Notes
Slide Show
Outline
1
Co-Financial Advisor Contracts
  • Finance, Audit and Accountability Committee


  • January 23, 2006
2
Purpose
  • To provide an update on the status of the Co-Financial Advisor contract Request for Proposal
  • Make an award recommendation
3
Background
  • Current Financial Advisor and Arbitrage Rebate Calculation contracts expired on December 31,2005
  • RFP issued in November 2005
  • 1 Proposal received
    • First Southwest and Estrada Hinojosa – the City’s current Co-Financial Advisors
  • City Auditor’s Office does not object to the award of this contract
4
Background
  • Financial Advisory Services
  • Assist with preparations for bond sales
  • Assist with bond sales
  • Assist with preparations for and presentations to bond rating agencies and, as needed, bond insurers
  • Provide advice and assistance as needed (eg RFP for underwriting syndicates, Water Commercial Paper Program)
  • Assist with certain aspects of capital budgeting and financial planning
  • Prepare arbitrage rebate computations and reports
5
Contract History
  • First Southwest has been the City’s financial advisor since 1957
  • Estrada Hinojosa and Company has been co-financial advisor since 1995
6
Contractual Arrangement
  • Both firms will continue as co-financial advisors
  • Enter into 2 separate 5 year contracts
  • Split the bond issuance advisory work
    • 60% First Southwest
    • 40% Estrada Hinojosa
  • All arbitrage rebate work will continue to be performed by First Southwest
7
Fee Structure
8
Recommendation
  • Award contracts to First Southwest and Estrada Hinojosa on January 25 Council agenda
9
Questions