HomeMy Public PortalAboutR1852 R E S O L U T I O N NO. 1852
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
qualified to be selected as depositaries for the funds of the
District and all subdistricts for the Fiscal Year 1988-89 for the
general and special funds and accounts of the District and all
subdistricts. All depositaries shall be selected through a
competitive bidding process to be approved by the Board of Trustees
and the selection shall be confirmed with a written contract
approved by the Board of Trustees.
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 or with a disinterested banking institution
located within the District, 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 or with a
disinterested banking institution located within the District, as
escrow agent or trustee, securities of the kind and character as
provided in Section 30.270, Revised Statutes of Missouri, 1949, at
least equal in market value to not less than one hundred per cent
(100%) of the amount of deposits with said bank or trust company,
less ten thousand dollars ($10,000.00) where such depositary is
insured by the Federal Deposit Insurance Corporation. The Board
may, in its discretion, provide additional requirements or
limitations as to the kind and character of securities which will
be accepted as security for such deposits. 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.
That securities so deposited shall be pledged to secure
payment by the 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 or a disinterested banking institution
located within the District, 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 August 10, 1988.