HomeMy WebLinkAboutC2014-358 - 11/18/2014 - Approved i
TELEPHONE TELEPHONE.
210-930-4000
361.861-1131
FAX etsa„., FAX210-930-4001
��1 361-881-9220
�p INVESTMENT BANKERS �Q
950 gra'Memo Cid �oel�s J2oe L M
Y.mseci.7Cc1o� Lam.. 5 /701
Sitiontie t_reaard 7820978.5> 7807,1707
December 1,2014
City of Corpus Christi,Texas
1201 Leopard
Corpus Christi,TX 78401
Re: Up to $115,000,000 City of Corpus Christi, Texas Utility System Junior
Lien Revenue Improvement Bonds, Series 2015A and Up to $115,000,000*
Variable Rate Junior Lien Revenue Improvement Bonds,Series 2015B
*******************************************************************************
In regard to serving as the City's financial advisor and consultant, we submit the
following proposal or agreement for your approval and acceptance.
1. Term. This Agreement shall be terminated by the delivery to the Purchaser of
all the securities described above, whether delivered all at one time or in installments. It
may be extended for an additional period by mutual agreement in writing. This
agreement may be terminated at any time by either of us by giving thirty (30) days
written notice to the other party.
2. Duties. The duties and responsibilities to be performed under this agreement
include consulting and advising the City in the development and implementation of a
financing plan for the issuance and sale of up to $115,000,000 City of Corpus Christi,
Texas Utility System Junior Lien Revenue Improvement Bonds, Series 20I5A and up to
$115,000,000* Variable Rate Junior Lien Revenue Improvement Bonds, Series 2015B
3. Compensation. The fee will be based on the size of the issue,and computed on
the attached schedule, Exhibit A. The fee will be due and payable from the proceeds of
the Bonds. We would expect to be reimbursed for actual out-of-pocket expenses for
telephone, photocopies, facsimile transmissions, printing, computer, if any, and travel
incurred in connection with ratings, municipal bond insurance or Closing of such
financing(s).
4. Special Conditions. In addition to the terms and obligations herein contained,
this proposal and agreement is subject to the following special conditions:
a) M. E. Allison & Co., Inc. will incur and pay on behalf of the City the
approved expenses in relation to the issuance of the Bonds and will submit said
expenses for reimbursement at Closing. Approved expenses will include, but
not be limited to, printing, shipping and posting of Official Statement, printing
of Bonds, and travel expenses in relation thereto, Bond sale advertisements,
municipal bond insurance premiums,Attorney General's fees,etc.
2014-358
11/18/14 hange.
M2014-152 Continued ...
M.E.Allison & Co. Inc. INDEXED
e/UG. sik w
INVESTMENT BANKERS
December 1,2014
City of Corpus Christi,Texas
1201 Leopard
Re: Up to $115,000,000 City of Corpus Christi, Texas Utility System Junior
Lien Revenue Improvement Bonds, Series 2015A and Up to S115,000,000*
Variable Rate Junior Lien Revenue Improvement Bonds,Series 2015B
Page 2
(b) The City will pay Bond Attorney, Rating Agency fees and Paying
Agent/Registrar directly or will direct M. E. Allison & Co., Inc. to pay these
fees on behalf of the City from the cost of issuance proceeds subsequent to the
closing of the bond transaction.
(c) The City will at all times remain responsible for all fees incurred on
behalf of the City in relation to the proposed bond issue. In the event the
contemplated issue is not completed,the City will not owe the financial advisory
fee to M. E. Allison & Co., Inc., but the City will remain responsible for all
expenses incurred by the Firm on behalf of the City as well as all direct
expenses of the City including Bond Attorney and Rating Agency fees.
5. This proposal is submitted in duplicate originals. When accepted by the City, it
will constitute the entire agreement between the City and the undersigned for the purpose
and considerations herein specified. Your acceptance will be indicated by proper
signatures of your authorized officers or representatives on both copies and the returning
of one executed copy to us.
Respectfully submitted,
M. E. ALLISON&CO., INC.
By f
Auth ized Representative
ACCEPTED an behalf of the City of C. us C ti, Texas r y of
Of,mhP.A2, ,2014. \
ATTEST:
-, U!t1Urc�c�,
p , fl COM
City Secretary
SECRETA goy
*Preliminary,subject to change
TELEPHONE TELEPHONE
210-930-4000 � /��yj� (FAX361-861-1 1 31
210-930-4001 e.��'!�. V. l.,J'�����IGt(�1(y!L L� � �i 361-881-9220
��pp INVESTMENT BANKERS �/' �p
950 C�L(.ami �%!,aaa croa,-pX;a9s67J-1,r�otciiipw
wet
eee4/701
Ja.,aeSfitiondrei ,Yanget 7820ft1 1 a 7c kYw a 788O1,1TO7
EXHIBIT A
FINANCIAL ADVISORY FEE SCHEDULE
GENERAL OBLIGATION BONDS
And Not
More than More than
$ $ 250,000 $7,500 plus$20.00 per$1,000 for all over$150,000
250,000 350,000 $9,500 plus$10.00 per$1,000 for all over$250,000
350,000 500,000 $10,500 plus$8.00 per$1,000 for all over$350,000
500,000 700,000 $11,700 plus$7.00 per$1,000 for all over$500,000
700,000 1,000,000 $13,100 plus$6.00 per$1,000 for all over$700,000
1,000,000 1,500,000 $14,900 plus$5.00 per$1,000 for all over$1,000,000
1,500,000 5,000,000 $17,400 plus$3.00 per$1,000 for all over$1,500,,000
5,000,000 10,000,000 $27,900 plus$1.65 per$1,000 for all over$5,000,000
10,000,000 20,000,000 $36,150 plus$1.00 per$1,000 for all over$10,000,000
20,000,000 No Limit $46,150 plus$0.85 per$1,000 for all over$20,000,000
REVENUE BONDS, COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION,
REFUNDING BONDS, OBLIGATIONS USING A REVENUE SOURCE AS REPAYMENT, DIRECT
SUBSIDY OBLIGATIONS OR LEASE PURCHASE
In the event the Bonds to be issued are Revenue Bonds or Combination Tax and Revenue Certificates of
Obligation, Refunding Bonds, Obligations using a revenue source as repayment, Direct Subsidy Obligations or
Lease Purchase,the fee shall be the amount computed from the above schedule, plus 25%.