HomeMy WebLinkAboutRes 0786 - Banking Services with Peoples Bank
CITY OF TUKWILA
WASHINGTON
RESOLUTION NO 786
DO RESOLVE AS FOLLOWS:
A RESOLUTION OF THE CITY OF TUKWILA, WASHINGTON,
AUTHORIZING THE MAYOR TO ENTER INTO A BANKING
SERVICES AGREEMENT WITH PEOPLES BANK.
WHEREAS, The Finance Director recommends that the City of Tukwila
enter into an agreement with Peoples Bank for primary banking services
for the period May 31, 1981 thru June 1, 1983, and
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON,
The Mayor is hereby authorized to enter into an agreement for primary
banking services with Peoples Bank through June 1, 1983.
PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON,
at a regular meeting thereof this 20th day of April 1981
Frank Todd Mayor
Maxine Anderson City Clerk
Lawrence Hard Deputy City Attorney
SECTION ONE
Primary Banking Relationship
DAIL
BANKING SERVICE AGREEMENT c0_
THIS AGREEMENT, made this 22nd day of April
1981, between the of Tukwila, a municipal corporation of the
State of Washi ngton hereinafter referred to as the "City", and
Peoples Bank, i national banking association maintaining branch
offices within the city limits of the City of Tukwila, State of
Washington, hereinafter referred to as "Peoples Bank" or "Bank
WITNESSETH:
WHEREAS, on April 20,1981, the City Council of the City
designated the Bank as the_main official depository for City Funds; and
WHEREAS, the City desires to establish a primary banking
relationship with a bank to provide for daily banking services; and
WHEREAS, Peoples Bank desires to provide the primary daily
banking services to the City,
NOW, THEREFORE, the parties to this Agreement, in considera-
tion of the foregoing and the mutual convenants and stipulations set
out herein, agree as follows:
(A) The City shall establish its primary daily banking
relationship with the Bank and shall maintain its primary demand
deposit account (sometimes referred to herein as "checking account
with the Bank. The City agrees that it will at all times maintain in
the demand deposit account an amount at least equal to $71,707.00, as
reflected on the City Finance Departments Checking Account Ledger
Balances or Alternately:
1. (a) A non interest bearing Certificate of Deposit in the
amount of $58,161; or
c(b) A monthly cash payment of $609; or
Assuming warrants are redeemed each business day:
,(a) A Checking Account Average Balance of $41,298; or
lb) A non- interest bearing Certificate of Deposit in the
amount of $31,377; or
(c) A monthly cash payment of $351.
The above alternatives can be used by the City at the discretion of
the Finance Director at any time during the contract period.
All checks shall bear the original or facsimile signature of the Finance
Director or his designated agent.
SECTION TWO
Provision of Banking Services
Peoples Bank will provide the following services to the City
without charge:
(A) Demand Deposit Checking Account Services. Peoples Bank
will furnish the City with a primary demand deposit checking account.
Disbursements from the account will be made by Finance Director's
checks, which are written (among other purposes) to redeem City warrants,
satisfy the City's debt service, make refunds, purchase investments
and redeem deposited N.S.F. checks. Sufficient forms of payroll and
claims warrants, checks and deposit slips shall be furnished to the
City without charge or the City shall be reimbursed for the cost of
such forms ordered.
(B) Receive and Hold City Warrants. Claims warrants,
approximately three hundred (300) in number, and payroll warrants,
approximately three hundred (300) in number, issued each month by the
City will be received and honored in the normal course of business
and held by Peoples Bank without being charged to the City's account,
unless Peoples Bank has reasonable cause to believe that the City
will be unable to redeem its warrants as scheduled; provided, however,
Peoples Bank must give the Finance Director reasonable notice of its
intent to no longer accept City warrants as described herein. Once
each week, during the last banking day of each week, Peoples Bank
will notify the Finance Director of the amount held in warrants, and
the Finance Director will write a check on the City's checking account
to redeem the warrants, and deliver said check to the Bank on the same
business day on which notification is made.
(C) Additional Accounts. Peoples Bank will provide the City
with additional special purpose checking accounts as the need arises.
(D) Competitive Bidding Interim Financing. Peoples Bank
agrees to bid competitively, on a prompt basis, on all legally
acceptable interim financing loans requested by the City.
(E) Escrow Agent Services. Peoples Bank will provide the City
with needed escrow agent services to administer and maintain retainage
deposits from contractors who contract for public works' projects, in
accordance with RCW 60.28.010, et seq., or as such statutory provisions
may be amended during the term of this agreement.
(F) Safekeeping Services. Peoples Bank will provide safekeeping
facilities and services for all securities which the City purchases
through the Bank. In doing so, the Bank will comply with all state and
federal regulations regarding safekeeping of City securities.
(G) Night Depository Services. Peoples Bank will provide its
standard night depository service, including provision of two (2)
bags for deposit of City funds collected after normal banking hours.
(H) Investment Assistance. Peoples Bank will provide invest-
ment information assistance in the management of the City's investment
portfolio as permitted by pertinent federal and state laws and regula-
tions. The Bank will make available to the City, Repurchase Agreements
and Certificates of Deposit, and will purchase Government and Federal
Agency Securities for the City upon request. Only collected funds shall
be used for investment.
(I) Safe Deposit Box. Peoples Bank will provide safe deposit
facilities to the City as required.
(J) Other Services.
(1) Cashier's Checks, Federal Reserve Drafts and
Travelers Checks w i l l be provided as required by the City.
(2) Month -end Statements will be provided on a prompt
and current basis and at any other time upon request.
Performance of the obligations under this Agreement shall
commence the 31st day of May 1981, and continue for a
period of two (2) years from said date. Thereafter, at the option of
the City, the Agreement may be extended for two (2) additional terms of
one (1) year each, any increase is not to exceed C.P.I.
-L•
SECTION THREE
Term of Agreement
SECTION FOUR
Termination
It is agreed that the City has the right to terminate this
Agreement by giving written notice to the Bank at least sixty (60) days
in advance of said termination for nonperformance, inadequate or poor
performance or service, reports, etc..
SECTION FIVE
Entire Agreement
This instrument contains the entire agreement between the
parties, and no statement, promise or inducement made by either party
or agent of party that is not contained in this written
contract shall be valid or binding and this contract may not be
'enlarged, modified or altered, except in writing signed by the parties
and endorsed hereon.
IN WITNESS WHEREOF, the parties hereto have executed this
Agreement at Tukwila, Washington the day and year first above written.
THE CITY OF TUKWILA
By
PEOPLES BANK
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Frank Todd
Mayor
BY
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