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HomeMy WebLinkAboutResolution 90-333 10/01/1990I~eSOIUtlOr1 No. 90=333 N.C.S. of the City of Petaluma, California 1 RESOLUTION APPOINTING TRUSTEE 2 ZONE IV WATER SYSTEM IMPROVEMENTS 3 The City Council of the City of Petaluma resolves: 4 As a part of the proceedings related to the Zone IV Water 5 System Improvements, this Council appoints BANK OF AMERICA 6 NATIONAL SAVINGS AND TRUST ASSOCIATION, as Trustee, in 7 accordance with the terms of the proposal provided by the Bank of America 8 to the City of Petaluma. The City Council accepts that certain proposal 9 between the Bank of America National Savings and Trust Association and 10 the City of Petaluma dated September 25, 1990, and attached to this 11 resolution. Under the power and authority conferred upon this Council by the Charter of said City. REFERENCE: I hereby certify the foregoing Resolution was introduced and adopted by the Approved as to Council of the City of Petaluma at a (Regular) (A~,~€~~~1~~3~ ~eeting form on the ....----•---1St ...... day of .......0 Ctobe r ................................... 19..-...-., by the following vote: City Attorney AYES: Balshaw, Sobel, Davis, Woolsey, Tencer, Vice Mayor Cavanagh, Mayor Hilligoss None NOES: ABSENT: No~~e~ ~,~~~j ~ ,- /~'Q, ATTEST: .. --.L~~~,(rf~l--.~''.x-r• ... ........................... ................ ....-..---._'.... -----••-•r -- - --------- ... ..--.'.•~..------.. City Clerk ayor ao,~n~i F,,~........9 0-3 3 3--NC S CA 10-85 Rcs. No . .............................. N.C.S. Nancy J. Mancuso Vice President Corporate Agency Sales and Marketing 9508 Mr. David W. Spillman Finance Director City of Petaluma P.O. Box 61 Petaluma, CA 94953 September 25, 1990 Re: City of Petaluma Certificates of Participation Dear Mr. Spillman, Bank of America is pleased to enclose our proposed schedule of fees for acting as Trustee, Registrar and Paying Agent for the referenced issue. Bank of America has been a leader in corporate trust services for California debt issues for 60 years. Currently, we act as Trustee, Fiscal Agent or Paying Agent for over 7,000 bond issues. We have acted as Trustee for a wide range of projects, benefiting local communities from hospitals and schools to housing and water/sewer facilities. The fees set forth in this proposal are subject to our review of the issue documentation. We reserve the right to renegotiate our fees should the structure of the financing change. We have performed a preliminary review of the draft documents for this issue. As you requested, I have also enclosed our comments on the draft. Please note that should Bank of America be selected as Trustee for this financing, we would retain legal counsel to review the second draft of the documents. We welcome the opportunity to expand our relationship with the City of Petaluma.. Very truly yours, ~~ ~~~~r~ Nancy J. Mancuso (415) 624-2538 lumaltr \ Bank of America National Trust and Savings Association '~ 55 Hawthorne Street 8th. Floor San Francisco, California 94105 i , BANK. OF AMERICA. NATIONAL TRUST AND SAVINGS ASSOCIATION SCHEDULE OF FEES FOR TRUSTEE, REGISTRAR AND PAYING AGENT SERVICES CITY OF PETALUPgA (COUNTY OF SONOMA) CERTIFICATE OF PARTICIPATION ISSUE ACCEPTANCE: $ 1,000.00 ANNUAL ADMINISTRATION/OPERATION CHARGES: $ 2,500.00 ADDITIONAL CHARGES: CONSTRUCTION FUND MAINTENANCE: $ 30.00 (if applicable) Per Disbursement INVESTMENT CHARGES: • Trade $ 75.00 • Customer Executed $ 150.00 MANDATORY OR OPTIONAL REDEMPTION: $ 500.00 (if applicable) TERMINATION FEE: $ 500.00 OUT OF POCKET: Indirect 2% of Annual Administration Direct At Cost See attached Explanation of Services for more information. Our fees are guaranteed for three years, with repricing based on cumulative Consumer Price Index (CPI). lumafee/doc (/ EXPLANATION O.-r.' SERVICES PgUN3CIPAL TRUSTEE ACCEPTANCE FEE• The Acceptance Fee includes the examination and execution applicable legal documents; the review of the bond form, subsequent authentication, and delivery of the bonds; receipt disbursement and allocation of the bond proceeds accordance with the governing document; the establishment administrative and operational records, and other services up •-~~~--~ -y -and including attendance at the closing. Final acceptance this appointment is contingent upon the Trustee's and . counsel's satisfactory review of the financing documents. ANNUAL ADMINISTRATION FEE: of and the in of to o:f,..,, ....Fk.:.~... . its This fee covers the administrative duties necessary to determine compliance with the covenants of the Trust Agreement. The administrative fee includes the maintenance of records necessary to ensure timely and accurate execution of trustee responsibilities; examination of statements, certificates and documents required to be filed with us to determine compliance with the provisions of the governing instrument; correspondence required in the normal administration of the trust; preparation and distribution of statements for each fund and account established under the Trust Agreement, and responding to the obligor's audit confirmations. REGISTRAR MAINTENANCE AND PAYING AGENT SERVICES: (Included in Annual Administration Fee) This fee includes the annual maintenance and servicing of certificateholder accounts; solicitation of taxpayer identification ~ numbers; postings; interest and principal disbursements; stop payment and replacement of lost or missing interest checks; correspondence and required research;. documentary transfers; replacement of lost, stolen or .mutilated certificates; and one certificateholder list per year. INVESTMENT OF FUNDS: (if applicable) This service charge covers the costs of placing each investment security and the related costs for settlement, safekeeping, collection. of interim interest and the redemption at the scheduled maturity date. Investment securities sold or liquidated prior to their scheduled maturity will be treated as a separate transaction. . / 1 SWEEP FUNDS: (if applicable.) Bank of America offers a variety of.eash management investment funds including Treasury Funds, Treasury Funds (Rated), Government Funds, and Money Market Funds. The Funds are managed by independent investment fund managers. There are no transaction charges associated with the Su,~eep Funds. An administrative fee of 25 basis points (annualized) will be netted from .each Fund yield and distributed to Bank of America each month. Fees paid to the Bank by the Funds will be fully disclosed on your monthly statement. Further details of these funds are described in the enclosed FACT SHEET. CONSTRUCTION FUND: (if applicable) This fee covers administrative assistance in managing the investments to meet construction disbursements, processing of each disbursement request including the receipt and review of the requisition for compliance with the trust agreement, scheduling of the disbursement to coincide with investments maturing, and arranging for payment by check or wire. SINKING FUND AND REDEMPTION: (if applicable) This fee includes the review of governing document provisions and any required obligor certificates in connection with the sinking fund or other redemption, the selection of bonds to be redeemed, and the preparation and mailing of the notice of redemption, or if applicable, the purchase of bonds for cancellation to satisfy sinking fund requirements. TERMINATION OF TRUST: ( if applicable) An amount equal to 10% of the last 12 months' fees (mini~ium charge of $500.00). The above fees are quoted on the basis that the float accrues to the benef"it of the. Trustee. Any change in this understanding may result i'n adjustments to the proposal. Fees are subject to adjustment upon providing at least ninety (90) days advance written notice. _ \ ,I ADDITIONAL SERVICES: (if applicable) The above schedule of fees. is for ordinary services in connection with the items mentioned-. If we are requested to render any additional or unusual services not set forth above, or services during default, a reasonable additional charge, based on appraisal of the services rendered., will be made. OUT OF POCKET .EXPENSES: INDIRECT out of pocket charges are billed at a flat rate. They, .include, but are not limited to, telephone calls, postage, insurance, communications by fax, •sta•t~~~~zery, costs of printing forms or letters, photocopies etc. DIRECT out ,of pocket charges will. b:e billed at cost.. These include, counsel fees, co-agent .fees (if any), publication of redemption notices, overnight delivery services, expenses of Bank personnel traveling to attend closings or meetings and other necessary expenses. srvmuni/doc