do business in the Tucson area, it is common for large law firms that represent the Town on certain specific matters also to represent third parties in unre- lated matters before and against the Town. This proposed resolution would expressly authorize the Town Attorney in consultation with the Town Manager to execute attorney conflict-of-interest waivers where (i) the lead attorney repre- senting the Town is different from the lead attorney representing the party for whom the conflict {00002434.DOC /} FJC/cds 7/25/06 waiver is sought and (ii) the firm's representation of the Town involves a subject matter that is unrelated to the subject matter of the representation for which the conflict waiver is sought. This proposed resolution would also establish a procedure for obtaining attorney conflict waivers in situations where the firm's lead attorney for the Town is involved in the representation giving rise to the conflict waiver or where the representation giving rise to the conflict waiver is in the same subject area as the representation of the Town. In those situations, if the Town Attorney in consultation with the Town Manager determines that the conflict waiver is in the Town's best interests, all Town Council members will be notified and given an opportunity to place the con- flict waiver request on the next available Council meeting agenda. If after ten days no Council member has placed the waiver request on a Council meeting agenda, the Town Attorney is au- thorized to execute the conflict waiver. RECOMMENDATION Staff recommends adoption of Resolution No. 2006-115. SUGGESTED MOTION I move to adopt Resolution No. 2006-115. {00002434.DOC /} -2- FJC/cds 7/25/06 --.....-"-.~_f__.._~_~~^.~.. MARANA RESOLUTION NO. 2006-115 RELATING TO ADMINISTRATION; AUTHORIZING THE TOWN ATTORNEY IN CONSULTATION WITH THE TOWN MANAGER TO EXECUTE ATTORNEY CONFLICT- OF-INTEREST WAIVERS IN CERTAIN CIRCUMSTANCES. WHEREAS, the Town of Marana utilizes the services of outside legal counsel for various legal services; and WHEREAS, law firms hired by the Town sometimes seek conflict-of-interest waivers so that they may appear before the Town and represent other clients before and against the Town on matters unrelated to their representation of the Town; and WHEREAS, the Town finds that the desire to be able to hire the best law firms to represent the Town outweighs the need to disqualify a law firm with a technical conflict as long as the dual representation does not adversely affect the Town. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE TOWN OF MARANA, ARIZONA, AS FOLLOWS: SECTION 1. The Town Attorney, in consultation with the Town Manager, is hereby authorized to execute attorney conflict-of-interest waivers on behalf of the Town when both of the following circumstances apply: a. The law firm seeking the waiver represents the Town on a matter unrelated in subject area and in fact from the matter for which the waiver is sought; and b. The lead attorney representing the Town is not directly involved in the matter for which the conflict-of-interest waiver is sought. SECTION 2. In all instances other than those set forth in Section 1, requests for attorney conflict-of-interest waivers shall be transmitted to all Council Members with an explanation of the nature of the proposed representation and with notice that each individual Councilmember may request that the conflict waiver request be placed on the next available Council agenda. If after ten days no Council Member has placed the waiver request on a Council meeting agenda, {00002433.DOC I} FJC/cds 7/25/06 the Town Attorney, in his or her best judgment and in consultation with the Town Manager, may execute the conflict waiver request. PASSED AND ADOPTED BY THE MAYOR AND COUNCIL OF THE TOWN OF MARANA, ARIZONA, this 1st day of August, 2006. Mayor Ed Honea ATTEST: Jocelyn C. Bronson, Town Clerk APPROVED AS TO FORM: Frank Cassidy, Town Attorney {00002433.DOC I} - 2 -