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R E S O L U T I O N NO. 1807
WHEREAS, under the provisions of Section 7.080 of the Plan of The
Metropolitan St. Louis Sewer District, the Board of Trustees of the District is
directed to select annually one or more banks or trust companies, situated in
the District, for the deposit of all funds of the District and any subdistrict,
and
WHEREAS, the Board of Trustees is directed to require each such
bank or trust company to furnish certain security for the amount of deposits
with said bank or trust company,
NOW, THEREFORE, BE IT RESOLVED that all banks and trust companies
situated in the District, and meeting the requirements of the Plan of The
Metropolitan St. Louis Sewer District and the Statutes of the State of
Missouri, be, and the same are hereby, selected as depositaries for the funds
of the District and all subdistricts for the Fiscal Year 1987-88 for the
general and special funds and accounts of the District and all subdistricts.
BE IT FURTHER RESOLVED that the approval of the Board of Trustees
shall be secured by the Secretary-Treasurer prior to the transfer of funds from
one depositary to another depositary, except such transfers as may be required
from time to time for current payment of bond interest and principal, or such
transfers as may be required for the equalization of funds in the various
depositaries.
BE IT FURTHER RESOLVED that the rate of interest paid to the
District for Certificates of Deposit by any bank or trust company selected as a
depositary shall be no lower than the average rate paid for United States
Treasury Bills for the prior week less one-half percent (1/2%) for the same
period of time, that the interest rate shall be calculated on the basis of
three hundred sixty (360) days per year, and that interest will be remitted
monthly by the depositary to the District.
BE IT FURTHER RESOLVED that as a condition precedent to the deposit
of funds of the District or of funds held by the District, each of said banks
and trust companies shall deposit with a Federal Reserve Bank located within
the State of Missouri, or with a disinterested National Bank located within the
State of Missouri, as escrow agent or trustee, securities of the kind and
character as provided in Section 30.270, Revised Statutes of Missouri, 1949, as
amended, equal in market value to the amount of the deposits of the District
and subdistricts in each of said banks or trust companies, for the security of
funds deposited by the District. PROVIDED: That, upon increase of deposits in
each of said banks and trust companies, such banks and trust companies will
make additional deposits of securities of like kind and character with a
Federal Reserve Bank located within the State of Missouri, or with a
disinterested National Bank located within the State of Missouri, as escrow
agent or trustee, equal in market value to the amount by which deposits are
increased. PROVIDED FURTHER: That each of said banks and trust companies may,
at any time, withdraw any of the securities so deposited upon depositing in
lieu thereof other securities of like kind and character and at least equal in
market value of the securities withdrawn. PROVIDED FURTHER: That securities
so deposited shall be pledged to secure payment by the
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pledging bank or trust company of District funds on the check or checks of the
District, and that such securities shall be released and delivered to the
District on its sole demand made to a Federal Reserve Bank located within the
State of Missouri, or a disinterested National Bank located within the State of
Missouri, as escrow agent or trustee, as the case may be, in the event that
such pledging bank or trust company should fail to pay such secured funds, or
any part thereof, on the check or checks of the District, and that securities
so released and delivered to the District shall be converted into money and the
District shall use the same in lieu of such secured funds.
The foregoing Resolution was adopted June 23, 1987.
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