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.
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Passed and approved this � day of August, 1971 .
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MAYOR
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CITY CLERK
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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
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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" .
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WITNESS the following signatures of the respective
parties , as of the day and year first above written.
CITY OF CAPE GIRAZtDEAU
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Mayor
ATTEST :
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City Clerk
FARMERS AND MERCIIANTS BANK
Cape Girardeau, Missouri
President
ATTEST:
MERCANTILE TRUST COMPANY,
N1ITIONAL ASSOCIATION
St . Louis , Missouri
ATTEST:
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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.
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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 '�,
$100,OC30 or more for 91 -120 day5 6 3 4 /
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$ 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
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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."
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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 .
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� • ' .Ctyl� t�
Notary u I ic
My commission expires January 17, 1973.