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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 Aleet-4- Frank Todd Mayor BY Its y ,e,✓ By Its