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HomeMy WebLinkAboutAgenda Item Summary FormAGENDA ITEM SUMMARY FORM File ID: #17479 Date: 04/09/2025 Commission Meeting Date: 06/17/2025 Requesting Department: Department of Finance Sponsored By: District Impacted: All Type: Resolution Subject: Authorize - Investment Advisory Services - Palm Bay Purpose of Item: The nature of this item is to establish a resolution of the Miami City Commission, authorizing the full accessing beyond the City Manager's delegated authority of $50,000, of the City of Palm Bay, Florida ("Palm Bay") Contract No. 66-0-2021/sz ("Contract") for the provision of Investment Advisory Services, for the City of Miami's Finance Department ("Finance"), pursuant to Section 18-111 of the Code of the City of Miami, Florida, as Amended, with PFM Asset Management, a Division of U.S. Bancorp Asset Management, Inc., a successor to PFM Asset Management, LLC ("PFM"), a foreign limited liability company, which was competitively solicited for a term of three (3) years from March 11, 2022, to March 10, 2025, with seven (7) additional one (1) year option to renew periods, extending the agreement to March 10, 2032, subject to any extensions and/or replacement contracts by Palm Bay, allocating funds from various sources of funds from Finance, subject to the availability of funds and budgetary approval, at the time of need; authorizing the City Manager to execute the supplemental agreement, in a form acceptable to the City Attorney, further authorizing the City Manager to negotiate and execute all other documents, including any amendments, renewals, and extensions, subject to allocations, appropriations and budgetary approval having been previously made, and in compliance with applicable provisions of the Code of the City of Miami, Florida, as amended, ("City Code"), including, the City of Miami's Procurement Ordinance, Anti -Deficiency Act, and Financial Integrity Principles, all as set forth in Chapter 18 of the City Code, in a form acceptable to the City Attorney, and in compliance with applicable regulations, as may be necessary for said purpose. Background of Item: On April 1, 2024, Finance accessed the Contract under the City Manager's delegated authority, for an amount up to $50,000.00, for the provision of investment advisory services and the authorized spending limit has been reached. The full accessing of the Contract beyond the City Manager's delegated authority will allow for the continued provision of said services at a rate acceptable to the City. Through the Contract, PFM will manage the City's assets at the rate of eight (8) basis points for the first $40 million and seven (7) basis points for all assets in excess of $40 million. Budget Impact Analysis Item is NOT Related to Revenue Item is an Expenditure Item is NOT funded by Bonds Total Fiscal Impact: N/A Department of Finance Office of Management and Budget Office of Management and Budget Department of Procurement City Manager's Office City Manager's Office Legislative Division City Manager's Office Office of the City Attorney Office of the City Attorney City Commission City Commission City Commission Office of the City Clerk Reviewed B Erica T. Paschal Donovan Dawson Marie Gouin Annie Perez Larry M. Spring Natasha Colebrook -Williams Valentin J Alvarez Arthur Noriega V Thomas M. Fossler George K. Wysong III Todd B. Hannon Nicole Ewan Maricarmen Lopez City Clerk's Office Department Head Review Budget Analyst Review Budget Review Procurement Review Assistant City Manager Review Deputy City Manager Review Legislative Division Review City Manager Review ACA Review Approved Form and Correctness Meeting Meeting Meeting Rendered Completed 04/09/2025 4:19 PM Completed 04/14/2025 6:27 PM Completed 04/15/2025 10:40 AM Completed 05/04/2025 2:28 PM Completed 05/08/2025 10:03 AM Completed 05/08/2025 11:23 AM Completed 05/08/2025 11:39 AM Completed 05/08/2025 6:05 PM Completed 05/13/2025 11:10 PM Completed 05/13/2025 11:04 PM Completed 05/22/2025 9:00 AM Completed 06/12/2025 9:00 AM Completed 06/17/2025 9:00 AM Completed 06/20/2025 7:02 PM City of Miami Legislation Resolution Enactment Number: R-25-0212 City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com File Number: 17479 Final Action Date:6/17/2025 A RESOLUTION OF THE MIAMI CITY COMMISSION PURSUANT TO SECTION 18- 111 OF THE CODE OF THE CITY OF MIAMI, FLORIDA, AS AMENDED ("CITY CODE"), AUTHORIZING THE PURCHASE OF INVESTMENT ADVISORY SERVICES ON AN AS -NEEDED BASIS FROM U.S. BANCORP ASSET MANAGEMENT, INC. D/B/A PFM ASSET MANAGEMENT ("PFM") UTILIZING THE CITY OF PALM BAY, FLORIDA, CONTRACT NO. 66-0-2021/SZ ("PALM BAY CONTRACT"), AWARDED PURSUANT TO A COMPETITIVE PROCESS IN COMPLIANCE WITH THE CITY LAWS, POLICIES, AND PROCEDURES, AS DETERMINED BY THE CHIEF PROCUREMENT OFFICER, FOR A TERM OF FOUR (4) YEARS FROM MARCH 1, 2022, THROUGH FEBRUARY 27, 2026, WITH SIX (6) REMAINING OPTIONS TO RENEW FOR ADDITIONAL ONE (1) YEAR PERIODS; ALLOCATING FUNDING FROM VARIOUS SOURCES WITHIN THE FINANCE DEPARTMENT'S OPERATING BUDGET, SUBJECT TO THE AVAILABILITY OF FUNDS AND BUDGETARY APPROVAL AT THE TIME OF NEED; AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AMENDMENT TO THE SUPPLEMENTAL AGREEMENT, DATED APRIL 1, 2024, WITH PFM, IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, TO REMOVE THE NOT -TO -EXCEED $50,000.00 CONTRACT LIMIT; FURTHER AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE ANY DOCUMENTS, INCLUDING RENEWALS, EXTENSIONS, OR AMENDMENTS, ALL IN FORMS ACCEPTABLE TO THE CITY ATTORNEY, SUBJECT TO ALLOCATIONS, APPROPRIATIONS, PRIOR BUDGETARY APPROVAL, AND COMPLIANCE WITH APPLICABLE PROVISIONS OF THE CITY CODE, INCLUDING, THE CITY OF MIAMI'S PROCUREMENT ORDINANCE, ANTI -DEFICIENCY ACT, AND FINANCIAL INTEGRITY PRINCIPLES, ALL AS SET FORTH IN CHAPTER 18 OF THE CITY CODE, AND IN COMPLIANCE WITH APPLICABLE LAWS, RULES, AND REGULATIONS, AS MAY BE NECESSARY FOR SAID PURPOSE; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, on April 1, 2024, City of Miami ("City") entered into a supplemental agreement with PFM Asset Management LLC ("Supplemental Agreement") for the provision of investment advisory services ("Services") utilizing City of Palm Bay Contract No. 66-0-2021 /SZ ("Palm Bay Contract"), which was awarded pursuant to a competitive process in compliance with the City's laws, policies, and procedures as determined by the Chief Procurement Officer, with a not -to -exceed contract amount of $50,000.00, pursuant to Section 18-111 of the Code of the City of Miami, Florida, as amended ("City Code"); and WHEREAS, the City's total expenditure on the Supplemental Agreement has reached the $50,000.00 not -to -exceed contract amount; and WHEREAS, Section 18-111 of the City Code provides further expenditures in excess of $50,000.00 shall be subject to approval by the City Commission; and WHEREAS, authorization for expenditures in excess of the $50,000.00 contract amount will allow for the continued provision of the Services at a rate that is acceptable to the City; and WHEREAS, since the execution of the Supplemental Agreement, U.S. Bancorp Asset Management, Inc. has acquired PFM Asset Management LLC and has succeeded it as the party in interest; and WHEREAS, pursuant to Section 18-111 of the City Code, the City Commission desires to authorize further expenditures on the Supplemental Agreement in excess of $50,000.00 on an as -needed basis, subject to availability of funds and budgetary approval at the time of need; 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 adopted by reference and incorporated as if fully set forth in this Section. Section 2. Pursuant to Section 18-111 of the City Code, the purchase of the Services in excess of $50,000.00 on an as -needed basis from U.S. Bancorp Asset Management, Inc. d/b/a PFM Asset Management utilizing the Palm Bay Contract for a term of four (4) years from March 1, 2022, through February 27, 2026, with six (6) remaining options to renew for additional one (1) year periods, subject to any renewals or extensions by Palm Bay, is hereby authorized subject to the availability of funds and budgetary approval at the time of need. Section 3. Funds to be allocated by the various sources of funds from the Finance Department's Operating Budget, subject to availability of funds and budgetary approval at the time of need. Section 4. The City Manager is authorized' to negotiate and execute an amendment to the Supplemental Agreement, in a form acceptable to the City Attorney, to remove the not -to - exceed $50,000.00 contract amount. Section 5. The City Manager is further authorized' to negotiate and execute all other documents, including any renewals, extensions, and amendments, all in forms acceptable to the City Attorney, subject to allocations, appropriations, and budgetary approval having been previously made, and in compliance with applicable provisions pursuant to Chapter 18 of the City Code, including the City's Procurement Ordinance, Anti -Deficiency Act, and Financial Integrity Principles, all as set forth in the City Code, and in compliance with applicable laws, rules, and regulations, as may be necessary for said purpose. Section 6. This Resolution shall become effective immediately upon its adoption. APPROVED AS TO FORM AND CORRECTNESS: 1 The herein authorization is further subject to compliance with all legal requirements that may be imposed, including but not limited to those prescribed by applicable City Charter and City Code provisions.