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PUBLIC NOTICE HIDALGO COUNTY DRAINAGE DISTRICT #1 FEBRUARY 7, 2023 9:30 A.M. |
NOTICE TO THE PUBLIC OF A MEETING OF THE BOARD OF THE HIDALGO COUNTY DRAINAGE DISTRICT NO. 1 IN CONSIDERATION OF ACTION TO ENTER INTO A PROFESSIONAL LEGAL SERVICES CONTRACT
(Pursuant to Section 2254.1036 of the Government Code)
Notice is hereby given that the Board of Directors of the Hidalgo County Drainage District No. 1 (the "HCDD1") will be conducting a meeting on Tuesday, February 7, 2023, at 9:30 a.m. at the Hidalgo County Commissioners Courtroom located in the Administration Building, 100 E. Cano, 1st Floor, Edinburg, Texas. The purpose of the meeting is to consider and take action on all items on the posted agenda pursuant to Texas Government Code Chapter 551; this includes but is not limited to the approval of a professional legal services contract with the Perez Law Firm, PLLC (the "Firm"), to perform all legal services necessary and related to acting as bond counsel for the HCDD1. The Drainage District is considering this matter for the following reasons:
A. The HCDD1 requires legal services from bond counsel for which Firm would be retained to the extent the Drainage District may seek to issue limited tax bonds as authorized under the provisions of Section 1207 .01 et. seq. of the Government Code and provisions of other Texas laws which authorize issuance of debt obligations by the HCDD1. In that regard, the HCDD1 needs to engage the services of bond counsel who has demonstrated competence, qualifications and experience in the requested services.
B. The engagement of the Firm in a professional services contract for all necessary and related services of bond counsel, including but not limited to the issuance of debt obligation, will ensure that services are provided in the most cost effective and expeditious manner. The HCDD1 will engage the Firm after determining negotiated fees are fair and reasonable. See GOVT. CODE § 2254.1036(1)(A). The engagement of bond counsel is reviewed on an annual basis by HCDD1and can be terminated with thirty (30) days written notice.
C. The HCDD1believes the Firm has the competency, qualifications, and experience necessary to fulfill this contract as required by Government Code § 2254.1036(1)(B). The Firm has been serving governmental bond issuers in Texas since 2005. The Firm has acted as bond counsel and underwriter's counsel in over 300 transactions since 2005 and has demonstrated the competence and qualifications necessary to perform the services requested with other governmental entities.
D. The nature of any relationship between the HCDD1 and the Firm is as follows. See GOVT. CODE § 2254.1036(1)(C). The Firm and attorney, Ricardo Perez, currently serve as legal counsel for both Hidalgo County and HCDD1.
E. The specialized legal services required cannot be performed by the attorneys and supporting personnel of the HCDD1 due to the respective qualifications, cost, infrastructure and technology needed to perform these services. HCDD1 does not have in-house legal counsel. See GOVT. CODE § 2254.1036(1)(D).
F. These legal services cannot be provided for on an hourly fee basis. See GOVT. CODE § 2254.1036(1)(E).
G.Engagement of the Firm for the requested professional legal services is in the best interests of the HCDD1. See GOVT. CODE § 2254.1036(1)(F). In HB 2826, the Texas Legislature expressly recognizes that the availability of bond counsel services is particularly limited given the competences, experience and legal knowledge that are required to be had in order for bond counsel to perform its services and issue the legal opinions required upon issuance of the bonds. The areas of legal practice which bond counsel typically is required to engage in order to perform its services include: election laws, Texas constitutional, statutory and common law as it relates to elections and bond elections; the legal authority of political subdivisions to enter legally enforceable obligations; and in particular, debt obligations; federal tax law and Internal Revenue Obligations, particularly as they relate to issuance of tax-exempt debt by political subdivisions; and U.S. Securities laws and their application and exemptions for political subdivisions.
H. The engagement of bond counsel on a contingency fee basis is in the best interest of the HCDD1 and of its taxpayers for the following reasons: (1) the HCDD1 has the benefit of receiving and relying on the legal advice of a qualified and experience legal counsel; (2) the HCDD1 is able to rely on the legal advice of bond counsel throughout all preparatory actions relating to issuance of a bond without having to pay significant fees during the process; (3) HCDD1 decisions to postpone an action, including an election and issuance or sale of the bonds does not result in paying additional legal fees; and (4) a contingency fee allows the HCDD1 to pay for and capitalize fees for the bond counsel and all related fees out a debt fund rather than from the HCDD1's Maintenance and Operations Fund.
A. The HCDD1 requires legal services from bond counsel for which Firm would be retained to the extent the Drainage District may seek to issue limited tax bonds as authorized under the provisions of Section 1207 .01 et. seq. of the Government Code and provisions of other Texas laws which authorize issuance of debt obligations by the HCDD1. In that regard, the HCDD1 needs to engage the services of bond counsel who has demonstrated competence, qualifications and experience in the requested services.
B. The engagement of the Firm in a professional services contract for all necessary and related services of bond counsel, including but not limited to the issuance of debt obligation, will ensure that services are provided in the most cost effective and expeditious manner. The HCDD1 will engage the Firm after determining negotiated fees are fair and reasonable. See GOVT. CODE § 2254.1036(1)(A). The engagement of bond counsel is reviewed on an annual basis by HCDD1and can be terminated with thirty (30) days written notice.
C. The HCDD1believes the Firm has the competency, qualifications, and experience necessary to fulfill this contract as required by Government Code § 2254.1036(1)(B). The Firm has been serving governmental bond issuers in Texas since 2005. The Firm has acted as bond counsel and underwriter's counsel in over 300 transactions since 2005 and has demonstrated the competence and qualifications necessary to perform the services requested with other governmental entities.
D. The nature of any relationship between the HCDD1 and the Firm is as follows. See GOVT. CODE § 2254.1036(1)(C). The Firm and attorney, Ricardo Perez, currently serve as legal counsel for both Hidalgo County and HCDD1.
E. The specialized legal services required cannot be performed by the attorneys and supporting personnel of the HCDD1 due to the respective qualifications, cost, infrastructure and technology needed to perform these services. HCDD1 does not have in-house legal counsel. See GOVT. CODE § 2254.1036(1)(D).
F. These legal services cannot be provided for on an hourly fee basis. See GOVT. CODE § 2254.1036(1)(E).
G.Engagement of the Firm for the requested professional legal services is in the best interests of the HCDD1. See GOVT. CODE § 2254.1036(1)(F). In HB 2826, the Texas Legislature expressly recognizes that the availability of bond counsel services is particularly limited given the competences, experience and legal knowledge that are required to be had in order for bond counsel to perform its services and issue the legal opinions required upon issuance of the bonds. The areas of legal practice which bond counsel typically is required to engage in order to perform its services include: election laws, Texas constitutional, statutory and common law as it relates to elections and bond elections; the legal authority of political subdivisions to enter legally enforceable obligations; and in particular, debt obligations; federal tax law and Internal Revenue Obligations, particularly as they relate to issuance of tax-exempt debt by political subdivisions; and U.S. Securities laws and their application and exemptions for political subdivisions.
H. The engagement of bond counsel on a contingency fee basis is in the best interest of the HCDD1 and of its taxpayers for the following reasons: (1) the HCDD1 has the benefit of receiving and relying on the legal advice of a qualified and experience legal counsel; (2) the HCDD1 is able to rely on the legal advice of bond counsel throughout all preparatory actions relating to issuance of a bond without having to pay significant fees during the process; (3) HCDD1 decisions to postpone an action, including an election and issuance or sale of the bonds does not result in paying additional legal fees; and (4) a contingency fee allows the HCDD1 to pay for and capitalize fees for the bond counsel and all related fees out a debt fund rather than from the HCDD1's Maintenance and Operations Fund.