HomeMy WebLinkAboutR-00-0356J-00-372
4/20/00
RESOLUTION NO.
Q0 --
A RESOLUTION OF THE MIAMI CITY COMMISSION
AUTHORIZING THE CITY MANAGER TO ENTER INTO
CONTRACTS, IN A FORM ACCEPTABLE TO THE CITY
ATTORNEY, WITH EACH OF THE FIRMS OF HANIFEN-
IMOFF, INC., DUNLAP AND FIDELITY,. JOINT
VENTURE, AND DAIN RAUSCHER FOR FINANCIAL
ADVISORY SERVICES FOR A PERIOD OF TWO YEARS
WITH THREE, ONE YEAR EXTENSIONS.
WHEREAS, the Finance Committee, established pursuant to
Resolutions Nos. 98-631 and 98-768 to review and make
recommendations regarding the issuance of debt obligations,
recommended that a minimum of two, but no more than three firms
be appointed as financial advisors to the City of Miami; and
WHEREAS, on January 27, 2000, the City Commission authorized
the Administration to enter into competitive negotiations with
the firms of Dain Rauscher, Inc., Joint Venture of Dunlap and
Associates and Fidelity Financial Services, First Southwest
Company, Hanifen Imoff, Inc., and P.G. Corgin to provide such
financial advisory services; and
WHEREAS, a negotiation committee consisting of
Carlos Enriques, the Chair of the Selection Committee, Finance
Committee member, Bertha Henry, Assistant City Manager of Finance
and Administration, and Scott Simpson, Interim Finance Director,
recommended to the Finance Committee that the firms of Hanifen
CITE' COYSSYON
MEETING OF
APR 2 7 2000
Resolution No. 1� .
Imoff, Inc., Dain Rauscher, and Dunlap and Fidelity, Joint
Venture, be appointed as financial advisors to the City;
WHEREAS, the Finance Committee at its meeting of
April 12, 2000 unanimously recommended that the City enter into
contracts with each of the three firms namedby the City
Commission based upon variable rates for service;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY
OF MIAMI, FLORIDA:
Section 1. The recitals and findings contained in the
Preamble to this Resolution are hereby adopted by reference
thereto and incorporated herein as if fully set forth in this
Section.
Section 2. The City Manager is hereby authorized!' to
execute contracts, in a form acceptable to the City Attorney,
with each of the firms of Hanifen-Imoff, Inc., Dunlap and
Fidelity, Joint Venture, and Dain Rauscher for financial advisory
services for a period of two years with three -one year
extensions, is hereby approved.
3i The herein authorization is further subject to compliance with all
requirements that may be imposed by the City Attorney, including but not
limited to those prescribed by applicable City Charter and Code
provisions.
Page 2 of 3 kj..—
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Section 3. This Resolution shall become effective
immediately upon its adoption and signature of the Mayor./
PASSED AND ADOPTED this 27th day of April , 2000.
JOE CAROLLO, MAYOR
In accordance with Miami Code Sec. 2-36, since the Mayor did not indlcaSa apprr'wl.l of
this legislation by signing it in the designated pla e provided, said
becomes effective with the elapse of ten (10) days m the, date of Comp
regarding same, without the Mayor ercia o.
ATTEST:
WALTER J. FOEMAN
CITY CLER
APPROV • T�F( . M ANI.1 CORRECTNESS : C/
T
338:RCL
, City Clerk
If the Mayor does not sign this Resolution, it shall become effective at
the end of ten calendar days from the date it was passed and adopted.
If the Mayor vetoes this Resolution, it shall become effective
immediately upon override of the veto by the City Commission.
Page 3 of 3
TO
FROM
CITY OF MIAMI, FLORIDA
i
19 A
INTER -OFFICE MEMORANDUM
The Honorable Mayor and Members of the DATE April 18, 2000 FILE
City Co ssion
SUBJECT: Financial Advisor
Recommendation
nald H. Warshaw REFERENCES:
City Manager
ENCLOSURES:
RECOMMENDATION
Staff recommends approval of the attached Resolution authorizing the City Manager to
enter into contract negotiations with the firms of Haiifen-Imoff, Inc., Dunlap and Fidelity
(Joint Venture), and Dain Rauscher for financial advisory services. These advisors will be
available to Quasi City agencies such as the .Miami Sports and Exhibition Authority,
Bayfront Park, Community Redevelopment Agencies, etc. under the terms and conditions
of the contract approved • by the City. This recommendation also comes with the
unanimous support of the Finance Committee.
BACKGROUND
On November 12, 1999, the City released the "Request for Proposals" (RFP) for the
selection of a financial advisor. A voluntary Pre -Proposal Conference was held on
November 23, 1999, and the deadline for submission of proposals was December 8,
1999.
An evaluation committee, consisting of Frank Hinton, Miami Dade County Finance
Department; Rudy Rodriquez, Comptroller, Miami -Dade County Schools; Carlos
Enriquez, President, America Government Certificates; Bertha Henry, Assistant City
Manager; and Julie Weatherholtz, Finance Director, was appointed io review and make
recommendations to the Finance Committee.
Five firms responded to the City's RFP: Dain Rauscher, Inc., Joint Venture: Dunlap and
Associates and Fidelity Financial, First Southwest Company, Hanifen-Imoff, Inc. and
P.G. Corbin. The evaluation committee recommended a rejection of the initial process
due to the disparity in cost of the highest ranked firm and the fact the original "Request
for Proposal" only allowed for the selection of one financial advisor. During the selection
process, it became evident that the potential for a conflict was a real possibility. That
being the case, the evaluation committee felt it would be in the City's best interest to
have more than one advisor.
The Evaluation Committee recommended that the proposals be rejected and that the
Administration be directed to enter into competitive negotiations with all five firms. The
U- 5
Finance Committee accepted this recommendation and added that a minimum of two, but
no more than three, be selected:
The City Commission also accepted this recommendation.
The City staff, along with the chair of the Evaluation Committee, Carlos Enriques,
engaged in competitive negotiations with the five firms of Dain Rauscher; Dunlap and
Fidelity (Joint Venture), First ,Southwest, Hanifen Imhoff, Inc., and P.G. Corbin .for
financial advisory services.
Prior to the.first session, the City established minimum thresholds that would serve as the
ground rules for the negotiation process. They were as follows:
■ The City will select a minimum of two but no more than three financial advisors .
■ The financial advisor selected to work;.on a particular issue will beat the City's
sole discretion
■ There will be no minimum guarantee of work assigned
■ Quasi city agencies such as the Miami Community Redevelopment. Agency
(CRA), Miami Sports and Exhibition Arena (MSEA), Bayfront Park, and the
International Trade Board may use ' any of the designated financial advisors, at
their discretion and cost
■ The firm must be willing to change the project manager prior to entering into a
contract, if asked
■ Maximum hourly rates and fees were identified (see attached).
Three negotiation sessions were held with one firm, P.G. Corbin, dropping out of the
process after the first session.
Based on information obtained through'the competitive negotiations process, in order of
priority, the negotiation team recommended the following Financial Advisory .Firms to
the Finance Committee:
1. -Hanifen Imhoff
2.., Dunlap/Fidelity Joint Venture '
3. Dain Rauscher .
The Finance Committee accepted this. -recommendation; which is now being presented to
you in the attached resolution for approval.