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HomeMy WebLinkAboutResolution No. 93-47 RESOLUTION NO. 93-47 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FRIEHDSWOOD, TEXAS, AUTHORIZING THE MAYOR TO EXECUTE A FIVE Y�AR DEPOSITORY CONTRACT AND AGREEMENT BY RKD HETWEEN THE CITY OF FRIENDSWOOD AND TEXAS COMMERCE BANK- FRIENDSWOOD. * * * * * � * * * * * * BE IT RESOLVED, by the City Council of the City of Friendswood, Texas, that the Mayor be, and is hereby authorized to execute for and on behalf of the City, a five year Contract and Agreement, a copy of which is attached thereto and made a part hereof, by and between the City of Friendswood and Texas Commerce Bank-Friendswooci, whereby such bank will serve as official depository for city funds. PASSED, APPROVED A13D ADOPTED, this 6th day of Deeember, 1993. � �� ���� Mayor E'e lyn B. ewtnan ATTEST: C Deloris McKenz e, C City Secretary R93-47/LST03 DEPOSITORY CONTRACT FOR THE CITY OF FRIENDSWOOD, TEXAS � STATE OF TEXAS COUNTIES OF GALVESTON A13D HARRI S This Contract is made and entered as of the 15th day of November 1993, by and between the City of Friendswood, Texas, hereinafter referred to as "City," acting by and through the City Council of the City of Friendswood, and Texas Commerce Bank-Friendswood Branch, located within the City of Friendswood, Counties of Galveston and Harris, Texas, hereinafter referred to as "Depository Bank" or "Bank." W I T N E S S E T H WHEREAS, the City Council of the City of Friendswood requested and received Requests for Proposals, hereinafter referred to as "bid, " for the depository of City funds; and, WHEREAS, Depository Bank submitted the most advantageous bid and was, therefore, duly designated City Depository by Resolution No. R93-4? dated December 6, 1993, to serve as depository from December 1, 1993 , through November 30, 1998, and thereafter until, at the sole discretion of the City of Friendswood, a successor depository shall be duly selected and qualified according to state law; now, therefore: 1. That pursuant to Resolution No. R93-47 , passed and approved on the 6th day of December 1993, Depository Bank is � � designated as Depository Bank for the time and demand deposits of the City of Friendswood, Texas, for a period commencing on December 1, 1993 , and continuing through November 30, 1998, and thereafter until, at the sole discretion of the City of Friendswood, a successor depository shall have been duly selected and qualified according to state law. 2. Depository Bank agrees to follow, abide and be bound under the terms of the bid which it submitted to and which was accepted by the City Council of the City of Friendswood, a copy of said bid is attached hereto as Exhibit "A" and is incorporated herein by reference as if fully set forth verbatim herein. 3. Depository Bank states that it is a banking institution chartered under the laws of the United States or of the State of Texas and that its banking house is located within the city limits of the City of Friendswood, Texas. 4. Depository Bank agrees to faithfully perform all of the duties hereof , as provided by the laws of the State of Texas, and will safely keep and disperse all funds coming into it as depository, and faithfully pay over to the successor all funds remaining in the depository, and does guarantee and indemnify the City against all loss, cost or expense, including reasonable attorney' s fees, arising out of or related to the failure to perform duties imposed by law or this Contract. 2 ,. . The term "funds" shall be considered to mean all cash, securities and investments, sinking funds, trust funds, and other � � funds or assets that may come into the possession of said Bank by virtue of this Contract. 5. Bank states that it is not now, nor will it become, delinquent in the payment of any taxes, fees, assessments or any other sum due and owing to the City of Friendswood. Bank further states that it is not in default or in noncompliance with any agreement or contract with the City of Friendswood. 6. The City shall not be required under the terms and conditions of this Contract, to place with the Bank, time deposits which carry a maturity date beyond the term af this Contract; however, the City may, at its option, do so. In the event the City places time deposits with the Bank that mature subsequent to the term of this Contract, all deposits previously invested may, at the sole election and discretion of the City, remain on depasit until maturity. ? . Notwithstanding any other provision contained in this Contract to the contrary, the City reserves the right to invest its funds in other banking institutions in accordance with the Public Funds Investmen� Act (Act of May 22, 1993, Chapter 268, Section l, 1993 , Session Law Serv. , 587 , 864-869) . In the event the City shall desire to convert a part or a11 of the public funds invested under this Contract, to cash or in such other manner as the City desires, the Bank agrees to make such funds available without delay, subject to regulations imposed by appropriate bank regulatory authorities; City agrees that upon payment of said funds 3 to the City, it shall provide a release of bonds or securities as provided for in the bid. " 8. The Bank covenants and agrees that in the event any of the terms, covenants or conditions of the bid document, this Contract document or the safekeeping agreement are in any way breached or violated or, for any reason, the Bank has failed to perform under the terms and conditions of said documents andJor agreements, the City Council of the City of Friendswood reserves the right to terminate this Cantract or any agreement entered into subsequent to or by reason of the bid previously submitted by the Bank and shall have the option of withdrawing all or part of the time and demand deposits from the Bank, including principal and accrued interest, or in the alternative, to allow said funds to remain on deposit until maturity. However, notwithstanding whatever election the City Council of the City of Friendswood may make, the said City Council shall have the right at all times during the term hereof following any such breach or violation to terminate this Contract and any other agreement or contract executed subsequent to the bid heretofore previously submitted by Bank. 9. Notwithstanding the provisions set forth herein for the term or termination of this Contract, in the event the City shall elect to leave on deposit with the Bank time deposits which mature after the expiration of the term or after termination of this Contract, then all the terms, provisions and conditions of this Contract, which shall be for the benefit and protection of this Contract, which shall be determined by the City, shall continue and be binding until all funds have been paid to the City, and the 4 final release of the City of Friendswood has been duly executed by the Director of Administrative 5ervices and delivered to Bank. SIGNED AND EXECUTED in duplicate originals on the dates so indicated. Texas Commerce Bank - Friendswood BY. , President and Chief Executive Officer Date: December 16 , 1993 ATTEST: � CITY OF FRIENDSWOOD, TEXAS By: � �- Evel�n Newman, Mayor Date: December 6, 1993 ATTEST: . . Deloris McK nzi , TRMC/CMC City Secretary Approved As To Form: Ci y Attorney 5