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HomeMy WebLinkAboutCityMgrForm.593.08-04-1971 : . . • . . CITY MANAGER FORM ORDINANCE NO.� AN ORDINANCE DIRECTING THE CITY OF CAPE GIRA.RDEAU TO ENTER INTO AN AGREEMENT WITH THE FARMERS AND MERCHANTS BANK AS ITS DEPOSITaRY AND TO DESIGNATE SECURITY FOR ALL CITY DEPO5ITS BE IT ORDAINED BY THE COUNCIL OF THE CITY OF CAPE GIRARDEAU, MISSOURI, AS FOLLOW5 : 5ECTION l. The Farmers and Merchants Bank of Cape Girardeau, Missouri is hereby designated as an official depository of the City of Cape Girardeau, Missouri, and in order to secure all City deposits made in said bank, securities as provided by Section 30 .270 RSMo 1969 and the Depository Agreement, are directed to be pledged as security for such city deposits by delivery of same to Mercantile Trust Company, National Association, of St. Louis , Missouri, as trustee. SECTION 2 . The proper officials of the City of Cape Girardeau are directed to enter into a Depository Agreement with the Farmers and Merchants Bank of Cape Girardeau, Missouri, a copy of which agreement is attached to this ordinance and made a part hereof as though fully incorporated herein as "Exhibit A", and the officials of Cape Girardeau are directed to do all things necessary and proper for the purpose of carrying out the terms of such agreement. SECTION 3. This ordinance shall be in full force and effect ten days after its passage and approval. �< Passed and approved this � day of August, 1971 . �L��� � � MAYOR ATTE5T: � \1 v � -l°-�;-(;� �-�-�-'�c� CITY CLERK � ' � . • . DEPOSITORY AGREEMENT THIS AGREEMENT, made and executed in triplicate this day of August in the year 1971, by and between City Council of City of Cape Girardeau at Cape Girardeau, Missouri , hereinafter sometimes called "Depositor" , party of First Part, Farmers and Merchants Bank with its offices at Cape Girardeau, Missouri , hereinafter sometimes called "Bank" , party of the Second Part, and Mercantile Trust Company, National Association, Drawer 387 , Main Post Office, St. Louis , Missouri 63166 , hereinafter sometimes called "Trustee" , Party of the Third Part . WHEREA5 , the said Depositor wishes to deposit with the said Banit certain public moneys received by the City Collector of City of Cape Girardeau in his official capacity, but desires that the said Bank shall secure said deposits in accordance with the statutes in such cases made and provided, which the said Bank is willing to do, by the deposit with the Trustee of certain securities as hereinafter provided; and WHEREAS, the selection of the said Bank as a depository of public moneys to be received by the City Collector has been duly approved by the said Depositor, and the securities hereinafter pledged have been duly approved by said Depositor; and WIiRREAS, in order ta properly secure the said deposits , the said Bank has delivered to the said Trustee securities as provided by Section 30 . 270 RSMo 1969 , in the amount of $1, 250 ,000 . NOW, THEREFORE, THIS AGREEMENT WITNESSETH: That for and in consideration of the Premises and of the sum of P'ive ($5 . 00) Dollars in cash in hand to each of the parties hereto paid, the receipt whereof is hereby acknowledged, the parties here to do mutually covenant and agree as follows: FIRST. The said Bank hereby agrees that the said securities shall be held by the said Trustee for the protection of the public money deposited by the City Collector with the said Bank (hereinafter called "deposits" ) until all of said public money so deposited has been properly paid over and accounted for by the said Bank. SECOND. In the event of any def ault in the payment of the said deposits or any part thereof, by the said Bank, upon the demand of the said Depositor, the said Trustee shall, upon receipt of a written notice made by the said Depositor that there has been a breach of the depository contract and upon demand in writing for the securities or any part thereof , forthwith surrender said securities to the said Depositor. Upon surrender of a sufficient amount of such securities as may fully protect the said Depositor from loss, the said Bank authorizes and empowers the said Depositor to sell, transfer, by endorsement or otherwise, and deliver all or any part of such securities, in such manner as it may elect , for the satisfaction of any loss arising by reason of a breach of depository contract; and out of the proceeds of such sa]_e, after paying the expenses of sale, and retaining a sum sufficient to reimburse City of Cape Girardeau for such breach of the depository contract by the said rr � � ii �����' . ' - 2 - Bank, the balance, if any, shall be paid over to said Bank, and any securities remaining unsold in the hands of the said nepositor shall thereupon be returned to the said �ank . THIRD. It is further expressly understood and aqree� that in the event the saicl Depositor shall desire to increase the amount of said deposits beyond the amount f_or Wh1Cti1 the securities then in the hands of the said Trustee afford security in accordance with the provisions of law, then and in that event the said Rank may deliver to the said Trustee , to be held in accordance with the terms hereof, such additional securities as may be satisfactory to and approved by the said Depositor, and all such additional. securities shall be held by the said Trustee upon the same terms and conditions as though included in the securities original]_y deposited wi.th it hereunder. FOURTH. The said Bank, may from time to time, with the written consent of the said Depositor withdraw from the said Trustee, such portion as it may desire of the securities then held by the said Trustee , provided the value of the securi.ties then re�aining in the hands of the said Trustee shall not be less than the amount of the deposits then remaining in said t3ank. FIFTH. It is further exp.ressly understood and agreed that so long as there is no default in the payment of the said Deposits , the said Bank shall be entitled to collect all interest and other_ income which may become due on or from the securities in the hands of the said Trustee, and the said Trustee is here�y authorized, empowered and directed to pay and deliver over to the said B�ik, upon demand, all such interest and other income or the coupons attachea to any bonds included in the collateral , as same mature. SIXTII, It is further expressly understood and agreed that the said 13ank may terminate this agreement in accordance with the Revised Statutes of the State of Missouri . SEVF.PJTI3. The said Trustee hereby acknowledg�s receipt of the securities hereinbefore mentionec� and descri.bed, and agrees to hold and deliver the same, together with any securities which may be substituted therefor or added thereto, in accordance eaith the terms of this agreement. EIGHTH . The said Bank and said Depositor, by the execution her_eof, hereby declare the said 'I'rustee as acceptable to and approved hy them, resper_tively, as the disinterested banking instituti.on or fiscal officer with which the sai�:l securities are to be dePosited in escrow. NINTH . All fees and charges of the Trustees for services under this agreement shall be paid hy the Bank . TENTH. The Board of Directors of the I3ank has authorized the pledging and delivery of the above-described securities to the Trustee and the execution of this agreernent on behalf of the Bank by resolution duly adopt.ed, a certified copy of which is hereto attached. �L£VENTH. That said I3ank agrees to pay interest to said Depositor in accordance with the terms of_ the bid proposal and the bid oi� said Bank, a copy of which is attached hereto and made a part of this agreement shown as Exhihit "1" . • ' , - . � - 3 - WITNESS the following signatures of the respective parties , as of the day and year first above written. CITY OF CAPE GIRAZtDEAU ���� � � Mayor ATTEST : � ` -P�t,u.� City Clerk FARMERS AND MERCIIANTS BANK Cape Girardeau, Missouri President ATTEST: MERCANTILE TRUST COMPANY, N1ITIONAL ASSOCIATION St . Louis , Missouri ATTEST: ` 'a a. �� . , . _ ` i. �t' .`. i :.�' � A PROPOSAL FOR DEPOSIT OF CITY FUNDS CITY OF CAPE GIRARpEAi.l, MI S;OURI CONUITIONS: l . Proposals shall be in sealed en��clopes marked "pePo;itary Propos�l ." ?_ . The City may reject any or all prop�sals. 3 • Banks submitting proposals agrec to comply with provisions of Sections 95.280 - 95.29�1 of annotated Missouri Stalutes. 4. Banks submitting proposals agrec: a. To waive irrunediate deposit ut funds in recognition of the possible need to print mact,ine checks, in which case, operating funds cannot be placed in the design�ted deposi [ary until sucfi checks are available. b. To waive irrmediate deposit of invested funds whic:h carry specified maturity dates and to accept [ imely depo�it of such funds immedia�ely � upon maturity. Invested funds are listed below; . �\ Maturity Amount 30-day withdrawal notice $345,000 Savings and Loan 40,00�) �uly 15, 1971 3o,ouo August 6, 1971 15,�00 August il , 1971 160,500 September 8, 1971 12,OQ0 Novernber 2, 1971 34,OU0 December 5, 1971 55,000 Decc�nber- 26, 1971 __ 65,000 � $756,500 5• Interest rates lower than published rates currently payable to olher depositors will not be acceptable. 6. Proposals must be signed by a duly authorized officer of the submitting b�nk. 1• Interest payments due shall be paid monthly by the tenth of the succceding month. ����/'�/� � �� h . . ^ ' t -:'- PRO�OSAL: l�h� undersi��r�ed b�r;k wi 1 1 , i f dc;i cin��t��d dc��os i t ary f-c>r Ci t y of� C���c Gi rarcicau fiirdti, �,�y in!��+�c�,t .�t Ch�� tollcw�ing r,�t , �. ����r ��r�nii�n cn cic�����,il�•d fuii�i�,: Lc:s !h�n $100,00fi t�or j0 day�s ( Time d��posi t oFx�n a�:� nun� wi lh 3ll �f�3y; withdr�wal noti�-c) . 5 i $1 00,0��0 or morc t c,r 3 1 -60 day; b �f4 / $100,000 or more f�r 61 -90 days 6 3 4 '�, $100,OC30 or more for 91 -120 day5 6 3 4 / -�-- $ I 00, 000 or more f��r� 1 21 -! 50 d�ys 6 �4 '/ $100,000 or morc f��r 151 -180 days 6 3�4 /, $f00,U00 nr morc� f��r not le:s than If30 days 7 � �y_/�G� (�( ` �-��� President ( p,ank Of f�i��r) � FARMERS d MERCHA�.�TS �,�'1NK B a n� __.f'�CiRAQQEAUf.�At55Qil�tL._�._-- o�,c e JUL 7 29n � .t r � . _ The following is an excerpt from the Minutes of the Board of Directors meeting hel d on Friday, J ul y 23, 1971: "On motion by Narvol A. Randol and seconded by Jack E. H i mmel berger, the officers of the bank were authorized to execute a Depository Contract with the City of Cape Girardeau and to pledge $1 ,250,000.00 in securities with Mercantile Trust Company, St. Louis, Missouri, to secure the deposit." � Q � ��� �� President Farmers and Merchants Bank of Cape Girardeau Cape Girardeau, Missouri I hereby certify that the attached Depository Agreement, and Exhibit "1" attached is a true and correct copy of the minutes of the Board of Directors meeting held on Friday July 23, 1971 , in which The Board of Directors of the Bank has authorized the pledging and delivery of the above-described secu�ities to the Trustee and the execution of this agreement on behal f of the Bank by resol ution dul y adopted. Dated this 6th day of August, 1971 . _ � --� �__ � � • ' .Ctyl� t� Notary u I ic My commission expires January 17, 1973.