2017-109S:\Legal\Our Documents\Ordinances\17\DME-EMO-Portz-Supplemental Engagement 3-PSA-0rdinance-.doc
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17AEREAS, the City Council deems it necessary, appropriate, and in the public interest
to continue the engagement of David A. Portz, P.C. of Houston, Texas to provide professional
legal services relating to the operations and regulatory compliance of the Energy Management
Organization of the City's electric department, Denton Municipal Electric; and
WHEREAS, on April 28, 2014, the City Manager approved the original Engagement
Letter to provide professional legal services to the City of Denton in the amount of not -to -exceed
:111 and
WHEREAS, on November 18, 2014, the City Council considered a supplement and first
amendment to the Engagement Letter, in the additional not -to -exceed amount of $50,000; and
enacted Ordinance No. 2014-393; and
WHEREAS, on March 1, 2016, the City Council considered an amended Engagement
Letter, in the additional • •- -• amount of $50,000; #- ed Ordinance No. 2016-065;
•'
WHEREAS, there is a need to further engage the services of David A. Portz, P.C. as
there are ongoing duties regarding the negotiation of EEI Master Agreements, ISDA Master
Agreements, Dodd -Frank regulatory compliance, and other duties which require the services of
specialized legal counsel;-- # 000 for such legal
services through the end of the next Fiscal Year; the total not -to -exceed amount for this
professional is n• •- -•$ 1111 and
WHEREAS, Chapter 2254 of the Texas Government Code, known as the "Professional
Services Procurement Act," generally provides that a City may not select a provider of
professional s- on - basis of • • bids, but - the provider of
[�rofessional services on the basis of demonstrated competence, knowledge, and qualification.-ip
and for a fair and reasonable price; and the City Council finds and concludes that the law firm of
David A. Portz, P.C., Houston, Texas (the "Firm") is appropriately qualified under the provisions
tf the law to be retained as outside legal counsel for the City; and
WHEREAS, •uncil has provided - City budget for•• •• • of
SECTION 1. The recitations in the preamble are true and correct and are incorporated as
part of this ordinance.
SECTION 2. The City Manager, or his designee, is authorized to execute the attached
Engagement Letter dated February 1, 2017 with the law firm of David A. Portz, P.C. for further
professional legal services relating to the Energy Management Organization of the City's electric
department, Denton Municipal Electric. The Engagement Letter is attached hereto as Exhibit
"A," and is incorporated herein by reference.
SECTION 3. The award is made on the basis of the demonstrated competence and
qualifications of David A. Portz, P.C. (the "Firm") and the ability of the Firm to perform the
professional legal services needed by the City for a fair and reasonable price.
SECTION 4. The expenditure of funds as provided in the attached Engagement Letter is
hereby authorized.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval,
PASSED AND APPROVED this the day of 2017,
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
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API�,OVED A,4)1'O LEGAL FORM:
AARON LEAL, INTERIM CITY ATTORNEY
By:
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C1(;s,--WATTS, MAYOR
DAVID A. PORTZ PC Bissonnet- 8306
Houston, 11
Office 713-533-0075
Cell 713417-9116
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February 1, 2017
Mr. Larry Collister
Deputy City Attorney
City Attorney's Office
City of Denton
215 E. McKinney
Denton, TX 76201
Re: Engagement Letter between City of Denton, Texas ("City") and David A.
Portz PC ("PPC") dated as of February 28, 2017 (the "Effective Date")
Dear Larry:
This letter describes the basis on which my professional corporation will provide
legal services on the matters described below, in continuation of our existing relationship
relating to same.
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David A. Portz PC
2-1-17 Engagement Letter — City of Denton
2018 or the full disbursement hereunder of the above referenced budgeted fees amount,
whichever shall earlier occur.
2. Costs: In addition to fees for services, PPC invoices will include
allowable, reasonable charges for documented disbursements, including parking, travel
(transportation, lodging and meals when pertinent to business travel outside the
Houston Texas inner loop area connected with representation of Client), computerized
legal research, postage, messenger, courier and third party photocopying services,
telephone charges, filing fees, etc. Time spent traveling in connection with Client
matters will to the extent practicable be utilized to review and make progress on Client
matters subject to this engagement, to maximize the value derived by Client from
compensation of PPC for that time.
3. Billings: PPC will render monthly statements of the professional services
performed under the engagement, together with an itemization of the expenses incurred
for Client's account in connection with such matter. PPC monthly statements will be
prepared and e-mailed on or before the 10th day of the month following the month in
which services are rendered. Payment is due on or before the end of the month in which
such invoice was delivered, assuming all pertinent information is provided on the
statement. PPC reserves the right to collect interest at a rate of 3% per annum on any
amounts remaining unpaid on a delivered invoice beyond such invoice's due date, as
well as to accelerate all unpaid monthly invoiced amounts to a single payment
immediately due and owing. On assurances of timely satisfaction by Client of PPC
conforming invoices, no retainer amount was specified in relation to this engagement.
4. Task Orcianization Matters: PPC will strive to meet the timing
requirements Client indicates with respect to any projects assigned. PPC is sensitive to
the need to be efficient and economical in providing legal services to Client. To that end,
PPC will coordinate with you on its delivery of legal services and strive to work closely
with Client staff as may be necessary or appropriate to adhere to Client's internal
controls and enhance efficiencies. Where PPC is requested by senior commercial or
credit representatives of Client to undertake legal services on Client's behalf, PPC shall
take up such tasks sensitive to the time constraints communicated but strive to promptly
coordinate with you or other pertinent Client legal group members to assure such
matters are appropriate to this engagement.
5. Document retention: Unless agreed otherwise, stored PPC materials will
be scheduled for disposal following the passage of two years. PPC will take appropriate
measures to maintain such materials confidential.
5. Communication with City. PPC recognizes, understands and
acknowledges that, as outside legal counsel to the City, PPC is an extension of the
City's Legal Department. As such. the City Attorney's office will be the maim point of
contact with PPC and that communications with the City's electric department, to the
extent possible, also include one or more members from the City's Legal Department.
Further, the City's Legal Department will receive copies of any and all communication
not primarily directed to it. Consistent with my ethical and professional standards, PPC
will endeavor to adhere to the Legal Department's directions.
I look forward to continuing work with you, Larry, and serving the City's electric
utility, Denton Municipal Electric. Please cause a copy of this letter to be countersigned
on behalf of Client and returned to me at your soonest convenience.
2
David A. Portz PC
David Portz for
David A. Portz PC
City of Denton, a T Ls home -rule municipal corporation
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