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HomeMy WebLinkAboutContract 41645-R1 CITY SECRETARY CONTRACT N0. 1416 45- EXTENSION NOTIFICATION under CITY SECRETARY CONTRACT NOS.41645 and 41645-A1 GLOBAL SECURITIES AGENCY LENDING AGREEMENT Citibank, N.A. 388 Greenwich Street 7`h Floor New York, New York 10013 Attention: Securities Finance Compliance Officer Ladies and Gentlemen: Reference is hereby made to the Global Securities Agency Lending Agreement, executed on March 31, 2011, as subsequently amended(the"Agreement"), by and between the CITY OF FORT WORTH(the "Lender") and CITIBANK, N.A. ("Agent") Pursuant to Section 15 of the Agreement, the Lender hereby notifies the Agent that it has elected to renew the Agreement for an additional one year term commencing on April 1, 2012 and ending March 31, 2013. Executed on this AL day ofd, 2012. Ptp n l CITY OF FORT WORTH By: N e: S V s", (�a 'S Title: . ATTEST: --� ,a ' �° By: Name *%00000000 V a n o° d APPROVED AS TO FORM AND LEGA��Ad�4 By. : act Authorizatiox Name Title: ,�CCSi� C �- a-D- 1 � Acknowledged and agreed: CITIBANK, N.A. OFFICIAL RECORD By: 2,-m— CITY SECRETARY Name W;lti:�w►J1,Y�.ak, FT. WORTH, TX Title: V%cejoel�jg4 lyK 9 ..� C y Page 1 of 2 City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 3/22/2011 na«•aeurmaewir+rx.�.asxrFmxew+ mnasr+w,wmT.rw:rruww+iw.onvaevv,uw.mpsnuw.wr_i:w:mnruw�rw.cut+awM...am�a♦ x ,.,�.�:. ,..:.s,--._,...n+,�-: DATE: Tuesday, March 22, 2011 REFERENCE NO.: P-11216 LOG NAME: 13P10-0451 SECURITIES LENDING MJ SUBJECT: Authorize Execution of a Professional Services Agreement with Citibank for the City's Securities Lending Program RECOMMENDATION: It is recommended that the City Council authorize the City Manager to execute an Agreement with Citibank to manage the City's collateralized securities lending program. DISCUSSION: This Agreement will provide securities lending services in accordance with the specifications, terms and conditions as directed by the City. Securities lending is a cash management strategy involving the lending of the City's securities to a primary dealer with the substitution of securities of greater market value being safe-kept by a third party custodial bank in an account in the City's name. The program is designed so that the City earns supplemental income on the portfolio without losing ownership or interest payments on the loaned securities. The safety of the City's securities is guaranteed. Past agreements have provided approximately $250,000.00 average annual revenues to the City. There is no cost to the City. The Purchasing Division issued a Request for Proposals (RFP) on May 19, 2010 soliciting qualified firms to provide certain comprehensive securities lending services in accordance with the specifications, terms and conditions as directed by the City. The evaluation factors included demonstration of the qualifications, competence and capacity of the firm to provide the services, collateral acceptance and investment, aggregate program management, client reporting, securities lending performance and City earnings potential. An evaluation panel was made up of representatives from Financial Management Services and Public Events Departments. Proposals were received from Citibank, Frost National Bank and Morgan Stanley. The recommended vendor, Citibank was determined to be the most qualified to perform the services required. BID ADVERTISEMENT- This bid was advertised in the Fort Worth Star-Telegram on Wednesdays from May 19, 2010 through June 16, 2010. The Purchasing Division solicited 16 vendors from the purchasing system database and three proposals were received. M/WBE -A waiver of the goal for M/WBE subcontracting requirements was requested by the Purchasing Division and approved by the M/WBE Office because the purchase of goods or services is from sources where subcontracting or supplier opportunities are negligible. AGREEMENT TERM - The initial term of the Agreement will begin April 1, 2011 and expire March 31, 2012 http://apps.cfwnet.org/ecouncil/printmc.asp?id=14925&pri nt=true&DocType=Preview 3/30/2011 r Page 2 of 2 RENEWAL OPTIONS -This agreement may be renewed for up to nine successive one-year terms at the City's option. This action does not require specific City Council approval provided that the City Council has appropriated sufficient funds to satisfy the City's obligations during the renewal term. FISCAL INFORMATION /CERTIFICATION: The Financial Management Services Director certifies that the Financial Management Services Department, Revenue Office will be responsible for the collection and deposit of funds due the City under this agreement. BQN\10-0451\MJ FUND CENTERS: TO Fund/Account/Centers FROM Fund/Account/Centers CERTIFICATIONS: Submitted for City Manager's Office by: Karen Montgomery (6222) Originating Department Head: Lena Ellis (8517) Jack Dale (8357) Additional Information Contact: Marilyn Jackson (2059) ATTACHMENTS 1. MWBE Waiver.pdf (CFW Internal) http://apps.cfwnet.org/ecouncil/printmc.asp?id=14925&print=true&DocType=Preview 3/30/2011