Title
The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Amendment No. 8 to DWSD Contract No. 6001278 (LS-1773) to add $300,000 in funding, for a total amended contract not-to-exceed amount of $1,900,000 for Legal Services relating to All Drainage Charge Matters and Michigan Warehousing Group v City of Detroit with Miller, Canfield, Paddock & Stone, P.L.C. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
Body
Agenda of April 20, 2022
Item No. 22-0770
Proposed Amendment 8
Contract No. 6001278 (LS-1773)
Contractor: Miller, Canfield, Paddock & Stone, P.L.C., 150 West Jefferson, Detroit, MI 48226
Current Contract Amount: $1,600,000
Proposed Amendment No. 8 Amount: $300,000
Proposed Total Contract Amount: $1,900,000
Term: 9/14/2015 and continues until satisfactory completion of services
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Detroit Water and Sewerage Department
RE: Proposed Amendment No. 8 to DWSD Contract No. 6001278 (LS-1773)
Legal Services relating to All Drainage Charge Related Matters and Michigan Warehousing Group v City of Detroit with Miller, Canfield, Paddock & Stone, P.L.C.
MOTION
Upon recommendation of Marqaicha Welch, Procurement Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Amendment No. 8 to DWSD Contract No. 6001278 (LS-1773) to add $300,000 in funding, for a total amended contract not-to-exceed amount of $1,900,000 for Legal Services relating to All Drainage Charge Matters and Michigan Warehousing Group v City of Detroit with Miller, Canfield, Paddock & Stone, P.L.C. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND / JUSTIFICATION
The Detroit Water and Sewerage Department (DWSD) entered into a contract with Miller, Canfield, Paddock & Stone, P.L.C. to provide legal representation, consultation and advice to DWSD in connection with pending litigation with the Michigan Warehousing Group v City of Detroit, Wayne County Circuit Court Case No. 15-0101165-CB. However, in October 2017, Amendment 3 was approved to expand the contract scope of services to include legal services for all litigation filed against DWSD relating to drainage charges, as well as matters that could affect the outcome of that litigation. The prior amendments were to add funds for continued services.
DWSD General Counsel is requesting additional funds due to the Michigan Supreme Court remanding the case back to the Court of Appeals for fact finding and rehearing. The Court of Appeals further remanded the case to the trial court to act as a Special Discovery Master. This process has resulted in the need for multiple depositions of witnesses. Each deposition requires hours of witness preparation and each deposition averages six hours in length.
PROCUREMENT METHOD
Competitive solicitation was not required per Item 6 under Judge Sean F. Cox’s order dated October 5, 2012, in Case No. 77-71100. The DWSD Director approved the contract for LS-1773 on 9/1/21.
Based on the information above, the DWSD General Counsel Division is requesting an additional $300,000 to increase the total contract amount from $1,600,000 to i $1,900,000, for continued legal services relating to the litigation with the Michigan Warehousing Group v City of Detroit, Wayne County Circuit Court Case No. 15-0101165-CB. Requisition 495446 was submitted and approved on 3/2/22.
A summary of the contract and amendment approvals is as follows:
|
|
Current NTE |
Proposed Amended $ |
Total Amended NTE $ |
Dates of Approval: |
|
Initial Contract |
$100,000 |
N/A |
N/A |
9/14/2015 |
|
Amendment No. 1 |
$100,000 |
$100,000 |
$200,000 |
2/26/2016 |
|
Amendment No. 2 |
$200,000 |
$200,000 |
$400,000 |
4/14/2016 |
|
Amendment No. 3 |
$400,000 |
$250,000 |
$650,000 |
10/25/2017 |
|
Amendment No. 4 |
$650,000 |
$250,000 |
$900,000 |
8/22/2018 |
|
Amendment. No. 5 |
$900,000 |
$200,000 |
$1,100,000 |
3/18/2020 |
|
Amendment. No. 6 |
$1,100,000 |
$200,000 |
$1,300,000 |
10/20/2021 |
|
Amendment. No. 7 |
$1,100,000 |
$300,000 |
$1,600,000 |
1/19/2022 |
|
Proposed Amendment. No. 8 |
$1,600,000 |
$300,000 |
$1,900,000 |
Upon BOWC Approval |
Based on the information above, the DWSD General Counsel Division is requesting an additional $300,000 to increase the total contract amount from $1,600,000 to $1,900,000, for continued legal services relating to the litigation with the Michigan Warehousing Group v City of Detroit, Wayne County Circuit Court Case No. 15-0101165-CB.
Miller Canfield’s clearances expire 8/2/22 and the formal contract amendment document is routing for signature.
SUMMARY
A. Contract No.: 6001278 / LS-1773
B. Contractor: Miller, Canfield, Paddock & Stone, P.L.C.
C. Initial Term: 9/14/2015 until satisfactory completion of
services
D. Initial Contract Amount: $100,000
E. Current Contract Amount: $1,600,000
F. Proposed Amendment No. 8 Amount: $ 300,000
G. Proposed New Total Contract Amount: $1,900,000
H. Funding Source: O&M Funds
I. GL String(s):
5820-20178-492223-627110-000230-15811-0000-000000 - 1000% Water
This proposed amendment was presented to the BOWC Finance Subcommittee on April 6, 2022. Per DWSD procurement protocol, no additional approvals are required.