HomeMy WebLinkAbout16277 ORD - 06/03/19815,
AN ORDINANCE
ACCEPTING THE BID OF CORPUS CHRISTI NATIONAL BANK AS
CITY DEPOSITORY BANK FOR THE ENSUING TERM 1981-83;
ACCEPTING AND APPROVING THE PLEDGE OF SECURITIES OF
SAID DEPOSITORY BANK IN LIEU OF BOND AS SUCH CITY
DEPOSITORY BANK; PROVIDING FOR THE DEPOSIT OF SUCH
SECURITIES WITH DEPOSITORIES THAT ARE APPROVED BY
THE CITY DIRECTOR OF FINANCE AND SUCH OTHER SECURITY
HOLDERS AS TRUSTEE FOR SAFEKEEPING; AND DECLARING AN
EMERGENCY.
WHEREAS, the City advertised for bids for City Depository Bank
for two (2) successive weeks and a copy of such advertisement was mailed to
each bank in the City, all in accordance with City Charter; and
WHEREAS, bids were opened on May 27, 1981, the tenth day after the
first day of such advertisement and examined by the City Courcil and City
Manager; and
WHEREAS, on June 3, 1981, at the next, re gular)meeting of the City
Council after such opening the City Council found on the basis of the bids that
it would be most advantageous to the City to select Corpus Christi National Bank
as the City Depository Bank:
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
CORPUS CHRISTI, TEXAS:
SECTION 1. That the proposal of Corpus Christi National bank,
banking corporation having its office and place of business in the City of
Corpus Christi, Nueces County, Texas, bearing the date of May 27, 1981, a copy
of which is attached hereto and made a part hereof, the same as if copied
verbatim herein, and designated as Exhibit "A", be and the same is hereby
in all things accepted, and said bank is selected and designated as City
Depository Bank for all funds of the City of Corpus Christi on demand deposit
and 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 in accordance with the aforesaid?
prroposal and depositories approved by the City Director of Finance shall be
designated for the deposit of securities pledged by the depository bank as
security for such deposits in lieu of bond as provided by Article 2560 of the
Revised Civil Statutes of the State of Texas, as amended by the Acts of 1943;
48th Legislature, Page 67, Chapter 57, Paragraph 1.
MICRUEILMED.
16277 SEP 2 7 10R4
SECTION 2. Depositories approved by the City Director of Finance
and such other security holder, as Trustee, are hereby authorized to allow
the City Depository Bank 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:
Any securities authorized by and under Article 2560 V.A.C.S., 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 Bank, the respective Trustees are authorized to deliver to Corpus
Christi National Bank any i-nterest received on account of, or interest coupons
clipped from the respective deposited securities as such is received or the
coupons become due.
SECTION 4. The City Depository Bank is required to maintain a total
par value of securities equal to or in excess of the City funds on deposit with
it. The Trustees are authorized to accept the certificate of the City Depository
Bank, approved by the Director of Finance of the City of Corpus Christi, Texas,
that due to change in amount of the 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 certain intervals and an imperative need to have security as
provided by law for City funds, 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 or
Council members, having declared that such emergency and necessity exist,
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 its passage, IT IS ACCORDINGLY SO ORDAINED,
this the ,. day of June, 1981
ATTEST: t /%
Ci y Secretary MAY
APPROVED 7/ day of June, 1981
J. BRUCE y.YGOCK, • ITY ATTORNEY
By f l/vV
Assistant Cit
orney
THE ITY OF CORPUS CHRISTI, TEXAS
CITY OF CORPUS CHRISTI, TEXAS
OFFICIAL BID FORM
PROPOSAL FOR CITY DEPOSITORY FOR TWO YEARS 1981-83
City of Corpus Christi
Corpus Christi, Texas
Corp as (/Irl1 11 /./27./v-ne'l 8 n►�
Gentlemen:
The undersigned, a banking corporation, association or individual banker, submits the
following bid for the privilege of acting as City Depository for the City of Corpus
Christi, Texas for the ensuing two year period in accordance with the laws of Texas,
Charter and Ordinances of the City of Corpus Christi, Texas.
1. Interest Rates to be Paid on Single Maturity Time Deposits:
A. Fixed Interest Rates on Deposits of $100,000 or more:
Maturity
30-59 days 11.30 %
60-89 days 11.55 %
90-179 days 11.70 %
180-364 days 11.90 %
Over 1 year 12.30 %
Compounded Simple Interest
B. Fixed Interest Rates on Deposits of less than $100,000:
Maturity
30-59 days 8.00
60-89 days 8.00
90-179 days 8.00
180-364 days 8.00
1 year to 2 years
2 years and over" 8.00
Compounded Simple Interest
2. Repurchase Agreements:
The undersigned agrees to sell those U. S. Securities in which the City can legally
invest its funds, to the City on or before 12:00 noon on each Friday and simul-
taneously with the sale, agrees to repurchase on or about 12:00 noon on the next
following Monday the same securities at the same price as sold, with interest
calculated on the invested amount. If a holiday falls on Friday, the sale will
occur on the preceding Thursday. If a holiday falls on Monday, the repurchase
will occur on the following Tuesday. The City will determine the amount of demand
deposit balances available in any or all accounts for week -end investment
repurchase agreements.
of Corpus Christi
.ial Bid Form '
r..7e 2
The undersigned agrees to pay the City interest on each repurchase agreement at
the rate of 60 % of the bid yield (from latest Wall Street Journal) for
91 day U. S. Treasury Bills maturing nearest to the date on which the repurchase
agreement is executed.
The City reserves the right to enter into repurchase agreements for periods of
time longer than week -ends as may be agreed upon by the Depository and the City.
3. Interest calculations shall be on a 360 day basis paid for 365 days a year.
4. Interest Rate on Bank Loans to City:
Loans will be made to the City at the rate of 10 % per annum to pay current
expenses as may be appropriated by ordinance with such loans to be repaid out of
the first current tax collections.
The maximum total loans at any one time will be the largest amount which the
undersigned is legally authorized to loan. At May 22 , 1981, the
maximum loan limit of the undersigned is $ 3,585,877.55
(Note: The City has not borrowed under this provision for more than 24 years).
5. Maturity of Time Deposits or Time Certificates of Deposit:
The undersigned agrees that all time deposits or time certificates of deposit
purchased by the City shall remain on deposit and continue with the same
depository to their maturity dates even though such maturity dates extend past
the date of expiration of the Depository Bank Contract. The City shall make an
effort to purchase such time deposits so that the maturity dates do not extend
beyond the expiration of the 60 day period established by Article IV, Section 8
of the City Charter for the orderly transfer of City funds to the next Depository.,
6. Bond Securing Deposits:
The City Depository shall furnish to the City a bond in the amount and conditioned
as provided by the laws of Texas, the City Charter and Ordinances of the City, or
in lieu thereof, pledge securities as provided by the laws of Texas, the City
Charter and Ordinances of the City. Securities pledged in lieu of bond shall
at all times, have a par value or market value when less than par, at least
equal to the total amount of the City's monies on deposit with the Depository.
It is further provided that no reduction or substitution of bonds or securities
pledged in lieu thereof shall be made without the prior approval of the City.
of Corpus•Christi
ial Bid Form •
r 3
7. Investment of City Funds During Transition to Next City Depository:
During the period of transition to the next City Depository the City Depository
whose contract is terminating may make offers to the City for the investment of
City funds for periods of less than 30 days for repurchase agreements of U. S.
Treasury Bills or other securities which are lawful investments for City funds.
The City reserves the right to accept or reject any or all of such offers.
It is the intent of this section to provide a procedure by which the City may
keep its funds fully invested during the transition period and at the same time
provide for the prompt and orderly transfer of funds to the next City Depository.
8. Bank Services to be Provided Without Charge:
A. Customary demand deposit account service for as many accounts as may be
required by the City. In addition to the customary account service, the
Depository agrees to:
(1) Return checks in numerical sequence.
(2) To furnish a monthly report of the high and low totals of demand and
time deposits and the dates on which each occurred.
B. Provide complete investment service,. counseling and safekeeping service for
securities owned by the City.
C. Provide bank money orders and cashiers checks as required.by the City.
D. Supply 3 part voucher checks and payroll checks according to quantity,
quality, design and specifications established by the City. (Approximately
25,000 voucher checks per year; approximately 90,000 payroll checks per year;
various imprest fund checks may approximate 14,000).
E. Provide lock money bags as needed by the City. Current needs - 200.
F. Count and deposit parking meter fees each day immediately upon receipt from
the City. The Depository shall assist the City in the disposal of mutilated
United States coins and foreign country coins. Slugs and other non -coin
objects shall be periodically delivered to the City.
9. City May Invest Funds in Bonds, Securities and Other Investments:
A. The City reserves the right to invest any and all of its funds in any bonds,
securities, or other investments which are authorized by law for the invest-
ment of City funds. This reservation applies to funds in excess of time
deposits totaling $15,000,000. For investment of funds in excess of
$15,000,000 in time deposits, the Depository Bank will be given the
C f Corpus Christi '
C al Bid Form • '
•Page 4 •
opportunity to match the asked discount rate for U.S. Treasury Bills nearest
the proposed investment maturity date as published in the most current Wall
Street Journal.
B. The City Depository will. and shall aid and assist the City in the acquisition
of any investment security without charge.
C. The City Depository shaT1 act as advison to the City in connection with the
ihvestment'of City funds under the provision of Paragraph 9. '
10. Visa and Mastercharge Credit Card Service
• The City Depository shall provide Visa.and Mastercharge credit card service on
customary terms and conditions. This service is optional to the City.
11. It is agreed that all provisions of this bid proposal, which the Depository can
legally perform, will apply at the option of the City, to the Firemen's'Relief •
and Retirement Fund and any non-profit corporations for which the City may
become responsible: However; the City reserves the right to exclude from the
provisions of this bid proposal the City's Deferred Compensation Plan Fund and
the City's Over 54 Retirement Plan Fund for the reason that investments of the' •
funds' assets may necessarily be made for periods.•of time substantially longer
than the two• year.depository contract. ' . -•
12. The City reserves the' right to reject and and all bids and to waive irregularities.
Dated this 27th day of •May ' , 1981.
CORPUS CHRISTI NATIONAL BANK
Title Senior Vice President
PLEASE ATTACH A COPY OF THE BANK'S MOST RECENT STATEMENT OF.FINANCIAL CONDITION
CORPUS CHRISTI NATIONAL BANK
CORPUS CHRISTI, TEXAS
Statement of Condition
May 22, 1981
ASSETS
Cash and Due from Banks
U.S. Treasury Securities
State, County & Municipal Securities
U.S. Government Agencies
Other Securities
Total Loans & Discounts
Federal Funds Sold
Bank Building & Equipment
Other Assets
Total Assets
62,996,694.56
27,874,842.94
70,457,936.49
8,236,616.34
2,511,405.39
269,177,261.67
53,950,000.00
5,524,709.66
24,159,473.94
524,888,940.99
LIABILL'T tS
Deposits 380,002,773.74
Federal Funds Purchased & Securities Sold 91,670,669.55
Other Liabilities 19,503,885.49
Total Liabilities 491,177,328.78
CAPITAL
Capital Stock 8,000,000.00
Surplus 8,000,000.00
Undivided Profits 14,958,567.71
Net Gains to Date 2,753,044.50
Total Liabilities, Reserve & Capital 524,888,940.99
Corpus Christi, T2
0 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 suspension of the Charter
rule or requirement that no ordinance or resolution shall be passed finally on
the date it is introduced, but that such ordinance or resolution shall be read
at three meetings of the City Council; I/we, therefore, request that you suspend
said Charter rule or requirement and pass this ordinance finally on the date
it is introduced, or at the present meeting of the City Council.
Respectfully, Respectfully,
Council Members
The City of Corpus Christi, Texas
The Charter rule was suspended by e following vote:
Luther Jones
Betty N. Turner
Jack K. Dumphy
Bob Gulley
Herbert L. Hawkins, Jr.
Dr. Charles W. Kennedy
Cliff Zarsky
The above ordinance was passed by e following vote:
Luther Jones
Betty N. Turner
Jack K. Dumphy
Bob Gulley
Herbert L. Hawkins, Jr.
Dr. Charles W. Kennedy
Cliff Zarsky
16277
PROPOSAL FOR
BIDS FOR CITY -
DEPOSITORY
The City Council of t
City of Corpus Christi, tex
will receive sealed bids f
the custody of funds of t
City of Corpus Christi, Texas
for the ensuing two year pe-
, riod from any banking corpo-
ration, association or indi-
l' vldual banker, at the City
i -I Council Chambers, City
d• • Hall, 302 South Shoreline, un -
0 -'111 2:00 p.m., Central Day-
le'light Savings Time, on
5- Wednesday, May 27, 1981.
2. Bids shall be submitted on
e the "Official Bid Form"
is without interlineation or al-
d teration. The "Official Bid
e Form" establishes the items
II subiect to bidding including
; -,rates of interest on time de-
n posits, rate of Interest on re -
9 purchase agreements and
t rate of Interest to be charged
I on loans made to the City, Of-
ficial bid forms will be mail-
ed to each bank inside the
City limits and additional bid
forms are available at the of-
fice of the Director of Fi-
nance, 319 N. Mesquite
Street.
3. The City Depository will
be selected by the City Coon-
cil in accordance with Ar-
ticle IV, Section 8 of the City
Charter, as amended, and
the laws of Texas.
II 4. The City Depository so se-
lected shall comply with the
laws of Texas, Charter and
LIOrdinances of the City of
Corpus Christi relating 00
City Depositories.
5. The selected City Depos-
d story shall furnish to tfr3. ply
, a bond in the amount and
conditioned as provided by
- the laws of Texas, the Char-
=ter and Ordinances of the
1r.. City of Corpus Christi, or in
f lieu thereof, pledge neon-
rities as provided by the laws
of Texas, Charter and Ordi-
nances of the City of Corpus
Christi. Itis further provided
that no reduction of sub-
stitution of bonds or secu-
rities pledged In lieu thereof
d shall be made without The
prior approval of the City.
ii 6. The City reserves the right '
F
to invest any and all of its
funds in any bonds, secu-
rities or other investments in
which the City is authorized
by law to invest. The City De-
pository will and shall aid
and assist the City in any In•
vedrm t nt-Wtmhuf th-a fge=
.9 R. Marvin Townsen
R' Marvin "Townsend
City Mtnaye
STATE OF TEXAS,
County i 'Nueces.
}88.
PUBLISHER'S AFFIDAVIT V235252
CITYOF��
)n^
Before me, the undersigned, a Notary Public, this day personally came
LORF,IUNE CORTEZ
, who being first duly sworn, according to law, says that he is the
.AECOIIN-T_IN.G...CL,EBK of the Corpus Christi Caller and The Corpus Christi Times,
Daily Newspapers published at Corpus Christi, Texas, in said County and State, and that the publication of
PROPOSAL FOR BIDS FOR CITY DEPOSITORY,...
of which the annexed is a true copy, was published in THE CORPUS CHRISTI, CALLER -TIMES
on thel 4,1 8day of MAY 19..81_, and once each ......._. daY_.......thereafter for....__.. two __
consecutive days
i ars Times.
124.64
LORRAINE CORTEZ
AMOUNT/NG CLEFK' ��
Subscribed and sworn to before me this MAY22 day of MAY
LOIS WINN
Notary_P.ublic,..Nueces-County, Texas