Minutes 06/26/2012 - Laserfiche WebLink

Home Browse Search

June 26, 2012 "ORDINANCE TO TRANSFER $45,000 FROM THE FY 2011-12 GENERAL FUND AND TO APPROPRIATE SAID AMOUNT IN THE FY 2011-12 CAPITAL IMPROVEMENT FUND FOR THE POKEY SMOKEY II TRACK RENOVATIONS." Ayes: Cherry, Edmonds, Heretick, Moody, Randall, Whitehurst, Wright Nays: None 12 - 261- Adoption of an ordinance to transfer $180,000 from the FY12 General Fund Operating Budget Contingency Account to the City Attorney's FY12 General Fund Operating Budget for legal defense fees. Vision Principle: Efficient, Responsive Government. Background: • Funds are required to pay legal fees for outside counsel employed to defend the City and City police officers against suits claiming damages for alleged improper actions. • In February, when additional funds were appropriated, final billings for the successful resolution of the Kirill Denyakin and Antujuan Marshall cases had not yet been received. Discussion: • The City Attorney is charged with defending the City and its officials and employees in lawsuits. • Except for a certain level of insurance coverage, the City self-insures. This means that damages, if any, are paid from taxpayer funds. • From time to time, the City Attorney must retain outside legal counsel to handle particular cases, including when there is a conflict of interest between multiple City defendants. • During the past year, there were five major cases for which outside counsel was required. • The additional sum of $180,000 is needed to pay expected legal bills for the remainder of FY 2011-12. • Unencumbered appropriated funds are available for this transfer from the FY12 General Fund Operating Budget Contingency Account. • The major lawsuits in question sought total damages in excess of $122,600,000. Some cases were in federal court, some were in state court. Some were decided by juries, some by Court rulings. They were all resolved favorably to the City, with total damages paid by judgment or settlement of zero dollars. Financial Impact: • There is no additional appropriation requested. These dollars are in the FY12 Adopted General Fund Operating Budget and upon approval will be moved from Non- departmental to the City Attorney's Budget. Recommended Action: • Adoption of the ordinance. Vision Principle: Efficient, Responsive Government. Next Steps Following Council Action: • Finance will complete the necessary transfer. Motion by Mr. Heretick, and seconded by Mr. Whitehurst, to adopt the following ordinance, and was adopted by the following vote: "ORDINANCE TRANSFERRING THE SUM OF $180,000 IN THE FY 2011-12 GENERAL FUND OPERATING BUDGET FROM THE FY 2011-12 GENERAL FUND OPERATING BUDGET CONTINGENCY ACCOUNT FOR LEGAL DEFENSE FEES." Ayes: Cherry, Edmonds, Heretick, Moody, Randall, Whitehurst, Wright Nays: None