Staff recommends authorization of the banking services agreement with TD Bank, NA.
As previously disclosed to the Commission at its regular meeting of July 26, 2010 the Electric Utility is required to maintain a deposit with TD Bank, NA an amount equal to one year of Maximum Annual Debt Service, (MADS) totaling $1,200,000. TD Bank, NA is a qualified public depository pursuant to Chapter 280, Florida Statutes, otherwise known as the Florida Security for Public Deposits Act. As such, TD Bank, NA is authorized to receive public deposits as defined in Subsection 280.02(13), Florida Statutes. When public deposits are made in accordance with this chapter, there shall be protection from loss to public depositors, as defined in s. 280.02, in the absence of negligence, malfeasance, misfeasance, or nonfeasance on the part of the public depositor or on the part of his or her agents or employees. The Finance Department will be working with the City’s Investment Advisor, Julie Hughes of Davidson Fixed Income Management, (DFIM) as to the best investment vehicle to use.
1. Authorize execution of an agreement with TD Bank, NA; Or
2. Such alternative action as the Commission may deem appropriate
There will be a transfer of $1,200,000 from the Electric Utility’s working cash operating account to TD Bank, NA. No banking fees are associated with this account.
Prepared by: __Jerry Boop_________
Attachments: Yes_x__ No ______
Advertised: ____Not Required ______
Attorney Review : Yes___ No ____
Reviewed by: Dept. Head _JB_____
Finance Dept. ___________JB_____
Deputy C.M. ___________________
City Manager ___________________
Account No. _________________
Project No. ___________________
WF No. ______________________
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA, AUTHORIZING EXECUTION OF AN AGREEMENT WITH TD BANK, NA TO PROVIDE CERTAIN BANKING SERVICES IN CONJUNCTION WITH THE CITY’S NOT TO EXCEED $20.0 MILLION ELECTRIC SYSTEM REVENUE NOTE, SERIES 2010 TO FINANCE THE CITY'S CAPITAL IMPROVEMENTS TO THE ELECTRIC SYSTEM; AND PROVIDING AN EFFECTIVE DATE.
BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:
THAT the Mayor and City Clerk are hereby authorized to execute an agreement with TD Bank, NA whose address is 2333 Ponce De Leon Blvd., Suite 303, Coral Gables, FL 33134, for certain banking services.
THAT this resolution shall become effective immediately.
PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the 9th day of August 2010.