Authorized Depository InstitutionsTHE CITY OF
DUB E
Masterpiece on the Mississippi
MEMORANDUM
October 26, 2007
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Authorized Depository Institutions
Finance Director Ken TeKippe recommends City Council approval of a depository
resolution that increases the maximum balance for U.S. Bank from $20,000,000 to
$40,000,000.
The attached depository resolution increases the maximum balance for U.S. Bank. The
increase is requested to allow additional City funds to be deposited in U.S. Bank.
Recently the bank has submitted the most favorable interest rates on $10,000,000 of
certificates of deposit and the proceeds of the Project Construction Fund
($16,314,342.02) received from the Port of Dubuque Parking Ramp Bonds. These
investments plus other funds on deposit with U.S. Bank would exceed the current
$20,000,000 maximum balance. The approval of this request allows the City to invest
up to $40,000,000 with U.S. Bank. The most recent change to our authorized
depository institutions was in January 2004 when State Central Bank was added. We
will delay transferring the entire proceeds of the Project Construction Fund until the
resolution is approved.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Micha I C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Kenneth J. TeKippe, Finance Director
THE CITY OF
Dus E MEMORANDUM
~-~-~
TO: Michael C. Van Milligen, City Manager
FROM: Kenneth J. TeKippe, Finance Director 'L-_D. /~'e-~G`'~'
SUBJECT: Authorized Depository Institutions
DATE: October 18, 2007
INTRODUCTION
Chapter 12C.2 of the Code of Iowa states that a public entity shall enter into the minutes
of its governing body, by resolution or written statement, the name of each financial
institution eligible for the deposit of public funds and the maximum amount authorized
for deposit therein. This procedure is required if a financial institution changes its name
or home office location, if the maximum balance is changed, or if a financial institution is
added or deleted.
DISCUSSION
The attached depository resolution increases the maximum balance for U.S. Bank. The
increase is requested to allow additional City funds to be deposited in U.S. Bank.
Recently the bank has submitted the most favorable interest rates on $10,000,000 of
certificates of deposit and the proceeds of the Project Construction Fund
($16,314,342.02) received from the Port of Dubuque Parking Ramp Bonds. These
investments plus other funds on deposit with U.S. Bank would exceed the current
$20,000,000 maximum balance. The approval of this request allows the City to invest
up to $40,000,000 with U.S. Bank. The most recent change to our authorized
depository institutions was in January 2004 when State Central Bank was added. We
will delay transferring the entire proceeds of the Project Construction Fund until the
resolution is approved.
ACTION
Please present the attached resolution to the City Council for consideration of approval.
If there are any questions on the resolution please contact me. Thank you for your
assistance.
KT/jg
Enclosure
RESOLUTION NO. 526-07
RESOLUTION NAMING DEPOSITORIES
Whereas, Chapter 12C.2 of the 2201 Code of Iowa states that the approval of a
financial institution as a depository shall be by written resolution or order which shall be
entered of record in the minutes of the approving board, and which shall distinctly name
each depository approved, and specify the maximum amount which may be kept on
deposit in each depository; and
Whereas, This procedure is required if a financial institution changes its name or
home office location, if the maximum amount is changed, or if a financial institution is
added or deleted.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. That the following financial institutions are approved to be depositories
of the City of Dubuque, Iowa funds in conformance with all applicable provisions of the
2001 Iowa Code Chapter 12C.2. The City Treasurer is hereby authorized to deposit City
of Dubuque, Iowa funds in amounts not to exceed the maximum approved for each
respective financial institution as set out below.
Depository Name
Location of Home Office
Maximum Balance
American Trust & Savings Bank
Dubuque Bank & Trust Company
U.S. Bank
Dupaco Community Credit Union
Premier Bank
East Dubuque Savings Bank
Liberty Bank
State Central Bank
Dubuque, Iowa
Dubuque, Iowa
Minneapolis, Minnesota
Dubuque, Iowa
Dubuque, Iowa
Dubuque, Iowa
Des Moines, Iowa
Keokuk, Iowa
Passed, approved and adopted this 5th day of November, 2007.
$40,000,000
$40,000,000
$40,000,000
$20,000,000
$20,000,000
$20,000,000
$20,000,000
$20,000,000
Roy D. Buol, Mayor
Attest: Jeanne F. Schneider, City Clerk