Res 1227 9/7/1971RESOLUTION NO. 4.&22, 7
WHEREAS, the City of Wichita Falls has advertised for
proposals to act as depository of the funds of the City, and a
proposal was received from City National Bank in Wichita Falls;
and,
WHEREAS, such proposal offers favorable terms and con-
ditions for the handling of such funds.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF ALDERMEN
OF THE CITY OF WICHITA FALLS, TEXAS , THAT:
City National Bank in Wichita Falls is designated as the
depository of the funds of the City of Wichita Falls for a period of
two (2) years from October 1, 1971 through September 30, 1973; the
contract, a copy of which is attached hereto, between the City and
said bank is hereby approved, and the City Manager is authorized to
execute the same for the City.
PASSED AND APPROVED THIS the 7th day of September, 1971.
75777711:clriecc"
ATTEST:
City Clerk
DEPOSITORY CONTRACT
This contract made and entered into this the
day of September, 1971, between the City of Wichita Falls, Texas,
hereinafter called "City" and the City National Bank in Wichita
Falls, hereinafter called "Bank" .
WITNESSETH:
For and in consideration of the mutual covenants con-
tained herein, City and Bank do hereby agree that Bank shall serve
as depository of City and maintain custody of the funds of City for
a period of two (2) years from October 1, 1971 through September 30,
1973, in accordance with the following covenants and provisions:
Section 1. Bank shall pledge to City as security for
City' s deposits, securities of the United States Treasury, United
States Government agencies or qualifying municipal bonds of the
State of Texas and any political subdivision thereof, and the
amount of the securitiesto be pledged shall comply with the laws
of the State of Texas and the City Charter on a value basis of par
or market value, whichever is lesser. (At such time as Government
Treasury certificates or bonds pledged shall have a market value of
less than par, Bank will pledge additional bonds so that the dollar
for dollar value will remain constant.) In addition, Bank shall
pledge 10% more securities than is required under the law so that
fluctuation in bond values and/or City deposits shall be fully
protected at all times.
Section 2 . It is the intention of Bank to provide City
with the maximum return on its deposits permissible under the regu-
lations of the Board of Governors of the Federal Reserve System and
in keeping with existing money market conditions. Accordingly, Bank
shall pay the following rate of interest on certificates of
deposit:
Section 2 . 1. On all certificates of deposit of less
than One Hundred Thousand ($100,000) Dollars, and on certificates
of deposit of One Hundred Thousand ($100,000) Dollars or more which
have a maturity exceeding 89 days, Bank will pay the maximum rate
as allowed by the above mentioned regulations or the market rate of
91-day U. S. Treasury bills as quoted one week preceding the date of
deposit, whichever is lesser.
Section 2.2 . On certificates of deposit of One Hundred
Thousand ($100, 000) Dollars or more which have a maturity of 30 to
89 days, Bank will pay the Bank' s going rate, at the time the certi-
ficate is purchased, on like certificates of deposit, or the market
rate of 91-day U. S. Treasury bills as quoted one week preceding date
of deposit, whichever is lesser.
Section 2 .3. City agrees that all certificates of
deposit shall be purchased from Bank or from some other commercial
bank mutually agreeable to City and Bank.
Section 3. Bank agrees to extend credit to City within
the limits prescribed by law and within Bank' s legal loan limit at
a rate of interest corresponding to the market rate of 91-day U.S.
Treasury bills as quoted one week preceding the execution of the
loan, or at the average certificate of deposit rate being paid to
the City, whichever is lesser.
Section 3.1. Bank agrees to purchase general obligation
warrants issued by City within limits prescribed by laws relating
both to City and Bank at an interest rate of four and one-half
4-1/2/) percent.
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Section 3.2 . Bank' s present loan limit is approximately
Seven Hundred Thousand ($700,000) Dollars. Should City' s borrowing
requirements exceed Bank' s legal loan limit, Bank will endeavor to
participate such excess loans to other banks.
Section 4. In addition to the other services agreed to
in this contract, Bank agrees to provide the following services at
no charge to City:
a. Mark up all checks and deposit slips presented to or
deposited with Bank.
b. Provide City all checks and deposit slips applicable
to any City depository account.
c. Allow temporary overdrafts .
d. Count and deposit all parking meter collections .
e. Provide a daily listing of all accounts and the
balances in each of these accounts.
f. Transfer funds between accounts upon receipts of
proper authorization from the City Treasurer.
g. Provide bond and coupon service and act as paying
agent on all City. bond issues.
h. Provide foreign and domestic exchange.
i. Provide wire transfer service.
j . Provide necessary safe deposit boxes.
k. Provide coin wrappers.
1. Provide night depository service including bags and
keys.
m. Provide traveler' s and cashier' s checks .
n. Provide free parking while conducting banking business.
o. Redeposit at least one time all checks returned for
non-collection, and if the checks should be returned a second time
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to charge them against City of Wichita Falls Clearing Fund and
send them to City' s Finance Department.
p. Furnish reconciliation computer printouts on those
accounts designated by City.
Section 5. In addition to the services specifically
stated above, Bank will, when properly authorized, handle City
deposits in any manner requested so long as such requests comply
with the laws of the State of Texas, the Charter of the City of
Wichita Falls, and the rules and regulations of the Federal Reserve
Board.
In witness thereof, 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
CITY NATIONAL BANK IN WICHITA
FALLS
By:
Harold Jones, President
ATTEST:
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