Loading...
HomeMy WebLinkAbout09418 ORD - 07/02/1969TEXAS: .1N ORDINANCE ACCEPTING THE BID OF THE CORPUS CHRISTI STATE NATIONAL BANK AND THE BID OF THE GUARANTY NATIONAL BANK AND TRUST AS CITY DEPOSITORIES FOR THE ENSUING TERM; ACCEPTING AND APPROVING THE PLEDGE OF SECURITIES BY SAID DEPOSITORIES IN LIEU OF BOND AS SUCH DEPOSITORIES; PROVIDING FOR THE DEPOSIT OF SUCH SECURITIES WITH THE FROST NATIONAL BANK AT SAN ANTONIO, TEXAS, AND SUCH OTHER SECURITY HOLDER AS TRUSTEE FOR SAFEKEEPING; AND DECLARING AN EMERGENCY. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, SECTION 1. THAT THE APPLICATION OF THE CORPUS CHRISTI STATE NATIONAL BANK, A BANKING CORPORATION HAVING ITS OFFICE AND PLACE OF BUSINESS IN THE CITY OF CORPUS CHRISTI, NUEC£S COUNTY, TEXAS, BEARING DATE OF JUNE 4, 1969, A COPY OF WHICH IS ATTACHED HERETO AND MADE A PART HEREOF AND DESIGNATED AS EXHIBIT "A ", BE AND THE SAME IS HEREBY IN ALL THINGS ACCEPTED (SAID BID HAVING BEEN OPENED AND EXAMINED BY THE CITY COUNCIL AND THE CITY MANAGER ON THE 4TH DAY OF JUNE, 1969, TEN DAYS AFTER THE FIRST DAY OF ADVERTISEMENT FOR BIDS, AS PROVIDED BY THE CITY CHARTER), AND SAID BANK IS SELECTED AND DESIGNATED AS DEPOSITORY FOR ALL FUNDS OF THE CITY OF CORPUS CHRISTI ON DEMAND DEPOSIT AND 11/12THS OF ALL FUNDS INVESTED BY THE CITY IN CERTIFICATES OF DEPOSIT, FOR THE TERM OF TWO (2) YEARS AS PROVIDED BY THE CITY CHARTER OF THE CITY OF CORPUS CHRISTI AND BY THE LAWS OF THE STATE OF TEXAS; AND THE GUARANTY NATIONAL BANK AND TRUST BE AND THE SAME IS DESIGNATED AS DEPOSITORY FOR 1/12THS OF THE FUNDS INVESTED BY THE CITY IN CERTIFICATES OF DEPOSIT, IN ACCORDANCE WITH THEIR PROPOSAL,ATTACHED HERETO AND MARKED EXHIBIT "B "; AND THE FROST NATIONAL BANK AT SAN ANTONIO, TEXAS, IS DESIGNATED FOR THE DEPOSIT OF SECURITIES PLEDGED BY TW SAID CORPUS CHRISTI STATE NATIONAL BANK AS SECURITY FOR SUCH DEPOSITS IN LIEU OF BOND AS PROVIDED BY ARTICLE 2560 OF THE REVIS'E'D CIVIL STATUTES OF THE STATE OF TEXAS, AS AMENDED BY THE ACTS OF 1943, 48TH LEGISLATURE, PAGE 67, CHAPTER 57, PARAGRAPH 1; AND THE GUARANTY NATIONAL BANK AND TRUST SHALL DEPOSIT SECURITIES REQUIRED BY SAID LAW AS- SECURITY FOR SUCH DEPOSITS IN LIEU OF BOND IN SUCH DEPOSITORIES AS ARE APPROVED BY THE CITY DIRECTOR OF' FINANCE. 7 r • SECTION 2. THE FROST NATIONAL BANK IN SAN ANTONIO, TEXAS, AND SUCH OTHER SECURITY HOLDER, AS TRUSTEE, ARE HEREBY AUTHORIZED TO ALLOW THE RESPECTIVE CITY DEPOSITORIES TO SUBSTITUTE, FROM TIME TO TIME, FOR ALL OR PART OF THE SECURITIES HELD BY IT TO SECURE CITY FUNDS AN EQUIVALENT PAR VALUE AND OF THE FOLLOWING DESCRIBED SECURITIES WHICH ARE HEREBY APPROVED AS SECURITIES TO SECURE CITY FUNDS: UNITED STATES BONDS, CERTIFICATES OF INDEBTEDNESS OF THE UNITED STATES, TREASURY NOTES OF THE UNITED STATES, AND OTHER EVIDENCES OF INDEBTEDNESS OF THE UNITED STATES WHICH ARE GUARANTEED AS TO BOTH PRINCIPAL AND INTEREST BY THE UNITED STATES GOVERNMENT OR BONDS ISSUED UNDER THE FEDERAL FARM LOAN ACT, BONDS, PLEDGES OR OTHER EVIDENCES OF INDEBTEDNESS ISSUED BY THE BOARD OF REGENTS OF THE UNIVERSITY OF TEXAS, NOTES OR BONDS SECURED BY MORTGAGES INSURED AND DEBENTURES ISSUED BY THE FEDERAL HOUSING ADMINISTRATOR OF THE UNITED STATES GOVERNMENT, AND FURTHER TO ACCEPT FROM TIME TO TIME ANY OF THE ABOVE DESCRIBED SECURITIES AS ADDITIONAL SECURITY TO BE DEPOSITED FOR CITY FUNDS. SECTION 3. IN THE ABSENCE OF NOTICE OF DEFAULT BY THE CITY DEPOSITORY, THE RESPECTIVE TRUSTEES ARE AUTHORIZED TO DELIVER TO CORPUS CHRISTI STATE NATIONAL BANK AND GUARANTY NATIONAL BANK AND TRUST ANY INTEREST RECEIVED ON ACCOUNT OF, OR INTEREST COUPONS CLIPPED FROM THE RESPECTIVE DEPOSITED SECURITIES AS SUCH IS RECEIVED OR THE COUPONS BECOME DUE. ,1 SECTION 4. THE CITY DEPOSITORIES ARE REQUIRED TO MAINTAIN A TOTAL PAR VALUE OF SECURITIES EQUAL TO OR IN EXCESS OF THE CITY FUNDS ON DEPOSIT WITH THEM RESPECTIVELY. THE TRUSTEES ARE AUTHORIZED TO ACCEPT THE CERTIFICATE OF EITHER OF THE CITY DEPOSITORIES, APPROVED BY THE DIRECTOR OF FINANCE OF THE CITY OF CORPUS CHRISTI, TEXAS, THAT DUE TO CHANGE IN AMOUNT OF CITY FUNDS ON DEPOSIT, A SPECIFIED AMOUNT OF THE SECURITIES MAY BE LAWFULLY RELEASED FROM THE DEPOSIT WITH THE TRUSTEE, AND TO RELEASE TO THE DEPOSITORY SECURITIES SELECTED BY IT IN THE AMOUNT SO CERTIFIED. SECTION 5. THE FACT THAT THERE IS AN IMPERATIVE NEED FOR SECURITIES TO BE ON DEPOSIT AT ALL TIMES REGARDLESS OF THE DESIGNATION AS REQUIRED BY LAW OF CERTAIN DEPOSITORIES AT CERTAIN INTERVALS AND AN IMPERATIVE NEED TO HAVE SECURITY AS PROVIDED BY LAW FOR CITY FUNDS, M41 CREATES A PUBLIC NECESSITY REQUIRING THE SUSPENSION OF THE CHARTER RULE THAT NO ORDINANCE OR RESOLUTION SHALL BE PASSED FINALLY ON THE DATE OF ITS INTRODUCTION AND THAT SUCH ORDINANCE OR RESOLUTION SHALL BE READ AT THREE SEVERAL MEETINGS OF THE CITY COUNCIL, AND THE MAYOR HAVING DECLARED THAT SUCH EMERGENCY AND NECESSITY EXIST, AND HAVING REQUESTED THE SUSPENSION OF SAID CHARTER RULE AND THAT THIS ORDINANCE BE PASSED FINALLY ON THE DATE OF ITS INTRODUCTION AND TAKE EFFECT AND BE IN FULL FORCE AND EFFECT FROM AND AFTER fTS PASSAGE, IT IS ACCORDINGLY SO ORDAINED, THIS THEpAY OF JULY, 1969. ATTEST: MAYOR o� CITY SECRE ARr THE CITY F �ISTI, TEXAS APPROVED: yl DAY OF JULY, 1969: �' A SISTAN CITY TORNEY GUARANTY NATIONAL BANK AND TRUST LEOPARD AT CARANCAHUA POST OFFICE DRAWER 740 CORPUS CHRISTI I-- �6a03 CODE 512 TULIP 3 -3621 A. K. ADAMS PRESIDENT June 25, 1969 Mayor and City Council City of Corpus Christi City Ball Corpus Christi, Texas Gentlemen: The undersigned, each of whom are bidders on the City Depository Contract, will be satisfied if the Depository Contract is awarded to Corpus Christi State National Bank except that there shall be awarded to Guaranty National Bank and Trust of Corpus Christi 1/12 of the funds which are carried on Time Deposit from time to time. Yours very truly, CORPUS CHRISTI STATE NATIONAL BANK GUARANTY NATIONAL BANK AND TRUST OF CORPUS CHRISTI By 0.9 V, 6-1' r � ;'�I^"'r' GU1 -.11UT i �sr � ivy Mr. R. Marvin Townsend City Manager City of Corpus Christi City Hall Corpus Christi, Texas Dear Mr. Townsend: June 11, 1969 LEOPARD AT CARANCAHUA POST OFFICE DRAWER 749 CORPUS CHRISTI. TEXAS 78403 CODE 312 . TULIP 3.3821 We have received notice that the Director of Finance has made recommendation to you in respect to the bank to be selected as City Depository for the two year period, May 5, 1969 to May 10, 1971. The conclusion therein was that Corpus Christi State National Bank had the best bid because they proposed to make loans without limit with no interest to the City, whereas we propose a loan of our legal maximum, being $100,000.00. 'The recommendation also pointed out that the City had not borrowed money for fifteen years or more. We acknowledge the fact that the lending proposal will in all proba- bility be of no consequence to the City because there is no expected need for current operating expense loans. However, if this must be considered, then our position is that the Corpus Christi State National Bank bid in which they propose loans of unlimited amount is a proposal that is im- possible to accomplish. No bank, regardless of size, can fulfill a promise to loan an "unlimited" amount since the money supply itself has some limit. We, therefore, maintain that a bid which includes a proposal which is impossible of accomplishment must be considered invalid and that the bid should be awarded to us as the low valid bidder. Yours very truly, Edmond J. Ford, Jr. Chairman of the Board AKA:bmc - cc. City Attorney's Office A. K. Adams President OFFICIAL BID `G'OR14' PPDFOSAL FOR CITY DEEOSIPORY The City of Corpus Christi Corpus Christi, Texas June 4, 1969 Gentlemen: + Subject to the terms of the Proposal for City Depository, the undersigned, a banking con -poration, association or individual banker doing business within the City of Corpus Christi, Texas, submits the following bid for the privilege of acting as City Depository for the City of Corpus Christi, Texas in accordance with the laws of Texas, Charter and Ordinances of the City of Corpus Christi, Texas. Proposed Interest Rates 1. Single Maturity Time Deposits in accordance with Regulation Q, Section 217.6, Paragraph A Supplement effective April 193 1968. A. Deposits of $100,000 or more: Maturity Interest Rate 30 -59 days 5'k Basis for compounding interest: 60 -89 days 5 314 % 90 -179 days _ o Continuously 180 days or more 6'k B. Deposits of less than $100,000: 30 -59 days 5 % Basis for compounding interest: 60 -89 days 5 90 -179 days 5 Continuously 180 days or more 5 2. Multiple Maturity Time Deposits in accordance with Regulation Q, Section 217.6, Paragraph B Supplement effective April 193 1968. . Maturity Interest Rate Basis for compounding interest: 30=59 days 4 60 -89 days 4 Continuously - 90 -179 days �- 180 days or more " 3 Paying Agency Fees Paying agency fees to be charged for paying matured City bonds and /or interest coupons: Matured Bonds: $1,000 denomination bonds $ No Charge each bond $5,000 denomination bonds $ No Charge each bond Matured Coupons: 1,000 denomination bonds $ No Charge each coupon 5,000 denomination bonds y$ No Charge each coupon Interest on Bank Loans Loans will be made to the City at the rate of NO % per annum not to exceed a maximum total loans of $ No Limit Escalation of Interest Rates on Time Deposits If selected as City Depository, the undersigned agrees to increase the interest rates proposed hereinabova to be paid the City for time deposits if maximum interest rates authorized by the Board of Governors of the Federal Reserve System are increased. The increased interest rate will be in the same proportion as the proposed hereinabove interest rates bear to the maximum interest rates authorized by the Board of Governors of the Federal Reserve System on June 4, 1969. YES X NO Dated this 4th day of June , 1969 1 �t3t�ati Q: al�ank_ By Title -: esident CITY OF CORPUS CHRISTI, TEXAS TABULATION OF DEPOSITORY BANK BIDS BIDS OPENED AT REGULAR COUNCIL MEETING JUNE 4, 1969 Corpus Christi Guaranty The State National Bank National Citizen's Mercantile Present New' Bank & State National Contract Bid Trust Bank Bank Interest on Time Deposits 100,000 or more: 30 -59 days 5.50% 5.50% 5.50% 5.50% 5.50% 6o -89 days 5.75% 5.75% 5.75% 5.75% 5.75% 90 -179 days 6.00% 6.00% 6.00% 6.00% 6.00% 180 days or more 6.25% 6.25% 6.25% 6.25% 6.25% Compounding Daily Continuous Continuous Continuous Daily Less than $100,000: 30 -59 days 5.00% 5.00% 5.00% 5.0070 4.00% 6o-89 days 90 -179 days 5.00% 5.00% 5.00% 5.00% 4.00% 5.00% 5.00% 5.�% 5.00°/ 5.00% 180 days or more 5.00% 5.00% 5•a 5.�% 5.00% Compounding Daily Continuous Continuous Continuous Daily Yx tiple Maturity: 30 -59 days (Not 4.00% 4.00% 4.0 4.0 60 -89 days included 4.00% 4.00% 4.00% 4.00% 90 -179 days in 5.00% 5.00% 5.00% 5.00% 180 days or more contract) 5.00% 5.00% 5.00% 5.00% Compounding Continuous Continuous Continuous Daily Paying Agency Fees: Matured Bonds- 1 000 denomination $1.00 ea. None None $1.00 ea. 1.00 ea. 5,000 denomination $2.00 ea. None None $2.00 ea. 1.00 ea. Matured Coupons: 1,000 denomination .25%/value None None $0.25 ea. 5¢ ea. $5,000 denomination .25 %value None None $0.25 ea. 5¢ ea. Interest on Bank Loans Maximum total loan $400,000 No limit $100,000 $625,000 $500,000 Interest per annum None None None None 6% Escalation of Interest Rates On Time Deposits as In- Creased by Federal Reserve No Yes Yes Yes Yes j - OFFICIAL BID FORM.. ' PROPOSAL FOR CITY DEPOSITORY The City of Corpus Christi , Corpus Christi, Texas June 4, 1969 Gentlemen: Subject to the terms of the Proposal for City Depository, the undersigned, a banking corporation, association or individual banker doing business within the City of Corpus Christi, Texas, submits the following bid for the privilege of acting as City Depository for the City of Corpus Christi, Texas in accordance with the laws of Texas, Charter and Ordinances of the City of Corpus Christi,, Texas It Proposed Interest Rates 1. Single Maturity Time Deposits in accordance with•Regulation Q,'Section 217.6, Paragraph A Supplement.effective Apri1.19, 1968, A• Deposits of $100.000 or mnrP• Basis for compounding interest: Continuously B. Deposits of less than $100,000: Basis for compounding interest: Maturity 30 -59 days Interest Rate 3-1/2 60 -89 days 90 -179 days _ 5 -3/4 _ .180 days or more - 30 -59 days 60 -89 days _ s 90-179 days 5 _% 5 180 days or more' . . -- Continuously 2. Multiple Maturity Time Deposits in accordance with B Regulation Q, Section 217,6, Paragraph Supplement effective April 19, 1968. Basis for compounding interest: Continuously Maturity Interest Rate 30 -59 days 6o -89 days 4 90 -179 days 5 ' 180 days or more 5 Paying Agency Fees Paying agency fees to be charged for paying matured City bonds and�or interest coupons: Matured Bonds: $1,000 denomination bonds $ 0: - each bond $5,000 denomination bonds $�0 _ _ each bond Matured Coupons: 1,000 denomination bonds - 0 - each coupon 15,000 denomination bonds �0 __ each coupon j Interest on Bank Loans Loans will be made to the City at the rate of a maximum total loans of - 0 - per annum not to exceed 100.000.00 - presently. Escalation of Interest Rates on Time Deposits If selected as City Depository, the undersigned agrees to increase the interest rates • Proposed hereinabove to be paid the City for time deposits if maximum interest rates . authorized by the Board of Governors of the Federal Reserve System are increased. The increased interest rate will be in the same proportion as the proposed hereinabove interest rates bear to the maximum interest rates authorized by the Board of Governors of the Federal Reserve System on June 4, 1969. YES X NO j Dated this 4th day of June s 1969 GUARANTY NATIONAL BANK AND TRUST - - CjjORPU CHRISTI By A.K. ADAMS Title RRESTDENT OFFICIAL -BID ARM • PROPOSAL FOR CITY DEPOS -TORY The City of Corpus Christi Corpus Christi, Texas J�.ae 4 . , 199 Gentlemen: Subject to the terms of the Proposal for City Depository, the undersigned, a banking corporation, association or individual banker doing business within the City of Corpus Chr °_sti, Texas, submits the following bid for the privilege of acting as City Depository for the City of Corpus Christi, Texas in accordance with the laws of Texas, Charter and Ordinances of the City of Corpus Christi, Texas. Proposed Interest Fates 1. Single Maturity Time Deposits in accordance with Regulation Q. Section 217.6, Paragraph A Supplement effective April 19, 1968. A. Deposits of $100,000 or more: Maturity Interest Rate Basis for compounding interest: 30 -59 days - 5' 60 -89 days 5 3/4 % 90 -179 days g Continuously 180 days or more 6 B. Deposits of less than $100,000: 30 -59 days 5 % Basis for compounding interest: 60-89 days 5 % 90 -179 days 5 Continuously 180 days or more 5 2. Multiple Maturity Time Deposits in accordance with Regulation Q. Section 217.0', Paragraph B Supplement effective April 19, 1968. Maturity Interest Rate Basis for compounding interest: 30 -59 days 4 60 -89 days 4 �h Continuously 90 -179 days 5 180 days or more 5 Paying Agency Fees Paying agency fees to be charged for paying matured City bonds and /or interest coupons: Matured Bonds: $1,000 denomination bonds 1.00 $5,000 denomination bonds 2.00 each each bond bond Matured Coupons: 1,000 V5,000 denomination bonds $ each denomination bonds .25 ,25 each coupon coupon Interest on Bank Loans Loans will be made to the City at the rate o£ 0 per annum not to exceed a maximum total loans of $ 625,o00 Escalation of Interest, Rates on Time Deposits If selected as City Depository, the undersigned agrees to increase the interest rates proposed hereinabove to be paid the City for time deposits if maximum interest rates authorized by the Board of Governors of the Federal Reserve System are increased. The increased interest rate will be in the same proportion as the proposed hereinabove interest rates bear to the maximum interest rates authorized by the Board of Governors of the Federal Reserve System on June 4, 1969. YES K NO Dated this 4th day of ,Tune , 1969 CITIZENS STATE BANK OF CORPUS CHRISTI - By f. _ Title OFFICIAL BID FOR`4 PEDEOSAL FOR CITY DEPOSITORY The City of Corpus Christi Corpus Christi, Texas June 4, 1969 Gentlemen: Subject to the terms of the Proposal for City Depository, the undersigned, a banking corporation, association or individual banker doing business within the City of Corpus Chrizti, Texas, submits the followino, bid for the privilege of acting as City Depository for the City of Corpus Christi, Texas in accordance with the laws of Texas, Chat -ter and Ordinances of the City of Corpus Christi, Texas. Proposed Interest Rates I. Single Maturity Time Deposits in accordance with Regulation Q. Section 217.6, Paragraph A Supplement effective April 19, 1968. A. Deposits of $100,000 or more: Maturity Interest Rate Basis for compounding interest: 30 -59 days 5-1 /2 % 60 -89 days _ 5 -3/4 % Daily 90 -179 days 6 180 days or more _ 6 -114 — B. Deposits of less than $100,000: 30 -59 days % - 4 y Basis for compounding interest: 60 -89 days 4 90 -179 days 5 180 days or more 5 Daily _ 2. Multiple Maturity Time Deposits in accordance with Regulation Q, Section 21 -7.6, Paragraph B Supplement effective April 19, 1968. Maturity Interest Rate Basis for compounding interest: 30 -59 days 4 Daily 60 -89 days 4 % 90 -179 days 5 180 days or more 5 paying Agency Fees Paying agency fees to be charged for paying matured City bonds and /or interest coupons: Matured Bonds: $1,000 denomination bonds 1.00 each bond $5,000 denomination bonds $ 1.00 each bond Matured Coupons: 1,000 denomination bonds 5t each coupon $5,000 denomination bonds - 5� each coupon Interest on Bank Loans Loans will be made to the City at the rate of 6 per annum not to exceed a maximum total loans of $ 500,000.00 Escalation of Interest Rates on Time Deposits If selected as City Depository, the undersigned agrees to increase the interest rates proposed hereinabove to be paid the City for time deposits if maximum interest rates authorized by the Board of Governors of the Federal Reserve System are increased. 'rue Increased interest rate will be in the same proportion as the proposed hereinabove interest rates bear to the maximum interest rates authorized by the Board of Governors Of the Federal Reserve System on June 4, 1969, YES X NO Dated this 4th day of June -� 1969 The Mercantile National Bank By �I W. Jo _ - -- Title Preside t Corpus Christi, Texas c�`�-day of TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas For the reasons set forth in the emergency clause of the foregoing ordinance, a public emergency and imperative necessity exist for the suspen- sion of the Charter rule or requirement that no ordinance or resolution shall be passed finally on the date it is introduced, and that such ordinance or resolution shall be read at three meetings of the City Council; I, therefore, request that you suspend said Charter rule or requirement and pass this ordi- nance finally on the date it is introduced, or at the present meeting of the City Council. Respectfully, MAYOR Ya THE CI OF C ORP CHRISTI, TEXAS The Charter rule was suspended by the following v te. Jack R. Blackmon__ Gabe Lozano, Sr. V. A. "Dic12'Bradley, Jr. Eduardo E. de Ases Ken McDaniel -� W. J. "Wrangler" Roberts Ronnie Sizemore The above ordinance was passed by the following vote: Jack R. Blackmon Gabe Lozano, Sr. V. A. "Dick" Bradley, Jr. �p / Eduardo E. de Ases Ken McDaniel W. J. !'Wrangler" Roberts Ronnie Sizemore Qy �yJ Y.