Report to Carson Reclamation Authority
Tuesday, June 18, 2024
Consent
SUBJECT:
Title
CONSIDER A CONFLICT WAIVER FOR GREENBERG TRAURIG TO REPRESENT ANGELO GORDON & CO. IN TRANSACTION INVOLVING DUE DILIGENCE OF THE CARSON CAL COMPACT LANDFILL PROJECT FOR THE REDEVELOPMENT OF CELLS 3, 4 AND 5.
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I. SUMMARY
The CRA has used the law firm of Greenberg Traurig ("GT") since 2016 for environmental and risk management expertise because they are a national leader in the field and the project is highly complex.
GT also has a long list of regular clients who engage them in similar types of brownfield or contaminated land projects. One of their clients has asked that they assist with due diligence for an investment in the Carson Goose Owner, LLC project. When a firm represents more than one client in a transaction, they need to receive conflict waivers from all parties and undertake practices to keep the interests separate.
While this involves a transaction the CRA is involved in as we are the seller of the parcel, the diligence is against Faring and Faring's development manager Hines (another GT client) as the developers on the site and not the CRA itself. Hines and the new investor have executed conflict waivers. The CRA previously approved a waiver when Hines joined the project. As such, this waiver is not a classic conflict of interest between the CRA (GT's current client on the site) and the new investor, but as a public agency it was the recommendation of the Authority Counsel to submit it for approval in an open meeting.
II. RECOMMENDATION
Recommendation
1. APPROVE the Conflict Waiver letter with Greenberg Traurig; and
2. AUTHORIZE the Executive Director to sign the letter.
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III. ALTERNATIVES
TAKE another action the Board deems appropriate.
IV. BACKGROUND
GT has in the past represented and currently represents Angelo, Gordon & Co. ("AG") in connection with environmental projects unrelated to the Cal-Compact Landfill (the "Project"). GT...
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