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Agenda 06/14/2011 Item #16K8 . . . 6/14/2011 Item 16.K.8. EXECUTIVE SUMMARY Recommendation that the Board of County Commissioners authorizes an increase in the purchase order for Carlton Fields, P.A. to exceed the $100,000.00 cap in the case of Collier County v. John Reynolds & Sons, [nc., et al., Case No. 10-6658-CA (South Reverse Osmosis Raw Water Wellfield Pipeline Project No. 70030)(Fiscal Impact an additional 5150,000.00). OBJECTIVE: That the Board of County Commissioners increase a purchase order exceeding the $100,000.00 cap for Carlton Fields, P.A., in accordance with Collier County's contract with Carlton Fields, P.A. to provide continued litigation SUPPOlt services in the case of Collier County v. John Reynolds & Sons, Inc., et al., Case No.1 0-6658-CA. CONSIDERATIONS: Collier County retained the law firm of Carlton Fields to assist as co- counsel in the above-referenced lawsuit, which seeks damages incurred as a result of failures pertaining to the construction of the South Reverse Osmosis WeIIfield pipeline. The current defendants in the lawsuit are the contractor, John Reynolds & Sons, Inc. and its surety, Travelers Casualty and Surety Company of America; but additional defendants may be added in the future. This case is a complex matter involving several claims, numerous witnesses, experts, and the defense of a counterclaim against the County. The County's damages are estimated as $9,000,000. Written discovery is ongoing with depositions of witnesses to commence in the future. Staff is requesting an increase in the purchase order for Carlton Fields, P.A., to provide for its continued representation on this matter through trial. While it is difficult to ascertain with particularity how much outside counsel fees may total in this case through trial (if necessary), those fees could range roughly $300,000 to $400,000. At this time, Staff requests Board authority to increase the current purchase order by $150,000.00 and will report back to the Board incrementally if additional resources are required. FISCAL IMPACT: Funds in the amount of$150,000 are budgeted in the South RO WeIlfield Raw Water Transmission Main Repair Project, 70030. Source of funds is Water User Fees (412). LEGAL CONSIDERATIONS: This item has been reviewed and approved by the County Attorney's Office, is legaIIy sufficient for Board action and only requires a majority vote for Board approval-SRT. GROWTH 1\1ANAGEMENT IMPACT: None. RECOMMENDATION: That the Board of County Commissioners authorizes an increase to the existing purchase order for Carlton Fields, P.A. for an additional $150,000.00 for services provided in the case of Collier County v. John Reynolds & Sons, Inc., et al., Case No.1 0-6658- CA (South Reverse Osmosis Raw Water Wellfield Pipeline Project No. 70030). PREPARED BY: Scott R. Teach, Deputy County Attorney Packet Page -2118- . . . 6/14/2011 Item 16.K.8. COLLIER COUNTY Board of County Commissioners Item Number: 16.K.B. Item Summary: Recommendation that the Board of County Commissioners authorizes an increase in the purchase order for Carlton Fields, P .A. to exceed the $100,000.00 cap in the case of Collier County v. John Reynolds & Sons, Inc., et aI., Case No. 10-665B-CA (South Reverse Osmosis Raw Water Wellfield Pipeline Project No. 70030)(Fiscallmpact an additional $150,000). Meeting Date: 6/14/2011 Prepared By Name: CrotteauKathynell Title: Legal Secretary, County Attorney 6/3/2011 4:20:02 PM Approved By Name: TeachScott Title: Deputy County Attorney,County Attorney Date: 6/6/2011 2:28:22 PM Name: KlatzkowJeff Title: County Attorney, Date: 6/7/2011 9:06:26 AM Name: UsherSusan Title: ManagementlBudget Analyst, Senior,Office of Manage Date: 6/7/2011 6:53:28 PM Name: GreenwaJdRandy Title: ManagementIBudget Analyst,Office of Management & B Date: 6/8/2011 9:37:56 AM Name: OchsLeo Title: County Manager Date: 6/8/2011 11:35:14 AM Packet Page -2119-