HomeMy WebLinkAbout022390 RES - 10/24/1995A RESOLUTION
ADOPTING A CITY INVESTMENT POLICY FOR THE INVESTMENT OF
ALL CITY MONIES.
WHEREAS, the Public Funds Investment Act, Chapter 2256 Texas Government Code, was
amended by the 74th Legislature; and
WHEREAS, the City needs to adopt a new City Investment Policy to be in compliance with
the new state laws.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF CORPUS CHRISTI, TEXAS:
SECTION 1. That a new City Investment Policy is hereby adopted. A copy of the City
Investment Policy is attached and incorporated as Exhibit A.
PASSED AND APPROVED OC -fro key 254 , 1995.
ATTEST:
Armando Chapa, City Secretary,
City of Corpus Christi, Texas
Mayor Mar des
City of Corpus Christi, Texas
The foregoing Resolution was approved prior to passage as to form and correctness this the
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, 1995.
By:
James R. Bray
City Attorney
Alison Gallaway
Assistant City Attorney
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City of
Corpus
Christi
INVESTMENT POLICY
October 24, 1995
Resolution Number
1 T t 7
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CITY OF CORPUS CHRISTI
INVESTMENT POLICY
Adopted by City Council
October , 1995
TABLE OF CONTENTS
I. INTRODUCTION 3
II. PURPOSE 3
111. DEFINITIONS
4
IV. INVESTMENT OBJECTIVES 5
V. AUTHORIZED INVESTMENTS AND MAXIMUM TERM 6
VI. INVESTMENT MIX AND STRATEGIES 9
VII. RESPONSIBILITY AND CONTROLS 11
VIII. COMPETITIVE SOLICITATION 12
IX. INSTITUTIONS 12
X. PLEDGED COLLATERAL 13
XI. SAFEKEEPING 14
XII. WIRE AND ELECTRONIC SERVICES 14
XIII. INFORMATION REPORTING/EVALUATION 14
XIV. BANKING SERVICES 16
XV. GENERAL PROVISIONS 16
APPENDIXES
A. APPENDIX A: PUBLIC FUNDS INVESTMENT ACT 17
B. APPENDIX B: LIST OF AUTHORIZED CITY REPRESENTATIVES 34
C. APPENDIX 0 TEXPOOL INVESTMENT RESOLUTION 35
D. APPENDIX D: CITY'S CODE OF ETHICS ORDINANCE 38
E. APPENDIX E: CITY'S INDEMNIFICATION ORDINANCE 51
F. APPENDIX F: WIRE AND ELECTRONIC SERVICES 54
G. APPENDIX G: INVESTMENT POLICY RESOLUTION 57
I. INTRODUCTION
It is the policy of the City of Corpus Christi to invest all available monies in conformance with
these legal and administrative guidelines.
Effective cash management is recognized as essential to good fiscal management. An aggressive
cash management program will be pursued to maximize interest earnings as a viable and
material revenue source. The City's portfolio shall be designed and managed in a manner
responsive to the public trust and consistent with local, state, and federal law.
Investments shall be made with the primary objective of:
• Preservation of capital and protection of principal;
• Maintenance of sufficient liquidity to meet operating needs;
• Security of city funds and investments;
• Diversification of investments to avoid unreasonable or avoidable risks; and
• Maximization of return on the portfolio.
Earnings from investments will be used in a manner that will best serve the interests of the City
of Corpus Christi.
II. PURPOSE
A. Authorization
This Investment Policy is authorized by the City Council (see Appendix G) in
accordance with Chapter 2256, Subchapter A of the Government Code—The
Public Funds Investment Act (see the attached and incorporated Appendix A).
B. Scope
This Investment Policy applies to activities of the City, excluding pension funds,
with regard to investing the financial assets of all Funds, including, but not
limited to, the following Funds:
General Operating Funds
Special Revenue Funds
Bond Funds (Bond Proceeds, Bond Reserves and Debt Service)
Enterprise Funds
Internal Service Funds
Special Purpose Funds (within the control of Investment Officers)
In addition to this policy, the investment of Bond Funds, Debt Service, and
Reserve Funds shall be managed by their governing ordinances and Federal Law,
including the Tax Reform Act of 1986 and subsequent legislation.
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C. Review and Amendment
This Policy shall be reviewed annually by the City Council on or before
September 30 of each calendar year subsequent to its adoption. Amendments
must be authorized by the City Council.
I1I. DEFINITIONS
Director of Finance - The Director of Finance is the Municipal Finance Officer responsible for
City investments.
Director of Finance's Designee - Controller or Chief Accountant
Excess Cash Balances - Collected bank balances not needed to pay estimated check clearings.
Investment Officers - City Treasurer and Investment Analyst
Investment Portfolio - All City monies being invested under authority of the Investment Officers.
Institution - Any firm, bank, bankholding company, broker or dealer who provides quotes for
either the purchase or sale of Investments.
Third Party Safekeeping Institution - Any Institution not affiliated with Institution delivering the
Investment.
Investment - All authorized Securities listed in Item V. "AUTHORIZED INVESTMENTS AND
MAXIMUM TERM". Investments approved by the Investment Committee include U.S.
Treasuries, U.S. Agencies, Repurchase Agreements, Local Government Investment Pool and
Collateralized Certificates of Deposit.
Decayed Transaction - An Investment which an Institution fails to deliver to the City's Third
Party Safekeeping Institution.
Collateral - Securities pledged by an Institution to safeguard City assets; the City requires either
U.S. Treasuries or U.S. Agencies Securities so that the market values can be readily determined
at any point in time.
Authorized City Representative - Officers authorized to transact as set out in the attached and
incorporated Appendix B on behalf of the City (City Treasurer, Controller, Chief Accountant,
and Director of Finance).
Reserve Funds - Funds designated by Council for specific purposes which have not been
appropriated for spending.
Securities - Approved Investments designated by the Investment Committee to be held in the
Investment Portfolio or acceptable to be pledged as Collateral to secure the monies of the City.
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Special Purpose Funds - Monies of non-profit corporations that Investment Officers are permitted
to invest; includes such entities as the Corpus Christi Health Facilities Development
Corporation, Coastal Bend Health Facilities Development Corporation, Corpus Christi Housing
Finance Corporation, Corpus Christi Community Improvement Corporation, HOME Project, First
Time Home Buyer, and Corpus Christi Industrial Development Corporation.
IV. INVESTMENT OBJECTIVES
A. Preservation and Safety of Principal
Investments of the City shall be undertaken in a manner that seeks to ensure the
preservation of capital in the overall Investment Portfolio.
B. Liquidity
The City's Investment Portfolio must be structured in a manner which maintains
the liquidity necessary to pay obligations as they become due.
Sufficient cash flows must be maintained by rapidly depositing monies and timing
disbursements. Generally, Investments are matched to specific cash flow
requirements such as payrolls, debt service payments, and other payables.
Liquidity is also achieved by investing in Investments with active secondary
markets or in Local Government Pools with stable net asset values. It is
imperative that the Investment Portfolio and Excess Cash Balances be protected
with sufficient Collateral at 102% of current market values so that monies are
available as needed.
C. Return on Investments
The City's Investment Portfolio shall be designed with the objective of regularly
exceeding the average yield of the three-month U.S. Treasury bill in a manner
consistent with the principles of this policy described in IV. A and B above.
However, it must be recognized that during a bear market, satisfying this
objective may not be practical until Investments mature and can be re -invested.
For bond issues to which arbitrage restrictions apply, the primary objectives shall
be to obtain satisfactory market yields and to minimize the costs associated with
investing such monies.
D. Diversification
Diversification is required because of differing liquidity needs of the City and is
employed as a way to control risk. Diversification minimizes the risk to the
overall Investment Portfolio of potential losses on individual Securities and
enhances the safety of the Investment Portfolio.
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Through the solicitation of competitive proposals, the City shall allocate and
diversify its Investments through various Institutions. The following types of
Investments will be solicited from the following types of Institutions:
1. Government Securities - through approved brokers;
2. Repurchase Agreements - through a Third Party Safekeeping Institution
Agreement which includes an approved primary dealer;
3. Public Funds Investments Pools - through a participation agreement; and
4. Certificates of Deposit - through approved local banks.
The City recognizes that investment risks can result from default risk and market
price risks due to various technical and fundamental economic factors, and other
complications, leading to temporary illiquidity.
To control market price risks, volatile Investments shall be avoided.
To control default risk, the only acceptable method of payment will be "delivery
versus payment" for direct purchases of government securities. This method
provides for payment to Institutions at the time the Investments are recorded in
book entry form at the City's Third Party Safekeeping Institution, currently
maintained at the Federal Reserve. For certificates of deposit, sufficient Collateral
at 102% of current market values must be pledged to protect all City monies or
monies under its control that exceed Federal Deposit Insurance Corporation
(FDIC) coverage; the Collateral must be safekept at a Third Party Safekeeping
Institution not affiliated with the bank or bank holding company providing the
certificate of aeposit.
V. AUTHORIZED INVESTMENTS AND MAXIMUM TERM
The City of Corpus Christi is authorized to invest in:
A. Authorized Investments
1. Obligations of the United States or its agencies and instrumentalities which
currently include:
a. Short-term U.S. Treasuries: Maximum Term
(1) U.S. Treasury Bills up to 365 days
(2) U.S. Treasury Coupon Notes up to 3 years
(3) U.S. Treasury Strips
(Interest Only) up to 3 years
(4) U.S. Treasury Notes and Strips up to 7 years*
*see Section V.B.3. below.
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b. U.S. Agencies: Maximum Term
(1) Federal Home Loan Bank up to 2 years
(2) Federal National Mortg Assoc up to 2 years
(3) Federal Farm Credit up to 2 years
(4) Federal Home Loan Mortg Corp. up to 2 years
(5) Student Loan Marketing Assoc. up to 2 years
c. Repurchase Agreements up to 31 days
Repurchase agreements fully collateralized at 102% with a defined
maturity date placed with a primary government dealer and
safekept at a Third Party Safekeeping Institution, as provided under
the provisions of the PSA (Public Securities Association) master
repurchase agreement. An executed agreement between the City,
primary government dealer and Third Party Safekeeping Institution
will be on file before the City will enter into a repurchase
agreement.
Weekly monitoring by the City's Investment Officers of all
Collateral underlying repurchase agreements is required. More
frequent monitoring may be necessary during periods of market
volatility.
Reverse repurchase agreements are not a permitted Investment until
approved by the City Council.
d. Local Government Investment Pool daily
Investments made on behalf of the City by a public funds
investment pool duly created to function as a money market mutual
fund who marks its portfolio to market daily and, to the extent
reasonably possible, who stabilizes its portfolio at a $1 net asset
value. If the ratio of the market value of the Pool's portfolio
divided by the book value of the portfolio is less than 99.50% or
greater than 100.50%, the Pool's portfolio holdings shall be sold as
necessary to maintain the ratio between 99.50% and 100.50%.
The public funds investment pool must be continuously rated no
lower than AAA or AAA -m or at an equivalent rating by at least one
nationally -recognized rating service (see the attached and
incorporated Appendix C).
e. Collateralized Certificates of Deposit up to 1 year
Certificates of deposit or other instruments issued by state and
national banks domiciled in Texas that are:
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(1) guaranteed or insured by the Federal Deposit Insurance
Corporation or its successor; or
(2) secured by obligations that are described by Section V,
Subdivision A.1(a) and A.1(b).
Certificates of deposit must be fully collateralized at 102% of their
market value.
The City requires the bank to pledge U.S. Treasuries or U.S.
Agencies (no Collateral Mortgage Obligations will be eligible as
Collateral—see IX.C., page 12) as Collateral. The Investment Officers
will monitor adequacy of collateralization on a weekly basis.
B. Weighted Average Maturity
In order to minimize risk of loss to the Investment Portfolio due to interest rate
fluctuations, Investment maturities will not exceed the anticipated cash flow
requirements of the Funds. Maturity guidelines by Fund are as follows:
The maximum term for any Investment other than Reserve Funds is three years.
The weighted average days to maturity shall be less than 365 days for
Investments, other than Reserve Funds.
1. General Operating Funds
The weighted average days to maturity of Investments, other than Reserve
Funds, shall be less than 365 days. The Investment Officers will monitor
the maturity level and make changes as appropriate.
2. Bond Funds (Bond Proceeds. Bond Reserves, Debt Service)
The Investment maturity of that portion of the City Portfolio that represents
Bond Funds (bond proceeds, reserve funds, and debt service) shall be
determined considering:
a. The anticipated cash flow requirements of the Bond Funds; and
b. The "temporary period" as defined by Federal tax law during which
time bond proceeds may be invested at an unrestricted yield. After
the expiration of the temporary period, bond proceeds subject to
yield restriction shall be invested considering the anticipated cash
flow requirements of the Bond Funds.
Before an Investment can be made of bond proceeds from all bond issues
affected by the tax Reform Act of 1986, a careful yield analysis must be
performed to comply with the Tax Reform Act. Also, an annual rebate
calculation must be performed to determine if the City is required to
rebate interest at the end of each respective bond issue's five-year term.
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Beginning on the anniversary of the third year for the respective bond
issues, all bond proceeds will be yield restricted as required by the Tax
Reform Act.
3. Reserve Funds: Established by Operative Bond Funds or by the City
Council
The following Reserve Funds may be invested up to seven years in
U.S. Treasuries:
Maximum
Fund 148 Choke Canyon $2,000,000
Fund 300 Debt Service $4,000,000
Fund 445 Utility Refunding $5,975,000
City monies governed by this Policy may not be invested in other investments
permitted by law unless (i) such investments are specifically authorized for the
investment of these monies by an ordinance adopted by the City Council issuing
bonds or other debt obligations or (ii) this Policy is amended to permit such
investment.
VI. INVESTMENT MIX AND STRATEGIES
A. Investment Mix
As a target to ensure adequate liquidity, the Investment Portfolio administered by
the Investment Officers should consist of at least 25% in U.S. Treasury
Securities described in V.A.1.a. A minimum of 15% of the total Investment
Portfolio shall be held in Investments with maturity dates of 90 days or less for
liquidity. U.S. Treasuries/Agencies may be purchased for longer term maturities
(greater than one year) but shall not exceed 40% of the total Investment Portfolio
to preserve liquidity.
Daily Investment reports shall specifically address whether stated Investment mix
requirements are being met. Unless approved by the Investment Advisory
Committee, the target percentages specified shall not be exceeded for temporary
periods greater than thirty (30) days without the Investment Officers taking
corrective action.
B. Strategies
Investment strategies for General Operating Funds and Bond Funds have as their
primary objective the assurance that anticipated cash flows are matched with
adequate Investment liquidity. The secondary objective is to create an Investment
Portfolio structure which will experience minimal volatility during economic
cycles. To accomplish this strategy, the City will purchase high quality, short- to
medium-term Investments which will compliment each other.
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To pay for anticipated disbursements, Investments will be laddered to correspond
with the projected cash needs of the City. Some Investments are acquired on the
short end of the yield curve (90 days or less) to meet immediate cash needs. A
few Investments are purchased on the intermediate part of the yield curve (1-3
years) to lock in higher interest rates when rates are projected to decline due to
the economic cycle of the economy. The dollar weighted average Investment
maturity of 365 days or less will be calculated using the stated final maturity
dates of each Investment.
Investment strategies for debt service funds shall have as the primary objective the
assurance of Investment liquidity adequate to cover the debt service obligation
on the required payment date. Investments purchased shall not have a stated
final maturity date that exceeds the debt service payment date.
Investment strategies for debt service reserve funds shall have as the primary
objective the ability to generate a dependable revenue stream to the appropriate
debt service fund from Investments with a low degree of volatility. In accordance
with the bond ordinance specific to an individual bond issue which sets out the
maximum investment term, Investments should be of high quality, with short- to
intermediate-term maturities.
Investment strategies for Special Purpose Funds will have as their primary
objective the assurance that anticipated cash flows are matched with adequate
Investment liquidity. These Investment Portfolios shall include highly liquid
Investments to allow for flexibility and unanticipated project outlays. The stated
final maturity dates of Investments held shall not exceed the estimated project
completion date.
C. Achieving Investment Return Obiectives
Investment selection shall b., based on legality, appropriateness, liquidity, and
risk/return considerations. Monies designated for immediate expenditure should
be passively invested.
Passive investment provides for:
1. Liquidity to pay upcoming disbursements (payroll, debt service, payments,
payables, etc.);
2. Maximizing investment terms under the current budget; and
3. Structuring the Investment Portfolio on a "laddered" basis.
The remaining portion of the Investment Portfolio may be invested actively and
the reasons for doing so, are:
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Active investment provides for:
1. The ability to improve yields in the Investment Portfolio by riding the yield
curve during business cycle recovery and expansion periods. Interest rates
on longer maturities typically exceed those on shorter maturities.
Therefore, longer maturities (that can be held to maturity, if necessary) are
purchased in anticipation of selling later at the same or lower interest rate,
improving the total return during the holding period.
2. The ability to improve market sector diversification by swapping out of
one Investment into another for a better total return, to realign for
disbursement dates, or to extend or shorten maturity depending on
economic forecasts.
The City Manager, or his designee, is required to approve any Investment that
must be sold at a loss. All gains and losses will be reported to the City Council
and Investment Committee on a quarterly basis.
VII. RESPONSIBILITY AND CONTROLS
A. Authority to Invest
The authority to invest City funds and the execution of any documentation
necessary to evidence the investment of City funds is granted to the Director of
Finance. The City Treasurer and the Investment Analyst are the designated
Investment Officers responsible for the daily operation of the investment program.
All Investments will be approved in writing by the Director of Finance or
Designee (excluding Investment Officers).
B. Establishment of Internal Controls
The City Treasurer will establish a system of internal controls over the Investment
activities of the City and document such controls in the Investment Procedures
Manual. These internal controls shall be approved by the Director of Finance.
C. Prudent Investment Management
Investments shall be made with the same judgment and care, under prevailing
circumstances, that a person of prudence, discretion, and intelligence would
exercise in the management of the person's own affairs, not for speculation, but
for investment, considering the probable safety of capital and the probable
income to be derived. Prudent investment is to be judged by the Investment
Portfolio as a whole, not on individual Investments. If liquidation is necessary
due to a pool losing its AAA rating or for other reasons, liquidation will be done
in a prudent manner consistent with the investment objectives of this policy and
as provided in 2256.021 of the Government Code. Investment of monies shall
be governed by the following investment objectives in order of priority:
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1. preservation and safety of principal;
2. liquidity; and
3. yield.
The designated Investment Officers shall perform their duties in accordance with
the adopted Investment Policy and Procedures set forth in the Investment
Procedures Manual. Investment Officers acting in good faith and in accordance
with these policies and procedures shall be relieved of personal
liability. The Investment Committee and Officers are indemnified as provided by
City Ordinance attached and incorporated as Appendix E.
D. Standards of Ethics
The Investment Committee and City Treasurer will comply with the City's Code
of Ethics Ordinance attached and incorporated as Appendix D which requires
disclosure of financial interests by April of each year.
The designated Investment Officers and all members of the Investment Committee
shall adhere to the City's Ethics Ordinance. To the extent required by section
2256.005(i) of the Government Code, the Investment Committee and City
Treasurer shall make such filings as required by law.
E. Training and Education
Recognizing that the training and education of Investment Officers contributes to
efficient and effective investment management, the City requires its Investment
Officers to obtain appropriate professional training. Such training is currently
required by, and shall be obtained in accordance with Section 2256.008 of the
Government Code Public Funds Investment Act.
VIII. COMPETITIVE SOLICITATION
All Investments administered by the City except for a repurchase agreement, public funds
investment pool and agency securities purchased through a primary dealer at the discount
window or at auction will be solicited on a competitive basis with at least three Institutions.
Any Institution that wishes to participate in the City's investment program must meet Collateral
pledge requirements outlined in Section IV.D. of these guidelines
and must submit call reports on a quarterly basis by the 15th day after the required submission
date.
IX. INSTITUTIONS
All institutions who seek to sell an authorized Investment to the City are required to complete
the questionnaire approved by the Investment Committee and furnish supporting documentation
required by the Investment Committee. Securities shall only be purchased from those
Institutions approved by the Investment Committee.
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A. Investments shalt only be made with those Institutions who have:
1. Received, thoroughly reviewed and acknowledged, in writing, receipt and
understanding of the City's Investment Policy, and;
2. Acknowledged that it has implemented reasonable procedures and
controls in an effort to preclude imprudent investment activity arising out
of investment transactions conducted between the entity and the City.
3. Met the qualifications and standards established by the City's Investment
Committee and set forth in the Investment Procedures Manual.
B. The City Treasurer will request the Investment Committee to authorize deletion
of Institutions for:
1. Slow response time;
2. Less than competitive pricing;
3. Little or no information on technical or fundamental expectations based
on economic indicators;
4. Decayed Transactions or continuing operational difficulties; or
5. Unwillingness to continue to abide by the provisions listed in VIII.A.
X. PLEDGED COLLATERAL
The market value of pledged Collateral must be 102% of the prihcipal plus accrued interest for
Excess Cash Balances, certificates of deposit, and repurchase agreements. Evidence of proper
collateralization in the form of original safekeeping receipts held at a Third Party Safekeeping
Institution not affiliated with the Institution pledging the Collateral will be approved by the City
Treasurer and will be maintained in the City's Treasury Office.
An authorized City Representative (See Appendix B) will approve and release all pledged
Collateral.
A. Collateral Substitution
Collateralized Investments and certificates of deposit often require substitution of
Collateral. Any Institution must contact the Investment Officers for approval and
settlement. The substituted Collateral's value will be calculated and substitution
approved if its value is equal to or greater than the required Collateral value.
Substitution is allowable for all transactions, but should be limited, to minimize
the City's potential administrative problems.
B. Collateral Reductions
Should the Collateral's market value exceed the required amount, any Institution
may request approval from the Investment Officer to reduce Collateral. Collateral
reductions may be permitted only if the City's records indicate that the
Collateral's market value exceeds the required amount.
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C. Prohibited Securities
Investment securities described in Section 2256.009(b), Government Code, shall
not be eligible for use as Collateral of City monies governed by this Policy.
XI. SAFEKEEPING
A. Third Party Safekeeping Agreement
The City shall contract with a Bank or Banks for the safekeeping of Securities
either owned by the City as a part of its Investment Portfolio or held as Collateral
to secure certificates of deposit, repurchase agreements, or Excess Cash Balances.
B. Safekeeping of Certificate of Deposit Collateral
All Collateral securing bank and savings and loan deposits must be held by a
Third Party Safekeeping Institution approved by the City, or Collateral may be
held at the Federal Reserve Bank.
C. Safekeeping of Repurchase Agreement Collateral
The U.S. Treasuries which serve as Collateral for repurchase agreements with
Institutions must be delivered to a Third -Party Safekeeping Institution with which
the City has established a third -party safekeeping agreement.
XII. WIRE AND ELECTRONIC SERVICES
Wire and electronic services are to be provided as -eferenced in the City's Depository Services
agreement, portions of which are attached and incorporated as Appendix F.
The City rebids the depository agreement every three to five years and the applicable terms of
any new depository agreement will be incorporated as it fully set out herein, Appendix F will
be updated every time a depository agreement is authorized by the City Council.
XIII. INFORMATION REPORTING/EVALUATION
The City Treast.rer and Investment Analyst are hereby designated as the Investment Officers and
are responsible for the daily operation of the Investment program and will report to the
Investment Committee on a quarterly basis. The Investment Committee will be responsible for
monitoring, reviewing, and making recommendations regarding the City's Investment program
to the City Council. Reports will be provided to the City Council by the Investment Officers
no less than quarterly, as required by the Public Funds Investment Act.
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A. Investment Committee
City Manager (and/or Deputy City Manager)
Group Manager of Administrative Services
Director of Finance
City Attorney
Director of Management and Budget
Group Manager (as designated by the City Manager)
B. Internal Reoorting/Evaluation
The following reports are to be submitted on a:
1. Daily basis to the Director of Finance or Designee (Excluding Investment
Officers :
a. Cash Position by Bank Account
b. Investment Portfolio by Maturity Date
c. Schedule of Investment Purchases/Maturities
2. Monthly basis to the Investment Committee:
a. Report of Cash and Investments by Fund
b. Interest Report
c. Report any change in the membership of the TEXPOOL Board of
Directors; amendment of the interlocal cooperation agreement;
amendment of the By-laws; or change in the amount, percentage,
or method of computation of the administrative fee of any public
funds investment pool which the City Council has approved.
d. Market Value vs Book Value Analysis of Investment Portfolio
3. Quarterly Basis to Investment Committee and City Council:
a. Compliance with Public Funds Investment Act and Investment
Policy
b. Interest Report
c. Investments by Institution
d. Investment Maturities/Purchases
e. Collateral Position
f. Highest/Lowest Interest Yields
g. Investment Survey
h. Analysis of Gains/(Losses) on Sale of Securities
Market Values vs Book Values of Investment Portfolio
j. Forecast of Market Conditions
C. External Reoorting/Evaluations
On a quarterly basis, the City's main depository and all applicable Institutions
providing certificates of deposit in excess of FDIC coverage will provide to the
Investment Officer for review a copy of the balance sheet and income statement
of the Call Report. All Institutions will provide annual audited financial
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statements. Any local government investment pools must provide reports and
disclosure statements as required by the Public Funds Investment Act.
D. Record Retention
The City follows the guidelines of retaining records for seven years from City's
current fiscal year, as recommended in the Texas State Library Municipal Records
Manual or may be authorized by the City's local records management guidelines.
XIV. BANKING SERVICES
All depository services are provided in the City's main depository agreement. Other services
such as credit cards, direct deposit of payroll or other services may be administered through
separate agreements. To aggressively invest Excess Cash Balances, controlled disbursements
accounts, zero balance accounts and other cash management tools may be employed.
XV. GENERAL PROVISIONS
A. Audits and Inspections. During regular business hours and as often as the
Investment Officers deem necessary, the Institution providing certificates of
deposit will make available for examination by the City Manager, his duly
authorized agent, accountant, or legal representative, such records and data to
assure the pledge of Collateral, availability of Collateral, and financial stability of
the Institution.
B. Compliance with Laws. Each Institution agrees to comply with all federal, state,
and local laws, rules, regulations, and ordinances. The personnel or officers of
such Institution, shall be fully qualified and authorized under federal, state, and
local law to perform the services set out under this Policy. Each Institution shall
permit the Investment Officers to audit, examine, and make excerpts or transcripts
from such records and to make audits of all contracts, invoices, materials, and
other data relating to applicable Investments.
C. Performance Audits. The City's Annual External Financial Audit shall include a
compliance audit of management controls on Investments and adherence to this
Policy.
D. Investment Policy Resolution: The resolution authorizing this Investment Policy
is attached and incorporated as Appendix G.
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APPENDIX A
PUBLIC FUNDS INVESTMENT ACT
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32
Passed by the House on May 3,
the House concurred in Senate
May 18, 1995, by a non -record
with amendments, on May 16,
Approved June 8, 1995
Effective September 1, 1995
1.1. No. 24S,
This section expires
be
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33
APPENDIX B
LIST OF AUTHORIZED CITY REPRESENTATIVES
alinV
kosoW
City of
Corpus
Christi
Am—•n [ A
Attached• to. and- mads a part of the
City of Corpus—Christi Depository Services -Agreement
As the duly appointed and authorized City Manager of the City of
corpus Christi, I designate the officers listed below as the
Authorized City Representatives of the City of Corpus Christi.
The signatures below are the signatures of the Authorized City
Representatives vested with full authority to sign and transact
business for the City including, but not limited to, account
transfers, open and close accounts, request reports, or authorise
other signatories to specific bank accounts. The signatures of the
officers subscribed below are true and genuine:
00teasd "Aar
,t a
A
Dorothea L. Montoya, City Treasurer
Michael P. Harty, Controller
Audre Debler, Chief Accountant
Rosie G. Vela, Director of Finance
This Authorization for Depository Accounts is entered into in addition
to and shall not amend, modify, waive, or revoke any of the terse of
the City of Corpus Christi Depository Agreement except as expressly
provided herein. This authorization is entered into to facilitate the
transfer of funds or administration of the services to be provided
pursuant to the City of Corpus Christi Depository Agreement. It is
not intended to empower Authorized City Representatives to approve or
accept amendments, waivers, or new provisions or terms to the
Depository Agreement on behalf of the City of Corpus Christi.
Authorized City Representatives remain authorized until the Depository
receives written notification revoking authorization.
THIS AUTHORIZATION FOR DEPOSITORY ACCOUNTS is effective this 8th day
of June, 1992 and revokes all previous authorizations.
Armando
Chapa,
City Sect terry
Approved this /fl% day of .77,,.c.— , 1992
By James R. Bray Jr., City Attorney
By /
Assistant City Attor y
34
APPENDIX C
TEXPOOL INVESTMENT RESOLUTION
1111,
Wien
City of
Corpus
Christi
A RESOLUTION
AUTHORIZINGAPARTICIPATION AGREEMENT WITH THE TEXAS.
STATE TREASURER; DESIGNATING AUTHORIZED
REPRESENTATIVES, DEPOSITORY, AND CUSTODIAN OF CITY OF
CORPUS CHRISM INVESTMENT FUNDS; AND APPROVING
INVESTMENT OBJECTIVES AND PURPOSES AS PROVIDED IN THE
PARTICIPATION AGREEMENT.
WHEREAS, the City of Corpus Christi, Texas ("Cit") is authorized to conttactwith..
one or more local governments or state agencies for the joint investment of public fiords in
any investment in which each such government entity is authorized to invest its fund.
WHEREAS, the City is authorized by the Public Funds Investment Act of 1987,
Article 842a-2, Vernon's Texas Civil Statues, as amended ("Public Funds InvesementAct)
to invest funds in any of the obligations or securities as described in the Public Rinds.
Investment Act
WHEREAS, it is in the best interest of the City and its inhabitants to investlocal
funds in investments that yield the highest possible rate of return while providing necessary
safekeeping and protection of the principal;
WHEREAS, the Treasurer of the State of Texas acting by and through the Texas
Treasury Safekeeping Trust Company (Trust Company') has created Texpool," a public
funds investments pool to effectuate those investments at the highest possible yield and to
maintain the safety of the funds of the City;
WHEREAS, the City desires to authorize the joint investment of public funds with
other local governments pursuant to the Interiocal Cooperation Act of Texas and to provide
for the terms on which public funds so invested may be combined, invested, secured, and
accounted for,
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF CORPUS CHRISTI, TEXAS:
SECTION 1. That the terms of the Participation Agreement which is attached basso
and incorporated herein for all purposes as E:hihit "A," including the investment objecCives
and purposes desrnbed therein, are hereby approved. The City Manager is hereby
authorized to execute the Participation Agreement and that the designations, delegations,
approvals, and authorizations described therein shall be authorized, approved, and granted
by the City without further acts .of the City Council. The City shall establish an account in
its name with the Trust Company's investment pool, Texpool," for the purpose of
transmitting local funds for investments in TexpooL"
Rtr034Dmlp
35
SECTION 2. That the City Manager or designee thereof is authorized to transfer
public funds of the City to Texpool for investment in accordance with the Public Finds
Corpus Christi, Texas
I day of kk,1i12.
The above resolution was passed by the following vote:
Mary Rhodes
Cezar Galindo (U/',e
Leo Guerrero -
Betty Jean Longoria
Edward A. Martin
Joe McComb
Dr. David McNichols
C1if Moss
Mary Pat Slavik
itilb
066 37
aki •
aa -f -
APPENDIX D
CITY'S CODE OF ETHICS ORDINANCE
City of
Corpus
"" Chnsti
ARTICLE V. CODE OF ETHICS
DIVISION 1. RULES OF CONDUCT
SECTION 2-311. STANDARDS.
The following rules of conduct apply to all council members, board members, and employees:
Special privileges:
1. You shall not use your office for private advancement or gain to secure special rivileges
or exemptions for yourself or others.
2. You shall not grant any special consideration, treatment or advantage to any person or
group beyond that which is available to others generally.
3. You shall not use city facilities, personnel, equipment or supplies for purposes unrelated
to the interests of the city, except to the extent such are lawfully available to the public.
4. Unless you are a council member, you shall not use the prestige of your position with the
city on behalf of any political party or cause.
Gifts:
5. You shall not accept or solicit any money, property, service or other thing of value by
way of gift, favor, loan or otherwise that might reasonably tend to influence you in the
discharge of your official duties or which you know or should have known was offered
with the intent to influence or reward your official conduct.
6. In the event you receive any gift or loan of property or services on behalf of the city, you
shall promptly deliver such gift or loan to the city manager for official acceptance and
inventory of the city.
Conflicts of interest
7. In the event you or one of your relatives have an interest or any substantial interest in a
contract or transaction involving the city which comes before you in the performance of
your official duties, you shall make a written disclosure of your interest in the matter and
abstain from any vote or decision and not participate in any discussion on the matter.
8. You shall not engage in any outside activities or employment which will conflict or be
incompatible with the full and proper discharge of your official duties, impair your
independent judgement in the performance of your duties, or reflect discredit upon the
city.
9. You shall not represent any other private person, or group in any action or proceeding
against or adverse to the interest of the city or in any litigation in which the city is a
Pty.
38
T' T T
10. You shall not represent any other private person or group or interest in any action or
proceeding in the municipal courts of the city which was instituted by city officers or
employees in the course of their official duties.
11. You shall not receive any fee or compensation for your official services from any source
other than the city except as may be provided by law or authorized by the city council.
Actions adverse to the city:
12. You shall not disclose information that could adversely affect the property or affairs of
the city.
13. You shall not knowingly perform or refuse to perform any act in order to deliberately
thwart the execution of federal, state Jr local laws or regulations or the achievement of
any official city programs.
14. You shall not engage in any felony crime, misdemeanor involving moral turpitude, or
other conduct that refletdk discredit on the city.
Provisions for council members:
15. As a council member, you shall not have a substantial interest in any contract with the
city.
16. In order to preserve and promote independent advice and decisions from city boards and
the integrity of the independent board process u a council member, you shall not speak
before any city board, commission or committee except on behalf of your own financial
interest in which case, you shall publicly state the nature of your financial interest and
that you are appearing only in your private capacity.
17. As a council member, you shall not give any orders to any employee except through the
city manager u provided by the city charter.
Provisions for board members:
18. Asa board member, you shall not have a substantial interest in any contract with the city
in which your board or commission, or the city department related thereto, has
jurisdiction.
19. As a board member, you shall not represent or appear on behalf of the private interest of
others before your board, commission or committee, the city council, or any board which
has appellate jurisdiction over your board, commission or committee, concerning a matter
which is within the subject matter jurisdiction of your board. (This rule does not prohibit
you from appearing on behalf of your own financial interest even though others may have
the same or a similar interest)
Provisions for employees:
20. As an employee, you shall not have an interest in any contract with the city.
39
T
T T
21. As an employee, you shall not, within twelve (12) months after leaving city employment,
represent any other person or organization in any formal or informal appearance with the
city council or any other agency or employee of the city concerning a project for which
you had responsibility as an employee.
22. As an employee, you shall not represent or appear on behalf of the private interest of
others before the city council or any board, commission or committee of the city. (This
rules does not prohibit you from appearing on behalf of your own financial interest even
though others may have the same or a similar interest)
Section 2-312. Definidons.
The following definitions apply to the abeve rules of conduct
Board member. A member of any board, commission or committee of the city, including the
board of any corporation created by the city.
Employee: Any person employed by the city, whether under civil service or not, including part-
time employees and employees of any corporation created by the city.
Interest Any direct or indirect pecuniary or material benefit in a contract or transaction other
than:
1. An interest which is shared by and available to all other persons similarly situated; or
2. A remote or incidental interest which would not increase or decrease materially due to the
action of the city or is less than two hundred dollars ($200) in value; or
3. An interest of a subcontractor which has no direct contractual relationship with the city,
is receiving fair and reasonable compensation, and is not operating as a subterfuge to
circumvent the code of ethics; or
4. An interest in real property acquired by the city which could otherwise be accomplished
only through eminent domain provided that the property must be acquired for a public
purpose and just compensation must be paid under the Texas Constitution after obtaining
an independent appraisal.
Substantial interest Any interest which has a value of five thousand dollars ($5,000) or more
or represents ten (10) per cent or more of a person's gross income during the most recent calendar
year.
Relative: Spouse, father, mother, brother, sister, son, daughter, spouse's children, father-in-law,
mother-in-law, brother-in-law, sister-in-law, son-in-law, daughter-in-law and adoptive relationships
being treated the same as natural relationships.
Section 2-313. Effect of violation.
A violation of these rules of conduct shall subject the council member, board member or
employee to appropriate disciplinary proceedings, but such violation shall not render the action
11 V 1
40
of the city voidable by the city unless the action would not have been approved without the vote
of the person who violated the rules of conduct.
Section 2-314. Exceptions to abstention requirement
The requirement that a council member or board member abstain from voting on a matter or
participating in discussion as contained in rule 7 of the rules of conduct shall not apply in the
following situations, provided that such person has complied with the requirements of written
disclosure of the interest
(a) In the event a majority of the members of the council or the board, commission or
committee have filed a written disclosure of a conflict of interest on the matter and would
be required to abstain; or
(b) On the final approval of the budget when the person has abstained from a separate vote
taken on the particular budget item pertaining to the conflict of interest and action or that
particular item hu been resolved
Section 2-315. Freedom of expression.
Nothing contained in the code of ethics shall abridge the right of any citizen, whether or not a
council member, board member or employee, to exercise his or her right of expression under the
U.S. or Texas Constitutions.
Sections 2-316 - 2-319. Reserved.
T
7` t
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DIVISION IL ETHICS COMMISSION
Section 2-320. Establishment
1
An ethics commission is created and shall consist of nine (9) members. The city council shall
solicit nominations for the ethics commission from a wide variety of professional and community
organizations in the city. Interested individuals may also submit their names for consideration.
Members of the commission may not hold or be a candidate for any city elected or appointed
office. The city council shall appoint the members of the ethics commission by a two-thirds (213)
vote of the full council.
Section 2-321. Terms.
Members shall hold office for thr -year terms commencing October 1. In order to establish
staggered terms, however, the initial terms of three (3) members shall be one year, and the initial
terms of another three (3) members shall be two (2) years. The persons serving such shorter
terms shall be determined by lot. No holding over is permitted except as expressly provided in
this code of ethics.
Section 2-322. Removal.
In addition to the council's usual powers of removal, members of the commission may be
removed by a majority of the council for cause. In considering a complaint filed with the city
secretary or on its own initiative, the council may follow the procedures hereinafter set forth
regarding the disposition of such alleged violations.
Section 2-323. Vacancies.
All vacancies shall be filled for the unexpired terms. A member shall hold office until his
successor hu been appointed, and shall continue to hold office after his successor has been
appointed for the limited purpose of disposition of all complaints filed and for which presentation
of evidence was commenced during that member's term.
Section 2-324. Chairperson, quorum.
The commission shall elect a chairperson and a vice -chairperson. The vice -chairperson shall act
u chairperson in the absence of the chairperson or in the event of a vacancy in that position.
The officers of the commission shall serve one-year terms. A majority of the members of the
commission shall constitute a quorum.
Section 2-325. Meetings.
The commission shall have such meetings as may be necessary to fulfill its responsibilities. The
chairperson or any three (3) members may call a meeting provided that reasonable notice is given
to each member. The commission shall comply with the Texas Open Meetings Act
Section 2-326. Dudes.
a. The commission shall, in addition to its other duties:
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1. Prepare and publish pamphlets and other materials explaining the duties of
individuals subject to the code of ethics. Such materials shall include instructions
to the public about how to obtain information such as financial disclosures,
campaign reports, and the like from the city.
2. Review all statements and reports filed with the city.
3. Annually review the code of ethics and make appropriate recommendations to the
city council after conducting a public hearing on any such recommendations.
4. Revie_v all public opinions related to the code of ethics tat are issued by the city
attorney.
5. Prepare and disseminate a report listing all campaign contributions and
expenditures for each candidate within thirty (30) days following the deadlines for
filing the last campaign finance reports for each city council election. For the
purposes of this provision, a general election and run-off election shall be
considered as a single city council election.
(b) The commission may:
1. Adopt rules of procedure for the conduct of its business and to carry out the
provisions of the code of ethics, consistent with the code of ethics and other
applicable law.
2. Prepare reports and studies to advance the purpose of the code of ethics.
3. Request the city council and city manager to provide such assistance as it may
require in the discharge of his duties.
Section 2-327. Stelling.
The commission shall be assigned staff by the city attorney to assist in its duties.. The
commission shall also designate independent legal counsel, and when complaints are filed, such
independent legal counsel may be utilized to advise the commission and participate in hearings
Section 2-328. Legal opinions and services.
(a)
(b)
Any council member, employee or board member may submit a written request to the city
manager for an opinion concerning the meaning or effect of any section, word or
requirement of the code of ethics as it affects such official, employee or board member.
The city manager shall submit such request to the city attomey, who will promptly issue
a written opinion to the city manager. Such opinion shall be filed with the city secretary
with a copy to the requesting person shall constitute an authoritative determination of the
meaning of this article, until amended by the council.
If a complaint is filed with the ethics commission about any specific action, omission or
alleged conflict of interest by the charged person which has been the subject, in whole
43
or in part, of a city attorney's opinion, the independent legal counsel shall act as the
commission's attomey on said complaint
Section 2-329. Jurisdiction of commission.
The ethics commission shall have jurisdiction of complaints involving any "city official" which
includes the mayor and members of the city council, city manager, deputy and assistant city
managers, city secretary, city attorney, department heads, and municipal court judges (including
substitute judges), and all members of any board, commission or committee of the city, including
the board of any corporation created by the city.
Section 2-330. Complaints.
(a) A swom complaint alleging violation of the code of ethics shall specify the provisions of
the rules of conduct alleged to have been violated and facts alleged to constitute the
violation.
(b) Upon the sworn complaint of any five (5) people filed with the city secretary's office, the
commission shall consider possible violations of the code of ethics by city officials and
board members and former city officials and board members other than members of this
commission. In addition, the commission shall consider such possible violations when
referred to it as a complaint by majority vote of all council members holding office and
qualified to vote thereon. The council may direct the city attorney to draft such referred
complaint, which shall be reviewed u other complaints hereunder. The council members
voting for the complaint shall sign the complaint
A complaint alleging a violation must be filed with the city secretary within six (6)
months from the date the complainants knew or should have known of the action alleged
as a violation, and not afterward.
(c)
(d) Not later than three (3) working days after the city secretary receives a sworn complaint,
he or she shall aclmowiedge receipt to the complainants, and provide a copy to the city
attorney, the commission and the person complained against. Not later than thirty (30)
days after receipt of a complaint by the city secretary, the commission shall notify in
writing the persons who made the complaint and the person complained against whether
it intends to schedule a hearing or take other action concerning the complaint. The person
complained against shall have ten (10) days to submit a written response to the complaint
prior to the commission deciding whether to hold a hearing. The complainants shall have
one opportunity within fifteen (15) days of any denial of their original complaint by the
commission to amend their complaint and refile the same with the commission.
(e) Legal fees incurred by the complainants, the commission, and the party complained
against, in an amount determined reasonable by the commission, shall be paid by the
unsuccessful party if the commission determines such party's complaint or defense was
groundless. "Groundless" means (1) without basis or fact, or (2) not warrited by law
or reasonably arguable interpretation thereof. The complainants shall not be liable for
such fees if the commission has determined grounds exist for a hearing.
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Section 2-331. Ex parte communications.
After a complaint has beet filed and during the pendency of a complaint before the commission,
a member of the commission may not communicate directly or indirectly with any party or
person about any issue of fact or law regarding the complaint, except at a meeting of the
commission.
Section 2-332. Hearing.
(a) The hearing shall be held as expeditiously as possible following the determination by the
commission to conduct a hearing on a particular matter. The commission may grant two
(2) postponements, not to exceed fifteen (15) days each, upon the request of the person
complained against; provided, however, the commission may also delay commencement
of a hearing for good cause such as a hurricane or unavailability of a material witness.
(b) The issue at hearing shall be whether the violation alleged in the complaint occurred The
commission shall make its determination based on the preponderance of credible evidence
in the record. All witnesses shall testify under oath. Strict rules of evidence shall not be
required: however, the commission shall require that all evidence be of such quality that
persons customarily rely on in the conduct of serious affairs. If the commission
determines that a violation has occurred, it shall state its findings in writing, shall identify
the particular provisions which have been violated, and within five (5) working days shall
deliver a copy of the findings to the complainants, the persons complained against, and
the city secretary.
Section 2-333. Oaths.
If a complaint proceeds to hearing, the commission may subpoena witnesses to attend and testify.
administer oaths, take evidence and subpoena the production of books, paper, records or other
evidence needed for the performance of the commission's duties or exercise its powers, including
its duties and powers of investigation.
Section 2-334. Sanctions.
(a) If the commission determines that a violation occurred, it shall proceed directly to
determine its recommendation of appropriate sanctions. The affirmative vote of a
majority of the members holding office and qualified to vote shall be required for the
determination that a violation has occurred and the recommendation any sanction under
this code of ethic. The commission may receive additional testimony or statements
before considering sanctions, but is not required to do so.
(b)
If the commission determines that a violation has occurred, it may recommend the
following:
Against a council member or against a board member or city official appointed or
confirmed by the council, reprimand, temporary suspension, removal or any other
sanction or corrective action within the power of the city council, or recall by the
citizens.
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2. Against a city official other than those in (1), that appropriate action be taken, as
deemed necessary by the city manager.
(c) In determining its recommendation, the commission shall consider the seriousness of the
violation, the importance of deterrence, the impact on public confidence in government,
the violations' repeated or isolated nature, the mental state with which the violation was
committed, and the prior record of the person complained against. The recommendation
shall be reduced to writing and transmitted to the supervisory authority and to the person
complained against.
(d) If the commission finds that conduct occurred which, if willful, would violate the rules
of conduct, but the commission cannot determine that the conduct was a willful violation
because of ambiguity as to the meaning of the standard of conduct involved, the
commission will recommend no sanction, but will issue a clarifying interpretation to guide
future cases.
(e) Nothing in the code of ethics shall change or affect the civil service, at will, or other
status of any employee, city official, or board member as established by the city charter
and ordinances.
(t) The city council or supervisory authority shall consider the recommendation of the
commission, but will exercise its own judgement and discretion in determining what
action, if any, to take.
(g) If the commission determines that a violation of any criminal law hu occurred, it shall
deliver a copy of its findings to the complainants, the person complained against, and the
city attorney, recommending whether prosecution should be initiated or setting forth
requirements to be compiled with in order that voluntary compliance requiremeAts may
be bad. Said findings shall also be delivered to the county attorney or district attorney,
ifs violation may be within their jurisdiction.
Section 2-335 - 2-339. Reserved.
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DIVISION 3. FINANCIAL DISCLOSURE
Section 2-340. Required reports.
On or before the last Friday of April of each year, reporting officials shall file with the city
secretary an annual report of financial information covering January 1 through December 31 of
the previous year. Council members and planning commission members shall also file with the
city secretary a supplemental report of financial information by the last Friday of July of each
year covering the most recent January 1 through June 30.
Section 2-341. Definitions.
The following definitions shall apply to these financial disclosure provisions:
Person: An individual, proprietorship, firm, partnership, joint venture, syndicate, trust, company,
corporation, association, committee, estate, receiver, entity or any other organization or group of
persons acting in concert, whether profit or nonprofit.
Relative: Spouse, father, mother, brother, sister, son, daughter, spouse's children,
grandfather, son-in-law, daughter-in-law, grandmother, uncle, aunt, nephew, niece, grandson,
granddaughter, first cousin, father-in-law, mother-in-Iaw, brother-in-law, sister-in-law, grandfather -
in -law, grandmother -in-law, uncle by marriage, aunt by marriage, nephew's wife, niece's husband,
grandson -in-law, granddaughter -in-law, and first cousin's spouse, adoptive relationships being
treated the same as natural relationships.
Reporting official: The mayor and members of the city council, city manager, deputy and
assistant city manager, city secretary, city attorney, department heads, municipal court judges
(including substitute judges), and all members of the planning commission, ethics commission,
civil service board, civil service commission, Corpus Christi Health Facilities Development
Corporation, Corpus Christi Housing Finance Corporation, Corpus Christi Housing Improvement
Corporation, Corpus Christi Industrial Development Corporation and the attorney who serves as
local issuer's counsel for and any executive employee hired by the above corporations.
Section 2-342. Content of reports.
The report required shall contain the following information for the reporting period by separate
listing. In this section, the report for the reporting official shall include all such information for
the reporting official's spouse, but information relating to the spouse need not be segregated from
that relating to the reporting official.
(a) Name and residence address.
(b) All professional, occupational, business licenses held by the reporting official.
(c) The names of any businesses with which the reporting official was actively engaged or
associated, and the principal address and phone number of each, together with the position
or title held. (This list should not include interests in or positions with any businesses
which are required to be reported in other provisions of this section.)
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(d) The names and addresses of all sources of income which exceed ten (10) per cent of the
reporting official's gross income, or five thousand dollars (55,000) in salary, bonuses,
commissions or professional fees, or twenty thousand dollars (520,000) in payment for
goods, products or non-professional services. If the reporting official is self-employed or
owns or controls at least a twenty (20) per cent interest in a partnership, corporation or
other entity through which the reporting official does business, the reporting official shall
also report the names and addresses of the clients or customers who do business with the
city from whom the reporting official, partnership, corporation or other entity received at
least ten (10) per cent of its gross income. Prior to each reporting deadline, the city shall
publish a list of the names and addresses of the persons who do business with the city in
the amount of ten thousand dollars or more each year (excluding utility services or the
payment of taxes) which reporting officials may rely upon for the purposes of complying
with this provision. A reporting official operating a business as a sole proprietor shall not
be required to report a client or customer under this subsection he or she would not have
to report if operating as a corporation or partnership.
(e) The names and addresses of all corporations, partnerships or other business organizations
in which the reporting official held, owned, acquired or sold stock or other equity
ownership having a value exceeding five thousand dollars (55,000) or equivalent of ten
(10) per cent or more of the stock or equity in the entity.
(0 An itemized list of all real property in Nueces County or any adjoining county in whieh
the reporting official held any legal or equitable ownership with s fair market value of
two thousand five hundred dollars (52,500) or more. The list shall include a description
sufficient to locate the property.
(g)
(h)
(i)
(J)
The name and address of any person to whom the reporting official was indebted in
excess of ten thousand dollars (510,000) together with the dates any such debts were
incurred. "Indebted" includes obligations on which the reporting official is a guarantor
or co-signer, in which case the names of the borrower and lender shall be listed.
The names and address of any person who is an obligor on any note, bond, loan or any
other similar obligation, written or unwritten, owed to the reporting official which -in the
aggregate equal ten thousand dollars (510,000) or more together with the dates of such
obligations.
All board of directors or governing bodies of which the reporting official is a member,
and all offices or executive positions the reporting official holds in corporations,
partnerships, limited partnerships, professional corporations, associations, or other entities,
including non -business and non-profit entities, stating the name of each entity and position
held, and excluding entities owned or created by the city.
The names and addresses of all persons from whom the reporting official received gifts
or favors, including but not limited to trips, excursions, food, lodging, money,
commodities or services, cumulatively exceeding two hundred dollars (5200) in value.
The nature and date of each gift received shall be specified. Provided, however,
campaign contributions reported as required by state law and gifts or favors from relatives
need not be reported hereunder.
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Section 2-343. Financial diaclosme by candidata.
All candidata for city council shall file an annual report of financial information covering
January 1 through December 31 of the previous year containing the information required by the
above sections with the city secretary within five days after filing for office. If the deadline for
candidate filing is after June 30, they shall also file a supplemental report of financial
information. If any incumbent candidate has previously filed a report for the appropriate
period(s), that report shall satisfy this section.
Secdon 2-344. Reports to be sworn and maintained.
All reports of financial information required by the code of ethics shall be sworn, and shall be
preserved for five (5) years as public records.
Section 2-345. Filing data of tame.
Reports required by this division must be physically filed with the city secretary by 4:45 p.m.
on the day required for filing. When the day falls on an official city holiday as established by
the city council, the deadline for receipt by the city secretary is extended to 4:45 p.m. of the next
day which is not a Saturday or Sunday or official city holiday.
Section 2-346. Failure to file import.
The failure of a reporting official or employee to file a true and accurate report u required under
this code of ethics shall constitute a violation of the rules of conduct In the event a person who
has failed to file a required report no longer serves in an official capacity with the city, that
person shall be barred from serving as an appointed officer, board member or employee of the
city in the future until the required report has been filed
Secdon 2-347. Voluntary reporm.
Any city official, employee, or board member may file reports exceeding the requirements of the
code of ethics, and said reports shall be preserved in the same manner as requires reports.
Section 2-348. Disclosure of gifts by employees.
Any employee of the city other than reporting officials, whether under civil service or not, who
received gifts or favors, including but not limited to trips, excursions, food, lodging, money.
commodities, or services, cumulatively exceeding two hundred dollars ($200) in value in any
calendar year, from any person (other than a relative) whose name is published in the list of
persons doing business with the city under section 2-342(d), shall file a report of the names and
addresses of such persons and the date and nature of each gift with the city secretary. The
deadline for filing such reports shall be Febry try 1 of each year, provided that, such a separate
report shall not be required for any employee who is required to file a report as a reporting
official.
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Section 2-349. Disclosure of intense by contractors.
(a) Any business desiring city council, board, commission or committee consideration or
action concerning that business (other than granting an electrician license, solicitation
permit and approving a plat) shall, prior to its placement as an agenda item on the public
notice of such body, file with the city (and if a vendor, file with the city's purchasing
agent) a statement specifically naming any city employee, official and board member
having an ownership interest in the business constituting three (3) per cent or more of the
ownership, or having any pecuniary interest in the transaction or property which is the
subject of consideration or action.
In the case of any business desiring to sell goods or services to the city (except when the
value of the goods or services is not reasonably anticipatrA to exceed one hundred dollars
(5100.00) per calendar year), but which does not require city council, board, commission
or committee consideration or action, the business shall file with the city's purchasing
agent a statement specifically naming any city employee, official and board member
having any ownership interest in the business constituting three (3) per cent or more of
the ownership, or having any pecuniary interest in the transaction. This provision does
not apply to or include the purchase of magazine subscriptions and memberships in
professional or trade organizations related to municipal operations.
(e) For corporate businesses whose shares are publicly traded and listed on recognised
national or regional stock exchanges or over-the-counter markets, it shall be sufficient if
a current Securities and Exchange Commission Form 10-K is filed in lieu of the
statements required by this section.
SECTION 2. If for any reason any section, paragraph, subdivision, clause, phrase, word or
provision of this ordinance shall be held invalid or unconstitutional by Clam judgment of a court
of competent jurisdiction, it shall not affect any other section, paragraph, subdivision, clause,
phrase, word or provision of this ordinance for it is the definite intent of this city council that
every section, paragraph, subdivision, clause, phrase, word or provision hereof be given full force
and effect for its purpose.
SECTION 3. Publication shall be made one time in the official publication of the City of Corpus
Christi by publishing the caption stating in substance the purpose of the ordinance, this ordinance
to become effective upon such publication.
CITY PROTECTION OF BOARD AND COMMISSION MEMBERS
When members of the city boards, commissions, and committees are acting in good faith and
within the bounds allowed by the state law, city ordinances and procedures, the City Council will
authorize the City to provide legal counsel to such members to as great an extent as possible.
(Detailed explanation is provided in Section 39-16 of the Corpus Christi Code of Ordinances.)
(b)
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APPENDIX E
CITY'S INDEMNIFICATION ORDINANCE
MS
City of
Corpus
Chnsti
PERSONNEL i 39-16
completed twenty-five (25) or more years of creditable
service for which he is entitled to credit in the Texas
Municipal Retirement System, and who has been a member
of the system for one year or more, shall be eligible for
service retirement as provided in subsection 1(b), Section
VII of Article 6243h, Vernon's Texas Civil Statutes. as
amended. Any such employee who shall have completed
twenty (20) years or more of creditable service as an
employee of said city shall continue as a member of Texas
Municipal Retirement System despite subsequent absence
from service for a period in excess of sixty (60) months,
provided he does not withdraw his deposits during such
absence, and shall be eligible for retirement upon and after
attainment of the minimum age prescribed by the Act above
mentioned. (Ord. No. 12992, § 1. 1-21-76)
Editor'. note—Ord. No. 12992. enacted Jan. 21. 1976. not amendatory of
the Coda. has been added as { 39-16 at the emcee discretion.
Sea 39-16. Legal defense and indemnification of city
officers and employees.
(a) Definition For the purposes of this section the term "offi-
cer" shall include any elected or appointed official of the city; and
the term "employee" shall include all employees of the city,
whether under civil service or not, including firemen and police-
men, and shall include authorized volunteers, working under a
volunteer program approved by the city manager -
(b) Indemnification. Any officer or employee who is liable for
the payment of any claims or damages arising out of the course
and scope of employment shall be entitled to indemnification by
the city provided that the acts or omissions resulting in such
liability were done in good faith and without malicious or feloni-
ous intent. For the purposes of this section, the term "arising out
of the course and scope of employment" shall not include any
action which occurs during a period of time in which the officer or
employee is engaged in outside employment or is rendering con-
tractual services to someone other than the city. Whether the
acts were done in good faith, without malicious or felonious in-
tent, and within the course and scope of employment shall be
determined by the city, and such determination shall be final for
the purposes of the representation and indemnity of this section;
Supp. No. 26 3336.1
51
1
f 99.16 CORPUS CHRIST! CODE
provided, however, that in the event such representation and
indemnity have ban denied by the city, if upon a trial on the
merits the city determines that the officer or employee was act-
ing in good faith, without malicious or *donjons intent and within
the scope of employment the indemnification hereunder shall be
grantedatha claim and
reimbursed.cern1' The le legal expenses incurred in the defense of
city shall not be liable for any settle-
ment of any such claim or suit effected without consent, and the
city reserves the right to assert any defense and make any set-
tlement of any claim or suit that it deems expeditor
(c) Representation in actions The city shall have the right and
duty to provide legal representation through the city attorney, or
in its discretion through the selection of outside legal counsel, to
any officer or employee sued in connection with any claim for
damages or other civil action against such person arising out of
the course and scope of employment, provided that such ofilcer or
employee is entitled to indemnification as set forth in this sec-
tion. Such legal representation shall be provided at no cost to the
officer or employee, and any officer or employee may have his or
her own counsel assist in the defense at the sole expense of the
officer or employee. The officer or employee shall cooperate fully
with the city in preparation and presentation of the case, and the
failure to cooperate shall waive such officer's or employee's right
to representation and indemnity under this section.
(d) City's defenses. Nothing in this section shall be
construed as waiving the city's defense of governmental
immunity to it or its employees or officers in any action
brought against the city or such officer or employee. For any suit
or claim arising under the Texas Tort Claims Act, the indemnity
provided by this section shall be limited to the s,atutory limits.
applicable to the city provided in said Act, as amended.
(e) Notice. The provisions of this section shall apply only
where the city has been givtu notice of the action brought
against any city officer or employee within ten (10) days of
service of process upon the officer or employee.
(0 Disciplinary actions. Nothing in this section shall
prevent the city from taking disciplinary action against any
officer or employee for conduct defended or indemniCad by
Supp. Na 26 3336.2
T T
52
PERSONNEL 1 39-17
the city under this section, either before or after conclusion of the
civil suit.
(g) Suits in behalf of the city. Nothing in this section shall
require the city to indemnify any officer or employee for recover-
ies made against him or her in suits by or on behalf of the city.
The city council may, however, authorize the city attorney to
represent any officer or employee in a suit brought by a taxpayer
in behalf of the city against the officer or employee. (Ord. No.
14820, 1 1, 5-17-78; Ord. No. 17867, if 1-3, 10.6.83; Ord. No.
19863, 1 1, 7-21.87; Ord. No. 19864, 1 1, 7-21-87)
Sec. 39-17. Political activities of city employees.
(a) Purpose. The purpose of this section is to clearly establish
prohibited and permissible political activities for all city employ-
ees, classified or unclassified, except those otherwise regulated
by federal or state law.
(b) Policy. It is the policy of the City of Corpus Christi that city
employees be prohibited from taking an active part in campaigns
for city elective office except as a candidate for an office under the
City Charter. It is similarly city policy that, except where ex-
pressly provided otherwise, city employees shall have the right to
fully participate in political activities other than campaigns for
city elective office. It is the purpose of this section to specifically
delineate those activities which city employees may and may not
participate in.
(c) Regulated activities
(1) To avoid undue influence of city employees on the outcome
of city council elections and to avoid undue influence of
city councilmen or candidates for city council on city em-
ployees, the following restrictions are imposed:
a. No employee of the city or association of such employ-
ees may publicly endorse or actively support candi-
dates for the city council or any political organization
or association organized to support candidates for the
city council;
b. No employee of the city may circulate petitions for city
council candidates. although he may sign such a petition:
Supp. No. 26 3336.3
53
APPENDIX F
WIRE AND ELECTRONIC SERVICES
of
Cod us
Christi
3.09 Surrender of Interest on Securities. Upon the request of the
Depository, the City shall surrender, when due, interest coupons
or other evidence of interest on securities if the remaining
value of the securities pledged are adequate to meet the
requirements of this Agreement.
3.10 Records and Audit. The Depository shall maintain separate,
accurate, and complete records relating to the deposit of public
funds, the pledged investment securities, and all transactions
relating to the pledged investment securities. The custodian
shall maintain separate, accurate, and complete records regarding
the pledged investment securities. All such records shell be
subject to any internal or external audit or regulatory
examination of the depository or custodian, such audit or
examination to ascertain whether the records and pledged
investment securities are in compliance with the Public Funds
Collateral Act, Article 2529d Vernon's Civil Statutes Annotated.
ARTICLE 4
Account Transfers
4.01 Electronic. Telephonic. Telegraphic or Oral Reauests for Account
Transfers. The Depository is authorized to honor, execute and
charge City accounts for electronic, telephonic, telegraphic or
oral requests: (see the Addendum to Article 4)
for the transfer of funds from designated City
any other City bank account, whether the account
Depository or another financial institution; or
for the transfer of funds from designated City
the account of or the credit of a third party,
third party account is with the Depository
financial institution.
All requests must be properly identified as being
Authorized City Representative in compliance
Depository's transfer procedures.
4.02 Internal Transferg. An Authorized City Representative will
periodically need to transfer funds from one City account to
another to reimburse Payroll, Vouchers Payable, and other
accounts.
accounts to
is with the
accounts to
whether the
or another
made by an
with the
4.03 Instructions for Transfer The Depository shall act upon all
transfer requests, including written requests, on the date
received, use any means for the transmission of the funds the
Depository may consider suitable up until 2:30 p.m. The
Depository shall provide verbal confirmation and written advice
to the City of each transfer.
4.04 Records. The Depository shall record all telephonic instructions
from the City received by the Depository's wire transfer
department and retain the recordings for sixty-one (61) days (the
period for City notification of discrepancies) following such
requests. The City agrees to report any discrepancies between
the City's records and the bank statement to the Depository's
wire transfer department in writing within sixty-one (61) days
after the statement date.
CA
4.05 Discrepancies/Loss of Interest/Error. In the event there is a
loss of interest or use of funds as result of a Depository error
for failure to execute a transfer request on the date received,
or such other error within the Depository's control, the
Depository agrees that compensation for loss shall be corrected
by adjusting the aggregate ledger and collected balances of the
City accounts to reflect properly the average balances of the
amounts that would have resulted had no error occurred. The
compensation provided by this section shall not exceed sixty-one
(61) days from the initial date of a discrepancy.
4.06 Desianated Accounts. Account transfers are to be made from the
other accaunts as designated by an Authorized City
Representative. The City agrees to supply the Depository, in
addition to Addendum A, all other information that the Depository
may reasonably request.
ARTICLE 5
Other Services
5.01 Bailor/Bailee Relationshic. Until deposits are credited to the
City as evidenced by validation of duplicate deposit slips, the
relationship between the city and the Depository as to all
contents shall be that of Bailor and Bailee. The Depository
shall be responsible and liable to the City for use of that
degree of care required under the laws of Texas for Bailees
having custody of property of other persons.
5.02 Overdraft Charges. Please see the Addendum to Article 5 and
clarification letter dated 6/01/92.
5.03 Custody Safekeeping of Governmental Agency Securities. The
Depository agrees to handle all purchase and sale of securities
on a delivery versus payment basis. The cost of safekeeping
securities, processing purchase/sale transactions, and coupon
interest payments need to be listed on Custody Safekeeping and
Securities Clearance Fees, Addendum F.
ARTICLE 6
General Provisions
6.01 Automated Clearing House Membership. The Depository needs to be
a participating bank in the Southwestern Automated Clearing House
Association to be able to deliver debit and credit payments. The
Depository acknowledges that it shall comply with the rules, as
may be amended, for the notification, posting, or transfer of
funds by means of electronic credit transfer facilities. The
Depository is required to comply with the procedures of the
Association including, but not limited to, matters such as input
format, data acceptance criteria, return item handling, adjusting
entries, and dishonored entries.
6.02 Charaina of Fees. The Depository is authorized to charge the
City accounts upon direct authorization by an Authorized City
Representative for:
Bank's desdlioa/ and when sorb eseenion or error was within Bank's e,trai, will be tar a Sod not etoseangthe Sdstsey
(601 days or the period between the data d the regost end the dab et actual transfer err error correction. and will MaaMhrdthe
following farms se the option at Bank (al adjusting Customers account balenaets) at Bask to reflect properly the average balms
that woad have resited had no error occurs** err Ib) reimburse Oise: an amount equal to intervert ata rate nee essedintthe
average Federal Fonda rate competed en a daily basis for the period and amount in question. In any event, Bank abase. be Mak
for payment orofdoagnadainflout dormconnection withapaymentorderorAndatramdeafteroneyearflemt sdsed
such payment cedar ar funds transfer.
E. laupeeratally d FIs.
1. Beak ad Mn m reepanil'ily or nobility kr any instancy, interruption or delay in trosiesion and for slims occasioned
by sayers including any act or More to as by a third person or entity, beyond Banka naeenableeenerel.
2. Cnstomerwill held Bask hands and indemnify Bank for any and all claims. demands, repos (including but not limited
to attorneys dead erste), loam or damage Jany nature whatsoever arising directly or indirectly from aoysat ceder
initiated seat to tore Terms and Conditions, any addenda to them Terme and Conditions, or other IS= raided to
these Ta ed CodWons, including but not limited to any election made by Bank order Section 1184 abowdthese ern
and Conditions, ens foe lishi"ty to Customer sod by neglise or wilRld misconduct et Bank. In no event Sol Desk be
liable for say punitive. special, eooeegaenoal or inddeatal damages, ten if Bank has been informed of the possibility etsuch
damages. maps as allowed by law.
3. C- —w ass tel reepeesihnky far all traders matted by Bank in god faith and in accordans wile those
procedures, airs thus Bask shall be conclusively deemed to have discharged its duty to act in good faith if it has followed the
trasafer Sedum se contained in Edbr3its A. B. C, D. and E or other documents of similar pinyon, and apsetbat Bank
sacs no respooik ivy beyond its duty to codes ordinary ire.
F. C ,.,, . >. Customer will keep confidential all repetitive transfer numbers and all PINS of Customer and all the
names of Authorized Representatives, and Bank shall have no liability for lasses oonnoned by unauthorized as to such
information.
G. pine. Customer will pay Bank for services under these Terms and Conditions in aaordence with Bank's fee schedule, u amended
from ume to time as provided in Section 11112 below. Bank may deduct any fees due under this Agreement from any amount of
Customer with Bank and may deduct its fees for an incoming funds transfer from the amount of such funds transfer.
Ii AswrnlamoS.
1. Bonk may thongs, add or delete any procedures established pursuant to the Terms and Conditions, from time to time as
provided in Section 2 below. In the event there is a change by Customer to any Exhibit, such change shell be m writing, signed
by Customer and shall not be effective until such time as it is received and copied by Bank's Funds Transfer Dleision ed
Bannr has bad s :stable opportunity to act on it. Any other modification or amendments by Customer to these Terms and
Conditions shall be in writing and signed by Customer and shell be effective when accepted by Bank.
2. Ude applicable low provides otherwise. Bank may at any time amend Bank's fee schedule and the Terms and Coditioa
upon 30 days written notice to Customer in accordance with Art. 1. Chapter VQ of the Teas Banking Code.
I. NNlses.
1. Any notice to be given under the Terms and Conditions, if by Customer shall be in writing, signed by Customer and shall be
considered to be given when received and accepted by an appropriate person in Bank's Funds Transfer Division and Bank hes
had a reasonable opportunity to act on it and if by Bank except as provided in Section 11132 above. may be and or in writing
and shall be effective when given.
2. Bank shall be protected in acting upon any form of notice which it in pod faith believes to be genuine and what it purports to be.
J. addNberd Pewdalows.
1. The accounts with Bank affected by these Terms and Conditions shall continue to be governed by the deposit agreement
issued by Book on such types of accounts, as it may be amended from time to time, except to the extent such agreement may
be inconsistent with the terms.
2. If any section, provision or condition of this Agreement is deemed invalid or unenforceable, the enforceability of the remaining
provisions shall not be affected.
3. These Terms and Conditions may be terminated at any time by Bank or Customer by notice as provided in Section 11I1 above:
provided. thus the provisions d Sections 11E2 and 11E3 above shall survive any termination of these Terms and Conditions.
4. The Terms and Conditions shall be governed by and construed in accordance with the laws of the State of Teas, and venue
for any action brought pursuant to this Agreement shall be in 3OZOCounty, Texas.
Nueces
* e
NationsBank of Texas and City of Corpus Christi agree that this
agreement amends and/or adds to the master agreement between NationsBank
of Texas and City of Corpus Chri
dated June 9, 1992
Return to:
NationsBank ofTeaa, NA.
P.O. Box 831153
Dally, Tem 75283-1153
il
Oster
56
City of Corpus Christi
By (N.r lyydw relit
!C e G. Vela, CPA
St t kl1SL.et./
mth Director of Finance
Dots
/h2i
0 Oh.--
56
Nsiens-ankeffete. "LA.
PadaEMMEN&
The following Terms and Conditions will apply to the train of funds hos the a000mn& of the amdersieed Customers' NslosBeak of
am. NA rBeki. a a
I. toast seed Assawils. Bank is hereby authorised to:
A Hadar, matte and charge m the acoomntie) of Customer any and all telephonic. We raphic or cementer mmmteando ode is
payment orders br funds transfers. 6) front Castes or. (ID hoe an Authorised 3.,.. —tin of Customer s daslgased in
ExhbitA, err wads 11011111111111116 of evde porter, which 1. atteebed hereto and incorporate herein tar all papas Hiner
authorizations me1 4. ' nsmemadamacmdsncewithBalesproceduressforthbeisw.Bankmaytranderf)sSheaths
seeountf) of Cam anehmisd in Exhibit B. or rather docent of emits purport. which le attend hawse andfeeerperete
here kr all pun see.benduponsnermretithebhlowina
1.. Telephees payment mem for horde transfers as authorised in Ezhbit A. to se eceoantie) d Oman n e /e the earearb)
da third party remedies of whether thane amounts an with Bank r with another bank or institution.
2 Pr edaaeressi criteria contained in Exhibit C, or another document d.;mils purport. which is stashed hmamend
incorporated baa for all purposes.
3. Predetermined erten °Detained in Exhibit D, or another document details purport, which is attached hareem and incor-
porated here for elf purposes.
4. Payment orders initiated by Customer through a computerise eommn.iotlen system site the mane of Wan E. or
another domes of similar purport, which is attached bane ad incorporated harem kr all purpose by Costner and the
acceptance by Bank. The trine of &debit E shall be in addition to these Terms and Condition&
5. Payment orders initiated by another finamciahinstitution to treater funds an behalf of Customer to such finance institution.
B. Use its best efforts to provide Customer with a daily advice regarding each completed funds transfer involving any amount affected.
IL Custr n Cowaerafa.In consideration of obligations of Bank hereunder, the Cuate :ar agree
A. Panne Onion ad Pads Tnawdssp
1. Bank shall be under no obligation to comply with any payment order or make any funds trader which would eased the
available collated halenos of funds on deposit in the Customer" accounts at Bank, s determined by Beek.
2. Customer shall haw no right to cancel or emend a payment ardor after it ;s secopted by Bank ewe veer meted
agreement In the awe fan erroneous or othrwi . i ngdsr Ands trendsr Bank mum but shall not b._.2to. en its
own initiative, reuse a receiving bank beneficiary' bank r a beneficiary to return the funds previously trseeferred on
behalf of Cuatamer. A payment order issued by Customer is paid at the time the payment order a executed. at the time the
transfer s credited to the bene6darye account en the books of Bank, or at the time the advice anode far swig teanir is
sent or telephoned to the beneficiary by Bank, whichever Oman first.
3. Bank is authorized to record mechanically any telephonic instructions received by Bank from Customer honer. Bank has
no duty to record any such in stvaions, and the decision to record such instructions is totally within Banks aeration.
4. Bank may hada payment orders from Customer and those which it may receive from other customers in say rder selected
by Bank in its sea discretion, and Bank may use any mss or mutes which it, in its eon discretion. may censidr suitable for
erecting a payment order.
5. Bank may establish a e utodtime or times on a f unds-tiamir business day for the receipt and processing of payment orders
and oommaoicatios canceling or amending payment oraen. Any payment order or communication reared after such cut-off
time or on a Saturday, Sunday or bank holiday shall be deemed received on the next funds -transfer bens day.
6. Bank and any subbsequst receiving bank may execute payment orders for the transfer of funds to • ben fidssy in the name of
the bens6dary and/or the account number of the beneficiary furnished to Bank by Customer. In the event there is a
discrepancy between the name of the beneficiary and the account number, the payment order may be executed by um of the
account number.
B. Seswsfly Primed MOS Customer will be subject to the following security procedure:
L Bank will ism a Persona Identification Number (PIN) to Customer and to each Authorize Representative designated to
initiate payment orlon on behalf of Customer.
2. The PIN will be furnished to Bank at the time a payment order is initiated and will be conclusive ideati6rtie and
authorization of the seder.
3. Bank, at its option, may verity that a payment order or communication amending or canning a payment order is that of
Customer by calling Customer at the telephone number specified by Customer. This number may be changed by written
request of Customer.
4. Bank may elect not to act upon a payment order, for Customer" protection, if the payment order is not initiated in accordance
with security procedures, if Bank is unable te obtain proper verification of such payment order aatisfid wy m Bank" if then
is any inconsistency between a payment order and information previously supplied to Bank.
C. Ravin ei Stalassets ad Advises. Customer will review promptly and reconcile Customer's statements of account sent by
Bank and shall report to Bank; Funds Treader Division any discrepancies betvreen the Beek records and Customer mads within
a reasonable time. not to exceed thirty (30) calendar days from the aliffidattairgiftialealablIMILIMMEibliMathiC
due of the statement of a xion The failure of Customer to notify Bank of any discrepancies within the speeded time period will
relieve Bank of any liability with respect to any compensation provided for in Paragraph IID below.
D. Caspar Sas Sublet to Paragraph IIC above, convention, if any, for the loss of interns or use of Ainds ds Cuetamr as a
result of a Be . to error or Bank's hilare to execute a transfer request on the date Waived (if such request was received prior to
43 10051(5.,. 1/921 TX 57
APPENDIX G
INVESTMENT POLICY RESOLUTION
Illiewotsoftion
11 T 7
City of
Corpus
Christi
A RESOLUTION
ADOPTING A CITY INVESTMENT POLICY FOR THE INVESTMENT OF
ALL CITY MONIES.
WHEREAS, the Public Funds Investment Act, Chapter 2256 Texas Government Code, was
amended by the 74th Legislature; and
WHEREAS, the City needs to adopt a new City Investment Policy to be in compliance with
the new state laws.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF CORPUS CHRISTI, TEXAS:
SECTION 1. That a new City Investment Policy is hereby adopted. A copy of the City
Investment Policy is attached and incorporated as Exhibit A.
PASSED AND APPROVED 1995.
ATTEST:
Armando Chapa, City Secretary, Mayor Mary Rhodes
City of Corpus Christi. Texas City of Corpus Christi, Texas
The foregoing Resolution was approved prior to passage as to form and correctness this the
"7 day of CO (-40:11,2-7 , 1995.
By:
h:AG95\5000.793
James R. Bray
City Attorney
Alison Gallaway
Assistant City Attorney
A RESOLUTION
APPOINTING INVESTMENT OFFICERS AND AUTHORIZED CITY
REPRESENTATIVES TO IMPLEMENT THE CITY INVESTMENT POLICY
FOR THE INVESTMENT OF ALL CITY MONIES.
WHEREAS, the Public Funds Investment Act, Chapter 2256 Texas Government Code, was
amended by the 74th Legislature; and
WHEREAS, the City needs to adopt a new City Investment Policy to be in compliance with
the new state laws; and
WHEREAS,the City needs to appoint Investment Officers and Authorized Representatives
to implement the new City Investment Policy.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF CORPUS CHRISTI, TEXAS:
SECTION 1. That the persons holding the following positions are hereby appointed as
Investment Officers of the City of Corpus Christi and are authorized to implement the City
Investment Policy adopted by Resolution No. , as it may be amended:
City Treasurer
Investment Analyst
SECTION 2. That the persons holding the following positions are hereby appointed as
Authorized Representatives of the City of Corpus Christi and are authorized to implement the City
Investment Policy adopted by Resolution No. , as it may be amended:
Director of Finance
Chief Accountant
City Treasurer
Controller
PASSED AND APPROVED , 1995.
ATTEST:
Armando Chapa, City Secretary, Mayor Mary Rhodes
City of Corpus Christi, Texas City of Corpus Christi, Texas
h:A6:95`5000 799
The foregoing Resolution was approved prior to passage as to form and correctness this the
19 day of (2rthrhs c 1995.
James R. Bray
City Attorney
By: 22Pt,ci
Alison Galla y
Assistant City Attorney
h.\ AG\95\5000.799
Corpus Christi, Texas
24 Day of VC
btu' 19 qg
The above resolution was passed by the following vote:
Mary Rhodes
Dr. Jack Best
Betty Black
Melody Cooper
Tony Heldenfels
Betty Jean Longoria
John Longoria
Edward A. Martin
Dr. David McNichols
h:\AG\95\5000.793
1
J
i^
atAAA
4
Ckix-