Council has paid €13k per week for legal services since 2019

PAYMENTS totalling almost €13,000 weekly were paid by Clare County Council to Michael Houlihan and Partners for legal services over the past three years, new figures have revealed.

Councillor P J Kelly has expressed concern about the amount of money spent securing legal advice over the last three years after tabling a motion seeking a breakdown of this expenditure.

In 2019, Michael Houlihan and Partners were paid €853,323 in total, which included €513,208 for revenue and €340,115 for capital projects.

This fell to a total of €574,392 in 2020, which broke down to €333,184 on Revenue and €241,208 capital accounts a year later.

The figure for 2021 was very similar – €577,740, which included €327,190 on Revenue and €250,549 on Capital accounts.

Councillor P J Kelly told a council meeting on Monday he was unaware that the contract with the authority’s existing legal provider was finishing at the end of the year or that a new one was about to start next year when he tabled his motion.

The Lissycasey Councillor said he has always maintained like many others in the chamber, the council should have an in-house solicitor.

If all the payments to the council’s legal provider are added up over the last three years, he outlined legal services are costing almost €13,000 on a weekly basis.

“This is an awful lot of money. A neighbouring council has an in-house solicitor costing a fraction of this money. I have nothing personal against the council’s legal advisor, John Shaw or anyone else.”

He said the council’s legal advisors had “served the county well, but at a cost”.

Commenting on the council’s reply, he said it appeared that Michael Houlihan and Partners have been interviewed for the new contract even though they don’t exist any more, according to a letter received by councillors last week that provided the name MHP Sellors LLP.

He asked if MHP have been interviewed as a unit and wondered if the council is satisfied that the new company forming part of this alliance doesn’t have any legal actions pending against the authority.

If this proved to be the case, he stressed this would present a “conflict of interest”.

He asked when would the proposed legal contract come before councillors for approval at a future meeting and if a report would be provided to them dealing with issues he had raised.

Acknowledging Councillor Kelly’s preference for an in-house solicitor, Chief executive, Pat Dowling said he had experience of both models.

Under the national Office of Government Procurement, he explained this set certain standards for legal procurement and confirmed the council has finalised a two-year contract with MHP Sellors, whose legal incorporation was ongoing at the time they were being assess by the OGP.

He said Michael Houlihan Solicitors and Sellors have merged into one company, which brings an additional capacity of 25 qualified solicitors to the team.

He said the new firm has secured a contract for the council’s general service and conveyancing. While this appointment has been formalised, there is a cooling off period.

“I am satisfied we have gone through a full transparent process for the procurement of our legal services.

“There is a change in the context of the company who has successfully competed for that, but I am confident that this service will improve the standards that are set in the period ahead.
“We haven’t done anything outside proper government public procurement,” he said.

Councillor Kelly pointed out when new legal contracts were being finalised they were always put before the council for ratification, which prompted “sharp debates”.

Mr Dowling said there is an initial two-year contract and claimed if the council had to present a contract for services and consultants every time they appointed a quantity surveyor or architect, “we could be here for a long time”.

“I am satisfied the service we will get in the future will be an improved one.”

Finance director of service, Noeleen Fitzgerald confirmed a mini-competition for supply of legal services to the council commenced via Etenders in September 2022.

The tender was published by the Office of Government Procurement to form a mini-competition amongst the eight legal service suppliers on the OGP framework that can serve the council.

Two separate lots were advertised for tender – Multi Disciplinary Services lot and Property, Estates and Conveyancing Lot.

The closing date for this competition was September 28, 2022. The procurement process was managed and overseen by the Office of Government Procurement.

The assessment of tenders has been completed and the successful and unsuccessful tenders are currently being notified.