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Agenda 08/09/2022 Item #16K 1 (PO increase for Carlton Fields P.A. related to litigation services)08/09/2022 EXECUTIVE SUMMARY Recommendation to approve a retroactive increase to the Purchase Order for Carlton Fields, P.A., related to its provision of litigation services in Collier County v. Mammoth Constructors, LLC, Case No. 2021-CA-00132, which concerns the County’s claim for damages stemming from Mammoth’s damage to Collier County’s underground wastewater force main utility pipe by $200,000, authorize payment for outstanding invoices, and authorize a budget amendment. (Wastewater User Fee Capital Fund (414), Fiscal Impact $200,000) OBJECTIVE: That the Board of County Commissioners authorize a retroactive increase to the Purchase Order for outside counsel Carlton Fields, P.A., in accordance with Collier County’s Board approved retainer agreement, so it can provide continued construction litigation representation in a civil action for damages filed against the contractor for damages to County’s underground wastewater force main utility pipe. CONSIDERATIONS: Collier County retained the law firm of Carlton Fields to assist as co-counsel to provide specialized construction law assistance in this litigation matter on January 11, 2021. On January 15, 2021, the County filed a civil complaint for negligence arising out of Mammoth’s damage to the County’s underground wastewater force main utility pipe. Mammoth was working a sub-subcontractor to FDOT on a FDOT roadway project at the intersection of Davis Blvd. and County Barn Road when the damage occurred on January 31, 2017. The County is seeking damages in excess of $600,000. The County sent a Proposal for Settlement to Mammoth which was approved by BCC on June 14, 2022 (Agenda Item 16K6). The Proposal for Settlement provides a mechanism for the County to recover a portion of its attorneys’ fees and costs if the County is the prevailing party at trial. If Mammoth declines the County’s Proposal for Settlement, and the County obtains a judgment for 25% more than the amount of the Proposal, then the County is entitled to recover its reasonable costs and attorneys’ fees incurred from the date the Proposal was served. Staff is requesting a retroactive increase in Purchase Order 4500208845 for Carlton Fields, P.A., to provide for its continued representation on this matter through trial, if necessary. It is diffic ult at this time to determine how much outside counsel fees may total in this case due to uncertain variables such as: (1) whether this matter will settle at Court Ordered mediation, (2) the amount of discovery and depositions initiated by other parties, (3) the approach of other counsel, and (4) the duration of trial, if applicable. To date the County has incurred approximately $158,000 in attorney fees and costs on this complex construction matter; this includes cost of retaining an expert witness (const ruction site and excavation witness). At this time, Staff requests Board authority to retroactively increase the current Purchase Order by $200,000, and Staff will report back to the Board if additional resources are required going forward, as well whether any opportunity to settle this dispute arises. As noted above, the County is seeking to recover its costs and attorneys’ fees based on the Proposal for Settlement sent to Mammoth on June 14, 2022. Approval of this item by the County Manager is subject to formal ratification by the Board of County Commissioners. If the decision by the County Manager is not ratified by that Board, the document(s) shall be enforceable against Collier County only to the extent authorized by law in the absence of such ratification by that Board. FISCAL IMPACT: Funds in the amount of $200,000 are available and will be reallocated from another project within Wastewater User Fee Capital Fund (414). 16.K.1 Packet Pg. 394 08/09/2022 LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires majority vote for Board approval. - CMG GROWTH MANAGEMENT IMPACT: None. RECOMMENDATION: That the Board authorize a retroactive increase to the Purchase Order for outside counsel Carlton Fields, P.A., for an additional $200,000, in accordance with Collier County’s Board approved retainer agreement, for services provided in the case of Collier County v. Mammoth Constructors, LLC, Case No. 2021-CA-00132, authorize payment for outstanding invoices, and authorize a budget amendment. PREPARED BY: Colleen M. Greene, Managing Assistant County Attorney Amia Curry, Division Director, Utilities Finance 16.K.1 Packet Pg. 395 08/09/2022 COLLIER COUNTY Board of County Commissioners Item Number: 16.K.1 Doc ID: 22986 Item Summary: Recommendation to approve a retroactive increase to the Purchase Order for Carlton Fields, P.A., related to its provision of litigation services in Collier County v. Mammoth Constructors, LLC, Case No. 2021-CA-00132, which concerns the County’s claim for damages stemming from Mammoth’s damage to Collier County’s underground wastewater force main utility pipe by $200,000, authorize payment for outstanding invoices, and authorize a budget amendment. (Wastewater User Fee Capital Fund (414), Fiscal Impact $200,000) Meeting Date: 08/09/2022 Prepared by: Title: Sr. Operations Analyst – County Manager's Office Name: Geoffrey Willig 08/05/2022 3:08 PM Submitted by: Title: County Attorney – County Attorney's Office Name: Jeffrey A. Klatzkow 08/05/2022 3:08 PM Approved By: Review: Public Utilities Operations Support AmiaMarie Curry Additional Reviewer Completed 08/05/2022 3:34 PM Public Utilities Planning and Project Management Matthew McLean Additional Reviewer Completed 08/05/2022 3:46 PM Public Utilities Department Drew Cody Level 1 Division Reviewer Completed 08/05/2022 4:04 PM Public Utilities Department George Yilmaz Level 2 Division Administrator Review Completed 08/08/2022 12:17 PM County Attorney's Office Colleen Greene Level 2 Attorney Review Completed 08/08/2022 12:26 PM Office of Management and Budget Debra Windsor Level 3 OMB Gatekeeper Review Completed 08/08/2022 12:39 PM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 08/08/2022 1:26 PM Office of Management and Budget Susan Usher Additional Reviewer Completed 08/08/2022 2:16 PM County Manager's Office Amy Patterson Level 4 County Manager Review Completed 08/09/2022 4:22 PM Board of County Commissioners Geoffrey Willig Meeting Pending 08/09/2022 9:00 AM 16.K.1 Packet Pg. 396