ML020560316

Heller Ehrman White & Mcauliffe Llp'S Cover Sheet Application for Allowance and Payment of Interim Compensation and Reimbursement of Expenses for the Period December 1, 2001 Through December 31, 2001

ML020560316
Person / Time
Site:	Diablo Canyon
Issue date:	01/30/2002
From:	Cole A Heller Ehrman White & McAuliffe, LLP, Pacific Gas & Electric Co
To:	Office of Nuclear Reactor Regulation, US Federal Judiciary, Bankruptcy Court, Northern District of California
References
01-30923 DM
Download: ML020560316 (7)

Text

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1 MARIE L. FIALA (No. 79676)

PETER J. BENVENUTTI (No. 60566) 2 ADAM M. COLE (No. 145344)

HELLER EHRMAN WHITE & McAULIFFE LLP 3 333 Bush Street San Francisco, California 94104-2878 4 Telephone: (415) 772-6000 Facsimile: (415) 772-6268 5

Special Counsel for Debtor in Possession 6 PACIFIC GAS AND ELECTRIC COMPANY 7

8 UNITED STATES BANKRUPTCY COURT 9 NORTHERN DISTRICT OF CALIFORNIA 101 XT flhJAG1T~Tm W'~T-.

11 In re 41b:*EU VU.o0 .- J *- .,'

• 12 PACIFIC GAS AND ELECTRIC Chapter 11 Case 13 COMPANY, a California corporation, 14 Debtor.

[No Hearing Scheduled]

15 Federal I.D. No. 94-0742640 16 SHEET 17 HELLER EHRMAN WHITE & McAULIFFE LLP'S COVER OF INTERIM APPLICATION FOR ALLOWANCE AND PAYMENT 18 COMPENSATION AND REIMBURSEMENT OF EXPENSES FOR THE PERIOD DECE*BER 1, 2001, THROUGH DECEMBER31, 2001 19" submits its 20 Heller Ehrman White & McAuliffe LLP (the "Firm" or "Heller Ehrman")

of Interim 21 Cover Sheet Application (the "Application") for Allowance and Payment 1, 2001, through 22 Compensation and Reimbursement of Expenses for the Period December the Firm 23 December 30, 2001 (the "Application Period"). In support of the Application, 24 respectfully represents as follows:

debtor and 25 1. The Firm is Special Counsel to Pacific Gas and Electric Company, "Debtor"). The Firm 26 debtor-in-possession in the above-referenced bankruptcy case (the for services 27 hereby applies to the Court for allowance and payment of interim compensation Period.

28 rendered and reimbursement of expenses incurred during the Application Heller Ehrman White & HELLER EHIMAN'S COVER SHEET APPLICATION FOR PERIOD McAuliffe LLP DEC. 1,2001, THROUGH DEC. 31, 2001 CASE NO.: 01 -30923 DM 4~

1 2. The Firm billed a total of $446,804.33 in fees' and expenses during the Application 2 Application Period. The total fees represent 1,543 hours0.00628 days <br />0.151 hours <br />8.978175e-4 weeks <br />2.066115e-4 months <br /> expended during the 3 1 Period. These fees and expenses break down as follows:

I - 1 ota' Period Fees Expenses I otall 4 Period" -

$35,601.63 S44U4.i.i S446,8504.33" 5 12/1/01 - 12/31/01 $411,202.702 I 6 3. Accordingly, the Firm seeks allowance of interim compensation in the total (85%

7 amount of $385,123.93 at this time. This total is comprised as follows: $349,522.30 of the fees incurred during the Application Period) plus $35,601.63 (100% of the expenses 4

8 9 incurred).

5 10 4. For the post-petition period, the Firm has been paid to date as follows:

11 for Pursuant to the Court's December 12, 2001, Memorandum Decision Regarding Applications 12 herein have been Interim Compensation of Professionals ("December 12, 2001 Order"), the fees requested reduced to reflect reduced billing rates for certain paralegal activities as follows:

13 12, 14 (a) Time spent on file management tasks has been reduced to $40 per hour. See December 200i Order at pp. 5-6.

15 to $40 per (b) Time billed by paralegals Nneka Nwosu and M. Brett Stone has been reduced 16 hour. See id. at pp. 15-16.

California energy 17 (c) Time spent in reviewing and routing articles regarding PG&E and the crisis has been reduced to $0 per hour. See id. at pp. 14-15.

18 that In its Second Interim Fee Application filed on January 14, 2002, Heller Ehrman has requested 19 services in the above three categories to be the Court amend its December 12, 2001 Order to permit 2001, the additional compensated at the Firm's full paralegal rates. See Application ¶ 78. For December 20 rates for services in the above three categories compensation owed to Heller Ehrman based on full paralegal would be $7,343.50.

21 2 $418,546.20 if full paralegal rates on all services are allowed.

22 3 $454,147.83 if full paralegal rates on all services are allowed.

23 4 Payment of this amount would result in a "holdback" of $61,680.41, equal to 15% of the Firm's 24 fees for services rendered during the Application Period.

25 5 On December 19, 2000, PG&E paid a retainer to Heller Ehrman in the amount of $350,000.

is not to apply to 26 Pursuant to wnitten agreement between the parties dated December 19, 2000, the retainer Ehrman's unpaid fees and expenses in current billings in the ordinary course, but instead is to apply to Heller agreement dated April 5, 27 the event that PG&E fails to make payment in the ordinary course. By written to payment of 2001, the parties modified that arrangement to authorize Heller Ehrman to apply the retainer arrangement. The Heller 28 unpaid pre-petition fees and expenses on matters that are subject to an hourly billing (Footnotecontinued)

Ehrman White & HELLER EHRMAN'S COVER SHEET APPLICATION FOR PERIOD DEC. 1,2001, THROUGH DEC. 31, 2001 McAuliffe LLP

-.2-Case No.: 01-30923 DM

Description Amount Paid 1 Application Period Amount Applied For Description Amount Paid

$2,264,794.01 100% of fees and $2,246,327.81 2 4/6/01 - 7/31/01 (first 100% of expenses post-petition interim 3 fee application period) .1 ________________________ .1. S 507,687.35

$ 507,687.35 85% of fees and $ 507,687.35 4 8/1/01 - 8/31/01 (Aug. 100% of expenses CSA period) I

$ 398,784.91 S 398,814.51F 5 9/1/01 - 9/30/01 (Sept. 85% of fees and 100% of expenses CSA period) 6 .1________________________________________ 4 r $ 542,494.90' 10/1/01 - 10/31/01 $ 527,472.52 85% of fees and 100% of expenses 7 (Oct. CSA period) 11/1/01 - 11/30/01

-~ -I-- .

85% of fees and S 514,185.92

$ 514,542.89' 8 (Nov. CSA period) 100% of expenses

$4,213,281.6810 - I -

9 Total 1 $4,213,2816 10 S4,209l,5 1U.49*

Total 10 Debtor to Employ foregoing arrangement was approved by this Court in its June 4, 2001, Order Authorizing 11 Application to Employ Heller Ehrman Heller Ehrman as Special Counsel (Apr. 17, 2001); see also PG&E's of Application ¶9 Fiala in Support as Special Counsel ¶¶ 9-10 (Apr. 17, 2001); Declaration of Marie L.

12 Heller Ehrman has applied (Apr. 8, 2001). As of the date of submission of this Cover Sheet Application, on hourly rate 13 $153,148.07 of the retainer to a portion of its unpaid pre-petition fees and expenses engagements. Heller Ehrman continues to hold a retainer balance of $196,851.93.

14 6 Thc amnio i-t paid refilc*s a di6aIiuvvce of18 . in fees. See Order Approving He!.er and Payment of 15 Ehrman White & McAuliffe LLP's First Interim Fee Application for Allowance 6, 2001, Through July 31, 2001 Compensation and Reimbursement of Expenses for the Period April 16 (Nov. 21, 2001); December 12, 2001 Order at pp. 16-17.

7 The September Cover Sheet Application inadvertently understated the request for compensation by 17

$29.60, which PG&E paid.

18 8 In its October Cover Sheet Application, the Firn inadvertently did not include a-request for

v. PG&E), although the 19 payment of fees and expenses incurred in Matter No. 13779-0083 (Wayne Roberts Matter No. 13779-0083, the bill for that matter was attached to the October Cover Sheet Application. For 20 Accordingly, the Firm's fees were $17,359.80 and the expenses were $266.52, for a total of $17,626.32.

an additional $15,023.35 21 October Cover Sheet Application should have included a request for payment of (85% of $17,359.80 + 100% of $266.52). PG&E has paid that additional amount.

22 9 After Heller Ehrman filed its November Cover Sheet Application, Heller Ehrman agreed with The revised November 2001 23 PG&E to reduce its November fees for Matter No. 13779-0077 by $420.

which is the amount paid by amount applied for therefore is $514,542.89 - (85% x $420) = $514,185.92, 24 PG&E.

10 On January 14, 2002, Heller Ehrman filed and served its Second Interim Fee Application 25 August 1, requesting compensation for 100% of its fees and 100% of its expenses incurred during the period therein equals the sum of: (i) the 26 2001, to November 30, 2001. The amount of fees and expenses requested to November 30, amounts applied for in each of the Cover Sheet Applications for the period August 1, 2001, amounts for those 27 2001, as reflected in the "Amount Applied For" column above; (ii) the 15% holdback categories of paralegal months, as reflected in the table in paragraph 5 below; and (iii) reductions for certain Fee Application. The total Heller 28 time (described in footnote 1 above) and for other matters as explained in the (Footnotecontinued)

Ehrman White & HELLER EHRMAN'S COVER SHEET APPLICATION FOR PERIOD DEC. 1, 2001, THROUGH DEC. 31, 2001 McAuliffe LLP -3 -

Case No.: 01-30923 DM

to 1 5. To date, the Firm is owed as follows (excluding amounts owed pursuant 2 this Application):

3 Application Period Amount Description First post-petition interim $ 0 4

fee application period 5 (4/6/01-7/31/01)

August cover sheet $ 83,901.32 15% fee holdback 6 application period (8/l/01-8/31/01) 7 September cover sheet 66,927.54 15% fee holdback 8 application period (9/1/01-9/30/01) 9 15% fee holdback October cover sheet $ 90,229.08 10 application period (10/1/031-10/31101) 11 $ 86,185.58 15% fee holdback November cover sheet 12 application period 1111 1 t'l~~ 11 "1*11 13 Subtotal $ 318,239.37 14 Less ($ 64,935.19) Reductions in paralegal rates and other matters, as specified in 1-eller Fhnrnan's 15 Second Interim Fee Application Total Owed to Firm to Date $ 262,308.33 16 the 17 6. With regard to the copies of this Application served on counsel for States Trustee, attached as 18 Committee, counsel for the Debtor and the Office of the United in connection with 19 Exhibit 1 hereto is the name of each professional who performed services rate for each such 20 this case during the period covered by this Application and the hourly expense statements for 21 professional; and (b) attached as Exhibit 2 are the detailed time and California Bankruptcy 22 the Application Period that comply with all Northern District of the Office of the United 23 Local Rules and Compensation Guidelines and the Guidelines of 24 States Trustee.

on the 25 7. The Firm has served a copy of this Application (without Exhibits) 26 Special Notice List in this case.

27 August 1,2001, to November 30, amount of compensation requested in the Fee Application for the period Heller 2001, is $2,225,910.98.

Ehrman White & HELLER EHRMAN'S COVER SHEET APPLICATION FOR PERIOD DEC. 1, 2001, THROUGH DEC. 31,2001 McAuliffe LLP Case No.: 01-30923 DM

INTERIM FEE 1 8. Pursuant to this Court's "ORDER ESTABLISHING PROCEDURE" which was entered 2 APPLICATION AND EXPENSE REIMBURSEMENT to make the payment requested herein 3 on or about July 26, 2001, the Debtor is authorized an objection to this Application is 4 without a further hearing or order of this Court unless or the Unites States Trustee and served 5 filed with the Court by the Debtor, the Committee of this Application. If such an 6 by the fifteenth day of the month following the service if any, not subject to the 7 objection is filed, Debtor is authorized to pay the amounts, this Cover Sheet Application was mailed 8 objection. The Firm is informed and believes that 2002.

9 by first class mail, postage prepaid, on or about January 30, sought in this 10 9. The interim compensation and reimbursement of expenses conclusion of this case, the Firm will 11 Application is on account and is not final. Upon the for the totality of the services 12 seek fees and reimbursement of the expenses incurred of expenses approved by this 13 rendered in the case. Any interim fees or reimbursement Retainer) will be credited against 14 Court and received by the Firm (along with the Firm's by this Court.

15 such final fees and expenses as may be allowed comply with all 16 10. The Firm represents and warrants that its billing practices and Compensation Guidelines and 17 Northern District of California Bankruptcy Local Rules the Firm nor any 18 the Guidelines of the Office of the United States Trustee. Neither to divide, 19 members of the Firm has any agreement or understanding of any kind or-nature to be awarded to the Firm with any 20 pay over or share any portion of the fees or expenses and associates of the Firm.

21 other person or attorney except as among the members 22 23 24 25 26 27 Heller 28 Ehrman FOR PERIOD White & HELLER EHRMAN'S COVER SHEET APPLICATION DEC. 31, 2001 McAuliffe LLP DEC. 1, 2001, THROUGH Case No.: 01-30923 DM

1 WHEREFORE, the Firm respectfully requests that the Debtor pay compensation to the "ORDER 2 the Firm as requested herein pursuant to and in accordance with the terms of 3 ESTABLISHING INTERIM FEE APPLICATION AND EXPENSE REIMBURSEMENT 4 PROCEDURE."

5 HELLER EHRMAN WHITE & McAULIFFE LLP 6 Dated: January 30, 2002 7

By: kY=ý. L 8 Adam M. Cole 9 Special Counsel for Debtor in Possession 10 PACIFIC GAS AND ELECTRIC COMPANY 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 Heller 28 Ehrman White & HELLER EHRMAN'S COVER SHEET APPLICATION FOR PERIOD DEC. 1, 2001, THROUGH DEC. 31, 2001 McAuliffe LLP Case No.: 01-30923 DM

AM C. W-IITEHEAD 1/30 HellerEhrman A T T 0 R N E Y S Heller Ehrman White & McAuliffe LLP 333 Bush Street San Francisco, CA 94104-2878 U.S. Nuclear Regulatory Commission Attn: Document Control Desk Washington, DC 20555-0001