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CC - 04-03-070 .i. • MINUTES OF THE SPECIAL MEETING ROSEMEAD CITY COUNCIL April 3, 2007 The special meeting of the Rosemead City Council was called to order by Mayor Tran at 5:35 p.m. in the Council Chambers of the City Hall, 8838 E. Valley Boulevard, Rosemead, California. The pledge to the flag was led by Councilmember Clark. The invocation was delivered by Councilmember Low. ROLL CALL OF OFFICERS: Present: Councilmembers Clark, Low, Taylor; Mayor Pro Tern Nunez and Mayor Tran Absent: None Tran: Before I go to the Public Comments, I just wanted to remind the residents - at the front of the Agenda, we have some, I guess Brown Act quotes and also Comments, if the audience were to make comments, they are limited to three minutes. So I just wanted to remind the audience that. With that being said, we're going to jump right into Public Comment from the Audience. First speaker is Juan Nunez. PUBLIC COMMENT FROM THE AUDIENCE Juan Nunez: I'd like to speak on that item; do you want me to speak on that before? Tran: Which item? Nunez: Are they talking on that now? Matters from - Tran: I'm sorry. It's says: "Consideration of legal counsel." Let me bring you back up apologize. I just had my shoulder surgery. Public Comment - Alejandro Gandara. Gandara: Thank you. I'm a resident of Rosemead for over 25 years and I just wanted to say that I was very happy to hear that we don't have the firm that we had before representing us. I'm glad that we've moved on to something else. I didn't get a chance to read all of the paperwork so I apologize for that. I just hope that if you are going to be hiring another firm, that there are things that are looked into. Sometimes you can work out without hourly rates, that they will attend all meetings. So, there are those types of issues. I'm sure you all looked into that. So, certainly if there is no kind of contract that binds us and they can be let go at any time, then truly that is a great deal off the bat, because that's probably how it should be and that's not always easy to get, especially when you're changing firms. So good luck with that and I appreciate it. Thank you very much. City Council Minutes: 4-3-07 Page 1 of 42 Tran: Thank you. Our next speaker is Ruby Ratterree regarding the Casa Latina Bar & Grill. Ratterree: This has been a long time to wait. My husband, for the last, since July, (Audience cross talk) Ratterree: Since July my husband has been - Castruita: You can go ahead and pull that. Thank you Ratterree: Since July, my husband has been battling this every night; he can't sleep, from the music from the bar, as you can read your, little copy that I gave you. The neighbors that are around me, I have about eight signatures of the neighbors finally, that has the same, that, the noise is so loud, that I wake up with a headache in the morning. And, it's just; it's getting to the point where something has to be done. And sc talked to the City Commissioner yesterday and I called to get an appointment with you, but this takes care of it, so, we won't have to do that. So, I would like to know if something can be done. Right now, they're toning it down, because they know they're up for their license. So, they're toning it down right now. But as soon as they get a license, heaven help us. So, anyway, I'm asking you to please help us. Clark: Mr. Mayor? Tran: Yes. Clark: I'd like staff to respond to this. This has been going on for months, and I wasn't sure if they were taken care. And I'm not happy that I'm hearing to find they haven't been, and especially since, their license is up I think we need to take this into consideration and perhaps revoke the license. Do we have any answer from staff? Lazzaretto: I'd be very happy to at least to inform you. The issue I believe is a conditional use permit and at the end of the initial six months, we were supposed to bring back a report, and I believe we are coming just to the end of that six month period. There have been some complaints by - I wasn't aware frankly, that there were a whole series of complaints, I know we've had a few. We'd be very happy to bring a count - a report back to the council. I believe we also have to bring a report back to the Planning Commission to fulfill the requirements of the CUP. Clark: Was it Oliver? I spoke to somebody that assured me this would be taken care of. This has been going on for months. Chi: It has been. And I think - Clark: It's not right. City Council Minutes: 4-3-07 Page 2 of 42 • 0 Chi: As Mr. Lazzaretto pointed out, we have been monitoring it. I know that we have a log of all the complaints that have been coming in, the enforcement activities that have occurred and at the six month period, we - it is on our file to bring it back to the council for review. Clark: But I want patrols out there and something done. Chi: Absolutely. Gandara: Mr. Mayor - may I please just, there is something I did want to discuss at sometime and that is, I hope that Rosemead is a place that will be working with Casa Latina. And I tell you why. I was talking to a woman just the other day, about her mother being a flapper, as my grandmother was. And at that time, the high-brow, high society people, many of them didn't think very highly of women who did those types of dancing. But remember that dancing and music marks time. You certainly all know music. You know songs that were your favorite - where you were. Let's be a City (inaudible) that you don't have to leave or go some place else. But remember that dancing and music in history shows time and it means something. The Macarena was a big deal. Now, if there is a problem with sound, certainly that needs to be looked after and if there is sound proofing involved, that has to be looked after or they have to be policed so that sound doesn't go too high, or what you can do for the neighbors. But getting rid of dancing places and making us go to other places is part of what this particular community has talked about, maybe not all. But let's not forget, there was a time when people were young, even myself, I went dancing. We have to remember that. Stop throwing things out. Work with these businesses. See what you can do to sound proof. See what you can do so that business gets to stay - not throw it out just because we've had a lot of complaints. The neighbors need to be protected; that sound needs to be there. But that place has been there a very long time. Let's please look into that and remember that dancing and music marks time. Clark: Mr. Mayor, I take offense to that Alejandro. I'm trying to protect the neighbors from the sound, it has nothing to do with the dancing or that we're trying to shut it down because they're dancing, that is what you're implying. Tran: What we'll do is... Gandara: I think that Ms. Clark, maybe you're very defensive right now, that is why you received it that way they need to be protected (inaudible) Clark: Ok. Gandara: I said the neighbors need to be protected, sound proofing. Clark: Yes, they do. Well if they don't obey disobeying for months. Gandara: But that is what I just said. City Council Minutes: 4-3-07 Page 3 of 42 0 Clark: (Inaudible) Gandara: I hope - did you hear what I said, because that is what I'm saying. Tran: Thank you Mr. Gandara. Gandara: Thank you, very much. Tran: The next speaker is Jim Flournoy - Garvey Bridge. Flournoy: I can't talk about the Garvey Bridge because Jay's not up there. Oh, there you are. Jay Imperial: I'll always be here. Flournoy: Ok. Actually I think we ought to put that on the agenda for next week, what I want to say on that subject. On the item we're just talking about, the City bought the sheriffs a decibel meter a long time ago and I don't believe currently anyone is trained to use it up there so it's never utilized. We have a City noise ordinance which nobody enforces unless you use the decibel meter. So this could be something we do for the whole City, as opposed to just the Casa Latina. I've drove by the other day, and it was pretty loud. So there does need to be something done. We need to have the science there as well as the people's perception of it. Boom, boom, boom, and thump, thump, thump gets to you after a while. Thanks a lot. Tran: The next Public Comment speaker is Steven Ly. Ly: Steven Ly, 3040 Rosemead Place. Councilmen, including newly elected Councilman Polly Low, congratulations. I'm not here to harass anybody or anything like that in terms of what I think needs to be done today regarding hiring an attorney. But here is how I see things, right. The name Bonifacio, is actually Latin meaning "good act". Now, the question before you is how is having someone that is involved in litigation against the City a good act? Is hiring someone with questionable billing practices a good act? Is hiring someone who we pay hourly by meeting and knowing how long meetings can last, a good act? The new majority definitely wants to act; the new majority definitely wants to do good things. The thing you have to make sure is that you are doing good acts. Let's slow down the process a little bit, go over the normal channels and hire a qualified attorney that comes from a respected firm that has an unbiased, unbiased and unaffiliated standing with the City in terms of litigation. That is what you were elected to do, to serve the constituency and the best way to serve the constituency is to go through the normal processes of hiring a very qualified, a very respected City Attorney. Thank you. Tran: Alright. Next speaker, actually next item is: "Matters from Mayor and City Council. And the first item is a request from Mayor Pro Tern to place on the Agenda, Number A: City Council Minutes: 4-3-07 Page 4 of 42 • 0 "Acceptance of Resignation of City Attorney Wallin and Termination of the Law Firm of Wallin, Kress, Reisman & Kranitz, LLP". B. is: "Consideration of Appointment of Legal Counsel, Garcia, Calderon & Ruiz, LLP (Lead Attorney: Bonifacio Bonny Garcia)," and we do have a couple of speakers here. I'd like to first bring up Juan Nunez. 2. MATTERS FROM MAYOR & CITY COUNCIL Mayor Pro Tern Nunez requested the following items be placed on the Agenda: A. Acceptance of resignation of City Attorney Wallin and termination of the Law Firm of Wallin, Kress, Reisman & Kranitz, LLP B. Consideration of appointment of Legal Counsel Garcia, Calderon & Ruiz, LLP (Lead Attorney: Bonifacio Bonny Garcia) Juan Nunez: Juan Nunez, 2702 Del Mar. On this hiring of Counsel, I think this Garcia, Calderon (inaudible) those people are affiliated or doing business with the Garvey School District and I don't know whether it's a conflict of interest on that matter. I don't know - it's up to you to decide. And you don't have to rush into something like this, you know. It has been one week that Wallin has left and the thing is you can probably appoint an interim Counsel to wait and give it some time to put a bid for an appointment of Counsel and then also like the gentlemen that spoke a little while ago, that contract should be a short contract where you can get out of it without having to pay a firm for not having done a good job and still pay them. That's my position. You should go out for a bid and put that on an open basis. Tran: Thank you Mr. Nunez. Juan Nunez: Thank you. Tran: That next speaker is Jim Flournoy. Flournoy: Can I talk on A and B both? Tran: Yes. Flournoy: First on Number A - as you know, I've got a couple involved, at least four lawsuits against the City, and I'd like to state Mr. Wallin and his firm have always behaved in a first class, honorable manner. I don't agree with him a whole lot, sometimes. But, the quality of their legal work against me has been as good as you can get. So, Lisa Kranitz and Peter, I'm glad to see you go, because you're tough sometimes. But anyway, that's Part A - thank Peter for his service for 30 years. I was here when he came in as a Redevelopment Attorney and helped stop the grabs, same City Council Minutes: 4-3-07 Page 5 of 42 0 0, time Gary came in. He was working to stop the Redevelopment grabs and was then hired on as City Attorney without, but because he had done such a good job, for the people - that's the way I remember it. Don't ask me any pleasant details. Now, I read in the paper then, that Peter Wallin resigned and you're planning on putting Mr. Garcia in. And of course, I'm really, interested in who you have as a City Attorney, because I'd be sitting across the bench from him. So I called everybody I could find that's had dealings with Mr. Garcia. And without exception, all of them think he is a very wonderful attorney and he saves their clients money - he's expensive but you get what you pay for, comments along these lines. Now, there is an appearance of a conflict here, with Garvey School District. Mr. Garcia does not represent Garvey School District, against Save Our Community, or the City of or against Save Our Community is a co-plaintiff of Garvey School District in one of the suits. Mr. Garcia does not represent Garvey School District, Corey Briggs, does. So, there may be an appearance of a conflict, if there is a real conflict, this can be sorted out. What it comes to me is that, if Mr. Wallin resigned and you have this hearing tonight, you needed a new attorney, tonight, to go into this thing and you had to go across the way that you do, to go along enough, because you trusted to put on board to serve as your City Attorney. Well that's probably a pretty short list. So, people have to realize that the City Attorney can count to three and he serves at the will of the majority of the City Council the way Rosemead is set up. We don't have an elected City Attorney; the City Attorney doesn't represent the people like me, he doesn't represent, he doesn't even represent the City, he represents the majority of the board and that's his job. And, so, the City Council can select whoever, who so ever they want, for however long they want. And I know this, and I think everybody else knows this, but that is the reality of it. And I hope Mr. Garcia serves us well. Thank you. Tran: I think we're done with - any requests? Low: Mr. Mayor? I have some questions for Mr. Garcia - when is the right time to ask? Audience: Can't hear. We can't hear. Low: I said I have some questions for Mr. Garcia - when is the right time to ask? Tran: We have Mr. Garcia here. And Mayor Pro Tern (MPT) Nunez: Do we want to take? Tran:"A" MPT Nunez: "A" first and then take we can go on to "B"? Clark: Mr. Mayor, I have a problem with firing one firm and you don't know what you're going to do with the second. So why should we - like he said, we could be without an attorney. I think this is backwards. I agree that (inaudible) City Council Minutes: 4-3-07 Page 6 of 42 • • Imperial: Me too. Clark: And I personally think we should stay with the law firm of Wallin & Kranitz until the lawsuits are over. We're going to be paying somebody big time to review our position in the lawsuits and I think that's a waste of tax payer money. I think we need to keep their law firm and I think we need to go out for - request for proposals - get some rates, get some responsible bids, if you will, if that's what you call for attorney proposals and take a deep breath here. There's no hurry. There absolutely no hurry and I think this is just backwards to fire one firm and then we don't have one so you have to hire the other, that's - I can't believe this. Taylor: Mr. Mayor (Audience applause) Taylor: I would concur with what Mrs. Clark is saying. And the fact that, there is going to be tens of thousands of dollars, not a thousand, not a five thousand, but I believe that getting a new attorney in that's going to have to go back, we're paying for roughly between $200 and $250 an hour for them to review the law cases that we have going right now. And I just think we are really going backwards on this. We need to,go back and analyze what's happening. "Matters from Mayor and City Council", this is our agenda: "Mayor Pro Tern Nunez requested the following items be placed on the Agenda." And to you Mr. Flournoy, we have not talked to any other attorneys that I'm aware of. This is a spontaneous request. After the last meeting, it wasn't even brought up. And I think we're jumping the gun right here. I don't know Mr. Bonifacio at all. I know nothing about him. But I do have the question, as far as Peter had, Mr. Wallin has resigned and if we have an interim attorney to finish out or to proceed with the existing lawsuits, you have to stop and think, when a new attorney comes in, they can't defend a case they know nothing about and we're going to pay these new fees and it just starts over again. People aren't aware of that. So, I think that we do need to review what's going on and maybe put out a request for proposals not because one Councilmember wants to hire one particular attorney, that's just wrong. And the fact that, I don't know, and Polly don't take this wrong, but this is your first official meeting so to speak, we just had the swearing in ceremony - do you know anything about our current law firm? Low: I think I can only say - Tran: I'm sorry, were you done, Mr. Taylor? Taylor: No, I was asking Mrs. Low if she - Low: I think I can only say by sitting out in the audience and what I have heard, so it is what I have seen, yes. Taylor: Ok, and do you know what our legal expenses are per year with the attorney, with the Wallin firm? City Council Minutes: 4-3-07 Page 7 of 42 • • Low: I have seen his retainer - (inaudible) the $5,000 a month. Taylor: Have you looked into the City budget and again don't get me wrong; I don't want you set up for a trap. Because the first, one week later, this is an extremely important decision we have to make. We've had an Attorney for 30 years, the Attorney before that was for 15 years, we can't do this without some background information and a little more researching. And again, you need to be given the opportunity to get that information, rather than just what we have talked about from the audience. There's a lot in these lawsuits and a lot of other information that I just don't think you've had the time to even see yet and I don't think that's fair to you. We've been around it - we've been here a long time, there have been changes, but, I think you're being taken advantage of Tran: Well, Mr. Taylor, I'm going to allow Mayor Pro Tern Nunez to make his comments since he placed this item on the agenda. MPT Nunez: Yeah, so, I want to let everybody know that Mr. Wallin resigned. Ok, we did not fire him, he resigned, ok. And he has, in his letter, which I don't have here, but believe everyone here has seen it, all the Council has seen it, is that it says that they will be willing to continue to keep all the current lawsuits and come to terms with Lisa - what's Lisa's last name? Lazzaretto: Kranitz. MPT Nunez: Lisa Kranitz. So, I think that makes sense, to continue to do that, ok. That makes perfectly good sense. And I agree, I think that's what we should do is let them finish off all the work that they have started so we don't have to start all over on that, ok. That to me - that makes sense. First of all, second of all, is the fact that - I just wanted to - for those people that think that we hire lawyers with annual contracts - that's not true. Lawyers, any time three people on the council say we need to make a change, we make a change. There is no annual contract with them, ok, there is nothing like that. We asked them sometimes to finish some of the things they're working on, but that's the extent of it. They don't have - they don't come in with a three or five year contract, like the trash company does, or the, or things like that. We don't hire them like consultants for a year or something like that. They're hired, as - basically - on a month- to-month type of thing, ok? Now, I think that there are some things out there, that I think we need to make a change, ok? I think that Bonifacio is a well respected company; his company is well respected out there. And he's been well respected. The fact that somebody says that, you know, there is a - there is a charge out there - of bad of - billing practices, ok. (inaudible) Billing practices is what they charge that they charge from the time they leave their office until the time they go back to their office, ok. Let me tell you, we have the same arrangement with Peter Wallin right now. When he leaves his Malibu, in his office, the clock starts and we start paying him, ok. And when he goes back to Malibu, then, the clock stops. So there is no change there, it's basically the same thing. Rozell: That's not true City Council Minutes: 4-3-07 Page 8 of 42 • • MPT Nunez: It's not? What is it then? It's doesn't work that way? Rozell: It's not that at all. We do not charge for travel time to staff meetings, to City Council meetings. MPT Nunez: But you charge from the time you leave, right? Rozell: No, absolutely not. MPT Nunez: Well, that is what Mr. Wallin said in the newspaper, the other day. Rozell: Actually, read the letter carefully. You will see that he said for the regularly scheduled meetings, actually the Planning Commission meetings, for City Council meetings, for the staff meetings, he bills and I bill, only for the time that we are here. MPT Nunez: Well, yeah, that's but when you leave for anything else - you charge, right? Rozell: Depends on what it is. MPT Nunez: Yeah, but, yeah, but I mean all of them - they all do those things. I mean, every - every - there isn't a lawyer. Rozell: Actually, most City Attorney law firms do not bill for travel time, going to Council meetings, going to Planning Commission meetings and MPT Nunez: How typical? Rozell: That is not a typical way that law firms bill. When I was at Burke, Williams and Sorenson for nine years, we did not bill for travel time to the 30 cities that we represented. So what Mr. Garcia is proposing is a little different than is the standard. MPT Nunez: Well, what he is proposing is an hourly rate. Rozell: But including travel time. MPT Nunez: Ok. Alright, but that is still negotiable, isn't' it? Rozell: That's up to you. MPT Nunez: Yeah, I think it's still negotiable, and I think we can come to some agreement on that, ok? I really do. I think that we can hire him pretty much on the basis of a retainer - retainer basis. If, you know, if we have talk, have negotiated with the City Manager, I think that might be possible, ok. Now, but now, you do charge from time to time on special things, right? Where you leave the office and come to, right? City Council Minutes: 4-3-07 Page 9 of 42 rI L Rozell: Actually no, I don't bill for a half-hour of travel time. MPT Nunez: And Peter Wallin does the same thing? Rozell: Yes. MPT Nunez: Ok. Taylor: Mr. Mayor, I would like to interject at this particular time, this shows you the unknown factors. MPT Nunez: Well the unknown factor is this, the fact that when I asked for contract, they didn't have an updated contract. You know, we hired somebody new, because we didn't go out for a request for proposal when he hired Peter Wallin as our City Attorney. Did you even come to us and ask us? No, you just told us - people just told us. And your Senior Attorney is going to be Peter Wallin now. Actually, it was, actually the way it was presented to us, was a letter from Bob Kress, saying he was going to retire, because he was a City employee, and that Peter Wallin would handle our cases from now on and would be the City Attorney. Clark: But that's a firm, John. MPT Nunez: Yeah, but I'm saying, I mean, we went from, we didn't even - nobody came to us and said: "Hey, should we go out and get a request for proposal? Should we look?" Clark: That's the same firm. Tran: I'm sorry, Mr. Nunez has the floor. MPT Nunez: But we have - but those are the things, that you know, that never came to us, on that, so, now all of a sudden, we're doing, now, all of a sudden, we're saying ok, since you retired, let's look at this person, and now all of sudden, we're going to go over a request for proposal, a request for qualified people out there. Why didn't we do it before? (Audience cross talk) MPT Nunez: Why didn't we do it before? And now, what I'm saying now is that we need somebody now, and let's go and take care of it, now. Taylor: Mr. Mayor: "We need somebody now" what is the urgency? We have an Assistant City Attorney sitting here, right now. I want to go on record and I want it put in, the statement here, verbatim, that Mr. Wallin called me 10 days before he turned in the letter and stated that he was going to be fired want that very clear in the record, so, City Council Minutes: 4-3-07 Page 10 of 42 • 0 when Mr. Nunez brings up the point that: "Oh, he just resigned". No, there's more to it and the background will come out. But that was, he called me personally and said: "I'm going to be fired and so I'm going to resign instead." Nobody likes to be - he didn't say this - but nobody likes to be fired because of arbitrary choices between Councilmembers. So, that's part of the record. We'll just continue with it. MPT Nunez: Did he tell you? Tran: I'm sorry, Mrs. Low first. Low: Since we do have the residents here and we do have Mr. Garcia here, is it possible for Mr. Garcia to come up and answer a few questions maybe to clarify a couple of things? Tran: Sure. Audience member: Talk louder we can't hear you (inaudible). Tran: We're going to bring Mr. Garcia up here. Low: While Mr. Garcia is coming up, I do want to let the residents know, that the letter in my hand, does say that, from Mr. Wallin, that he was submitting his resignation, ok. So, I mean, I understand Mr. Taylor maybe had a conversation with Mr. Wallin, but that's what is in the letter. Mr. Garcia, thank you for coming, this evening. I did look through all the information that you submitted to the City. I have to say I'm very impressed with the attorneys that you have at your firm. They are from Harvard, UC Berkeley, UCLA, University of Chicago, UCLA as well as LMU. So, I also looked though the experience from your attorneys, they're very good, very impressive resumes. Garcia: In addition, we have the Martindale Hubble, which is a directory of lawyers, where we have an AB rating, which is their highest rating both for competence and ethics. Audience member: We can't hear. Garcia: In addition, we have the Martindale Hubble's AB, AV rating for competence and ethics. And I've personally had the Martindale Hubble AV rating for somewhat, 15 years now. Low: An also, I noticed a lot of your attorneys; they have over 20 years of experience. Garcia: Yes, quite a few. Actually, we tend to be more senior. We are not- we don't have as many of the younger lawyers - although, we're trying to change that. Low: Yeah, give the young folks a chance. City Council Minutes: 4-3-07 Page 11 of 42 Garcia: If I might, I would like to introduce my partner Darren Kameya, who I asked to come with me tonight. I had originally planned, intended to bring Eva Plaza who is listed on the proposal and George Yin. Eva is unfortunately covering Wasco, and you. guys called a special meeting and this is the Wasco City Council night, so she is currently there. And then it turned out that Arvin had a special meeting as well and George Yin is covering Arvin, so we are all in three different cities at the same time. So, and you should meet them - they're great people as well. Low: Mr. Garcia, I'd like to for you to kind of explain a little bit about - I understand you represent the Garvey School District. Garcia: Yes, we Low: I'd like to understand your involvement with the lawsuit. Garcia: Right; absolutely none. No involvement with the lawsuit. (inaudible) Low: What does that mean? Garcia: That lawsuit, as I understand, arises from a claim by the School District versus the City in connection with the Wal-Mart issue. We did not advise the City on the litigation, we do not represent the City on that litigation, and as I stand hear today, I have no idea what the status is of that litigation. Taylor: Excuse me, point of information - Tran: School district. Taylor: You said twice: "You did not advise the City on this litigation". Garcia: Oops, I'm sorry, I didn't advise the City either. Taylor: Alright. Garcia: I did not advise the school district on that. A different lawyer is handling that matter. Taylor: Of your law firm? Garcia: No. Taylor: Then why are you involved? Why are we hearing this talk that you're involved? Garcia: Hey, I'm in a place where I feel like W. C. Fields. I'd just as soon be in Philadelphia, right now. City Council Minutes: 4-3-07 Page 12 of 42 • ri Taylor: So you are saying you're not involved in any part? Garcia: Absolutely not. Nor am I involved in any litigation against the City of Rosemead, nor have I ever been involved. Taylor: None of your law firm. Garcia: Nobody in my law firm. Taylor: I'm sorry Mrs. Low. Tran: Mrs. Low is still questioning. Low: Let me ask another question. Is there conflict of interest for you to represent the City of the Rosemead as well as the Garvey School District? Garcia: No. You are two separate entities, the, what I would be happy to do in terms of putting in the retainer, is putting formally what I think everybody has known for a large number of years, is that our law firm does represent the City of, excuse me, the School District and that, we would disclose that formally in the record and we'd even be willingly to go so far as to say, that in the event that some matter came up where, between, that required the City Attorney in it's relationship with the City of Garvey, excuse me, the School District, that we would step back and that we would advise that you bring other Counsel to handle your relationships with the School District. Low: So let me make sure I understand. So what you are saying is, in the future, if there are any cases where there is a lawsuit between the City of Rosemead and the Garvey School District, you will not - Garcia: Right. We will not, nor will any lawyer in our firm represent either side. Low: Represent or advise (inaudible)? Garcia: Correct. Low: Any involvement in that case? Garcia: Correct, either Garvey or Rosemead. Low: Alright, I'm sorry I do have to go through these questions, because I really want to make sure I understand this completely. Now I understand there are some articles in one of the newspapers in San Diego about charges. Garcia: Correct. Low: Can you explain the situation - what is all that about? City Council Minutes: 4-3-07 Page 13 of 42 • a Garcia: That was the article relating to our practice - our law firm's practice, which was Burke, Williams & Sorenson, by the way, which I was at just a year ago, practicing, charging for, for - which is actually a very common practice, certainly common among school districts. The contract I presented to the City is our standard agreement for our other cities, but that doesn't mean it can't be negotiated or we can't work something else out, although I would also point out, I live 15 minutes away, up in Sierra Madre. So, that's not - Low: So, what I'm hearing and I don't mean to seem trivial, but - Garcia: It's not that big of a deal for us. Low: What I'm hearing is you are saying you are willing to negotiate with the City. Garcia: Absolutely. Low: Bill, basically, you will (inaudible) that price - Garcia: Hey, we have to have a situation where it's good for both sides and look this is a situation where, it's a customer service business, if the City is not happy with the relationship, that's bad for business. Low: Ok, I'll also ask you this, kind of the last question - is about termination. Do we the City, do we have a contract with you that we have to keep you for a year? Garcia: All of our contracts - Low: Six months, two years? Garcia: Every single one of our contracts provides that we serve at your pleasure - if you don't like us today - we're gone. And I'm mean, I'm not saying it's voluntary - we do not put a term on our contracts. The minute the Council or Board or District decides, you know the Board decides, the majority of the Board decides that they don't want us - we're out. Low: So I want to make very clear is we don't owe you, there is no penalty. Garcia: Correct. Low: If we decide, if the Council decides that we no longer need your services - Garcia: Correct. Low: We can terminate that day?- City Council Minutes: 4-3-07 Page 14 of 42 Garcia: Correct. I would like to point one thing out. While we are in, while we are a lot of lawyers that came from Burke, Williams and Sorenson firm, we came into existence in August, 2006. Every single client that we had a relationship with, that our lawyers had a relationship with, voted either unanimously or 4 -1 to retain our services up and down the state. So, that to me is a sign of confidence, including the Sweetwater Union High School District. Now, I give you an example in terms of value, we have a San Diego office. I offered to the District - the option of having a lawyer, we have excellent lawyers down there, to serve them on the you know, a local kid can do that, local talent can do that, and they asked that I still be their lead lawyer and again, like I said, the customer satisfaction is the highest value and if we're not providing that value, then you know, we need to do something, everybody needs to do something different. Taylor: Mr. Mayor? Tran: I think Mrs. Clark was next in line. Mrs. Clark. Clark: First of all, for full disclosure, Bonnie and I go way back. I worked my tail off campaigning for him to get him into Congress. Tran: Yes. Clark: So, I don't have a problem with you personally. But I do have a problem with the Garvey issue that to me is a clear conflict of interest. But I want to ask you. You said that you had never been involved with a lawsuit involving this City. Garcia: Correct, not to the best of my recollection, no. Clark: I have dated January 6, 2006 when Jay Imperial and Lan Ly sued the City to put the recall off - Garcia: Oh, my firm was representing the City Clerk. Clark: Yes, but you were involved in the lawsuit involving the City. Garcia: You know what, I'm sorry, I misspoke. I had totally forgotten that we were acting on behalf of the City, in that case, in effect - the City Clerk's office. Clark: Right and it was demanding that - Garcia: Right. Clark: The Clerk be able to continue (inaudible) - Garcia: You are absolutely correct, I totally forgot about that. Clark: And bring the official ballots and (inaudible) letters - City Council Minutes: 4-3-07 Page 15 of 42 • Garcia: Right. L Clark: And the other thing is that I have a problem with, is the overlapping jurisdiction with Garvey. We are very much tied at the hip with Garvey, half of our City -more than half of our City is within Garvey School District, as you know. And, we do projects, for example they go through the Planning Commission, I've served on the Planning Commission. They go over to the District and charge development fees. The District charges the developers fees on their projects. Garcia: Sure. Clark: So there - we do all kinds of stuff together and I just can't separate in my mind, - would you be willing to leave the District - the Garvey District if we were to hire you? Garcia: Actually, you know what, I've been on the other side of Garvey and I can tell you that the number of transactions at Garvey that have involved a lawyer in the last 10 years, I can count on - there have not been that many, I mean - Clark: Except for the Wal-Mart. Garcia: Well that's got a whole lawsuit going and that's some other law firm handling that. Clark: Right, but it's still, but for example, if we were to hire you, and the Garvey lawsuit is settled in favor of Garvey - Garcia: What's that got to do with it? Clark: Money. There is money involved. And if there is money involved, theoretically, you could benefit from that. Garcia: No. Clark: You could. Garcia: I'm not a partner. I'm not a partner with the City of Garvey. They are a governmental entity. What they get - they earn. Clark: Garvey is not a City, Garvey is a school district. - Garcia: Excuse me, I keep forgetting, I'm losing my mind here. Garvey is a governmental entity - I'm not their partner for whatever profits they get. Clark: I mean people said that Gary couldn't vote on the Wal-Mart because his daughter works for them - City Council Minutes: 4-3-07 Page 16 of 42 Garcia: I'm not responsible for - Clark: So if... Garcia: I'm not responsible for what other people advise. But the idea that if the Garvey School District gets a benefit that I'll benefit from that is simply erroneous. Clark: Well, is that a possibility? Garcia: Not even a possibility. You know what - the only way, that - I work for - we work for government; I mean government contracts, you know - that you specify what you get ahead of time and that's what you get. If - Clark: If the time came around for you to renegotiate it - Garcia: It's got absolutely nothing to do - Clark: I can't imagine you can totally rule that out. Garcia: I can. Absolutely - that the result of the litigation would result in my fees going up for the City of Garvey? Absolutely not. Clark: It's not the City of Garvey. Garcia: Excuse me. You know what, I've got a groove here, and it's called a rut. But, the idea - that's - you know what - talk to the Board members over there, I mean, boy they'd have me in front of a pitch fork if I even suggested something like that. Hey guys... Clark: I'm just saying - the conflict of interest issue is there. Garcia: And they would say, Hey, you know what you're not (inaudible) Clark: The conflict of interest issue is there. I can't vote on a project if it's 500 feet from my house, because theoretically, it could raise the value of my property. That's why we're told to abstain - Garcia: There is specific case law - Clark: I'm just saying - Garcia: There is specific case law on the point that you just raised. The - I actually, I disagree with, there is indeed a theoretical possibility that vendors all of a sudden have the ability to get raises on account of a result of a settlement agreement. Vendors have the ability to get raises on account of their negotiations with the City - City Council Minutes: 4-3-07 Page 17 of 42 C Clark: (inaudible) 0 Garcia: Which are totally unrelated; they are legally and ethically and practically unrelated. Clark: The issue of overlapping jurisdictions is a big one in my opinion. Garcia: Ah-ha? Clark: Relevant in my opinion - for example, when Mr. Tran was elected to the City Council, he then served on the Garvey School Board. He was told that he could not serve on both jurisdictions. Garcia: In fact, I was one of the people that told him that. Clark: Ok. So, if we, if Council members can't sit on the school board and we are just policy makers. How much more should a lawyer not be able to? Garcia: It's simple because a lawyer does not There is an answer for that. The answer is - that the lawyer does not have sovereign power. The Mayor has sovereign power; a Board member has sovereign power, specific case law on point. We're City Attorneys - we do not make policy - we implement policy, there's not, and as on the same side as General Counsel - we do not make policy - we have no powers, either the City Attorney or, or General Counsel to, to have sovereign acts or make sovereign acts that effect other governmental entities. So there is no -you're talking - there is no conflict and there is no - what we call, an incompat - what that issue is an incompatibility of office power. You know? Clark: Ok. I have one more question. Garcia: Yeah. Clark: In the articles concerning the Sweetwater School District - Union High School District, it said: "Through a public records request, the San Diego Union Tribune got invoices documenting the District's legal bills; that descriptions of services rendered were redacted by order of District General Counsel Bonifacio Garcia who is based in Los Angeles. With no detail of services, the public can't know if an Attorney is working on a lawsuit, advising a Board member, or attending a Board meeting. Garcia said the billings are not merely descriptions, but status reports on legal work, which could reveal strategies to opponents if they remain available to the public. "That may be true in a few instances but most of the information would not give away any secrets", said Peter (inaudible) the Executive Director of the California (inaudible) Coalition. "The systematic redacting of over 1,000 pages of legal bills and ever single description of the services rendered can only reflect a knee jerk impulse, for secrecy," (inaudible) said. City Council Minutes: 4-3-07 Page 18 of 42 0 , 0 "it also underscores how forgetful public officials are that this information belongs to the public." Garcia: And your question? My thought on that, is that I have a duty, as Counsel and I would have a duty as City Attorney to protect several privileges: one, is the Attorney/Client privilege; secondly, the privacy rights of individuals that are involved under the California Constitution; the third thing is, hey we have personnel files, personnel matters. Clark: Well, obviously, but all of these couldn't have been those. Garcia: You'd be surprised. I mean, in fact, any communication between the client and our communication with the client, are extensive, in fact our practice, as a matter of billing, is we don't do just do block billing - we do individual unit billing with specificity. So we tell you who we talk to, what did we talk about - you know. Talked to so and so about and how much time gets billed. So that's the kind of thing that creates the privilege. And then how much time do we do on the follow-up, what do we do after that - so that, all those billings, and that's for every attorney has that specificity - we are not in an environment - where our clients - we tell our clients, "Hey, for legal services rendered, send us a check". It is date, time, how much, when and so in effect, our bills, you could literally take our bills and if you just put it in a prose style instead of in a block billing, there would be a status report on every matter. And clearly, every status report is privileged. Clark: So every one of these - did you redact because of those? Garcia: Absolutely. No question about that. Clark: I have a problem with the fact that you didn't disclose in your resume that you are an employee of Garvey School District. Garcia: Ah, I think that's probably the biggest, open secret in the San Gabriel Valley. As you know, you've known me for years. Clark: Well, of course, I know. Garcia: Of course. The point is that you're the ones that are going to be making this decision and the disclosure of sorry, I've been on; the only possible exception is Mr. Taylor and frankly it didn't even occur to me that this would be an issue... Clark: Why didn't you put it on your resume? Garcia: Because I do not represent Garvey - because I wasn't focusing on school districts. I was focusing on cities. City Council Minutes: 4-3-07 Page 19 of 42 0 Clark: There is - I have a problem with that. Because, if we hire you, you are here to protect us and keep us out of trouble. Garcia: Absolutely. Clark: And that's very troubling. Garcia: Absolutely and what you'll see Clark: That major was left out - Garcia: And what you'll see in a retainer agreement, will be language to the effect of, by the way, we represent the City of, excuse me, help us out, the School District of Garvey and then lay out what the circumstances would be in terms of any issues that might arise. Tran: Mrs. Low? Low: Yeah, I just want to clarify a couple of things. So, I just want to clarify again the conflict of interest. Garcia: Sure. Low: Just because, we might see this thing as conflict of interest. But by law, is there no conflict of interest? Garcia: Correct. Absolutely none. In fact I was reviewing the code; the rules of conduct, of professional conduct on the matter and in fact, that there - on the matters that I will be representing the City, they would not be adverse to Garvey. And I'm specifically providing and I agree to provide: A) You can talk about a different billing structure if that's the pleasure of the Council; B) Although I don't think it's required, I think to address the Councilmember's concern, we can put some language in to the effect of what specifically would happen in the case of, of representation of Garvey and C) Since I never represented Garvey in any matter against the City, there is no issue. And with respect to, the general law rule is I could even have, as a matter of law, I could even have sued Rosemead years ago in some case, and if those cases were over, they wouldn't be a conflict now. Low: So let me clarify that, in terms of billing. So you are willing to - your firm is willing to itemize all charges. Garcia: Exactly, it's not merely willing, that is our practice. Low: An also, I understand you have represented the City Clerk before. So, Mr. Mayor, how - were we satisfied with their service? Or? City Council Minutes: 4-3-07 Page 20 of 42 0 Tran: Who was? Tran: Let the City Clerk comment on this. Low: Is that appropriate to ask the City Clerk were you satisfied with the service that was provided by Mr. Garcia's? MPT Nunez: I think Lazzaretto: I think that's a, a difficult question for staff people to answer. MPT Nunez: And the only reason Bonnie (inaudible) Garcia: There is another point I think that needs to be made and that is where I would agree with both the Mayor Pro Tern and Mr. Taylor. Our practice when we are retained as, City Attorneys or as General Counsel, we don't come in and do what I call a swoop, right. We don't just say: "Hey, turn over all of your files": I think in your - the correct practice is to view matters on a case by case basis. And our practice is that, subject to the pleasure of the council - if there is a matter, which is on-going, it doesn't make any sense, and I agree with you, it does not make any sense to take it over and start all over again. My recommendation would be that if you're happy with the representation on those litigation matters that you can continue on. However, there are some times, where the client, not the lawyer, and that is in this case, would be the Council, may say: "You know what, we just don't, are not happy with the direction with that litigation and we want to switch out lawyers because we want a different strategy or tactics". I don't have any information that that's the case here. I'm not assuming that, in fact, I assume the contrary. So, my recommendation is that you do not do a flat termination of the Wallin s firm, but that you clarify that what you're seeking to do is to retain them for the matters currently working on and that, if that is your pleasure, rather than termination, you say: "We have a new contract and all new matters go here", and you direct Council to work out and make sure that there is a smooth transition to follow. Tran: Mr. Garcia. I have a question for you. Garcia: Yeah. Tran: You are a - your services are by contract. Garcia: Correct. Tran: Are you going to charge us for benefits - health, vision, dental? Garcia: No. Tran: Ok. That's our past practice. We currently - we had our City Attorney, who we currently pay lifetime benefits for, his health, dental and vision. Are you - you're not City Council Minutes: 4-3-07 Page 21 of 42 going to pursue that? Garcia: No. Tran: Ok. You're not going to expect that. Garcia: No. Tran: Ok, that's $25,000 at least a year. So I wanted to make sure that wasn't part of the contract, frankly. Ok, so I wanted to clarify that -when our City Attorney resigned, he resigned as a City employee, so therefore he was receiving all this. So, I wanted to clarify that. It's unbelievable, I mean, we talked about, we talked about rates, we talked about what they charge, we talked about, you know, protecting, we talked about conflict of interest, and as a matter of fact, I sat down, with Maggie about two hours ago in my office, and she was trying to convince me there was a conflict of interest and I didn't see any. Given the fact that if you were in any position ever to be involved in a lawsuit, or if the City were to ever be involved in a lawsuit with the School District, you would recuse yourself or you would ask that the City and the School District get other, seek other (inaudible). Garcia: Correct. Tran: And how would it be, for instance, currently, we have Wallin, Kress, Reisman and Kranitz as our City Attorney. If we were involved in a lawsuit, with the City of San Gabriel, which also currently hires Wallin, Kress, Reisman and Kranitz, how would they handle that situation? Garcia: I don't know. Tran: Would that be a conflict of interest? Garcia: Probably. You can't represent two sides in a lawsuit - so, you're getting into the hypo- Tran: Ok, and, just, just, to give, just throw some numbers out, we kind of asked for the billings of the last 3'Y2 months of our City Attorney and our firm and December 2006 - $19,515. January of 2007: $6,280. February of 2007: $19,246. And just March -we haven't - we didn't have RCDC which is our Rosemead Community Development Commission: $7,372. For three and a half months, we're getting, we paid $52,414. Where is the flat rate of $5,500 a month? Taylor: Mr. Mayor. Tran: I'm sorry, I'm not finished yet, Mr. Taylor. Taylor: Go right ahead. City Council Minutes: 4-3-07 Page 22 of 42 • 0 Tran: $5,500 a month there and that's the retainer. So you're also including - and we don't have a breakdown - we don't have a current contract with the law firm. We don't have a breakdown of how much we charge, who - the attorney's fees to, so the numbers are in here are unbelievable as well. My question for you is that would you be willing to negotiate a better rate as opposed to what you proposed here right now. Garcia: Of course. That's the fast answer. Of course, negotiations are always an option. The issue is, and you need to understand this about law firm business, the amount of fees charged, go up and down according to the need of the clients. There are some times when it is heavy duty, and boy, it goes up and sometimes it's relatively slow, and our fees go down. The City, a City this size, and I would have to say this, the fees that you're being charged, are not unusual. So there is nothing, I wouldn't say anything untoward in that at all. But, like I said again, I would happy to sit down with your staff and deal with issues of any concern whatsoever. We do that with other, every client. Different clients have different needs and we do not have a one size fits all model. Now, of course, we try, we ask, because it is administratively more convenient for us. But we have no problem with negotiation. Tran: Ok, thank you Mr. Garcia. I still have some comments. Garcia: Sure. Tran: But not with you. Garcia: Alright, am I done? Tran: Yeah you're done. Thank you. I just - I'm looking at our Council meetings - we have two Council meetings a month. - four hours per Council meeting. So, two Council meetings means 8 hours, Planning Commission's last maybe a couple hours, so two, four - that's 12 hours. And then,we have maybe Traffic Commission meetings. How does that add up to - let's see that rate of $5,500 per month and you divide that by let's say the eight hours of the City Council meeting, maybe four hours of Planning and four hours of Traffic - that's 16 and the staff meeting, which is, which is attended by the Attorney once a week which is two hours? Lazzaretto: Usually. Tran: Two hours - not 8 hours. So you got a total of 16; 20; 24 hours; twenty-four hours times $5,500. You got a flat rate of at least $250 here. And that's not including the RCDC charges, which will be Community Development Commission meeting, the other charges that are also involved. And so, and again of course, we want to make sure we get the best bang for our buck. And I realize that, but at the end of the day, as Mr. Nunez and Mrs. Low said, we have a resignation from our legal Counsel. And when Mr. Kress resigned, we could have gone out for an RFP at that time, but the Council decided not to even involve us. And somehow Peter Wallin got appointed as General City Council Minutes: 4-3-07 Page 23 of 42 • • Counsel of the City, which is unbelievable. And now you're asking for an RFP, which it's amazing to see" at the transition, how tides have turned and our best interest is to make sure that this City is well represented. I've known Bonnie for at least six years, when I was on the Garvey School Board - and, very professional. There were times when I was on the opposite side of Bonnie and I still have to deal with Bonnie. And what I expect of any firm that comes here is that they represent all five of us, not just one, two, three and I think Bonnie will do that. His resume speaks for itself. His record speaks for itself. The elected officials he represents have high marks for Bonnie. And so you know, 1 have no problem supporting this with the caveat that we come back and negotiate a better contract. I would support appointing the firm, the firm of Garcia, Calderon and Ruiz as our legal Counsel, with the caveat that he comes back and works with staff to bring back a fairer, better contract for us to support and work with. And, also, the four litigations that are pending - there's four, right? Lazzaretto: Four? Tran: The four or five litigations we have right now, that the current - Lazzaretto: There are five litigations. Tran: The five litigations that are pending out at Wallin, Kress, Reisman, & Kranitz under the direction of, of - Ken? Rozell: It's Lisa Kranitz. Tran: Oh, Lisa Kranitz, ok. Then Lisa Kranitz would be the lead attorney on that. So those are the caveats I would add to the amended - to this item here, this agenda item. MPT Nunez: I'd like to make that in the form of a motion. Tran: Is there a second? Low: I'll second. Tran: I'm going to call for the question. Clark: Excuse me. Taylor: Mr. Mayor, when do we, when do I get to speak? Clark: You know, he hasn't - Tran: Go ahead, Mr. Taylor. Taylor: Alright, starting off, Mr. Garcia mentioned that in the last 10 years, you could count the number of legal issues, and I believe we were talking about the Garvey City Council Minutes: 4-3-07 Page 24 of 42 School District, you said you could count on one hand - Garcia: No, that I had seen, that were referred to Counsel - that were referred to a lawyer. Taylor: Ok. Tran: Mr. Garcia (inaudible) Taylor: You said, up and down the state - that you - cities that you represent. Which cities do you now represent up and down the state? Garcia: City of Redwood City, City of Wasco, City of Arvin, currently. We are under consideration for a number of other cities; it would be premature for me to - Taylor: But right now, you are representing three cities. Garcia: Correct. Taylor: Up and down the state. Garcia: In fact, I have two of my partners, that are - well, one of our lawyers and a partner, they are not here, because they are there. Taylor: I understand that. A comment was made that, referencing that I could not vote, because my daughter worked for Wal-Mart. Under the law, you can ask Mr. Garcia or Mr. Rozell, a conflict of interest arises when a person or a family lives within your residence or is contributing to your household expenses or residence. My daughter happens to live 40 miles away in Corona. Garcia: Actually the correct test is whether there is a community of interest there. Not whether they live in or out. Taylor: Ok. Garcia: However, as a legal matter, daughters and sons are typically not, don't, adult daughters and sons, are typically not considered a community of interest. Taylor: Ok, that's not - I wanted to clear that for the audience every times that creeps up. Garcia: Right. Taylor: For that reason, the law states that it's not a conflict of interest. Garcia: Right. City Council Minutes: 4-3-07 Page 25 of 42 • Ll Taylor: The next item is - take over the cases and if you, in this case, might have a solution, retain the attorneys,that are already involved in these lawsuits. Garcia: Absolutely. Taylor: If in case, the majority of the City Council disagrees with some of these decisions that may come out of it they do have the option and the authority to consult with other outside attorneys. Garcia: That is correct. Taylor: Now that's the point where I come in. Garcia: Well - Taylor: Excuse me, where you come and start hiring attorneys - a $1,000 is five hours of work; four to five hours, at the current rates. We go in and start - there's over 10,000 pages of documents - and I don't think Mrs. Low has had the'opportunity to read any of the opening briefs and the court decisions, why the City was correct in what we did. Garcia: I, with all due respect, those are two different questions. The change in policy direction is different than reviewing the case and deciding where, where you're going to be. If there is a problem with Counsel, you know, that's a whole different issue. And, if you're consulting another attorney, you don't require the other lawyer to go review the whole file. Usually, it's like, and many times it's: "Hey, I have a problem because they did A, B, and C," and many times, the other lawyer says: "Aaah, you're getting emotional about it. It's not really a problem. This is why they did what they did." The problem arises not when there is a disagreement about how a case got handled, the problem arises when there is what we call, a loss of confidence. And frankly, one of the skills that's required is the ability to look your client in the face, especially somebody that has voted for you and say: "No." I like Oscar Wilde's old line: "Your friends stab you in the front," you know. And a lot of times, Counsel is required to say: "Hey, guys, gang, hmm, no". By the same token, I'm happy to report that our firm and our lawyers have a reputation for earning the respect of people who vote against our retention and I'm happy to report, that again, in the case of when our - I was actually shocked, in the case of when we went to the elected officials and asked them to move from Burke, the Burke firm to our firm, you know not everybody agrees with you every time on any policy issue, but I was pleasantly surprised, at the support, you know, the overwhelming support we had. Taylor: How many cities does Burke, Sorenson - Garcia: Now represent? Ten, eleven, twelve. Taylor: That's it? City Council Minutes: 4-3-07 Page 26 of 42 Garcia: That's right. Taylor: Statewide? Garcia: Statewide. Taylor: (inaudible) Thank you on that. City billing: Mr. Tran made comments about the billings of the past few months. I would like the City Manager to explain those billings. Are some of those billings for the Baldwin Park lawsuit and the Wal-Mart lawsuits? Lazzaretto: I, 1 would have to check on that Mr. Taylor. I do not believe that there were any of those billings on there related to the Wal-Mart suits, because those, the accounting for that, (inaudible) is kept separate. Taylor: I disagree. And you will check it out, I'm sure because, a lot of those billings, they are billed through the City, the City pays and then Wal-Mart pays for those legal expenses. Is that correct, in general? Lazzaretto: That is correct, yes. And that, I believe that was why those billings were kept separate. But some of the Baldwin Park suit, might be involved, although, I'd really have to say that there hasn't been a great deal of activity on those suits. Taylor: Ok, but you will get us a breakdown of those expenses? Lazzaretto: Yes and the billing that you see before you is really a compilation of - a summary of the billings. The billings come in to us - Taylor: All billings (inaudible) Lazzaretto: Are broken out by case or by (inaudible) issue. Taylor: Alright. And again, Mr. Wallin, he stated that he was going to be fired. Mr. Tran, were you aware of that? Did you have any comment about him being fired? Tran: We have his resignation here. I wasn't aware of that. Taylor: Ok. I'm going to ask that this meeting, an hour and fifteen minutes be verbatim. Tran: I'm not going to request, I'm not going to honor that unless the majority Taylor: I know you won't honor that. That's why I'm asking. (inaudible) Tran: Unless the majority of the Council, Mr. Taylor, unless the majority of the Council - Taylor: I make the motion that these minutes be verbatim. City Council Minutes: 4-3-07 Page 27 of 42 9 MPT Nunez: Ok, we have a motion. Taylor: And a second. Tran: No, We have a motion on the table. MPT Nunez: And a second. Tran: And a second by Mrs. Low. Taylor: Alright, I would like to table that motion and make a substitute motion that we take no action on this replacement of attorneys tonight and give us the information and the correct contract, rather than doing it blindfolded, tonight. That's my motion. (Audience applause) Imperial: Can we vote on that, from here? Taylor: No, no. Imperial: Ok Taylor: That's my motion that we - Clark: And I'll second that motion. Taylor: Alright. Clark: But I'd like to add an amendment if the maker concurs that we send out a Request for Proposals to other law firms so that we can kind of see what's out there as far as billing rates (inaudible). Taylor: I'll accept that amendment. Tran: Great - we will vote on the two motions first. I will call for the question on that and please vote. Low: I'm sorry, so what are we voting for? Tran: We're voting for- Low: (inaudible) Tran: We're voting for Mr. Taylor, Mr. Taylor - can you please repeat that motion for Mrs. Low? City Council Minutes: 4-3-07 Page 28 of 42 • 0 Taylor: My motion is that we do not vote on this tonight and the substitute motion is that we bring this back, at a later meeting, when the contract is clarified what's it going to be and Mrs. Clark had an amendment that... Clark: That we request proposals from other law firms so that we can compare fees and qualifications from other firms. Taylor: There is a lot involved in this and it's - I'm shocked - I'm really shocked that Mrs. Low is put in this position because she has not had an opportunity to find out what has been going on. To even, know the knowledge, I'm not criticizing which way she would vote. Tran: Yes, you are Mr. Taylor. Taylor: Mr. Tran, she has not had the opportunity to look at the information, so anyway, does that help Mrs. Low? Tran: Yes, Mrs. Low? r Low: Let me address the Council, as far as the residents are (inaudible) part. I made my decision based on 1) I'm looking at the qualification of this law firm. I'm looking at the qualification of the attorney that is part of this law firm, ok; 2) that's why I asked, very specifically, whether there is conflict of interest between the -City of Rosemead and Gamey School District. And the answer is by law, there is not. We can proceed and just like way back, people saying that Mr. Taylor had a conflict of interest voting on the Wal-Mart project. We understand that by law, there was no conflict. And in fact, Mr. Garcia stated that; 3) 1 have asked - (inaudible) items that are out there such as itemizing, the billing and Mr. Garcia is willing to negotiate with the City to give us a better rate. Now, I'm looking for somebody that is - that can represent the City that I'm comfortable with. That I think that they're, you know, they're fair, and good and excellent representation. Now, we have Mr. Wallin that has resigned. So now what? I don't understand is, is we have a qualified Counsel Attorney here, law firm here. I'm not sure what we are waiting for? Tran: Mrs. Low, on the substitute motion by Mr. Taylor and the second - Low: I just want to clarify, I am, I am voting based on these items that's on my agenda, which is why I asked Mr. Garcia very specifically those questions, because I needed to be satisfied in my understanding about this, this law firm. Taylor: Mr. Tran, Mr. Mayor? Tran: Yes. City Council Minutes: 4-3-07 Page 29 of 42 0 0 Taylor: What Mrs. Low's comments are, since she brought up the qualification -what are you not happy with, about our current City Attorney who is (inaudible) sitting right up here? Low: Mr. Taylor, I have been in the audience before. I have watched how things were conducted. There are a lot of the things that are since long and done; there are things that I disagreed and I leave it as that. Taylor: (inaudible) Low: I would not like - And also, I also want to point out is, is with this law firm, I do feel like that at any time, if I'm not satisfied with their service, I will ask the Council, I'll be the first one to come up to ask Council to discontinue this service. So I am not fine with this law firm. Tran: Ok, Councilmembers, I'd like to ask you to vote on the substitute motion by Mr. Taylor and the second by Mrs. Low, I'm sorry, by Mrs. Clark. Low: So let me make sure, the motion is to not vote on this tonight. Tran: Right. (Council cross talk) Clark: And to put out a request for proposals with other law firms. (Audience cross talk) Vote resulted: Yes: Clark, Taylor No: Low, Nunez, Tran Abstain: None Absent: None Tran: Great. Now, we have a motion on the table by Mayor Pro Tern Nunez and a second by Mrs. Low which states that we appoint Garcia, Calderon & Ruiz, LLP with Bonifacio Bonny Garcia as the legal Counsel, with the amended part, where we add that c Audience member: Direction - Tran: Lisa Kranitz, of Wallin, Kress, Reisman and Kranitz, will still be the lead Counsel on the five litigation matters and that Mr. Garcia will work with appropriate staff to come up with a better contract for us to look at. Please vote. City Council Minutes: 4-3-07 Page 30 of 42 • Vote resulted: Yes: Low, Nunez, Tran No: Clark, Taylor Abstain: None Absent: None Taylor: Mr. Mayor? Tran: Yes, Mr. Taylor. Taylor: I would like to state now or make the motion that we have the minutes for this meeting verbatim and also that over the past four years, I have transcribed these different minutes for over 500 hours without a doubt anybody can verify what time is in there, and the fact that this is the most critical issue that we have voted on now, as a new Council and I believe that it's very important that we all stand by what we represent and our comments that we made tonight, that's one reason that I asked that it be verbatim, so people understand what we did. Clark: I'll second the motion. Tran: It's the Council's wish, please vote on this. Low: Can you read it back? Tran: He wants the minutes - Mr. Taylor wants the minutes to be verbatim. MPT Nunez: Can I - before we vote, can I also say a, the kind of problems that perbatim, perbatim, excuse me, Tran: Verbatim MPT Nunez: Verbatim minutes have caused the City Council in - the problems that we had minutes that were like, oh, I don't know, Nina could probably help me how late they were coming in and things like that. Because it was perbatim, there were stacks this big and if somebody really wanted to hear what somebody said, they can come and listen to the tapes. And (inaudible) and then, and then for a while there, we had a, minutes, prescribed, prescribed by yourself and not and then give them to us, and we still had to actually read, read them and go over to make sure they were correct through the, through the a, through the tapes and sometimes they were and Taylor: And they... MPT Nunez: I imagine most the times they were... City Council Minutes: 4-3-07 Page 31 of 42 Taylor: I'm glad you said that. MPT Nunez: I'm not going to say that there wasn't any, any, any, major corrections on it, on things like that. But, it's just, it's just, you know, if, if, if what we say and how we say it, I think you can, you can hear it better on tapes, you know. If you want more, put cameras out there. Let's do cameras and all those things. But, having the City Clerk to sit down there and you know, and going through that process of doing it word for word. You know, it's not practical and it, and it really, quite frankly, because of the volume, because of the sound acoustics that's going on in here, sometimes, you can't even hear what people say. And I think, I think it; I think it's important that we stop that process, because that doesn't make sense in the long run. Clark: Mr. Mayor? Tran: Yes? Clark: I think I have to ask the question. What are you trying to hide? And secondly, this is the first time - I never heard any objection to verbatim minutes from - before. And I think it's kind of amusing that this is probably the most important issue that we will begin with for a while. Tran: Well, this - Clark: I'm just kind of amused. Tran: My only comment to that is that a, just given the example during the election time, we were requesting verbatim minutes from our City Clerk, the time it was taking away from her duties and this will not be a first, I mean, I will, the Council will grant verbatim based on the majority of the Council. Audience member: I want a vote Tran: Exactly, that's what I'm getting to. It all comes down to a vote, not just one person dictating that we have verbatim. Taylor: Mr. Tran? Tran: I'm sorry. Mrs. Low? Low: Let me ask, I'm just kind of curious that, I mean, how long does it take to do minutes verbatim? Does it take a long time? Tran: City Clerk? Castruita: It depends on the size of the, of the meeting. City Council Minutes: 4-3-07 Page 32 of 42 Taylor: An hour and a half meeting. Low: Hour and a half meeting. Castruita: If it's a verbatim request for the entire meeting, it just depends on the quality of the tapes. Often times, it's not very clear, or there is speaking over each other. So, it really depends on the quality that we get from the tape. Low: It takes you what a day or so, approximately? I'm just trying to.... Castruita: Well, we'll go through - what we've done at this point, when it's verbatim, we'll have one person just do raw notes, listen to the audio and just type. No grammar, no spelling, just type as you hear. A second person comes in, listens a second time and starts doing the clean-up effort. And the third and final process is that somebody just sits and reads, stops, and then corrects. Taylor: Mr. Mayor? Low: So it takes a couple of days to do the minutes? Castruita: It takes several days. Low: Several days to do one meeting? Taylor: Mr. Mayor? Tran: Mr. Taylor? Taylor: Mr. Nunez made some comments and I'd like to clarify this. There has not been a single meeting, and the City Clerk can correct me, have I turned in the transcripts to you, Nina, as far as, have I ever directed any minutes that were not reviewed by you or staff? Castruita: No, when you submit transcripts, we will always verify that. Taylor: I just wanted to clarify, when Mr. Nunez is saying that they Nunez: (inaudible) Taylor: Excuse me. Tran: Mr. Taylor has the floor. Taylor: They do go back and they have never been my minutes, that have been put on here, from my perspective - they've been reviewed and that is the way it should be. City Council Minutes: 4-3-07 Page 33 of 42 Castruita: Any suggestions by Council members, that there is a correction to be made, I will go back and review the audio to make sure it is an accurate recommendation and then that would be the forth, Mrs. - MPT Nunez: Basically, what I'm, what I was trying to say is that when you transcribe the whole meeting, instead of being a three person process, it would take just two people to finish them up. But still, (inaudible) or maybe they start all over and do them and have three people looking at it. I don't know. What I'm saying is that, that we have tapes and we have - we can look at tapes and listen to tapes, listen to tapes and do that and we don't have to do... like right now, you just turned the tape right now, so there is some down time on it. You know those kinds of things happen all the time. So it's a, you know, I just think that, you know, I think that if it's - it becomes very important that we have... and by... that we need to have the minutes verbatim. Three people say, anytime someone says I want them verbatim, let's have a vote. Three people can say yes or no. Taylor: This is obviously not an important issue. Tran: We have a motion by - ok I'm sorry. Low: Mr. Mayor - I just want to clarify that. There are, there are times, there are situations that I think having verbatim is, is (inaudible). And in this case, I think it's a good thing to have, because there - we have some, issues here you know. But I really hope that we as Council, you know, take this responsibly and not waste tax payers' money and as well as our City Clerk's time - she can do other things. To just do the verbatim - just because - and later on, we use it to attack each other. Taylor: Mr., Mrs. Low... Low: (inaudible) I really hope Tran: I'm sorry; I'll get you in. Low: ...that if we do those, it's because of a good reason for the City and not as a personal revenge. Taylor: Mr. Mayor? Tran: Yes, Mr. Taylor. Taylor: I would like to say the last minutes we had verbatim, were Sept, excuse me, December the 1 gth, almost four months ago. And prior to that, it was September the 12th, I believe. So it's not that often. But this is an extremely important issue and I call for the question that we vote on it. Low: (inaudible) City Council Minutes: 4-3-07 Page 34 of 42 • W Taylor: That it be verbatim. Low: So we're voting on having the minutes verbatim - Taylor: For this meeting. Vote resulted: Yes: Clark, Low, Taylor No: Nunez, Tran Abstain: None Absent: None Taylor: Thank you, I appreciated that. (Audience applause) Tran: Ok, going on to Matters from City Manager - I'm sorry. Before, before I get to that. Is there, any other items? MPT Nunez: Hold on. Mr. Mayor? Tran: Yes. MPT Nunez: Item A - did we deal with that? Clark: We don't need to. MPT Nunez: Ok, so. It's the fact that he resigned, that's fine, is that what you mean? Clark: We don't accept resignations. Tran: Well, I think it's the process of being on the Agenda, I think we should Clark: We already dealt with the issue when we had a motion. MPT Nunez: The process is there though, so can we? Tran: You know what; I want to make sure we do this correctly. I'd like to entertain a motion for "A". MPT Nunez: So moved. Tran: That's 2A. Clark: But, no, you can't terminate a law firm and then say that they are going to work on the cases, right Bonnie? City Council Minutes: 4-3-07 Page 35 of 42 • • Garcia: Right. Clark: Thank you. Garcia: You need to clarify your motion to simply accept the resignation. MPT Nunez: Accept the resignation. That's what the motion reads. Tran: Accept the resignation. MPT Nunez: Accept the resignation. Tran: Of the City Attorney. MPT Nunez: Of the City Attorney. Audience member: May I speak? MPT Nunez: Not yet. Tran: Is there a second? Low: I'll second. Taylor: That's as an individual, because we still have other - Tran: That is correct. Taylor: Alright. MPT Nunez: No, it says the law firm. Taylor: Now wait a minute, who does Lisa Kranitz work for, Mr. Nunez? Have you been listening? MPT Nunez: (Inaudible) Tran: (inaudible) Can you just clarify that? Low: Yes, Mr. Garcia. Garcia: Ok. That is not inconsistent with your motion; because your motion that you voted on and approved is - the resignation - basically you're accepting the letter of resignation. His letter of resignation said and your motion specified that Lisa Kranitz would continue on the five matters. Accepting the resignation isn't inconsistent with that City Council Minutes: 4-3-07 Page 36 of 42 because of the firm. Because he said: "We will continue to serve until replaced," on that, on those matters. You're not; they're not being replaced on the five law - on the five lawsuits, on the five cases, ok? Taylor: Alright, so the motion is to accept Mr. Wallin's resignation. I call for the question. Tran: Is there a second? Low: Second. Castruita: And who made the motion? Tran: Ah, Councilmember Taylor. Castruita: Thank you. Taylor: Excuse me; I stated that, that was the motion. (Council cross talk) MPT Nunez: The motion was made by myself. I'll accept the (inaudible) Tran: I apologize, Mr. Taylor. So, Mayor Pro Tern Nunez that made the motion and Mrs. Low seconded it. And, go ahead and vote. Vote resulted: Yes: Clark, Low, Nunez, Tran No: Taylor Abstain: None Absent: None Tran: Ok; continuing on with Matters from Mayor and City Council. Mr. Taylor? Taylor: Nothing, Mr. Mayor. Tran: Mrs. Clark? Clark: Yes, I have been in touch with - I serve on the Conservancy with Don Wolf, from the LA County Public Works, and I did make a phone call to him today, requesting that he and his staff look into the issue of seismic safety on the Garvey Bridge and so they are working on that and as we move on, I'd to ask that we - continuation of the (inaudible) - because they are looking into this issue - I'd like to postpone the (inaudible) on the bridge until we get that back - it should be very, fairly soon. Lazzaretto: I'm sorry; I didn't understand what - what was the (inaudible)? City Council Minutes: 4-3-07 Page 37 of 42 • 0 Clark: They're looking into the seismic safety update - another opinion on the seismic safety of the proposal of the Garvey Bridge. There is an issue of (inaudible) and I'd like, I wanted another opinion on it - can we ask staff to look into this? I want to be able to say, that we did all we could to (inaudible). I don't want five years down the road someone gets killed (inaudible). Taylor: Next meeting, Mrs. Clark? Clark: Yes. Lazzaretto: Just to clarify the issue - I spoke - Jim Flournoy and I have been trading emails on this matter and I talked to the County about this. The County is not in a position to do that kind of a review. They, they - they're just not set up to do that kind of thing, because we are not their, their client, if you will. They have given us a list of names which they would use routinely to do that kind of a review. We've actually done that kind of review and after talking to the County Seismic Safety Specialist - I don't think that kind of review is necessary. The construction to the bridge is underway; it's been underway for a couple of months. I believe that we have done the due diligence that we have to do and I believe I have prepared the memos to the Council about (inaudible) that has been done. If Council wishes to have us do another peer review, which is basically what we're talking about, having another seismic safety firm review the plans that have already been created, we'd be very happy to do that, if you want us to put that on the agenda we will do it, because the County won't do it. Taylor: Mr. Mayor? Tran: Yes. Clark: (inaudible) what they can do and what (inaudible) Taylor: I would like a report brought back to the Council - Lazzaretto: Sure Taylor: Then we can decide if it goes - the bridge is going to be going on for a year and a half and I don't think legally we're going to stop it, but at least we can put it on the agenda. But there again, if we're having too much variation on what's been said, and it's been stated in the past, that the engineers claim that these reports would meet the requirements required, so I don't - I just don't want to be starting to spend more money if it's been clarified. So if we can have a report, first? Tran: Thank you. Mrs. Low? Low: No, I have nothing. Tran: Mr. Nunez? City Council Minutes: 4-3-07 Page 38 of 42 MPT Nunez: No, I have nothing right now. Tran: I have a few things that I want to ask the City Manager to pursue. First of all, I'm looking at the reinstatement of the 4th of July Parade, for this year. Clark: What was that, I didn't hear you? Tran: I'm sorry, the reinstatement of the 4th of July Parade Clark: Oh, ok. Tran: It's about three months away. Barbara Murphy: Excuse me; does anyone have a bathroom key? Audience member: It's locked. Audience member: We've got staff; they can take care of that. (Audience applause) Murphy: Thank you. Castruita: Is that verbatim? (Audience laughter) Tran: Yes, just again, the first item is the reinstatement of the 4th of July Parade. The second item, I'd like to do is, is have staff approach and reach out to two families that have been, that have made significant impacts or individuals that have made significant impacts in our community and they are the Knapp family - Henry Knapp. (Audience applause) Tran: And David Perea. And I'd like to see if we can look at ways at honoring them with a plaque along with possibly a tree. I know Mrs. Knapp lives by Zappopan Park so it would be appropriate there, or unless they choose otherwise. And the Perea family, there is a pocket park that is close by to their home, right by Rice School and it would also be appropriate there unless otherwise. So, if I could have staff reach out to those two families and honor them. Low: Mr. Mayor - there is a (public speaker) Audience member: A Grand Marshal, perhaps for Knapp, she would accept some type of thing, forgive me for the suggestion, but you were on that subject. City Council Minutes: 4-3-07 Page 39 of 42 • 0 Tran: The - I know we have our Rebuild Together, our annual Rebuild Together, but I'd like to see if we can actually increase our productivity on the Residential Rehab Program, especially amongst the seniors. I know that there are a lot of them that are on fixed incomes and we can be a little bit more proactive in helping them. Taylor: Mr. Mayor? Tran: Yes. Taylor: On that subject, there, it was held last April - last week of the - is that coming up this year now, or (inaudible)? Tran: You know, Mr. Johnson was in charge of that and he is not here and (inaudible). Taylor: Alright. Thank you. Tran: And the possibility of forming or looking at ways to build up our Code Enforcement Task Force which involves our Graffiti, our Gangs. And if we can get an update on our Master Tree Plan in the near future time, right now; an update on our General Plan. Two other items. If there is a way to address our Senior Housing, we do have 375 seniors on our waiting list and we need to figure out ways to address this issue - if there are ways of working with the state and federal grants to obtain money to provide this type of housing. And last but not least, we do have five Planning Commissioners and three Traffic Commissioners who are currently serving on expired terms. They have not been re-appointed. There are only two, that the Council had appointed; and that's Joan Hunter and Howard Masuda. And so, I'm asking that we go out there and go through the process and open it up to the residents as well as the current Commissioners, effective immediately. Because, they have been serving, let me ask you a question - how long have these Commissioners served without being appointed? Do you happen to know Nina? Castruita: I'm sorry? Taylor: Excuse me, they have all been appointed. Tran: Yeah, I mean re-appointed. Taylor: Oh, ok, when you say re-appointed, good question, how long has it been? Castruita: I can, I can look into that but I believe, without being specific to which Commissioners, I think reappointments were last done in 2003 and then 2005 again. Taylor: Ok, could you provide us that list? Castruita: I can certainly put that together. City Council Minutes: 4-3-07 Page 40 of 42 • • Taylor: Because I think we have followed that procedure - Castruita: Absolutely. Taylor: When we say they are serving (inaudible) Tran: And, given the fact that one of our Planning Commissioners, Mr. Kelty, has resigned. Audience member: Breen Tran: I'm sorry, Mr. Breen had resigned, I think effective April too, I believe. So, that creates a vacancy. I'd like to see if you can post this on our City website and whatever media we can get it out to, to post the vacancies and allow all residents an opportunity to submit their applications. And as far as the timeline - how much time do we want to give, so that we can actually conduct an interview process to get them either reappointed or appoint (inaudible)? Taylor: Let's get the report back, Mr. Tran. MPT Nunez: I have - you know, you brought up something that I, that I should have brought up earlier. I think that the meeting after Mr. - Audience member: Breen? MPT Nunez: Breen, Breen resigns, I think we should ask him to come to the City Council and give him a plaque for his years of service and I think I'd like to have that because- Tran: So Nina, if you could provide us with a list of all the Commissioners and immediately post the vacancies, or not vacancies, but the opportunity to apply for these Commissions, which are a total of eight - five for Planning and three for Traffic. And again, I indeed encourage the Commissioners to re-apply as well. Castruita: Do you want the report first or do you want the postings in conjunction with and then we'll? Taylor: (Inaudible) Tran: We have to post first, we have to post regardless because of Mr. Breen has resigned - Taylor: Just for one, we need to Tran: Well, yeah. City Council Minutes: 4-3-07 Page 41 of 42 Castruita: Well, it's a generic application. Tran: It's a generic application. Taylor: That's fine. Castruita: Ok. And, and you'd like that done when? Tran: As soon as possible. Tran: (Inaudible). Andy - the staff? Lazzaretto: Just one additional item, Mr. Mayor. I received a letter from Michael Burbank indicating he is retiring from the City of Rosemead effective June 1 of this year. So- Clark: Wait, when did you get that letter? Lazzaretto: Yesterday. Tran: Ok. We will adjourn into Closed Session. At this time, I'd like to invite our newly appointed Lead Counsel to join us. The Council adjourned to Closed Session at 7:15 pm. 3. MATTERS FROM CITY MANAGER & STAFF A. Closed Session: The City Council will recess to a Closed Session pursuant to: 1) Government Code 54956.9(c): Conference with Legal Counsel - Anticipated Litigation 4. ADJOURNMENT The next regular meeting is scheduled for April 10, 2007 at 8:00 pm. Respectfully submitted: City Clerk APPROVED: /)M~A OR City Council Minutes: 4-3-07 Page 42 of 42 STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) SS. CITY OF ROSEMEAD ) I, Nina Castruita, City Clerk of the City of Rosemead City Council, do hereby certify that the minutes from April 3, 2007 were duly and regularly approved and adopted by the Rosemead City Council on the 29th of May 2007, by the following vote to wit: Yes: Clark, Low, Nunez, Taylor, Tran No: None Absent: None Abstain: None Nina Castruita City Clerk