• Carson Now on Facebook
  • Follow Carson Now on Twitter
  • Follow Carson Now by RSS
  • Follow Carson Now by Email

Gov. Brian Sandoval Questions $6 Million In Legal Fees To Defend Against Freeway Construction Lawsuit

CARSON CITY – A legal firm retained by the state Department of Transportation to defend against a contractor dispute over construction of a section of the Carson City bypass has racked up $6 million in fees so far and the costs could still go higher.

Gov. Brian Sandoval today expressed concern about the amount of legal fees in the case involving a $40 million claim by Utah-based Ames Construction, which built the first phase of the U.S. 395 bypass in the capital that opened in February of 2006.

The cost of the 4.5-mile stretch of freeway was $70 million.

Sandoval, participating in a meeting of the Board of Directors of the Department of Transportation, said he had not seen such costs for a legal challenge before. The fees have been paid since 2008.

“Because even at those rates, $6 million, I haven’t seen that before,” Sandoval said. “I mean this just gets us to the mediation, as you say, and then we don’t know what the outcome of the mediation is going to be after that.”

Sandoval said the legal costs involved in the dispute point out why it is so important for the agency to deal with such disputes at the earliest possible date to try to head off escalating costs. Earlier in the meeting NDOT Director Susan Martinovich reported on efforts by the agency to resolve disputes as early in the process as possible.

Tom Fransway, a member of the board representing the public, asked whether in the future there is a way to seek competitive proposals for legal work rather than use the no-bid process for such services.

“I agree with the governor 100 percent that those fees are pretty extravagant,” he said. “And I’m wondering if in the future we have the ability to retain legal counsel for a fee that is more responsible.”

The hourly rates charged by the legal firm’s attorneys are as high as $340 an hour for the senior partner, but members of the board were told the rates are not excessive and have not increased since the dispute first began.

“That’s not an unreasonable fee,” said Attorney General and board member Catherine Cortez Masto.

Despite the concerns, the board approved an updated contract with the legal firm of Watt, Tieder, Hoffar & Fitzgerald to take the case to mediation in February. The firm is based in Washington, DC, but has an office in Las Vegas.

Dennis Gallagher, NDOT’s chief legal counsel with the attorney general’s office, said the legal fees also cover the experts hired to defend the state. He said the case is extremely complex and that Ames has not backed down from its $40 million claim.

“The state vigorously disputes this claim; has been defending it in court since 2008; we finally got it to a point where it will go to mediation the end of February and this latest amendment is to bring the fees current through the mediation, Gallagher said.

-

Audio clips:

Gov. Brian Sandoval says he has not seen such high legal fees before:

010912Sandoval :27 be after that.”

Board member Tom Fransway asks if there is a way to negotiate lower fees in future cases:

010912Fransway :26 is more responsible.”

NDOT legal counsel Dennis Gallagher says the fees include expert witnesses:

010912Gallagher :22 through the mediation.”

 

Top Stories

... or see all stories

Hello fellow anglers. We have a few things coming up soon. As we all know, the California opening day fishing season will start on April 27. The lakes in Mono and Inyo counties will open for the year.

The Carson City Sheriff’s Office has been made aware of an ongoing telephone scam. In this scam, the original callers are claiming to be a family member who was involved in an accident.

MINDEN — Douglas County is excited to announce that Brook Adie has accepted the position of Community Services Director. Adie served as the Assistant Community Services Director from 2021-2023, and has held the role of Interim Community Services Director since July 2023.

A suspect sought by the Carson City Sheriff's Office for a battery that happened earlier this month at a local bar is in California law enforcement custody.

Carson Montessori students watch the egg drop competition

All students at Carson Montessori gathered this week around the scissor lift eagerly anticipating the start of the Engineering EGGstravaganza. Each grade created eight carefully engineered contraptions to house and protect their prized egg for the school-wide egg drop.

On April 9, Sierra Nevada Forums, in partnership with the American Association of University Women and the League of Women Voters of Northern Nevada, will host “The truth about Carson City road funding: straight from the horse’s mouth.”

In July 2021, a dry lightning storm caused a number of fires throughout Carson City, the largest being the Prison Hill fire, burning roughly 175 acres in a matter of hours, and came dangerously close to homes.

Recently, a terrible incident in Eastern California left one man dead and another injured following a mountain lion attack. This has led to concern throughout mountain lion country on whether or not its safe to recreate. While mountain lion attacks are few and far between, there are a number of ways to stay safe and aware.

The Active 20-30 Club of Carson City No. 140 will host a Battle of the Bands competition on Saturday, April 20 at Fuji Park in Carson City.

Nevada Humane Society, Carson City Pet of the Week is Laffy Taffy, who is as sweet as candy and will keep you “Laffying” with his goofy antics.

GreenUP!, an environmental education non-profit working with local businesses, asks the community to support sustainable dining by bringing their appetites to Carson City Green Dining Restaurants while the banner flies now through Sunday, March 31.

Mark Twain Days Festival is back this year, May 10-12, with some big changes. Visit Carson City approached the Brewery Arts Center and asked them to partner for the planning of the second year of the festival, which is held in honor of Mark Twain, our region’s most famous writer.

These two photos by Nancy Sawyer, taken early Tuesday night over the Carson City sky, shows a magnificent array of rolling waves, like they were taken from pallette to canvas.

Spotted three birds, possibly turkey vultures or golden eagles, behind Buzzy's Ranch Road in Carson City early Wednesday. This is possibly part of a spring mating ritual. Bring your small pets inside.

Celebrating its Spring Fling Bunco fundraiser, Soroptimist International of Carson City will begin with a stuffed baked potato bar including bacon, butter, sour cream, broccoli and a side salad at 5:30pm. A no-host bar will be available. At 6:30pm the fun begins including prizes for top Bunco achievers.

United Federal Credit Union is expanding its footprint in Nevada. United opened a new branch in Minden on Monday, March 18, 2024. United has been operating in Nevada since 2009. The Minden branch is United’s ninth location in the state.

Looking for a place to take your little ones this week? Look no further! Here is a list of family-friendly (and fun!) activities and events happening this week around the capital city.

The Hangar Tavern is Carson City’s newest bar that offers casino gaming machines, which opened up shop about two months ago off Airport Road.

The airplane-themed business is split sectioned, with the tavern taking up space on one side, which includes several seating options and multiple flat screen televisions for watching sports, while gaming takes up the other half.

The Nevada Department of Employment, Training and Rehabilitation is granting local workforce boards $5 million to address barriers to employment.

The Carson City Symphony, conducted by Music Director David Bugli and Assistant Conductor Brian Fox, presents a concert, "We Got Rhythm," on Sunday, April 28, at 4 p.m. at the Carson City Community Center, 851 E William Street in Carson City.

Carson Middle School English Teacher Rhonda Holloway, Seeliger Elementary Fourth Grade Teacher Toni Nielson and Mark Twain Fourth Grade Teachers Kylie Jensen and Alyson Haas were recent recipients of the “Apple Award” from the Delta Kappa Gamma NU Chapter in the total amount of $500. There were more than 14 total applicants. Delta Kappa Gamma is an educational organization of teachers who support other teachers.

The Carson City Sheriff’s Office is investigating a battery which occurred at a Carson City bar on March 17, 2024. The Carson City Sheriff’s Office has obtained surveillance footage of the incident and is attempting to identify the suspect in the pictures above.

On Tuesday, March 26, at approximately 7 a.m., the Douglas County Sheriff’s Office and East Fork Fire responded to the 900 block of Arrowhead Drive in the Gardnerville Ranchos for a report of an unconscious individual lying on the side of the road.

Another early spring storm system will move into the Carson City area and surrounding counties Wednesday bringing gusty winds, valley rain and mountain snow to the region, according to the National Weather Service.

A saturation event was organized last week by the Lyon County Sheriff's Office, Office of Traffic Safety, and Sheriff's Traffic Enforcement Team to improve traffic safety in the Mound House area.

Women's Drum Circles for all levels, or no experience, of drumming continue this Saturday, March 30, beginning at 10 a.m. at Dark Willow Emporium in Carson City. With fun, creativity and supportive community, the HealthRhythms protocol offers evidence-based improvement in well-being and empowerment.

According to Redfin, home prices in Nevada were up 9.7 percent year-over-year in February 2024. At the same time, the number of homes for sale in the state fell by 20.8 percent. While home prices are on the rise, the supply of homes for sale is not meeting demand, creating what is considered a “tight” housing market across the Silver State.

Each year, the Chamber’s Leadership Institute class embraces a class project to enhance the quality of life within our community. Some of the projects have supported the needs of our charitable nonprofits while others have benefitted the citizens-at-large through public enhancements within the cemetery, on public trails, senior center, library, children’s museum and more.

Shovels turned Monday in Carson City at a ceremony to launch the beginning of construction for a new $18.4 million fire station and emergency operations center.

Inde the Belgian Malinois dock diving dog of Carson City is ready to make a big splash again, this time in a national favorite pet competition.