Clerical error clouds Lynn Haven award of $275,000 flat-fee legal services; commission approves Dunlap & Shipman 4–1

The commission selected Dunlap & Shipman for municipal legal services under a $275,000 flat‑rate annual contract after protracted debate about an apparent clerical error in the firm’s a‑la‑carte pricing.

Staff presented two contracting approaches: a monthly-retainer plus hourly a‑la‑carte option and an all‑in flat fee. Dunlap & Shipman’s proposal included both options; firm representatives acknowledged a typo in the retainer line where a trailing zero had been omitted, producing an implausibly low monthly figure. Commissioner Ward argued that the procurement rules treat such errors strictly and moved to require the firm to honor the original low monthly number; that motion received no second and died.

Courtney Sonaga, a Dunlap & Shipman attorney who spoke at the meeting, said the flat $275,000 rate includes labor law and most specialties the city will need and that the corrected monthly‑retainer number reflected the firm’s expected pricing. Commissioners discussed procurement policy, potential protest risk and whether the RFP rules allowed correction of the clerical mistake. Several commissioners favored the flat‑fee option because it offered predictable annual cost savings compared with the city’s prior year legal spending.

The commission voted 4–1 to approve the flat‑fee contract with Dunlap & Shipman and authorized staff to begin transition work with the outgoing counsel. The firm told the commission it would defend the city in any protest related to the clerical error if the firm is hired.

Next steps: staff will execute transition tasks with Dunlap & Shipman, finalize contract documents and monitor any vendor protest period.