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Item U10 I�`� County of Monroe �y,4 ' '�, "tr, BOARD OF COUNTY COMMISSIONERS County �a� Mayor Michelle Coldiron,District 2 �1 nff `_ll Mayor Pro Tem David Rice,District 4 -Ile Florida.Keys Craig Cates,District 1 Eddie Martinez,District 3 w Mike Forster,District 5 County Commission Meeting May 19, 2021 Agenda Item Number: U.10 Agenda Item Summary #8275 BULK ITEM: Yes DEPARTMENT: County Attorney's Office TIME APPROXIMATE: STAFF CONTACT: Pedro Mercado (305) 292-3470 No AGENDA ITEM WORDING: Approval of conflict waiver from the law firm of Bryant Miller Olive (BMO), to allow BMO to represent PNC Bank for purpose of negotiating a $10 million Line of Credit with the County if PNC is selected as the lender; and authority for the County Attorney or his designee to sign the conflict waiver letter. ITEM BACKGROUND: On October 21, 2020, the Monroe County Board of County Commissioners (BOCC) gave approval to advertise a Request for Proposal (RFP) for a Revolving Line of Credit in the amount of$10 million. The line of credit will provide interim financing at the Airport as it begins the design/build phase of the Concourse A Expansion ("Project"). The RFP was issued March 23, 2021. Four proposals were received, one of which came from PNC Bank, National Association (PNC). Upon review of the proposals PNC has been deemed to be the most responsive/responsible bidder and staff will be placing an item on the June 16, 2021 BOCC agenda seeking approval to award the contract for the revolving line of credit to PNC. The County has been advised that PNC will be represented in negotiations by the law firm of Bryant Miller Olive (BMO). BMO has previously represented the County as its disclosure counsel in connection with the issuance of the 2003 and 2007 series infrastructure surtax bonds and provides ongoing legal representation to the County as Disclosure Counsel in connection with certain publicly offered bonds. BMO has provided and is currently providing legal representation as lender's counsel to PNC in connection with certain financing transactions to other governmental and private borrowers. BMO has also been asked by PNC to represent it as lender in connection with the Loan Agreement. Florida Bar rules prevent an attorney from representing one client in a matter adverse to another client. However, the attorney may represent both clients if the attorney believes that representation of one client will not adversely represent the responsibilities to the other client, and if both clients consent in writing. Via a letter dated May 14, 2021, BMO has requested a waiver of the conflict. Staff does not believe that BMO's exercise of independent professional judgment in its role as counsel for PNC in connection with the current Line of Credit will be materially affected by its role as disclosure counsel in connection with the 2003 and 2007 bonds, in the event that PNC is selected as the lender in connection with the current Line of Credit. PREVIOUS RELEVANT BOCC ACTION: On September 8, 2014, the BOCC approved a similar request for conflict waiver for BMO, in connection with its representation of PNC as the lender on a $32 million loan and $16 million line of credit. On 1/17/2018 approved a similar request for conflict waiver from the law firm of Bryant Miller Olive (BMO), to allow BMO to represent PNC Bank for purpose of negotiating a $40 million Line of Credit with the County. CONTRACT/AGREEMENT CHANGES: N/A STAFF RECOMMENDATION: Approval DOCUMENTATION: Bryant, Miller, Olive - Conflict waiver letter to Pedro Mercado May 14, 2021 FINANCIAL IMPACT: Effective Date: Expiration Date: Total Dollar Value of Contract: Total Cost to County: Current Year Portion: Budgeted: Source of Funds: CPI: Indirect Costs: Estimated Ongoing Costs Not Included in above dollar amounts: Revenue Producing: If yes, amount: Grant: County Match: Insurance Required: Additional Details: None REVIEWED BY: Bob Shillinger Completed 05/14/2021 5:05 PM Budget and Finance Completed 05/14/2021 5:32 PM Maria Slavik Completed 05/16/2021 5:01 PM Liz Yongue Completed 05/17/2021 10:19 AM Board of County Commissioners Pending 05/19/2021 9:00 AM Bryant Miller Attorneys at Law One Tampa City Center Suite 2700 Olive Tampa, FL 33602 Tel 813.273.6677 Fax 813.223.2705 May 14, 2021 Monroe County, Florida 1111 12th Street, Suite 408 Key West, Florida 33040 Attention: Pedro J. Mercado, Esq., Assistant County Attorney Re: Waiver of Potential Conflict of Interest under Applicable Florida Bar Rules — Monroe County, Florida Loan Agreement(the "Loan Agreement") Dear Mr. Mercado: This letter is written to Monroe County, Florida (the "County") to discuss the applicability of and our obligation to consult with the County regarding Rule 4-1.7 of the Rules Regulating The Florida Bar concerning conflicts of interest. Bryant Miller Olive P.A. ("BMO") provides ongoing legal representation to the County placed as Disclosure Counsel in connection with certain publicly offered bonds but BMO has not been engaged by the County in any capacity on the Loan Agreement. We understand that PNC Bank, National Association ("PNC") may be selected by the County as the sole lender for the Loan Agreement. BMO has provided and is currently providing legal representation as lender's counsel to PNC in connection with certain financing transactions to other governmental and private borrowers. BMO has also been asked by PNC to represent it as lender in connection with the Loan Agreement. We anticipate that any negotiations regarding the terms of the Loan Agreement will be negotiated on behalf of the County by the County's staff, Bond Counsel, Financial Advisor, and your office. Further, we understand that the County's Bond Counsel will be preparing the financing documents. Rule 4-1.7 prohibits a lawyer from representing a client if the lawyer's exercise of independent professional judgment in the representation of that client may be materially limited by the lawyer's responsibilities to another client or to a third person or by the lawyer's own interest. Rule 4-1.7 further directs that a lawyer shall not represent a client if the representation of that client will be directly adverse to the interests of another client, unless: (i) Atlanta . Jacksonville . Miami . Orlando . Tallahassee . Tampa . Washington, DC Pedro J. Mercado, Esq., May 14, 2021 Page 2 the lawyer reasonably believes them representation will not adversely affect the lawyer's responsibilities to and relationship with the other client, and (ii) each client consents after consultation. We do not believe that our representation of either party in the subject transaction will adversely affect our responsibilities to and relationship with the other client. We are unable to undertake representation of PNC in connection with the Loan Agreement without the consent of PNC and the County. Accordingly, we request that the County waive any conflict of interest arising from our representation of PNC in connection with the Loan Agreement. We understand that the waiver granted by the County is subject to the agreement that our firm will not (a) use any information gained in our firm's current or prior representation of County to the detriment of the County or any of its affiliates, or (b) represent or advise PNC with respect to (i) any dispute, claim, or litigation against the County or any of its affiliates, or (ii) any proceeding in which PNC has an adverse interest to the County or any of its affiliates. We will advise PNC of the matters contained herein. This letter is being sent to you electronically (scanned .pdf file). If the foregoing is acceptable, please sign and return a copy to me. We appreciate your consideration and very much value the opportunity to provide our services as Disclosure Counsel to the County. BRYANT MILLER OLIVE P.A. Aar 0 on4K Duane D. Draper Shareholder of Bryant Miller Olive P.A. Accepted this day of May, 2021. MONROE COUNTY, FLORIDA By: Name: Robert B. Shillinger,Jr. Title: County Attorney