HomeMy WebLinkAboutR-88-0787J -68-64 1
a/31/66
RESOLUTION NO. 88-7N7
A RESOLUTION ACCEPTING THE PROPOSAL OF
RAYMOND JAMES A ASSOCIATES, INC. AND
HOWARD GARY A COMPANY FOR THE PROVISION
OF FINANCIAL ADVISORY SERVICES FOR A TWO
YEAR PERIOD, COMPENSATION FOR SUCH
SERVICES TO BE PAID FROM APPROPRIATED
CAPITAL IMPROVEMENT PROJECT FUNDS;
FURTHER AUTHORIZING THE CITY MANAGER TO
EXECUTE A CONTRACT WITH SAID FIRMS IN
SUBSTANTIAL ACCORDANCE WITH THE TERMS AND
CONDITIONS OF THE ATTACHED AGREEMENT.
WHEREAS, The City of Miami requires the professional
services of a financial advisor to perform various tasks related
to the City's Capital Improvement Program, and the issuance of
debt to support such Program; and
WHEREAS, proposals were received on May 19, 1988 for the
provision of Financial Advisory Services for the City of Miami;
and
WHEREAS, a review committee appointed by the City Commission
reviewed the submitted bids for Financial Advisory Services and
has made a recommendation to the City Manager; and
WHEREAS, the City Manager concurs with the recommendation of
the Review Committee;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE
CITY OF MIAMI, FLORIDA:
Section 1. The proposal of Raymond James & Associates,
Inc. and Howard Gary & Company for the provision of financial
advisory services to the City of Miami for a two year period is
hereby accepted, compensation for such services to be paid frost
appropriated capital improvement project funds.
ATTACHMENTS,
CONTAINED
Section 2. The City Manager is hereby authorised to
enter into a contract with Raymond James & Associates, Inc. and
Howard Gary A Company in substantial accordance with the terms and
conditions of the attached form, said two year period comeneing
upon execution of the contract.
PASSED AND ADOPTED this 8th day of,
ATTEST:
A v'/
HIRAI, CITY CLERK
PREPARED AND APPROVED BY:
ROBERT F. C ARK
CHIEF DEPUTY CITY ATTORNEY
APPROVED AS TO FORM AND CORRECTNESS:
CIT ATTORNE
)er , 1488.
IER L. SUAREZJ
Li
AGREEMENT
THIS AGREEMENT, made and gntered into this day of
by and between the City of Miami (hereinafter
referred to as 'THE CITY'), and a corporation engaged in
financial advisory services (hereinafter referred to as 'THE
FINANCIAL ADVISOR')
WITNESSETH:
WHEREAS, the City Commission by Resolution No. passed
and adopted authorized and directed the City
Manager to execute a contract for financial advisory services,
and
WHEREAS, the City Commission selected the FINANCIAL ADVISOR
to render said services for a period of two (2) years, beginning
,1988.
NOW THEREFORE, the CITY and the FINANCIAL ADVISOR for the
considerations hereinafter set forth, agree and covenant, one on
to the other as follows:
I. SCOPE OF SERVICES
The firm shall be responsible for performing or for assisting
City staff and/or bond counsel in completing the following
tasks:
A. REVIEW AND EVALUATION OF FINANCIAL CONDITION, POLICIES
AND PLANS:
Review the City's overall financial condition
legal requirements, and policies, with
particular emphasis.on the financing of capital
improvements and the issuance and
administration of debt. The firm shall sake
recommendations, as appropriate, which would
enhance the marketability and rating of future
bond issues, including desirable legislative
amendments.
Review of the City's plans for financing
capital improvements as a cowponent of the
City's Comprehensive Plan and the 6-Year
Capital Improvement Program.
Evaluate, and if appropriate, rend
modifications in staff's preliminary parameters
for timing and size of issue, aver agqee not
-interest costs, anticipated maturity SC'4 to,
annual debt service requirements and financipq
requirements.
Advise staff of pertinent market factors
expected trends in interest rates and ytomle
for different maturity dates..
Review with City staff the advantages,
disadvantages and requirements of financing
structures used by similar issuers, including
taxable bonds and other approaches.
Perform other such duties as necessary,
including attendance and presentation before
the Mayor and members of the City Commission
approximately four times a year to discuss
revenue projections, strategies for
maintaining/improving creditworthiness and
other related financial matters.
Provide recommendations on the timing,
structure, technical features and amount of
proposed bond issues.
B. ASSIST IN DEVELOPING A FINANCIAL PLAN
The firm shall help develop a plan of financing
in consultation with City officials, auditor,
and municipal bond counsel. The plan will be
based on the city's capital improvement
program, studies pertaining to revenue
projections, and the existing corporate,
financial and legal structure of the City.
Help establish evaluations of financing
alternatives other than municipal bonds.
Review the City's revenue projections and
provide comment.
C. ASSIST IN DEALINGS WITH RATING AGENCIES
Assist staff in preparing presentations to the
rating agencies necessary to analyze the
financial soundness of the City's financing
pr ram, and discuss methods of maintaining
and/or improving the City's rating with those
individuals who determine the bond ratings.
Attend meetings of the appropriate
representatives of the City's staff with the
rating agency presentations.
D. PREPARATION FOR BOND SALE
Assist staff in establishing a timetable and a
list of duties of all parties involved in the
financing and develop a time schedule for the
sale of bond issues, giving consideration to
cash needs, expected market conditions and
availability of audited financial data.
y Evaluate bond covenants necessary to provide
flexibility for the City and assure positive
reception with rating services and investors.
Work with staff, City Counsel, Bond Counsel #"
other advisors to prepare reports and does
necessary to support the issuance of bonds and
recommend appropriate technical financing
features designed to enhance marketability,
such as time and place of bond bids, good faith
check, denomination and spread of coupons,
payment and terms, and call provisions.
Consult with and assist staff and good QpWOOZ
in the preparation of legal docu"Station
necessary to support the bond issue.
2
t 4�
In cooperation with staff, evaluate the text of
the Preliminary Official Statement describing
the bonds, Notice of Sale, and other material
information designed to provide analysts,
investors and - the rating services with
appropriate disclosure of a material nature.
Mork with staff, City Counsel, Bond Counsel and
other related parties to finalize the Official
Statement.
In cooperation with City staff, Bond Counsel,
and other members of the financial team, lead
the planning and distribution of the official
statement.
E. DEVELOPMENT OF THE MARKET AND BOND SALE
Analyze market climate in the period
immediately preceding the selected date for the
bond sale.
Determine the best method for marketing the
bonds under expected market conditions existing
at the time of the sale.
Provide information to the City concerning the
market climate, investors active in the
municipal market during the sale period, and
other similar issues scheduled for sale during
such period.
Conduct pre -sale information meetings for
prospective underwriters and institutional
investors in principal financial centers as
approved by the City.
Assist staff in providing trade publications
with information as to the City's financing
schedule and proposed bond sale dates.
Assist staff in answering questions of
potential investors and underwriters regarding
the bond issue.
Assist staff in developing a comprehensive list
of underwriters, institutional investors and
investment advisors.
Upon receipt of the bids or proposals for the
issue, review bids and recommend to the issuer
the best bid for acceptance, if any.
Provide the City with a debt service schedule
based upon the interest rates, etc., of the
winning bid.
II. COMPENSATION
The CITY agrees to pay the FINANCIAL ADVISOR f--)r services
rendered in accordance with the following fee schedule
subject to a minimum fee of $25,908 per bond issue, and upon
successful completion of related debt issuances
Competitive Sale, $1.8A/$1,"f bond
Negotiated Bale, $1.25/$1,099 bond
The CITY agrees to pay the FINANCIAL ADVISOR to"
services not specifically related to a pending baNmA.;.#s
based on the following hourly ratess
President and Vice President $ice
Vice President 125
Assistant Vice President 100
Associate 75
Analyst 58
Out of pocket expenses must be approved by the City prior to
incurring them in order to be reimbursed.
III. GENERAL PROVISIONS OF THE AGREEMENT
A. Terminations of the agreement for cause.
If either party does not comply to the terms of the
agreement, the City Manager or the FINANCIAL ADVISOR
may give notice of the defaults in writing. If the
defaults are not corrected within thirty (30) days
from the written notice of defaults, by the City
Manager or the FINANCIAL ADVISOR the agreement will
be terminated.
B. Changes.
The City Manager may, from time to time, require
changes in the scope of services of the FINANCIAL
ADVISOR to be performed hereunder. Such changes,
which are mutually agreed upon by and between the
CITY and the FINANCIAL ADVISOR shall be
incorporated in written amendments to this
Agreement.
C. Equal Employment Opportunity.
The FINANCIAL ADVISOR will not discriminate against
any employee or applicant for employment because of
race, color, religion, sex or national origin. The
FINANCIAL ADVISOR shall take affirmative action to
ensure that applicants are employed and that
employees are treated during employment without
regard to race, color, religion, sex or natural
origin.
Such actions shall include, but not be limited, to
the followings Employment, upgrading, demotions or
transfers, recruitment or recruitment advertising;
layoff or terminations; rates of pay or other forms
of compensation, selection for training including
apprenticeship; and participation in recreational
and educational activities.
The FINANCIAL ADVISOR agrees to post in conspicuous
places available to employees and in applications
for employment notices setting forth the provisions
of this non-discrimination clause. The FINANCIAL
ADVISOR will in all solicitations or advertisements
for employees placed by or on behalf of the
FINANCIAL ADVISOR state that all qualified
applicants will receive consideration for employment
without regard to race, color, religion, sex or
national origin. The FINANCIAL ADVISOR will cause
the foregoing provisions to be inserted in all sub-
contracts for any work covered by this contract so
that such provisions will be binding upon each sub-
contractor, provided that the foregoing provisions
shall not apply to contracts or sub -contracts for
standard commercial supplies or raw materials. The
FINANCIAL ADVISOR shall keep such records and submit
such reports concerning racial and ethnic origin of
applicants for employment and employees as the
Secretary of Labor of the United States riggil.
The FINANCIAL ADVISOR agrees to coldly with Apo
rules, regulations or guidelines as the locro"ry►
.may issue to implement these requirements.
4
T-
D. Both parties shall comply with all applicable laws,
ordinances and codes of Federal, State and Local
Governments applicable to that Party.
E. In the even of conflict between the terms of this
Agreement and any terms or conditions contained in
any attached documents, the terms in this Agreement
shall rule.
F. No waiver or breach or any provision of this
Agreement shall constitute a waiver of any
subsequent breach of the same or any other provision
hereof, and no waiver shall be effective unless made
in writing.
ti. Should any provisions, paragraphs, sentences, words
or phrases contained in this Agreement be determined
by a court of competent jurisdiction to be invalid,
illegal or otherwise unenforceable under the laws of
the State of Florida or the City of Miami, such
provisions, paragraphs, sentences, words or phrases
shall be deemed modified to the extent necessary in
order to conform with such laws, and to the extent
they can not be so modified, then same shall be
deemed severable, and in either event, the remaining
terms and provisions of this Agreement shall remain
unmodified and in full force and effect.
H. That the obligations undertaken by FINANCIAL ADVISOR
pursuant to this Agreement shall not be delegated or
assigned to any other person or firm unless CITY
shall first consent in writing to the performance or
assignment of such service or any part thereof by
another person or firm.
I. That FINANCIAL ADVISOR has not employed or retained
any person employed by the CITY to solicit or secure
this Agreement and that he/she has not offered to
pay, paid, or agreed to pay any person employed by
the CITY and fee, commission percentage, brokerage
fee, or gift of any kind contingent upon or
resulting from the award of this Agreement.
J. This Agreement shall be construed and enforced
according to the Laws of the State of Florida.
K. FINANCIAL ADVISOR shall indemnify and save CITY
harmless from and against any and all claims,
.liabilities, losses, and causes of action which may
arise out of FINANCIAL ADVISOR'S negligence under
this Agreement, including any employee acting for
and on the FINANCIAL ADVISOR'S behalf, and from and
against any orders, judgements, or decrees which may
be entered and from and against all costs,
attorney's fees, expenses and liabilities incurred
in the defense of any such claims, or in the
investigation thereof.
L. FINANCIAL ADVISOR is aware of the conflict of
interest laws of the City of Miami (City of Miami
Code Chapter 2, Article V), Dade County Florida
(Dade County Code Section 2-11.1) and the State of
Florida, and agrees that FINANCIAL ADVISOR will
fully comply in all respects with the terms of said
laws.
M. CITY retains the right to terminated this Agreement
at any time prior to the completion of the s" vives
required pursuant to paragraph I hereof witbout
penalty to CITY. In that event, notice of
termination of this Agreement shall be in writing
FINANCIAL ADVISOR, who shall be paid foe
5
services performed prior to the date of its receipt
of the notice of termination. In no case, However,
will CITY pay FINANCIAL ADVISOR an amount in excess
of the total sum provided by this Agreement.
1�. In the event that FINANCIAL ADVISOR shall fail to
comply with each and every term and condition of
this Agreement of fails to perform any of the terms
and conditions contained herein, then, CITY shall
have the rights set out in Paragraph III A, above.
IM WITNESS WHEREOF, the parties hereto have caused this
instrument to be executed by the respective officials
thereunto duly authorized, this the day and year first
written.
ATTEST:
ATTEST:
Corporate Secretary
Approved as to Form i Correctness:
THE CITY OF MIAMI, a
municipal corporation of
the State of Florida:
8y:
y Manager
FINANCIAL ADVISOR
BY $ (O*al )
t e
A
r-
y,.
AGREEMENT
THIS AGREEMENT, made and gntered into this day of
by and between the City of Miami (hereinafter
referred to as 'THE CITY'), and a corporation engaged in
financial advisory services (hereinafter referred to as 'THE
FINANCIAL ADVISOR')
WITNESSETHs
WHEREAS, the City Commission by Resolution No. passed
and adopted 0 authorized and directed the City
Manager to execute a contract for financial advisory services,
and
WHEREAS, the City Commission selected the FINANCIAL ADVISOR
to render said services for a period of two (2) years, beginning
,1988.
NOW THEREFORE, the CITY and the FINANCIAL ADVISOR for the
considerations hereinafter set forth, agree and covenant, one on
to the other as follows:
I. SCOPE OF SERVICES
The firm shall be responsible for performing or for assisting
City staff and/or bond counsel in completing the following
tasks:
A. REVIEW AND EVALUATION OF FINANCIAL CONDITION, POLICIES
AND PLAM
Review the City's overall financial condition
legal requirements, and policies, with
particular emphasis.on the financing of capital
improvements and the issuance and
administration of debt. The firm shall make
recommendations, as appropriate, which would
enhance the marketability and rating of future
bond issues, including desirable legislative
amendments.
Review of the City's plans for financing
capital improvements as a co*ponent of the
City's Comprehensive Plan and the 6-Yeas
Capital Improvement Program.
Evaluate, and if appropriate• s
modifications in staff's prelimiaary p04e@rs
for timing and sine of issue@ avWjk"
interest costs, anticipated maturity
annual debt service requirements and AX400;
requirements.
Advise staff of pertinent market factors
expected treads o Latlego" s644"
for different maturity date@,i•;
,,
B.
C.
D.
Review with City staff the advantages,
disadvantages and requirements of financing
structures used by similar issuers, including
taxable bonds and other approaches.
Perform other such duties as necessary,
including attendance and presentation before
the Mayor and members of the City Commission
approximately four times a year to discuss
revenue projections, strategies for
maintaining/improving creditworthiness and
other related financial matters.
Provide recommendations on the timing,
structure, technical features and amount of
proposed bond issues.
ASSIST IN DEVELOPING A FINANCIAL PLAN
The firm shall help develop a plan of financing
in consultation with City officials, auditor,
and municipal bond counsel. The plan will be
based on the city's capital improvement
program, studies pertaining to revenue
projections, and the existing corporate,
financial and legal structure of the City.
Help establish evaluations of financing
alternatives other than municipal bonds.
Review the City's revenue projections and
provide comment.
ASSIST IN DEALINGS WITH RATING AGENCIES
Assist staff in preparing presentations to the
rating agencies necessary to analyze the
financial soundness of the City's financing
pr ram, and discuss methods of maintaining
and/or improving the City's rating with those
individuals who determine the bond ratings.
Attend meetings of the appropriate
representatives of the City's staff with the
rating agency presentations.
PREPARATION FOR BOND SALE
• Assist staff in establishing a timetable and a
list of duties of all parties involved in the
financing and develop a time schedule for the
sale of bond issues, giving consideration to
cash needs, expected market conditions and
availability of audited financial data.
Evaluate bond covenants necessary to provide
flexibility for the City and assure positive
reception with rating services and investors.
• Work with staff, City Counsel, Bond Counsel and
other advisors to prepare reports and docane is
necessary to support the issuance of bonds a"
recommend appropriate technical financing
features designed to enhance marketability,
such as time and place of bond bids, good fail
check, denomination and spread of coupons,
payment and terms, and call provisions.
Consult with and assist staff and $ond ftjoel
in the preparative of legal %§%~ ►
necessary to support the bond issm.
• k V {,1
2
In cooperation with staff, evaluate the text of
the Preliminary Official Statement describing
the bonds, Notice of Sale, and other material
information designed to provide analysts,
investors and - the rating services with
appropriate disclosure of a material nature.
Work with staff, City Counsel, Bond Counsel and
other related parties to finalise the Official
Statement.
In cooperation with City staff, Bond Counsel,
and other members of the financial teas, lead
the planning and distribution of the official
statement-
R
. DEVELOPMENT OF THE MARKET AND BOND SALE
Analyze market climate in the period
immediately preceding the selected date for the
bond sale.
Determine the best method for marketing the
bonds under expected market conditions existing
at the time of the sale.
Provide information to the City concerning the
market climate, investors active in the
municipal market during the sale period, and
other similar issues scheduled for sale during
such period.
Conduct pre -sale information meetings for
prospective underwriters and institutional
investors in principal financial centers as
approved by the City.
Assist staff in providing trade publications
with information as to the City's financing
schedule and proposed bond sale dates.
Assist staff in answering questions of
potential investors and underwriters regarding
the bond issue.
Assist staff in developing a comprehensive list
of underwriters, institutional investors and
investment advisors.
Upon receipt of the bids or proposals for the
issue, review bids and recommend to the issuer
the best bid for acceptance, if any.
Provide the City with a debt service schedule
based upon the interest rates, etc., of the
winning bid.
II. COMPENSATION
The CITY agrees to pay the FINAMCM ADVISOR for servicee
rendered in accordance with the following fee sckedul*
subject to a minimum fee of $25,"S per bond issue, and AVon-
successful completion of related debt issuances
Competitive Sale, $1.50/$1,"5 bond �
Negotiated Bale, $1.25/$l,de/ bond
The CITY agrees to pay the FINANCIAL AMZWM dew .fix
services not specifically related to a pon"aig .bo*;.s
based on the following hourly rated
k
President and Vice President
r=
3
Vice President 125
Assistant Vice President I"
Associate 75
Analyst 50
Out of pocket expenses must be approved by the City prior to
incurring them in order to be reimbursed.
III. GENERAL PROVISIONS OF THE AGREEMENT
A. Terminations of the agreement for cause.
if either party does not comply to the terms of the
agreement, the City Manager or the FINANCIAL ADVISOR
may give notice of the defaults in writing. If the
defaults are not corrected within thirty (30) days
from the written notice of defaults, by the City
Manager or the FINANCIAL ADVISOR the agreement will
be terminated.
B. Changes.
The City Manager may, from time to time, require
changes in the scope of services of the FINANCIAL
ADVISOR to be performed hereunder. Such changes,
which are mutually agreed upon by and between the
CITY and the FINANCIAL ADVISOR shall be
incorporated in written amendments to this
Agreement.
C. Equal Employment Opportunity.
The FINANCIAL ADVISOR will not discriminate against
any employee or applicant for employment because of
race, color, religion, sex or national origin. The
FINANCIAL ADVISOR shall take affirmative action to
ensure that applicants are employed and that
employees are treated during employment without
regard to race, color, religion, sex or natural
origin.
Such actions shall include, but not be limited, to
the following: Employment, upgrading, demotions or
transfers, recruitment or recruitment advertisingt
layoff or terminations; rates of pay or other forms
of compensation, selection for training including
apprenticeships and participation in recreational
and educational activities.
The FINANCIAL ADVISOR agrees to post in conspicuous
places available to employees and in applications
for employment notices setting forth the provisions
of this non-discrimination clause. The FINANCIAL
ADVISOR will in all solicitations or advertiaments
for employees placed by or on behalf of the
FINANCIAL ADVISOR state that all qualified
applicants will receive consideration for employment
without regard to race, color, religion, sex or
national origin. The FINANCIAL ADVISOR will cause
the foregoing provisions to be inserted in all sub-
contracts for any work covered by this contraot so
that such provisions will be binding upon each stab --
contractor, provided that the foregoing provision
shall not apply to contracts or sub -contracts
standard cossnercial supplies or raw mterials. 00
FINANCIAL ADVISOR shall keep such records and vWWAt
such reports concerning racial and ethnic origis of
applicants for employmnt and employees 40
secretary of Labor of the United States
The FINANCIAL ADVISOR ogre" to COW Ly
w,;
rules, regulations or guidelimes ss the
.may issue to implement t3go" m"Lrefte"s.
4{
D. Both parties shall comply with all applicable law,
ordinances and codes of Federal, State and Local
Governments applicable to that Party.
E. In the even of conflict between the terms of this
Agreement and any terms or conditions contained in
any attached documents, the terms in this Agreement
shall rule.
F. No waiver or breach or any provision of this
Agreement shall constitute a waiver of any
subsequent breach of the same or any other provision
hereof, and no waiver shall be effective unless made
in writing.
G. Should any provisions, paragraphs, sentences, words
or phrases contained in this Agreement be determined
by a court of competent jurisdiction to be invalid,
illegal or otherwise unenforceable under the laws of
the State of Florida or the City of Miami, such
provisions, paragraphs, sentences, words or phrases
shall be deemed modified to the extent necessary in
order to conform with such laws, and to the extent
they can not be so modified, then same shall be
deemed severable, and in either event, the remaining
terms and provisions of this Agreement shall remain
unmodified and in full force and effect.
H. That the obligations undertaken by FINANCIAL ADVISOR
pursuant to this Agreement shall not be delegated or
assigned to any other person or firm unless CITY
shall first consent in writing to the performance or
assignment of such service or any part thereof by
another person or firm.
I. That FINANCIAL ADVISOR has not employed or retained
any person employed by the CITY to solicit or secure
this Agreement and that he/she has not offered to
pay, paid, or agreed to pay any person employed by
the CITY and fee, commission percentage, brokerage
fee, or gift of any kind contingent upon or
resulting from the award of this Agreement.
J. This Agreement shall be construed and enforced
according to the Laws of the State of Florida.
K. FINANCIAL ADVISOR shall indemnify and save CITY
harmless from and against any and all claims,
.liabilities, losses, and causes of action which may
arise out of FINANCIAL ADVISOR'S negligence under
this Agreement, including any employee acting for
and on the FINANCIAL ADVISOR'S behalf, and from and
against any orders, judgements, or decrees which may
be entered and from and against all costs,
attorney's fees, expenses and liabilities incurred
in the defense of any such claims, or in the
investigation thereof.
L. FINANCIAL ADVISOR is aware of the conflict of
interest laws of the City of Miami (City of Miami
Code Chapter 2, Article V), Dade County Florida
(Dade County Code Section 2-11.1) and the state of
Florida, and agrees that FINANCIAL ADVISOR will
fully comply in all respects with the terns of *aid
laws.
M. CITY retains the right to terminated this Agreesient
at any time prior to the completion of the services
required pursuant to paragraph I hereof without
penalty to CITY. In that event, notion et
termination of this Agreement shall be in wsitim! t►
FINANCIAL ADVISOR, who shall be paid for V
5
.;
services performed prior to the data of its receipt
of the notice of termination. In no case, However•
will CITY pay FINANCIAL ADVISOR an amount in excess
of the total sums provided by this Agreement.
p. In the event that FINANCIAL ADVISOR shall fail to
comply with each and every term and condition of
this Agreement of fails to perform any of the terms
and conditions contained herein, than, CITY shall
have the rights set out in Paragraph III A, above.
IN WITNESS WHEREOF, the parties hereto have caused this
instrument to be executed by the respective officials
thereunto duly authorised, this the day and year first
written.
ATTEST#
ATTEST:
Corporate Secretary
Approved as to Form a Correctness#
THE CITY Or MIAMI, a
municipal corporation of
the state of Florida#
0Ys
city Manager
FINANCIAL ADVISOR
Sys (seal)
.TLtle
c
�x A
PK
4.N.-��
t '
c
r.
S I
y1- fi
rt
CITY OF MtAMI. FLORIDA
11
INTSO-OFFIC[ 1ARMORANDUM
ro Honorable Mayor and Members D/Tc' AUG 3 eeppee
of the City Commission 1,vv n�c:
Agenda -Item -
suuccT Financial Advisory
Services
Cesar H. Odio
FROM. City Manager RcrcRCNCcs:
ENCLOSURES:
1
RECOMMENDATION:
It is respectfully recommended that the attached resolution
accepting the proposal of Raymond James & Associates., Inc. and
Howard Gary & Company for the provision on Financial Advisory
Services for a two year period be approved.
BACKGROUND:
At the April 14, 1988 City Commission meeting, Resolution No. 88-
333 authorizing and instructing the Finance Director to advertise
and distribute a Request for Proposals for Financial Advisory
Services was approved. The resolution additionally appointed a
committee to evaluate responses and to make a recommendation to
the City Manager based upon the criteria as defined in the
request for proposals.
Financial Advisors function is to assist the City in the
structuring, timing and negotiations related to sale of City
bonds, particularly:
Review and evaluation of financial condition, policies and
plans.
Assistance in developing a financial plan.
Assistance in dealing with bond rating agencies.
Preparation for bond sale.,;; wry
Development of market for the bonds. '
I. The final selection committee was composed oft
Jeff Watson
appointed
by
Mayor Suares�x
Howard Glieken
appointed
by
Vice Mayor Kes3Aa4,.
Rev. Richard Barrie
appointed
by
Comer. Dawkias
Maggie Baisman
appointed
by
Co=. Do Yam
Thomas Carlos
appointed
by
Comer. Plu"*r
In 'addition the committee
received
guppo" ft UN-,.
Finance and Law Departments
and the Office
of Won ;.
Procurement.
a '
",
i-
,y k
Agenda Item -
Financial Advisory Services
Page 2
II. Evaluation Criteria as stated in the request for proposals
covered the followings:
Experience
• Scope of Services
Proposed fees
Assigned staff
Minority Participation
III. Proposals were received from the following firmss
• Government Finance Associates, Inc.
• Government Finance Research Center and Grigsby,
Bradford & Co., Inc.
James J. Lowrey & Co., Inc.
• M. R. Beal & Company
Public Financial Management, Inc.
• Public Resources Advisory Group and P.G. Corbin A
Company, Inc.
• Raymond James & Associates, Inc. and Howard Gary 4
Company s
Southeast Bank, N.A.
W. R. Lazard & Co., Inc. z;
William R. Hough & Co. and AIBC Financial Corp.
IV. Selection Committee's recommendation:
The selection committee reviewed the ten proposals fro@1
which it shortlisted five firms for interviews. Of the
firms interviewed it ranked the top three fires in the
following order: f.z
1. Raymond James Associates, Inc. and Howard !,
Company.
I
2. Government finance Research Center lord
Bradford A Co., Inc.
;. M. R. Beal i Company. x .
,} 4
ins
r 4� •i .
K
i TF
1
Agenda Item -
Financial Advisory Services
page 3-
V. Compensation
A. The Financial Advisor will be paid out of bond proceeds
the following fees:
Competitive Sales, $1.00 /$1,000, subject to a minimum
fee of $25,000•
Negotiated Sales, $1.25 /$1,000, subject to a minimum
fee of $25,000.
B. The Financial Advisor will be paid fees for services
not specifically related to a pending bond issue based
on the following hourly rates:
President and First Vice President $150 v7
Vice President 125
Assistant Vice President 100'
Associate 75
;t
Analyst 50 k'Al'l:
r
' c '�% �^mac • � � � �
YSY
1y,
.^� �4 �"�} x�'AS ..:t i�" } �jf`*i"F j 'g ti M 'C,_�,As4 4,f `.✓+
� �., k i.. •!1 J ; A��1P ;(�•'f� {�? rc ! �'�1� - M1 � � 'Y. '�} kip ,
�+✓ i
4 p+ h y
�.a ; It
R
te