HomeMy WebLinkAboutResolution No. 87-05 RESOLUTION N0. R 87-5
- A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF FRIENDSWOOD, TEXAS, AUTHORIZING THE MAYOR
TO EXECUTE A CONTRACT AND AGREEMENT BY AND
BETWEEN THE CITY OF FRIENDSWOOD AND TEXAS
COMMERCE BANK.
BE IT RESOLVED by the City Council of the City of
Friendswood, Texas, that the Mayor be, and he is hereby
authorized to execute for and in be�alf of the City, a Contract
and Agreement, a copy of which is attached hereto and made a part
hereof, by an� between the City of Friendswooa and Texas Commerce
Bank - Friendswood, whereby such bank wili serve as of�icial
depository for city funds.
PASSED, APPROVED AND ADO�TED this 2nd day of February, 1987 .
CITY OF FRIENDSWOOD, TEXAS
Ralph . Lowe, Mayor
ATTEST: �
�d c
s
Delo is McKenzie CM
City Secretary
DEPOSITORY CONTRACT FOR THE
CITY OF FRIENDSWOOD, TEXAS
STATE OF TEXAS
COUNTIES OF GALVESTON
AND HARRIS
This Contract is made and entered into on this 2nd
day o£ Februarv , 1987 , by and between the City of
Friendswaod, Texas, hereinafter referred to as "City" , acting by
and through the City Council of the City of Friendswood, and
Texas Commerce Bank - Friendswood , 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 Froposals, hereinafter
referred to as "bid" , for the deposi�ory of City funds; and,
WHEREAS, Depository Bank, submitted the most advantageous
bid and was, therefore, duly designated City Depository by
Resolution dated February 2 , 1987 , to serve as depository
from January l, 1987 , through December 31, 1988 ,
and thereafter until, at the sole discretion of the City of
Friendswood, a successor depository shall be duly selected and
qualified according to state Iaw; now therefore:
1 . That pursuant to Resolution No. R87-3, passed and
approved on the 2nd day of February , 1987 , Depository
Bank is designated as Depository Bank for the time and demand
deposits of the City of Friendswood, Texas, for a period
commencing on 1-1-87 and continuing throughl2-31-88 ,
1988 , and thereafter until, af 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 af 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 ail 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.
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 of this
Cnntract; however, the City may, at its option, do so. In the
event the City places time deposits with the Bank that mature
subsequent �o the term of this Contract, all deposits previousiy
invested may, at the sole election and discretion of the City,
remain on deposit until maturity.
7 . In the event the City shall desire to convert a part or
all 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 to the City, it shall provide a
release of bonds or securities as provided for in the bid.
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. � .
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 and/or
agreements, the City Council of the City of Friendswood reserves
the right to terminate this Contract 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 final release of the City of Friendswood has been
duly executed by the Director of Finance and delivered to Bank.
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SIGNED AND EXECUTED in duplicate originals on this 19th
day of February , 1987 .
TEXAS COMMERCE BANK-FRIENDSWOOD
By:
Paul Maaz, President
and Chief Executive Officer
ATTE5T:
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CITY OF FRIENDSWOOD, TEXAS
Ralph L. Lowe, ayor
ATTEST:
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City Secretary
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