title
RETENTION OF WINSTON & STRAWN LLP, TO REPRESENT THE CITY OF GAINESVILLE D/B/A GAINESVILLE REGIONAL UTILITIES (GRU) IN GAINESVILLE RENEWABLE ENERGY CENTER, LLC'S ARBITRATION DEMAND AGAINST THE CITY D/B/A GRU (B)
explanation
On March 10, 2016, Gainesville Renewable Energy Center ("GREC") filed an Arbitration Demand with the American Arbitration Association ("AAA"), AAA Case No. 01-16-0000-8157, to resolve a dispute between GREC and GRU concerning GREC's Planned Maintenance Outage in April of 2016.
The City Attorney's Office worked with the General Manager for Utilities to select qualified outside counsel to represent the City d/b/a GRU in the arbitration proceedings. Winston & Strawn LLP has extensive expertise in Power Purchase Agreement ("PPA") related litigation and AAA arbitration. In addition, Winston & Strawn LLP is familiar with the GREC/GRU PPA, having been previously retained by the City d/b/a GRU to assist GRU Management in the review and evaluation of the GREC/GRU PPA.
fiscal note
The rates quoted by Winston & Strawn LLP are hourly rates of $310-$935. It is unknown at this time exactly how many hours of work will be required, but outside counsel estimates that if this arbitration proceeds to a full two week hearing, the cost could be as high as $900,000-$1,000,000. The City Attorney's Office will remain engaged in this matter, and assist outside counsel, in an effort to contain costs. Funding for outside counsel will be paid either from GRU budgeted funds for legal expenses or from unanticipated cost savings that GRU realizes.
recommendation:
Authorize the Office of the City Attorney, on behalf of the General Manager for Utilities, to retain Winston & Strawn LLP for representation of the City d/b/a GRU in this arbitration.