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HomeMy WebLinkAboutContract CAG-09-051 K�L � G/�T E S K,.,�,,aston Gates Ellis uP 925 Fourth Avenue Suite 2900 Seattle, WA 98104-1158 r 206.623.7580 www.klgates.com March 11, 2009 Jay A. Reich jay.reich�klgates.com Mayor Denis Law Renton City Hall 1055 S. Grady Way RECEI�/�� Renton, WA 98057 MAR 16 2t�19 F;�: ��u��: ���:-�e�t:vr�a? E�:�it� 11IIAYC�R'S C��FIC�. South Correctional Entity Facility Public Development Authority Consent to Representation and Waiver of Conflict Dear Mayor Law: The purpose of this letter is to confirm our understanding of the role of K&L Preston Gates Ellis LLP (the "Firm") with respect to our proposed representation of the South Correctional Entity ("SCORE") and the South Correctional Entity Facility Public Development Authority (the "Authority") and to request a waiver of a potential conflict of interest. We have been asked to provide general counsel services ("SCORE Services") to SCORE, a government administrative agency established through an interlocal agreement (the '`Agreement") among the cities of Auburn, Burien, Des Moines, Federal Way, Renton, SeaTac and Tukwila for the purpose of developing and operating a regional correctional facility. The Authority was established by the City of Renton to issue bonds and provide financing to SCORE, and we have also been asked to provide bond counsel services to the Authority ("Authority Matters" and together with the SCORE Matters, the "Authority/SCORE Matters"). As you know we represent the City of Renton (the "City") as bond counsel and as special counsel, from time to time, on various City matters (the "City � Matters"). The purpose of this letter is to request your consent to our representation of SCORE n�t�1P zAUf�: `• n �1 ,�' •t��c�'nn,E "�.,�+�T:a u:l�i tv ::'�iVe � �.^,t.�.^tl.'.� �02'ifliCt c:..a vii��' vta u�a.a�ii� v�..�i i�ii..�iv with our representation of the City on City Matters. As a law firm we are prohibited from representing one client in a matter adverse to another client unless we determine that the Firm would be able to provide competent and diligent representation to each client and to obtain informed consent of each client to the respective representations. We believe that it is possible for the interests of the City to be adverse to the interests of SCORE and the Authority arising from the City's obligations under the Agreement. We believe that the City Matters are unrelated to the Authority/SCORE Matters. Our representation of the City in the City Matters does not include the provision of services regarding SCORE, the Authority, the regional correctional facility or its financing. �� Mayor Denis Law March 11, 2009 Page 2 We understand that the City Attorney will represent the City in any such matters, and to date the City Attorney has reviewed the Agreement and related documents on behalf of the City. In our role as bond counsel and special counsel to the City, we do not believe we have information about the City which would be material to SCORE and the Authority and that is not publicly available. Furthermore, we do not believe that our representation of SCORE and the Authority as described above would compromise our representation of the City on the City Matters. Nonetheless, the City should consider these issues for itself and should determine, with the assistance of independent legal counsel if it wishes, whether it agrees with our conclusion. We have asked each of the parties to the Agreement for whom we serve as bond or special counsel to consent in writing to the Firm's representation of SCORE and the Authority on Authority/SCORE Matters and to agree that they will not assert, in any forum or in any manner, that any ethical or other impediments exist to our representation of the Authority and SCORE on the Authority/SCORE Matters. We have also asked SCORE and the Authority to consent in writing to Firm's representation of the parties to the Agreement, including the City, for whom we provide unrelated bond or special counsel services. We expect that consent to be forthcoming. In any event, the City's consent, upon which we will rely, would be conditioned upon our receipt of a counterpart consent from those entities. Thank you very much for your thoughtful consideration of this matter. Beyond the ethical imperatives that guide us, we are very sensitive to the trust that our clients place in us as attorneys. If you have any questions or concerns, please feel free to contact me. If, after such review as you believe appropriate, the City is willing (1) to consent to the Firm's continued representation of the City on the City Matters, (2) to consent to the Firm's representation of SCORE and the Authority on the Authority/SCORE Matters in which the City's interests may be adverse to the interests of the Authority and SCORE, (3) to agree that the City will not object to our representation of, or seek to disqualify us from representing, the Authority and SCORE on the Authority/SCORE Matters, and (4) to waive any conflict that �therwise could be said to be presented, please sign the enclosed counterpart of this letter in the space provided below and return it to l�s for our files. Mayor Denis Law March 11, 2009 Page 3 Thanks again for your assistance. Very truly yours, KBCL PRESTON GATES ELLIS LLP � ` By Jay A. Reich .1AR:'�+g cc: L:�rry Warren, City Attorney ACKNOWLEDGEMENT and Waiver: Cit f Renton, Washington s �� � , Attest:_�V!?,(,G � C2�;l•�r�-' Denis Law, Mayor Bonnie I. Walton, City Clerk 3-���oo� K�2037929\00007�20584_JAR�20584L2309