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HomeMy WebLinkAboutCC RES 99-005 A RESOLUTION DESIGNATING THE OFFICIAL DEPOSITORY FOR CITY FUNDS Meeting Sheet IIIIIIVIIIVIIIVIIIVIIIVIIIIIIIIIII 104867 Box: 31 Folder: RES 1999 Document: CC RES 99-005 A RESOLUTION DESIGNATING THE OFFICIAL DEPOSITORY FOR CIN FUNDS ° r � • CITY OF ST. ANTHONY RESOLUTION 99-005 A RESOLUTION DESIGNATING THE OFFICIAL DEPOSITORY FOR CITY FUNDS BE IT RESOLVED by the City Council of the City of St. Anthony, that the Firstar St. Anthony Bank is hereby designated as a depository for the funds of the City and that said bank shall also be the bank for this City with respect to any/all other banking services required or used by this City. FURTHER RESOLVED, that this notice shall continue in force until December 31, 1999, or until written notice of its recision or modification has been received by said bank. FURTHER RESOLVED, that said bank deposit such securities in the amount and in the manner required by law. FURTHER RESOLVED, that the Finance Director be authorized to accept such • securities as collateral as required by law, and that said collateral be held at the Firstar St. Anthony Bank for safekeeping. FURTHER RESOLVED, that the City Clerk shall transmit to the Firstar St. Anthony Bank a copy of this resolution. Adopted this l a'i* day of JG rmCt P 1999. ayor ATTEST: City Clerk Reviewed for administration: City Man ger r It • MEMORANDUM DATE: January 7, 1999 TO: Mike Mornson, City Manager FROM: Roger Larson, Finance Director ITEM: OFFICIAL BANK/SERVICE FEES Periodically, Finance conducts a review of the City's fees and service charges for banking services. The process is done to assure that: 1) our present provider (Firstar St. Anthony Bank) remains competitive in the market place and 2) new marketing and industry trends for banking services are periodically reviewed. Currently, all of the City's checking accounts are on a "waived fee" status. On the surface one could assume that the City is receiving free checking. However, this assumption would be incorrect. Monthly, service charges and transaction fees are paid • with a portion of interest earnings earned on the account. Each year there are approximately 6,000 to 7,000 transactions that take occur in the City's checking accounts that are subject service fees. This year, I compared Firstar St. Anthony to First Bank/US Bank offered through the 4/M Fund sponsored by the League of Minnesota Cities. Like Firstar St. Anthony, First Bank (4/M Fund) offers a "free checking services" program. As is the case with Firstar St. Anthony, the fees for checking transactions are paid for with a portion of interest earnings earned on the account. A comparison of the service fees is as follows: Interest allocated for service fees: Firstar St. Anthony .14% First Bank/US Bank .13% Interest earned on account (sweep account): Firstar St. Anthony 4.50% to 5.25% First Bank/US Bank 4.50% to 5.25% Both firms offer the sweep account concept and are relatively equal in their charges for • services and interest earnings. Commercial Checking Firstars Commercial Checking keeps up with the complex nature of your business.It gives you access to a wealth of cash management services,plus other services that help you manage your entire business. Commercial Checking account balances are valued using an Earnings i Credit Rate tied to US Treasury yields and based upon balances maintained This rate is applied to the Average Positive Collected Balance less reserve requirements. By maintaining balances in your I account,monthly fees for many banking services may be reduced i or eliminated Monthly Maintenance Fee S 20.00 Checks Written $ .18 i Other Debits S S5 Deposits&Other Credits S .55 Items Deposited' On-Us and Local $ .0725 RCPC(Suburban) S .0850 ' Out of Region(Transit) $ .110 An Interest-bearing version of Commercial Checking is available exclusively for sole proprietors,non-profit organizations and govern- i ments.Unit prices are the same as above.See your Firstar banker for current rate information. i Please see the Miscellaneous Business Account Fee Schedule for additional pricing Information. • 'Discount on encoded items can be made through special arrangement with your Firstar banker. I i I i i 0 1998 Firstar Member FDIC 40-0280 10198