HomeMy Public PortalAboutAB 10-103 Pledged Collateral Agreement with US BankMcCALL CITY COUNCIL
AGENDA BILL
Number
Meeting Date
AB 10-103
April 22, 2010
216 East Park Street
McCall, Idaho 83638
AGENDA ITEM INFORMATION
SUBJECT:
Designating the Mayor and Council President, City
Treasurer, and City Manager as authorized
individuals on the collateralized account, City of
McCall Combined Checking Account.
Department Approvals
Initials
Originator
Or
Supporter
Mayor / Council
City Manager
Clerk
Treasurer
`g5
Originator
Community Development
Police department
Public Works
Golf Course
COST IMPACT: N/A
Parks and Recreation
FUNDING SOURCE: N/A
Airport
Library
TIMELINE: N/A
Information Systems
Grant Coordinator
SUMMARY STATEMENT:
US Bank is required to pledge collateral in the form of bank owned securities for deposits of public funds
that exceed the FDIC insurance limits. An account for the City was opened at the Federal Reserve Bank of
Boston where the pledged securities are held in trust for the City of McCall. A "Pledge Agreement &
Authorization List" is kept on file at the Federal Reserve Bank and US Bank giving those individuals with
fiduciary responsibilities for the public funds the authority to release (decrease) the pledged collateral,
increase the pledged collateral, or to allow substitution of collateral at the same or greater value (par for
par). The agreement is required to give authorization to those individuals to act on behalf of the City. US
Bank cannot release collateral without the express permission of the authorized individuals.
The election of a new Mayor and Council President and/or the appointment of a new City Treasurer or City
Manager require the Council to update the list of authorized individuals on the Pledge Agreement with US
Bank, designating those individuals who may take authoritative action with respect to the City's account,
including a direction to release collateral from the account.
Resolution 10-1, Section 1 and Section 2, authorizes the Mayor, Council President, City Manager, and City
Treasurer "to sign ... agreements ... when so authorized by the City Council."
RECOMMENDED ACTION:
Authorize the Mayor, Council President, City Manager, and City Treasurer to sign the Pledgee
Agreement Form.
RECORD OF COUNCIL ACTION
MEETING DATE
ACTION
01/14/2010
Approval of AB 10-01 Resolution 10-1 Designating Authorized Signatures