HomeMy WebLinkAbout1996-05-28 City CouncilCity of Palo Alto
City Manager’s Rep r
TO:HONORABLE CITY COUNCIL
FROM:CITY MANAGER DEPARTMENT: ADMINISTRATIVE
SERVICES
AGENDA DATE: MAY 28, 1996 CMR:255:96
SUBJECT:APPROVAL OF BUDGET AMENDMENT-ORDINANCE AND
CONSULTANT AGREEMENT WITH PUBLIC FINANCIAL
MANAGEMENT, INC. FOR FINANCIAL ADVISOR SERVICES
FOR GOLF COURSE MASTER PLAN IMPROVEMENTS
REQUEST:
This is a request for approval of a Budget Amendment Ordinance (BAO) and a consultant
agreement with Public Financial Management, Inc. (PFM) in an amount not to exceed
$38,000 for financial advisor services for the Golf Course Master Plan improvements. The
Finance Committee reviewed and approved the draft scope of services for a golf course
financial advisor (CMR:140:96) on February 13, 1996.
RECOMMENDATIONS:
Staff recommends that Council approve and authorize the Mayor to execute the attached
contract with PFM in an amount not to exceed $38,000. The fee for f’mancial advisor
services totals $35,000, with an amount not to exceed $3,000 for out of pocket expenses
incurred by PFM in the course of its work (e.g. travel, printing, mailing, etc.). The costs for
the financial advisor will be paid out of the debt issuance proceeds, if and when the City
issues debt. If, however, the contract is terminated, or if the City does not proceed with debt
financing; the City will pay for the expenses incurred to the date of termination of PFM’s
services. It is for these two scenarios that a BAO is requested.
POLICY IMPLICATIONS:
This agreement is consistent with existing City policies.
CMR:255:96 Page 1 of 5
EXECUTIVE SUMMARY:
Project Description
The financial advisor’s role is to provide the City with advice on the optimal timing and
structure of the debt financing. Specifically, the financial advisor will:
Review staffs estimates of costs and timing for the Golf Course Improvement Project,
and suggest alternative financing arrangements and/or other cost saving ideas to bring
the project within overall annual budget constraints for the Golf Course.
Recommend alternative options for financing the needed improvements, given the
applicable laws regarding tax exempt debt.
Develop a comprehensive rating agency presentation and participate in the
presentation, if required.
Prepare the preliminary and final official statements and other necessary financing
documents.
Advertise the bond sale, to a list of prospective underwriters and institutional
investors, and manage the sale of the bonds in a competitive sale.
o Assist with the closing of the financing.
S.¢lection Process
Staff sent a request for proposals to 21 firms. Proposals were mailed on February 20, 1996,
and were due back on March 26, a period of five weeks. A total of five firms submitted
proposals. Several firms not responding were in the Los Angeles area, and said that either
the size of the debt project was too small for them to be competitive with Bay Area firms and
recover travel expenses, or that they simply did not think they could be competitive,
considering their travel requirements. Several other firms said that their area of expertise
was not in golf course fmancings. Two well-known firms said that the insurance
requirements of the City ($1.0 million each in general liability, automobile liability, and
professional liability) were more than they carried and would be an onerous burden for them
to meet.
Of the five firms that responded, one firm was not interviewed because it was a relatively
new fn’m, less than five years old. Staff believed that, with the other qualified firms
responding, a newer firm might be more of a risk for the City in that its staff might be less
CMR:255:96 Page 2 of 5
likely to remain with the firm, and therefore not provide consistent support to the City for the
duration of the project, which could last up to 13 months.
The fees
one firm
Of these
the third
from the five firms ranged as follows: one ftrrn submitted $27,500 plus expenses;
submitted $30,000 plus expenses; and three firms submitted $35,000 plus expenses.
one had a not to exceed of $38,000, another had a not to exceed of $39,000, while
was not to exceed $40,000.
It is typical for financial advisors to structure their fees with a "fixed price for fmancial
advisor services plus expenses". Expenses include such items as travel, meals, postage,
express mail delivery, telephone, photocopying, outside graphics fees, and word processing "
services.
A selection committee consisting of staff from Administrative Services, Public Works, and
Community Services interviewed four firms. The committee carefully reviewed each firm’s
qualifications relative to the following criteria:
o Breadth of prior experience of the firm and the project manager(s) in
municipal debt financing;
O Specific qualifications of the project manager(s), including how long they have
worked in the municipal debt fmancing field;
Whether the firm and project manager(s) had specific golf course financing
experience, and if so, how much;
O How much previous experience the project manager(s) had related to
fmancings involving taxable versus tax-exempt;
Size and stability of the ftrm, and how long the project staffhad been with the
firm;
O How much prior experience the project manager(s) had in participating
directly in discussions with the client, the client’s bond counsel, and the client’s
contractor regarding the contractor’s lease arrangements with the client;
o The project manager(s) demonstration that the City’s needs were clearly
understood;
CMR:255:96 Page 3 of 5
O How clearly the project manager(s) communicated with staff from the three
departments involved in the selection process;
0 Whether the firm offered specific suggestions for ways in which their firm
could market Palo Alto’s debt to the f’mancial markets; and
O Whether the firm had any specific suggestions on alternative ways to structure
a vendor lease, to take advantage of tax-exempt financing while maintaining
adequate financial incentives to the vendor.
PFM was selected as the firm best qualified to meet the City’s needs. PFM project managers
had the most specific golf course financing experience, had the most direct experience in
discussions with a third party contractor of their client related to lease arrangements, offered
good examples of specific ways in which it would market Palo Alto’s debt to the fmancial
markets, and offered the most unique suggestions for alternative ways in which vendor leases
could be structured to take advantage of tax-exempt debt.
FISCAL IMPACT:
Funds for the payment of financial advisor services are due to the consultant if and when the
City issues debt. At that time, the consultant will be reimbursed out of the proceeds of the
bond sale. If, however, the contract is terminated or the City does not issue debt, funds will
be due to PFM equal to the amount of services provided to date. Staff expects to return to
Council with a financing plan in early 1997.
ENVIRONMENTAL IMPACT ASSESSMENT:
Council approved a Mitigation Negative Declaration for the golf course project in May, 1995
(CMR:248:95).
ATTACHMENTS~XHIBITS:
Contract
BAO
CMR:255:96 Page 4 of 5
PREPARED BY: Jim Steele, Finance Manager
DEPARTMENT HEAD APPROVAL:
Emily’]~i’-arris~n - -
Deputy City Manager,
Administrative Services
CITY MANAGER APPROVAL:
Fleming
Manager
CC: n/a
CMR:255:96 Page 5 of 5
AGREEMENT FOR FINANCIAL ADVISORY SERVICES
GOLF COURSE FINANCING
THIS AGREEMENT ("Agreement"), made this day of
, 1996, by and between the City of Palo Alto, a
chartered municipal corporation of the State of California (the
"City") and Public Financial Management, Inc., a Pennsylvania
corporation, 505 Montgomery Street, Suite 800, San Francisco, CA
94111, Tax ID No. 23-1992164 ("PFM") .
WI TNE S SETH :
WHEREAS, the City intends to finance the acquisition and
construction of improvements to the City’s existing golf course
(the "Project") through the issuance of tax-exempt bonds; and
WHEREAS, the City desires the services of a financial advisor
to advise it with respect to the financing of the Project, in
accordance with Section 53691 of the California Government Code;
and
WHEREAS, PFM represents that it is experienced and qualified
to perform said services.
NOW, THEREFORE, IN CONSIDERATION of the mutual covenants and
promises of the parties herein contained, the parties hereto agree
as follows:
I.PFM’s Services.
PFM shall furnish those services ("Services") described
in Exhibit "A," attached hereto and incorporated herein by
reference.
2.Compensation.
The City shall pay PFM for the Services described in
paragraph i, the following compensation:
a.Fee. The City shall pay PFM a flat fee of $35,000.
Expenses. In addition to the fee set forth in
subparagraph 2a, the City shall reimburse PFM for
its out-of-pocket expenses at a cost not to exceed
$3,000, incurred for travel, lodging,
communications and freight, reproduction, graphics
and other mutually agreed upon costs directly
related to its performance ~f the Agreement.
1
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C o Additional Expenses. The maximum reimburseable
cost set forth in subparagraph 2b does not include
expenses that might be incurred by PFM on City’s
behalf for travel to New York City. If City
requests PFM to trave! to New York in the
performance of this Agreement, City will reimburse
PFM for its cost of travel, without mark-up.
do Fees for Additional Services. Upon mutual consent
of the parties, the fees for additional services
not related to the Project, including any services
described in paragraph 2 of Exhibit "A," shall be
billed on a fixed fee basis, as mutually agreed by
the parties, or on a time and material basis.
PFM’s hourly rates during the term of this
Agreement shall be:
Managing Director
Senior Managing Consultant
Consultant
$195.00
$170.00
$150.00
e o Payment. The compensation payable under this
paragraph shall be payable as part of the costs of
the bond issue for the Project, upon submittal of
an invoice therefor by PFM. Notwithstanding the
foregoing, if PFM’s services are terminated in
accordance with paragraph 7, prior to any Project
financing, or in the event the City determines not
to proceed with the issuance of bonds, PFM shall be
paid for the value of its services, and the
reimbursement cost of expenses incurred up to the
date on which notice of termination has been given
to PFM. The value of services shal! be calculated
in accordance with the fee schedule set forth in
subparagraph 2d. In no event shall payment in the
case of such termination exceed those amounts set
forth in subparagraphs 2a-c.
3. Term.
This Agreement shall be in effect from the date first set
forth above through and including June 30, 1998.
4.Standard of Performance.
PFM warrants to the City that the Services shall be
performed as expeditiously as possible, and with the degree of
skill and care that is required by current, good, and sound
professional procedures and practices. PFM further warrants that
the Services shall be provided in confo’rmance with generally
960515 lac 0031324
accepted professional standards prevailing at the time work is
performed, so~as to ensure that the Services performed are correct
and appropriate for the purposes contemplated in the Agreement.
5.Performance by PFM.
PFM shall not employ other consultants or contractors
without the prior written approval of the City. PFM hereby
designates the PFM Representative, Peter W. Miller, as the person
primarily responsible for the day-to-day performance of PFM’s work
under this Agreement. PFM shall not change the PFM Representative
without the prior consent of the City. Unless otherwise expressly
agreed by the City, PFM’s Representative shall remain responsible
for the quality and timeliness of performance of the Services, not
withstanding any permitted or approved delegation hereunder.
6. Confidentiality.
ao General. PFM agrees not to disclose any data
submitted to PFM by the City or obtained without
the prior approval of the City, provided, however,
that PFM sha~l not be required to keep confidential
any information that is (i) publicly available from
other sources, or (ii) required to be disclosed to
government authorities.
Do Public Statements. PFM shall not issue nor cause
the issuance of any public statement in any way
regarding the Services without the City’s prior
approval.
C o Public Release of Information. PFM shall not
release any information concerning the Services or
the City without the City’s prior approval. PFM
shall provide for the City’s approva! of both the
material sought to be released and the identity of
the publisher of such material.
do Survival. The provisions of this Agreement
governing the confidentiality of material delivered
to or generated by PFM during the Term of this
Agreement shall survive the termination or
cancellation of this Agreement, subject to Section
8.
7.Termination~
Either the City or PFM may terminate this Agreement for
any reason upon thirty (30) days written notice to the other party
provided, however, that the City may cancel the Agreement upon five
960515 lac 0031324
3
(5) days written notice if PFM breaches this Agreement. In the
event of termination, the City will pay PFM in accordance with
subparagraph 2e provided, that in the event of termination on
account of a breach of this Agreement by PFM, City will be
obligated to compensate PFM only for that portion of PFM’s services
which are of direct and immediate benefit to the City as determined
by the City Manager in the reasonable exercise of her discretion.
Any reports or other written, recorded, photographic, computer, or
visual materials and other deliverables prepared for the City prior
to the effective date of such cancellation shall be promptly
delivered tothe City by PFM.
8.Independent Contractor.
In assuming and performing the Services, PFM is an
independent contractor and shall not be eligible for any benefits
which the City may provide its employees, except as expressly
provided for in the Agreement. All persons, if any, hired by PFM
shall be employees or subcontractors of PFM and shall not be
construed as employees or agents of the City in any respect.
9.Compliance with Laws.
PFM shall comply with all applicable federal, State of
California, and local laws, rules, and regulations and shall obtain
all applicable licenses and permits for the conduct of its business
and the performance of the Services.
i0.Choice of Laws.
This Agreement shall be construed and interpreted in
accordance with the laws of the State of California, excluding any
choice of law rules which may direct the application of the laws of
another jurisdiction.
ii.Non-Waiver.
The waiver by either party of any breach of any term,
covenant, or condition contained in the Agreement, or any default
in their performance of any obligations under the Agreement shall
not be deemed to be a waiver of any other breach or default of the
same or any other term, covenant, condition, or obligation, nor
shall any waiver of any incident of breach of default constitute a
continuing waiver of same.
12.Enforceability.
In the event that any of the provisions or portions of
application of any of the provisions of the Agreement are held to
be illegal or invalid by a court of competent jurisdiction, the
960515 lac 0031324
City and PFM shall negotiate an equitable adjustment in the
provisions of the Agreement with a view toward effecting the
purpose of the Agreement. The illegality or invalidity of any of
the provisions or portions of application of any of the provisions
of the Agreement shall not affect the legality or enforceability of
the remaining provisions or portions of application of any of the
provisions of the Agreement.
13.Successors and Assigns.
The City and PFM, respectively, bind themselves, their
successors, assigns, and legal representatives. PFM shall not
assign or transfer any interest in the Agreement without the City’s
prior written consent, which consent shall be in the City’s sole
discretion. Any attempted assignment or transfer in breach of this
provision shall be void.
14. Additional Terms and Conditions.
The terms and conditions set forth in Part II, Special
Conditions, to Part III Instructions and Forms, of the City’s
Request for Proposal issued February i0, 1996, are incorporated by
reference in this Agreement as if fully set out in full; provided,
that, to the extent of any conflict between the Special Conditions
and the terms set out in paragraphs 1 through 13 of this Agreement,
the language in paragraphs 1 through 13 shall control.
15. Notices.
All notices required hereunder shall be in writing and
mailed postage prepaid by certified or registered mail, return
receipt requested, or by persona! delivery to the City’s address as
shown below, or such other places as the City or PFM may, from time
to time, respectively, designate in a written notice given to the
other. Notice shall be deemed given on date of the mailing thereof
or upon personal delivery.
To City:
Office of the City Clerk
City of Palo Alto
P. Oo Box 10250
Palo Alto, CA 94303
Or by personal delivery to
250 Hamilton Avenue
7th Floor
Palo Alto, CA 94301
To PFM Representative:
Peter W. Miller
Senior Managing Consultant
Public Financia! Management,
Inc.
505 Montgomery Street, Suite 800
San Francisco, CA 94111
Phone: (415) 982-5544
Fax: (415) 982-4513
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With a copy to:
Mr. Jim Steele
Finance Manager
Administrative Services Dept.
City of Palo Alto, 4th Floor
250 Hamilton Avenue
Palo Alto, CA 94301
Phone: (415) 329-2574
Fax: (415) 323-8356
IN WITNESS WHEREOF, the parties have executed this Agreement
in one (I) or more copies as of the date and year first above
written.
ATTEST:CITY OF PALO ALTO
City Clerk Mayor
APPROVED AS TO FORM:
Senior Asst. City Attorney
APPROVED:
Deputy City Manager
Administrative Services
PUBL I/C~NANC IAL
INC./’/ ~
Peter W.
Its: Senior Managing Consultant
Taxpayer’s I.D. No. 23-1992164
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CERTIFICATE OF ACKIqOWLEDGMENT
(Civil Code § 1189)
a notary a@d for said County tate, personally
appeared ~’ I I~personally known to me
or proved to me on the basis of satisfactory evidence) to be the
person(s) whose name(s) is/are subscribed to the within instrument,
and acknowledged to me that he/she/they executed the same in
his/her/their authorized capacity(ies), and that by his/her/their
signature(s) on the instrument the person(s), or the entity upon
behalf of which the person(s) acted, executed th~ instrument.
WITNESS my hand and official seal.
Signature of ry Public
960515 lac 0031324
EX!{IB IT "A"
PIZM’ s SERVICE
PFM shall perform the following services related to the
Proj ect :
ao Review staff’s estimates of costs and timing for the
Project. Suggest alternative financing arrangements
and/or other cost savin9 ideas to brin9 the Project
within overall annual budget constraints for the Golf
Course. If financing costs can be reduced or other cost
savings realized, staff would consider adding additional
Project elements. In addition, review options for
structuring the financial relationship between the Golf
Course and the General Fund.
bo Provide advice on the timing, structure and method of
financing the proposed new issue. A critical and early
role of PFM will be to recommend alternative options for
financing the needed improvements, given the applicable
laws regarding tax exempt debt. The City would prefer
to achieve savings by maximizing the portion of debt that
is issued as tax exempt.
C o In providing its service, PFM shall consider the relevant
tax issues that might affect the Project. The City’s
existing contractual relationship with an independent
Golf pro creates certain legal (tax) barriers to the
issuance of tax exempt debt. Another vendor on the site
operates a restaurant. Except for a share of the parking
lot improvements, however, no debt financing is projected
to be required for any restaurant improvements. The tax
implications related to the golf pro contract will
require consultant’s discussions with the City’s Real
Estate Manager, Finance and Community Services staff, the
City Attorney’s Office, the bond counsel retained by the
City, and perhaps the vendor. With regards to the
outstanding 1978 Lease Revenue bonds, depending on the
tax advice of the consultant in cooperation with the City
Attorney’s Office and bond counsel, it may be appropriate
to increase the size of this new financing to refinance
or retire the outstanding debt.
Evaluate funding alternatives for the Project, including
internal vs. external funding options.
960515 lac 0031324
8
e o
mo
Oo
ro
Review forecasted
sensitivity cases.
Project (system) economics and
As desired, assist the City in developing and presenting
the need for green fee or surcharge fee increases
necessary to support the financing to the City Council.
Develop and monitor the Financing Schedule.
Develop a bond insurance strategy
Develop the terms of the financing.
Develop a comprehensive rating agency presentation, and
participate in the presentation, if required.
Prepare the preliminary and final official statements and
other necessary financing documents. Coordinate and
direct the printing of official statements. Develop the
official statement with a goal of minimizing future
disclosure reporting requirements with regards to SEC
rule 15c2-12.
If appropriate, assist the City in preparing a request
for proposal for paying agent/registrar or fiscal
agent/trustee services and assist in deve!oping the
contract.
Advertise the bond sale to a list of prospective
underwriters and institutional investors.
Verify and evaluate the underwriters’ bids and recommend
the award of bid to the lowest bidding (competitive
sale).
Manage the sale of the bonds in a competitive sale.
Assist with the closing of the financing
Prepare a Financial Advisor’s Memorandum that documents
the details of the transaction, particularly market
conditions at the time of financing and pricing results.
Assist bond counsel in proposing indentures, leases,
amendments, and contracts which best meet the needs of
the City.
Assist the City in arranging for investment of bond
proceeds in compliance with California law regarding
investment of public funds, ~he City’s investment
960515 lac 0031324
o
policies, and federal arbitrage regulations. The City
may select a fiscal agent/trustee to handle these
responsibilities, or may act as fiscal agent/trustee
itself.
t o Provide the calculation of bond yield for the issue to be
used for arbitrage tracking purposes. The City of Palo
Alto is interested in minimizing the requirements for
calculating arbitrage rebate over the life of the debt,
if possible.
Uo Make oral and written presentations to and/or attend
meetings with the City Council, Council Committees, Bond
Counsel, and/or staff as needed. It is anticipated that
the consultant will need to attend a Council committee
meeting in the Fall of 1996 and present the recommended
financing package.
V°Provide other services normally provided to public agency
clients which relate to bond sales.
Upon mutual Agreement between the City and PFM, PFM shall
provide advice for other financing arrangements such as
utility fund improvements on a vacant land site, equipment
leasing, revenue bonds, or certificates of participation for
improvements at existing city facilities. Compensation for
such additional work would be negotiated separately from this
Agreement.
960515 lac 0031324
!0
@OI iD. CERTIFICATE
~%DLLC~is Group, Inc.
Suite 200100 Four Falls Corporate Ctr.
West Conshohocken PA 19428-2976
F. Scott Addis
610-832-2100
04/23,
THIS CERTIFICATE IS ISSLrED t ’~,ATTER OF
CONFERS NO RIGHTS UPON TH~ ~r2RTIFICATE HOLDER.
DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY ~POLICIES BELOW.
COM~PANIES AFFORDING COVERAGE
COMPANY A Atlantic Mutual Insurance Co.LE1"FER
.................................................................. COMPANY BCentennial Insurance Co.LETTERINSURED
COMPANY C
¯ LETTER
: COMPANY DLETTERPublic Financial Mgmt., Inc.
18th and Arch Street ...............................................................................................Phi I adel phi a PA 19103-6933 COMPANY E
i LETTER
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD
INDICATED, NOTWITHSTANDING ANY REQUIREMENT, T-r.RM OR CONDIT/ON OF ANY CONTRACT OR OTHER DOCUbIENT WITH RESPECT TO WHICH THISCERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,.EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
co POLICY EFFECTI~rE POLICY EXPIRATION LIMITSLTRTYPE OF I~SURANCE POLICY NUMBER DATE(MM/DD/YY)DATE (MM/DD/’YY) .
GENERAL LIABILITY
X COMMERCIAL GENERAL LIABILITY !432300740
¯ ......i CLAIMS MADE : X " O~CUR.
OWNER’S & CONTRACTOR’S PROT,
AL~fOM OBILE LIABILITY
ANY AUTO
ALL OWNED AUTOS
SCHEDULED AUTOS
HIRED AUTOS
NON-OWNED AUTOS
GARAGE LIABILITY
EXCESS LIABILITY
432300740
UMBRELLA FORM
OTHER THAN UMBRELLA FORM
WORKER’S COMPENSATION
AND
EM PLOY’EtLS’ LIABILITY
i401706965
11/30/95 11/30/96
11/30/95 11/30/96
11130195 11130/96
A
A
OTHER
PRODUCTS-COMPIOP AGG.i ~ I, 000,000
~CH ~cu.~.c~s 1,000,000
MED. ~PENSE (Any o~ ~=on) : $5,000
s 1,000,000
BODILY I~URY
BODILY I~URY : $
PROPER~ DAMAGE $
~CH ~CUR~ENCE $
AGGREGATE ~ $
~cH ~ccm~-s !00,000
The City of Palo Alto
ATTN: Mr. Jim Steele
Contract Administration
P.O. BOX 10250
................... ¯ ................ACORD 25,S (7190)
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE
EXPIRATION DATE THEREOF, THE ISSUING COMPANY WILLENDEAVOR TO
MAIL30._~___ DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE
LEFT, BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR
LIABILITY OF ANY KIND UPON THE COMPANY, ITS AGENTS OR REPRESENTATIVES.
PRODUCER
JOHNSON & HIGGINS OF PA INC
TWO LOGAN SQUARE
PHILADELPHIA PA 19103
INSURED
PUBLIC FINANCIAL MANAGEMENT
ATTN STEVE BOYLE
TWO LOGAN SQUARE
SUITE 1600
PHILADELPHIA PA 19103
THIS CERTIFICATE =-, ISSUED AS A MATTER OF INFORMATION
ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE
HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR
ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.
COMPANIES AFFORDING COVERAGE
COMPANYA
COMPANYB
COMPANY
c
COMPANY
D GULF INSURANCE COMPANY
AMERICAN INTERNATIONAL SPECIALTY LINES INS CO
RELIANCE NATIONAL INSURANCE COMPANY
FEDERAL INSURANCE COMPANY
THUS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD
INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
POUCY NUMBER POLICY EFFECTIVE POUCY EXPIRATION
DATE (MM/DD/YY)DATE (MM/DD.PfY)TYPE OF INSURANCELTR !i
] GENERAL UABlUTY
~,~MMERCIAL GENERAL UABIUTYCLAIMS MADE L__-g OCCUR
~OWNER’S & CONTRACTOR’S PROT
~OMOBILE MABIUTY
ANY AUTO
ALL OWNED AUTOS
SCHEDULED AUTOS
--]HIRED AUTOS
~NON-OWNED AUTOS
i GARAGE UABIUTY
ANY AUTO
243-2762
NDA-0126186-95
7022-73-06
GU5826211-P
11/30/95 11/30/96
i EXCESS UABILIT~~UMBRELLA FORM
OTHER THAN UMBRELLA FORM
WORKERS COMPENSATION AND
EMPLOYERS’ LIABILITY
IT HE PROPR O ,NCLPARTNERS/EXECUTIVE
OFF CERS ARE:EXCL
OTHER
ERRORS & OMISSIONS
PROFESSIONAl_
L AB LITY
UMITS
GENERAL AGGREGATE I $
PRODUCTS-COMP/OP AGG $
PERSONAL & ADV N JURY $
EACH OCCURRENCE t $
FIRE DAMAGE (Any one fire)
MED EXP (Any one person)
COMBINED StNGLE LIMIT
BODILY INJURY(Per person)
BODILY INJURY(Per accident)
PROPERTY DAMAGE
AUTO ONLY - EA ACCIDENT
OTHER THAN AUTO ONLY:
EACH ACCIDENT
AGGREGATE
EACH OCCURRENCE
AGGREGATE $
I STATUTORY UMITS
EACH ACCIDENT
DISEASE - POUCY UMIT
DISEASE-EACH EMPLOYEE IS
$1,000,000 EACH CLAIM
$1,000,000 AGGREGATE
DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLES~PECIALITEMS (UMITSMAYBESUBJECTTO RETENTIONS)
CITY OF PALO ALTO, ITS ATTORNEY=S, OFFICERS, AGENTS AND EMPLOYEES ARE INCLUDED AS
ADDITIONAL INSUREDS BUT TO ONLY AS WORK PERFORMED UNDER CONTRACT
ALL CLAIMS
CITY OF PALO ALTO SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE
ATT JIM STEELE EXPIRATION DATE THEREOF, THE ISSUING COMPANY WIII ENDEAVOR TO MAIL
PC BOX 10250 3.____~.0 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT,
PALO ALTO CA 94303 BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBUGATION OR UABILITY
OF ANY KIND UPO,~J¢I~THj~ COM~NY, ~ A~TS OR RE~ESENTA’I]VES.
AUTHO"’Z D"EPRESE" ’ ,"’A" /J /,LMARTIN SAMCH ~
CERTIFICATION of NONDISCRIMINATION SECTION 410.
Financial Advisor for Golf Course Financing
Certification of Nondiscrimination: As suppliers of goods or services to the City of Palo Alto, the
firm and individuals listed below certifies that they do not discriminate in employment with regards
to age, race, color, religion, sex, national odgin, ancestry, disability, or sexual preference; that they
are in compliance with all Federal, State and local directives and executive orders regarding
nondiscrimination in employment; and that they agree to demonstrate positively and aggressively
the principle of equal opportunity in employment.
The Bidder agrees specifically:.
1.0 To establish or observe employment policies which affirmatively promote
opportunities for minodty persons at all job levels.
2.0 To communicate this policy to all persons concerned, including all employees,
outside recruiting services, especially those serving minodty communities, and to the
minodty communities at, large.
To take affirmative action steps to hire minority employees within the organization.
4.0 To be knowledgeable of the local, state, and federal laws and regulations concerning
affirmative action policies and provide opportunities for employees-.
Title of Officer Sigja~ng: . ~-~-4~_~-z2
Signature ~]’ ~~
Please include @ ~dditional info~i6n available regarding equal oppoduni~ employment
programs now in effect within your ~mpany.
(Please attach additional pages if necessary)
END OF SECTION
CITY of PALO ALTO: Non-discrimination (6/94)SECTION 410-1
PART II! - PROPOSAL FORMS
CONSULTANT’S SPECIAL LICENSE REQUIREMENTS
SECTION 310
When applicable, and subject to verification of good standing, the Consultant shall submit a
copy of its current professional license as issued by the State of California under Chapter 9
of Division ill of the California Business and Professions Code (Sections 7000 ~,,t_&e..~). The
copy of the license shall be attached to the Signature Page herein.
ACKNOWLEDGEMENT OF ADDENDUM(S)
During the RFP process there may be changes to the documents which would require an
issuance of an Addendum or Addenda. To assure that all Consultants receive the update or
change Addendum, the following acknowledgement and sign-off is required. ~
NOTE: Failure to execute the following may be considered as an irregularity in the request
for proposal process. Receipt of the following Addendum is acknowledged. The Consultant
acknowledges that the information contained in the addendum has been considered in the
preparation of this RFP.
Addendum No. (None~__), (1.._.._3, (2~), (3___), (4_..__), (5~)
(Check appropriate space/number above)
Signature of Consultant
Company
END OF SEC’TION
CITY of PALO ALTO: Acknowledgement - (8-95)SECTION 300-2
ORDINANCE NO.
ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO
AMENDING THE BUDGET FOR THE FISCAL YEAR 1995-96 TO
PROVIDE FUNDING FOR A FINANCIAL ADVISOR FOR GOLF COURSE
IMPROVEMENTS
WHEREAS, pursuant to the provisions of Section 12 of Article
III of the Charter of the City of Palo Alto, the Council on June
19, 1995 did adopt a budget for fiscal year 1995-96; and
WHEREAS, Council approved a Golf Course Master Plan on May 15,
1995; and
WHEREAS, improvements to the golf course are needed to preserve
the course for the future enjoyment of the golfing community; and
WHEREAS, debt financing is planned to fund these improvements;
and
WHEREAS, professional financial consultant services are
required to provide staff with advice on the structuring of the debt
instruments in order to bring debt to the financial markets in
approximately July 1997; and
WHEREAS, the budget needs to be amended to fund these financial
advisor services; and
WHEREAS, the funding of $38,000 will initially come from the
General Fund’s Budget Stabilization Reserve (BSR) ; and
WHEREAS, when the debt is issued, funds from the issuance of
that debt will be used to replenish funds used from the Budget
Stabilization Reserve to fund this contract.
NOW, THEREFORE, the Council of the City of Palo Alto does
ORDAIN as follows:
SECTION i. The sum of Thirty Eight Thousand Dollars ($38,000)
is hereby appropriated to Contract Services in the "Debt Issuance"
Major Activity in the Administrative Services Department, and the
General Fund Budget Stabilization Reserve is correspondingly
reduced.
SECTION 3. The appropriation transfers approved by Section
2 will reduce the Budget-Stabilization Reserve from $14,893,651 to
$14,855,651.
SECTION 4. As specified in Section 2.28.080(a) of the Palo
Alto Mun$cipal Code, a two-thirds vote of the City Counci! is
required to adopt this ordinance.
SECTION 5 The Council of the City of Palo Alto hereby finds
that the enactment of this ordinance is not a project under the
California Environmental Quality Act and, therefore, no
environmental impact assessment is necessary.
SECTION 6. As provided in Section 2.04.350 of the Palo Alto
Municipal Code, this ordinance shall become effective upon adoption.
INTRODUCED AND PASSED:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
ATTEST:APPROVED:
City Clerk Mayor
APPROVED AS TO FORM:City Manager
Senior Asst. City Attorney Deputy City Manager,
Administrative Services
Director of Public Works