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
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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
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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