R-2225-10-03RESOLUTION NO. 2225-10-03(R)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN
COUNTY, TEXAS, DESIGNATING CITY REPRESENTATIVES FOR THE BANK
DEPOSITORY; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City Council has designated The American National Bank of Texas as the City's bank
depository; and,
WHEREAS, from time to time, the City of Allen wishes to request The American National Bank of Texas (the
"Bank"), by written instruction, telephone, terminal communication device, or otherwise, to originate one or
more of the following services:
• ACH transaction as provided in an ACH Agreement
• Cash Management Services pursuant to Cash Management Agreement
• Online Banking
• Online Banking Bill Payment
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ALLEN,
COLLIN COUNTY, TEXAS, THAT:
SECTION 1. Notwithstanding any previous or post resolution which requires either multiple signatures or
other signatures to transact business on behalf of the City of Allen, Texas, that any ONE of the persons listed
below is hereby authorized to execute the required Agreements with the Bank and to designate those persons
who may transact business on behalf of the City of Allen, Texas, for the above indicated services.
Peter H. Vargas
City Manager
Name & Title
Kevin Hammeke
Finance Director
Name & Title
Joanne Stoehr
Assistant Finance Director
Name & Title
A - a /
SECTION 2. The authority conferred hereby will continue in full force and effect until specific written
notice of modification or revocation of this Resolution by a duly appointed official of the City of Allen, Texas,
is received by the Bank.
SECTION 3. This Resolution shall become effective immediately upon its passage.
DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN
COUNTY, TEXAS, ON THIS THE 14r" DAY OF OCTOBER, 2003.
' APP D:
Stephen Terrell, MAYOR
ATTEST:
Shelley B. Geok4, TRMC, CITY SECRETARY
STATE OF TEXAS §
§ Bank Depository Agreement
COUNTY OF COLLIN §
This Agreement is made and entered into by and between the City of Allen, Texas
("City'), and The American National Bank of Texas C ANB'), acting by and through their
authorized officers and representatives:
WHEREAS, the City solicited bids and received proposals from banks desiring to be
designated as the City depository; and
WHEREAS, on October 14, 2003, the City Council has selected ANB as the depository
for the City;
NOW, THEREFORE, in consideration of the mutual benefits, consideration, covenants
and conditions contained herein, the parties agree as follows:
Article I
Term
1.1 Initial term. ANB has been duly selected by the City as the depository of certain funds
' of the City for a terns of four (4) years beginning on November 1, 2003 and ending October 31,
2007, or until the successor depository shall have been duly selected and qualified according to
state law. The initial term of this Agreement shall be automatically extended up to ninety (90)
days if the City has not exercised its option to extend as set forth above, and proceed with the
application process for the designation of a depository, but, for whatever reason, cannot finalize
the depository designation prior to the end of the initial terns of this Agreement. The fees for
services to be provided by ANB are fixed for the initial term as set forth herein.
1.2 Options for Extension. This Agreement may be extended for a period of one year by the
City by written notice thereof ninety (90) days prior to the expiration of the initial term, provided,
however, the total tens of this Agreement including any extensions shall not exceed five (5)
years. The fees for services to be provided by the ANB for such extension period shall be in
accordance with the terms and conditions set forth herein.
1.3 Termination. Either party may terminate this Agreement at any time upon sixty (60)
days prior written notice to the other party.
Article II
Services
A. ANB shall at all times comply with Chapter 105 Texas Local Government Code, as
' amended.
2.1 ANB shall provide depository services in accordance with the City's request for
Bank Depository Agreement Page I
' proposals RFP 2003-4-77, incorporated herein for all purposes (the "RFP"), and the ANB
response dated August 6, 2003, which is incorporated herein for all purposes (the "Proposal'). In
the event of any conflict between the RFP and the Proposal the RFP shall control.
A. Information and Service Requirements:
I.
General operating, controlled disbursement, payroll, and flexible spending bank
accounts as outlined in the RFP.
H.
Each of the City's accounts shall earn interest at a rate that is equal to the top tier
rate on the ANB Money Market Investment Account.
III.
The City's statement cycle cuts off at month-end. All statements for related
accounts will be delivered to the City's Finance Department by the fifth (5ih)
business day of the following month. ANB will provide the City a daily balance
reporting system, which will provide the daily ending ledger and collected
balances for all city accounts.
IV.
Provide direct deposit of payroll.
V.
Provide wire transfer of funds for the City.
VI.
Sufficient pledging, valued at market, shall be provided to ensure that City
deposits are secured at 110% of the City balances less the amount of FDIC
insurance at all times. A "Joint Custody Receipf' shall be provided to the City
within five (5) days of all securities pledged. Acceptable securities will be
provided to meet the requirements of the Collateral for Public Funds Act, Chapter
'
2257 of the Texas Government Code.
VII.
Provide, as of the end of each month, a monthly listing of all securities pledged,
showing their current market value, par value, security type, and name.
VIII.
Provide pre -numbered and department coded deposit slips, deposit bags, and other
necessary items at no charge up to $2,500 per year.
IX.
Provide internet banking access to all city accounts, set up requested city
accounts, and provide training for designated City Finance and Administration
staff.
X.
Provide additional services as outlined in the Proposal.
XI.
ANB shall designate one account officer with authority and responsibility for the
City's entire account who shall be responsible for training and communicating the
terms of this Agreement to ANB employees. In addition, the ANB shall provide a
list of personnel qualified to provide product information and assistance.
L
B. Comneusation. ANB shall be compensated for depository services in accordance with the
Proposal. All ANB account servicing fees and cash management fees are waived during the term
of this Agreement. City shall maintain a balance of $500,000 in an interest bearing "sweep"
account, if such account is established.
Bank Depository Agreement Page -2-
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Article III
Miscellaneous
3.1 ANB shall use its best efforts to notify the City in writing within ten (10) business days of
any changes in federal or state regulations or laws that would thereafter materially affect this
Agreement.
3.2 There shall be a review of the services of ANB every six (6) months to evaluate the work
relationship between the City and ANB. The objective of the review shall be to address any
problems and to discuss the procedures involved in protecting the City's funds and pledged
collateral.
3.3 Governing Law. This Agreement shall be governed by the laws of the State of Texas; and
venue for any action concerning this Agreement shall be in the State District Court of Collin
County, Texas.
3.4 Notice. Any notice required or permitted to be delivered hereunder shall be deemed
received three (3) days thereafter sent by United States Mail, postage prepaid, certified mail,
return receipt requested, addressed to the party at the address set forth below or on the day
actually received if sent by courier or otherwise hand delivered.
' If intended for City, to:
Attn: City Manager
City of Allen, Texas
305 Century Parkway
Allen, Texas 75013
with copy to:
Peter G. Smith
Nichols, Jackson, Dillard, Hager & Smith, L.L.P.
1800 Lincoln Plaza
500 North Akard
Dallas, Texas 75201
Telephone No. (214) 965-9900
If intended for ANB, to:
American National Bank of Texas
Attn: Colleen Biggerstaff
720 S. Greenville Avenue
Allen, Texas 75002
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59429
' 3.5 Legal Construction. In the event any one or more of the provisions contained in this
Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect, such
invalidity, illegality, or unenforceability shall not affect other provisions, and it is the intention of
the parties to this Agreement that in lieu of each provision that is found to be illegal, invalid, or
unenforceable, a provision shall be added to this Agreement which is legal, valid and enforceable
and is as similar in terms as possible to the provision found to be illegal, invalid or unenforceable.
3.6 Entire Aereement. This Agreement embodies the complete agreement of the parties
hereto, superseding all oral or written previous and contemporary agreements between the parties
and relating to the matters in this Agreement, and except as otherwise provided herein cannot be
modified without written agreement of the parties to be attached to and made a part of this
Agreement.
3.7 Incorporation of Recitals. The determinations recited and declared in the preambles to
this Agreement are hereby incorporated herein as part of this Agreement.
3.8 Exhibits. All exhibits to this Agreement are incorporated herein by reference for all
purposes wherever reference is made to the same.
3.9 Amendments. This Agreement may be amended by the mutual agreement of the parties
to it in writing and attach to and incorporate it in this Agreement.
' 3.10 Counterparts. This Agreement maybe executed in any number of counterparts, each of
which shall be deemed an original and constitute one and the same instrument.
EXECUTED this / q d- day of 6tl-Uty , 2003.
City of Allen, Texas
By: d--�
Peter Vargas ityM ager
Attest:
By:
Shelley B. G o ge, City Secidary
Approved as to Form:
' Peter G. Smith, City Attorney
Bank Depository Agreement Page -4-
59629
' EXECUTED this Z7— day of U v , 2003.
The American National Bank of Texas
By:
Wo em
Banking Center President
1
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59429