Res 1969 6/7/1977RESOLUTION NO. 1969
RESOLUTION APPROVING DEPOSITORY CONTRACT
BETWEEN THE CITY OF WICHITA FALLS AND
PARKER SQUARE STATE BANK.
BE IT RESOLVED BY THE BOARD OF ALDERMEN OF THE CITY OF
WICHITA FALLS, TEXAS, THAT:
That certain depository contract, a copy of which is
attached hereto, between the City of Wichita Falls and
Parker Square State Bank for a period of two years from
October 1, 1977 through September 30, 1979, is hereby approved,
and the City Manager is authorized to execute the same for
the City of Wichita Falls.
PASSED AND APPROVED this the 7th day of June, 1977.
dee
M A Y O R(69.
1
ATTEST:
City Clerk
DEPOSITORY CONTRACT
This contract made and entered into this the 8th day of
June, 1977 , between the City of Wichita Falls, Texas, here-
inafter called "City" and Parker Square State Bank, hereinafter
called "Bank" ,
WITNESSETH:
FOR AND IN CONSIDERATION of the mutual covenants contained
herein, City and Bank do hereby agree that Bank shall serve
as depository for City and maintain custody of the funds of
City for a period of two years from October 1, 1977 through
September 30, 1979 , in accordance with the covenants and
provisions contained in the Proposal for Depository Contract
which is attached hereto and incorporated herein by reference;
the rate of interest to be paid on certificates of deposit shall
be the constant rate set out in Alternate #1.
IN WITNESS WHEREOF, the parties have caused this contract
to be executed as of the day and year first above stated.
City of Wichita Falls, Texas
By:
Gerald G. Fox, City Manager
ATTEST:
City Clerk
Parker Square State Bank
By:
Dick Waggoner, President
ATTEST:
r
NOTICE TO BANKING INSTITUTIONS WITHIN
THE CITY OF WICHITA FALLS, TEXAS
PROPOSAL FOR DEPOSITORY CONTRACT
Notice is hereby given that the Governing Body of the City of .
Wichita Falls, Texas, subject to the provisions of Article 2559 to
Article 2566A, Inclusive, Revised Civil Statues of Texas as amended,
will receive proposals from all interested banking institutions with-
in the City of Wichita Falls to serve as prime depository of the City
of Wichita Falls and maintain custody of the funds of the City for a
period of two years from October 1, 1977, through September 30, 1979.
Any such proposals shall be delivered to the office of the City Clerk
in the Municipal Auditorium prior to 10:00 a.m. , May 25, 1977.
It is requested that each bank bid by filling in the blanks and
agreeing to the following specifications. All blanks must be filled
in for your bid to be properly evaluated.
Name and Address of Bank Parker Square State Bank, P. 0. Box 4377
Parker Square Shopping Center, Kemp at Kell, Wichita Falls, Texas 76308
Interest Rates
Rate
Demand Deposits
0-
Time Deposits
Savings Accounts
5%
How Compounded and When? Compounded daily, Payable daily
Certificates of Deposit Under $100,000:
tx0 x74 x ittstighxNtrax x x aec See Attached Letter
How Compounded and When? Compounded daily, Payable at maturity of Certificate
of Deposit
Certificates of De.osit Over $100 000:
r 43e4xElmysx5nxz gtxt x c 6)x sc See Attached T.Ptter
How Compounded and When? Compounded daily, Payable at maturity
Charges, if any, for handling checks and deposits None
Charges, if any, for handling of temporary Overdrafts None
Rate of Interest, if any, to be charged on loans and maximum
loan limit 3 3/4% - Maximum loan $290,000.00 (Credit in excess of the above
can be arranged)
Rate of Interest, if any to be charged on certificates of obligation
3 3/4%
Rate of Interest, if any, to be charged on tax warrants 3 3/4%
Charges, if any, for providing cremation certificates on bonds and bond
coupons None, for services performed during the terms of this contract.
Charges, if any, for handling Letters of Tranfers between accounts None
Charges, if any, for providing bond and coupon paying service for those
City bond issues during this period
None, for services performed during the
terms of this contract.
tin and depositing of Parking Meter collectionsCharges, if any, for counting p g g
and Bus Fares None
Charges, if any , for providing checks and deposit slips that conform to
City of Wichita Falls specifications for all accounts None
Charges, if any, for providing bank statements on a monthly basis,
as of the last day of the month, and a list of check numbers for
those checks not clearing the Accounts Payable and Payroll bank
accounts during the month None
In addition to the normal services and supplies furnished by the
depository bank, the following services are considered standard and
common to most depository contracts. The City of Wichita Falls needs
and expects these services to be furnished at no charge as a part of
this proposal.
Foreign and Domestic Exchanges
Wire Transfer Services
Night Depository Service
Traveler's and Cashier's Checks
Safe Deposit Boxes
Coin Wrappers
Bidder agrees to secure all deposits by either, (a) Federal
Deposit Insurance Corporation insurance or (b) the pledge of
securities in the form of obligations of the United States Treasury,
United States Government Agencies, the State of Texas, or politi-
cal subdivisions of the State of Texas. All collateral shall have
a Moody's bond rating of AAA or better except for Texas Municipal
Bonds which shall have a Moody's rating of A or better. These
securities shall be valued at par or market value, whichever is
lower. This value of securities offered will at all times be
sufficient to fully secure all funds on deposit plus a minimum
margin of 10%. The bidder also agrees to advise the City of
Wichita Falls of the description, amounts and locations of securi-
ties pledged for these deposits, monthly.
Should a variable rate of interest be bid for Certificates of
Deposit, this variable- rate shall be based on the 13-week U.S. Treasury
Bill average rate with a fixed rate either above or below th..t-=• - -ter
and may have either a minimum or maximum rate of interest to be paid or
both. If this rate is bid, please indicate the average 13-week U.S.
Treasury Bill Average-Rate for each of the following calendar years,
and the current 13-week U.S. Treasury Bill Average Rate.
1972 4.065
1973 7.025
1974 7.880
1975 5.833
1976 5.081
Current Rate As of June 6th 4.99 Opening Offer.
The City reserves the right to reject any and all bids.
PARKER
SQUARE
BANK
DICK WAGGONER
PRESIDENT
June 7, 1977
Board of Aldermen
City of Wichita Falls
Wichita Falls, Texas 76301
Ladies & Gentlemen:
Attached please find a bid from Parker Square State Bank of Wichita
Falls, Texas, to serve as depository for the City of Wichita Falls
for the two-year period beginning October 1, 1977 through September
30, 1979.
This bid is made on a form provided by your staff, and we hope that
our bid is complete and responsive to your inquiry. In addition to
the items contained in the bid itself, please accept this letter as
an integral part of this bid insofar as it deviates from the terms of
the bid form.
Certificates of deposit for under $100,000.00, will earn the. same
rates as those quoted in the following section for certificates of
deposit over $100,000.00 subject to the maximum imposed by the
regulatory authorities, which currently is 7-3/4%. All certificates
of deposit must be written for 30 days or longer.
Certificates of deposit over $100,000.00. The rate of interest bid on
certificates of deposit over $100,000.00 is bid in the alternate. The
City of Wichita Falls is requested to elect either of the two methods
bid, which election will be binding for the two-year term of this
contract.
Alternate #1 Constant Rate: The rate of interest to be paid on
certificates of deposit of over $100,000.00 issued for 30 days or
longer is 7.38% or the maximum rate under Regulation 329.6 of the
Federal Deposit Insurance Corporation, whichever is less.
Alternate #2 Variable Rate: The rate of interest to be paid on
certificates of deposit issued for 30 days or longer, is the lesser
At Ko+^- -nd Kell / P n Box 4377 /Wichita Falls. Texas 76308 !(817) 767-8321 - Member FDIC
F
Y
June 7, 1977 Page 2
of the 13 Week U. S. Treasury Bill Average Rate for the preceding week
plus a premium of 1.5%, or the maximum rate under Regulation 329.6 of
the Federal Deposit Insurance Corporation with a maximum of 8.25%, and
a minimum of 5.75%.
The rate of interest to be paid on certificates of deposit in excess
of $100,000.00 is offered in the alternative in order that the City of
Wichita Falls can elect a fixed rate of interest under Alternate #1 on
which they can make economic projections or the variable rate under
Alternate #2 that will allow them to participate in fluctuations of the
value of money. The rate of interest of all certificates of deposit,
regardless of amount, is calculated on a compounded daily basis. Interest
earned on any certificates of deposit will be paid at the maturity of the
certificate of deposit.
The references made herein to Regulation 329.6 of the Federal Deposit
Insurance Corporation are included in each alternative because we are
subject to those regulations and in no instance can obligate ourselves
to pay a rate greater than that permitted. At the present time, there
is no regulation of maximum rates of interest on certificates of deposit
over $100,000.00.
Parker Square State Bank agrees to secure all deposits over and above
the amount covered by the Federal Deposit Insurance Corporation insurance
by the pledge of acceptable securities as required in your bid form.
It is our desire to remain as your depository, and we hope that the
quality of this Bank's services have amply demonstrated not only our
ability to serve as the depository but also an expression of our desire
and willingness to be responsive to the City's banking needs. We
appreciate your giving us the opportunity to submit this bid and would
appreciate your awarding the contract to us.
Yours truly,
Dick Waggoner 1
DW/sv