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"'ity of <br /> <br />iver <br /> <br />FROM: <br /> <br />DATE: <br /> <br />MEMORANDUM <br /> <br /> Mayor & City Council <br /> <br /> Peter K. Beck, City Attorney <br /> <br /> February 20, 1996 <br /> <br />SUBJECT: Attorney Fees <br /> <br />Several Councilmembers have asked that I propose an alternative fee <br />arrangement for Council consideration. The current fee arrangement is as <br />follows: <br /> <br />$1,650.00 per month retainer. The retainer pays for all legal <br />services for which a separate file has not been opened, including <br />most City Council and staff meetings. <br /> <br />Reduced hourly rates up to a maximum of $110.00 per hour on <br />files which will be paid from city funds. <br /> <br />Normal hourly rates, up to a maximum of $180.00 per hour, on <br />files for which a third party is reimbursing the city for fees. <br /> <br />This structure and these amounts have been in place since, I think, sometime <br />in the 1980's. I believe it was set up during Bob Middaugh's tenure with the <br />city. <br /> <br />Retainer. The $1,650.00 retainer amount was established at a time when <br />the city attorney's involvement in the day-to-day business of the city was <br />minimal. At that time, the city attorney rarely attended a Council meeting <br />or traveled to the city for staff meetings. As late as the early 90's, the <br />$1,650.00 retainer amount covered all of the time actually billed to the city <br />for general legal services. <br /> <br />In 1992, when the Council appointed me as city attorney, I made a <br />commitment to the Council to be more available to city staff and to regularly <br />attend Council meetings, including the Council's monthly planning and <br />zoning meeting. As a result of this increased level of service, the hourly <br />value of services rendered over the past 2 or 3 years (at $110.00 per hour) has <br />been between $5,000.00 and $6,000.00 per month. <br /> <br />13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 · (612) 441-7420 · Fax: (612) 441-7425 <br /> <br /> <br />