capital area planning council - inmotion...

6800 Burleson Road, Building 310, Suite 165 Austin, Texas 78744-2306

Ph: 512-916-6000 Fax: 512-916-6001 www.capcog.org

BASTROP BLANCO BURNET CALDWELL FAYETTE HAYS LEE LLANO TRAVIS WILLIAMSON

Request for Proposal for Depository Services

Capital Area Council of Governments and

Capital Area Emergency Communications District

GENERAL INFORMATION

The Capital Area Council of Governments (CAPCOG) is a political subdivision of the State of Texas organized and operating under the Texas Regional Planning Act of 1965, as amended, Chapter 391 of the Local Government Code. The Capital Area Emergency Communications District (“CAECD”) is a special purpose district established in state law in accordance with Chapter 772, Subchapter G, of the Texas Health and Safety Code. The CAECD was established on September 11, 2013, creating the need to select a depository. CAECD is managed and staffed by CAPCOG, and shares the same governing board.

On behalf of both entities, the Capital Area Council of Governments is requesting proposals from eligible financial institutions to be designated as depository for CAPCOG. This includes the basic services of receiving deposits, paying items, wiring funds, stop payments, and other business banking activities. This agreement will not cover any investment transaction activities, other than safekeeping, as CAPCOG plans to manage its own investment portfolio. CAPCOG is requesting proposals for a banking services contract to be awarded October 9, 2019, or the first regularly scheduled and properly noticed public meeting after close of this request for proposal. Service expected to begin January 1, 2020 and extend for two years, through December 31, 2021. The depository contract shall provide that CAPCOG reserves the right to cancel any agreement, at any time, upon sixty (60) days prior written notice of its intent to terminate any agreement.

Through this contract CAPCOG intends to minimize banking costs, improve operational efficiency, and maximize investment capabilities. This Request for Proposal (RFP) represents the cash management goals, specifies all banks’ required qualifications, the banking services required, the estimated activity volumes on all accounts, the method and terms of compensation, submission instructions and the contract award provisions.

The terms and provisions of the Texas Local Government Code, Chapter 116 will be applied to this depository contract, including the conflict of interest provisions of Section 131.903 of the Code as provided in Chapter 116.

We want to emphasize that the specifications on the attached proposal form represent a preferred level of service from CAPCOG's perspective. The specifications are not intended to preclude a bidder from presenting alternative features to the ones stated, either in terms of providing improved service to CAPCOG, or more acceptable conditions to the depository. Clarifying information is required on all proposed exceptions or alternatives and should be provided as an addendum to the proposal form.

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CAPCOG/CAECD Banking Services RFP | August 19, 2019 |

SCHEDULE FOR SELECTION OF DEPOSITORY

Request for Proposals (RFP) Issued August 19, 2019

Proposals Due

(Reference page 4 - Submission Checklist) September 13, 2019, 12:00 noon (CST)

Selection and Notification October 9, 2019, or the first regularly scheduled and properly noticed public meeting after close of this request for proposal

SUMMARY CAPCOG’s fiscal structure funding depends primarily upon grants from the state and federal governments as well as fee-for-service contracts including shared funding for special projects and member government dues. CAECD is authorized to impose and receive 9-1-1 fees. Revenues for Fiscal Year 2020 (October 1, 2019 – September 30, 2020) are expected to be $29 million.

CAPCOG’s banking structure currently consists of three (e) checking accounts and 4 TEXPOOL investment accounts outside of the banking structure. One checking account is utilized for most payables of CAPCOG (and the CAECD), including payroll, and one checking account for the CAECD is utilized for some direct payables. The third checking account is related to a non-profit and has very little activity. Checks for payables are written bi-weekly and funded by transfers to the checking account from other accounts and outside sources. Approximately 200 checks are written each month and approximately 250 ACH disbursements each month (including direct deposit payroll). CAPCOG pays employees on a bi-weekly schedule. CAPCOG has approximately 68 employees. The average net payroll is approximately $110,000 for each payroll (every two weeks). Currently all employees are utilizing direct deposit services. Cash is deposited to various CAPCOG bank accounts on a weekly basis. These deposits total approximately $500,000 monthly from checks received, and approximately $2,000,000 from ACH credits directly deposited monthly. The number of items deposited per month is approximately 125, and the number of ACH credits per month is approximately 50. The total average account balance is $2,000,000. The CAECD comprises about half of the funds. All information provided on the number of transactions is based upon historical or anticipated activity to the best of CAPCOG’s knowledge. Although this is CAPCOG’s best estimate of volume, CAPCOG does not guarantee these volumes.

Additional information about CAPCOG can be located on CAPCOG’s website: www.capcog.org. CAPCOG’s Annual Budgets and Workplans and Annual Financial Reports are available on the Administration > Financial Reports page of the website. CAPCOG’s Investment Policy is included as Attachment C to this document.

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MINIMUM BANK QUALIFICATIONS Qualified proposing financial institutions must meet the following minimum criteria:

Must be a financial institution chartered under laws of the United States or of the State of Texas; and

Maintain a full-service branch with drive up and night depository capabilities within the city limits of the City of Austin.

SCOPE OF BANKING SERVICES This section lists desired services to be provided by the bank under this agreement. Attachment A lists each of the services. The bank should use Attachment A to provide the specific price for each service. A. Account Structure

CAPCOG’s banking structure currently consists of three (3) checking accounts. The CAPCOG and CAECD checking accounts are utilized for most payables of CAPCOG and CAECD. CAPCOG and CAECD desire all accounts to be interest bearing.

B. Standard Deposit Services

The bank must guarantee immediate credit on all incoming wire transfers and U.S. Treasury checks upon receipt and on all other checks based on the bank’s published availability schedule.

Include deposit requirements and commercial and retail deposit locations, including night deposit services and procedures.

C. Standard Disbursing Services

Standard disbursing services for all accounts are required to include the payment of all checks upon presentation.

Checks drawn on CAPCOG accounts at your institution presented by CAPCOG employees will be cashed at no charge.

D. On-line Banking

The institution shall offer Internet access for the inquiry of account balances and activity for all bank accounts. This access should be available by using a password set by CAPCOG. In addition, the institution shall offer on-line transfer of CAPCOG monies between accounts held within the institution. The transfers should be credited and debited to the related accounts on the same business day of the transfer, if the request is received by 5:00 pm.

E. Direct Deposit

The banking institution must be able to provide direct deposit through a computer interface with CAPCOG via internet.

Include a schedule of funding for direct deposit so that payroll is available for CAPCOG employees at 12:01 a.m. on paydays. Also include a sample direct deposit agreement with your proposal.

F. Wire Transfer Services

A standard wire transfer agreement will be executed with the bank. The CAPCOG requires adequate security provisions and procedures. If the wire transfer requests are available online, full information should be


submitted detailing the use. G. Stop Payments

The institution must provide CAPCOG with the ability to stop payments on an automated (phone or internet) basis.

H. Investment of Idle Funds and Safekeeping of CAPCOG Securities

All certificates of deposit bought by CAPCOG will be bought on a competitive basis. CAPCOG has no obligation to invest its funds with or through the bank.

All securities will be handled on a delivery versus payment (DVP) basis as they are cleared into and out of the account. All clearing and safekeeping will be in the bank or its correspondent. All correspondent and safekeeping arrangements will be stipulated in the proposal.

I. Notices

The depository will notify CAPCOG in writing within ten (10) days of any changes in Federal or State regulations or laws that would thereafter affect the depository contract. The depository shall also notify CAPCOG of any additional services that become available to CAPCOG throughout the contract period.

J. Audit

The depository’s records relating to CAPCOG’s accounts shall be open to review by either CAPCOG staff members or CAPCOG-appointed independent auditors during normal business hours. The depository’s records of CAPCOG transactions may be considered public records pursuant to the Texas Opens Records Act.


PROPOSAL SUBMISSION INSTRUCTIONS Proposal Format

In order to fully and equitably evaluate each bank’s ability to meet the banking services needs of CAPCOG, a standard reply format is required. Each submission must include a proposal to each item in the RFP in the order given in Attachment A. Only proposals submitted in the prescribed format and using the exhibit forms provided (Attachments A and B) will be evaluated for contract award. The proposal must be signed by a duly authorized official of the bank. The proposal submitted will become part of the final contract. The specifications are not intended to preclude a bidder from presenting alternative features to the ones stated, either in terms of providing improved service to CAPCOG, or more acceptable conditions to the depository. Bidders are instructed to clearly note on the official proposal form any exceptions or alternatives to the specifications. Submission Checklist

A. Completed Proposal Form (Attachment A).

B. Sample bank statement.

C. Sample account reconciliation statement.

D. Sample account analysis statement.

E. Sample monthly pledged collateral report.

F. Sample safekeeping agreement for collateral with fee schedule.

G. Availability of funds schedule with a clear explanation of deadlines.

H. Sweep account prospectus if applicable.

I. Sample ACH transaction agreements with procedures and deadlines for processing.

J. Sample wire transfer agreements with procedures and deadlines for processing.

K. Sample stop payment agreement.

L. Sample positive pay agreement with procedures.

M. Most recent audited annual financial statement of the bank along with the last two quarterly FDIC call reports.

N. Proposed depository contract.

O. Information regarding imaging services.

P. Information about on-line access to account information, i.e. software utilized and parameters of usage.

Q. A statement by the institution which addresses the following:

Any recent or foreseen merger or acquisition

Whether the institution has been cited for violation of any state or federal banking laws in the past two years.

The names and qualifications (resumes) of the representatives at the institution local office who would be responsible for processing activity on CAPCOG’s accounts.

R. Required Forms:

1. Certifications of Offeror

2. Certification of Compliance with Small, Disadvantaged, Minority, Women-Owned, and Historically Underutilized Business Policy


3. Certification Regarding Debarment

4. Certification Regarding Lobbying

5. Certification Regarding Prohibition on Contracts with Companies Boycotting Israel

6. Certification Regarding Disclosure of Conflict of Interest

7. Certification of Fair Business Practices

8. Certification of Good Standing- Texas Corporate Franchise Certification

9. Texas Public Funds Investment Act Certification

The following form must be completed online if selected for a contract:

10. Certificate of Interested Parties Form – Form 1295

Texas law states that a governmental entity or state agency may not enter certain contracts with a business entity unless the business entity submits a disclosure of interested parties to the governmental entity or state agency at the time the business entity submits the signed contract to the governmental entity or state agency. The required form and instructions are located at the Texas Ethics Commission Website.

Submission Requirements

Two (2) hard copies of the proposal and one (1) hard copy or CD of the Required Financial Institution Information must be submitted in a sealed envelope and clearly marked “Depository Proposal Due September 13, 2019 ” addressed and delivered to:

Sheila Jennings Director of Administration Capital Area Council of Governments 6800 Burleson Road Building 310, Suite 165 Austin, TX 78744

Proposals must be received by 12:00 noon on Friday, September 13, 2019 at the address above. Proposals not received at the designated place by the specified date and time will not be accepted. CAPCOG offices are closed between 12:00 pm and 1:00 pm. Facsimile or electronic submissions will not be accepted. Request for Proposal Amendments

Modifications or additions may be made as a result of questions submitted. Written notification of any change will be made in writing to all known prospective bidders. Selection Criteria

Evaluation of proposals will be made on the basis of the following objectives, not necessarily in the order given:

Cost of the proposed banking services, and the cost of conversion and implementation of banking services.

Convenience of banking services, electronic as well as lobby/backroom services.

Ability of the bidder to perform the requested services in the RFP;

Ability to meet the legal qualifications and the terms and conditions specified in the RFP;

Effective rates paid on CAPCOG’s accounts;


Experience and success in providing banking services to municipal governments in Texas;

Ability to provide CAPCOG with effective and innovative cash management services; and

Completeness of the proposal form and submission of the required information.

This Request for Proposal for a depository has been duly advertised and is being offered for consideration to financial institutions chartered under laws of the United States or of the State of Texas. CAPCOG will evaluate the proposals and select the one with the most favorable terms and conditions; however, CAPCOG reserves the right to reject any and all proposals that, in the opinion of CAPCOG do not meet the needs or warrant the placement of CAPCOG’s funds. CAPCOG reserves the right to waive any non-material irregularities in any RFP, and to accept or reject any item or combination of items. CAPCOG reserves the right to request additional information from proposing organizations to discuss points in the proposal, any and all of which may be used in forming a recommendation. All costs incurred by the bidder in responding to the RFP shall be the responsibility of the bidder.

Award of Bid and Service Initiation

Award of the contract will be considered by the CAPCOG Executive Committee and Capital Area Emergency Communications District Board of Managers its meeting October 9, 2019, or the first regularly scheduled and properly noticed public meeting after close of this request for proposal.

RFP Questions

Questions regarding this RFP or the service requested will be accepted via email to the contact and address below. All questions must be submitted by 5:00 pm Tuesday, September 3, 2019. Responses to all material questions submitted will be communicated to each known prospective bidder.

Sheila Jennings – [email protected]

ATTACHMENTS

Attachment A – Proposal Format

Attachment B – Required Forms

Attachment C – CAPCOG Investment Policy

ATTACHMENT A Proposal Form for Banking Services

PROPOSAL FORM

Name of Depository:

Address of Depository:

Telephone Number of Depository:

Date Submitted:

Officer’s Name and Title:

Signature of Officer:

Any and all anticipated service charges must be shown on this form to be applicable under the agreement. Add additional lines as required.

Service Unit Price Estimated Balance

Required

Account Maintenance Per month

Credits Posted Per transaction

Debits Posted Per transaction

Items Deposited

Deposits Per transaction

Encoding charge Per transaction

Returned checks Per transaction

Web Banking

On-line Account Access Per month

Transfers Per transaction

ACH Processing Per transaction

Origination of file Per file

ACH deletions Per transaction

ACH entries Per transaction

ACH returns Per transaction

ACH maintenance Per month

Wire Transfers

Incoming Per transaction

Outgoing Per transaction

Stop payments Per transaction

Investment Safekeeping 1

S/keeping interest/credit Per transaction

S/keeping receipt deposit

Per transaction

S/keeping outgoing Per transaction

Securities DVP FRB Per transaction

Securities DVP NY Per transaction

Extra Statements Per transaction

CD of Imaged Cancelled checks

Per disk

Electronic Scanning/Deposit of Checks

One time setup and/or Per month

Positive Pay Per month

1 Refers to safekeeping on deposits on file with the institution only, no outside investments. List any fees credit, cost offset, or additional services provided for conversion/implementation of depository services:

OTHER CONSIDERATIONS - Please answer the following questions:

A. CAPCOG wishes to use electronic scanning/depositing of checks to reduce float and the liabilities of internal check handling and transfer. Please list all charges and relevant information about equipment, software, availability of funds and any supplies needed.

B. Do you offer any type of sweep account meeting the requirements of the Public Funds Investment Act and CAPCOG investment policy (Attachment C) where excess CAPCOG funds could be invested at a higher rate than in the checking account? If so, please explain the parameters and interest earnings history and attach any applicable prospectus and summary of securities held.

C. Please provide a detailed explanation of the bank’s policy and methodology used in the setting of the earnings credit rate. Provide a schedule of the earnings credit rates offered by the depository since January 1, 2019. List minimum ledger and collected balances required to earn interest.

D. Are you open to establishing a FIRREA agreement (Financial Institutions Reform, Recover, and Enforcement Act of 1989)? This is not required, but of interest to CAPCOG.

E. Do you have an established maximum dollar value limit that may not be exceeded by an individual check? List the number of maximum transactions that may occur in the accounts. Are there any other restrictions regarding individual check amounts?

F. CAPCOG requires the depository to offer positive pay as well as ACH debit block and filter services. Please describe procedures for these services. List all charges that apply.

G. Please describe the process by which service problems can be resolved. What person or organizational unit is available for complaint or problem resolution?

H. Please list three other public funds customers in Texas that the bank currently serves as a depository.

ATTACHMENT B Required Forms

ATTACHMENT 1

CERTIFICATIONS OF OFFEROR I hereby certify that the information contained in this proposal and any attachments is true and correct and may be viewed as an accurate representation of proposed services to be provided by this organization. I certify that no employee, board member, or agent of the Capital Area Council of Governments has assisted in the preparation of this proposal. I acknowledge that I have read and understand the requirements and provisions of the Request for Proposal and that the organization will comply with the regulations and other applicable local, state, and federal regulations and directives in the implementation of this agreement. I also certify that I have read and understood all sections of this Request for Proposals and will comply with all the terms and conditions as stated; and furthermore that I, (typed or printed name) certify that I am the __________________________ (title) of the corporation, partnership, or sole proprietorship, or other eligible entity named as Offeror and Respondent herein and that I am legally authorized to sign this offer and to submit it to the Capital Area Council of Governments, on behalf of said Offeror by authority of its governing body. Name of Organization/Firm: _________________________________________________________ Signature of Authorized Representative: ___________________________________________ _

Date:

ATTACHMENT 2

CERTIFICATION OF COMPLIANCE WITH SMALL, DISADVANTAGED, MINORITY,

WOMEN-OWNED, AND HISTORICALLY UNDERUTILIZED BUSINESS POLICY The undersigned certifies on behalf of the Contractor or Subcontractor that he or she has read Article VI of CAPCOG's Procurement Policy, "Small, Disadvantaged, Minority, Women-Owned and Historically Underutilized Businesses: Federal Assistance or Contract Procurement Requirements," a copy of which is attached to this Exhibit. In addition, the Contractor or Subcontractor agrees to make and demonstrate a good faith effort to include small and minority businesses, women's business enterprises, and labor surplus area firms’ participation under a contract in accordance with federal procurements requirements of 2 CFR §200.321. A good faith effort must include the following affirmative steps:

1) Placing qualified small and minority businesses and women’s business enterprises on

solicitation list;

2) Assuring that small and minority businesses and women’s business enterprises are solicited

whenever they are potential sources;

3) Dividing total requirements, when economically feasible, into smaller task or quantities to

permit maximum participation by small and minority businesses, and women’s business

enterprises;

4) Establishing delivery schedules, where the requirement permits, which encourage

participation by small and minority businesses, and women’s business enterprises; and

5) Using the services and assistance as appropriate, of such organizations as the Small Business

Administration and the Minority Business Development Agency of the Department of

Commerce.

Nothing in this provision will be construed to require the utilization of any firm that is either unqualified or unavailable. comply with that policy if it procures goods or services with funds made available under this contract. ______________________________________ Contractor or Subcontractor By___________________________________ _____________________________________ Name and Title Date_________________________________

CAPCOG'S AFFIRMATIVE ACTION PROCUREMENT POLICY

Small, Disadvantaged, Minority, Women-owned and Historically Underutilized Businesses: Federal Assistance or Contract Procurement Requirements

PART A: POLICIES 6-101 Policy Statement:

It shall be the policy of CAPCOG to assist small, DBE, MBE, women-owned businesses and HUBs in learning how to do business with CAPCOG. It shall be the further policy of CAPCOG that these sources shall have the maximum feasible opportunity to compete.

6-102 Bidder/Offeror Statement:

Every solicitation for procurement must require that each bidder or offeror include a statement that the bidder or offeror will comply with this Policy.

6-103 To ensure that CAPCOG’s policy to assure that small, MBEs, DBEs, women-owned businesses,

and HUBs are utilized, CAPCOG and its contractors and subcontractors should take the following affirmative steps:

1. Include qualified small, MBEs, DBEs, women-owned businesses, and HUBs on the Bidders' List. State lists may be utilized to locate such businesses by contacting the General Services Commission;

2. Assure that small, MBEs, DBEs, women-owned businesses, and HUBs are solicited whenever they may be potential sources. In this regard, CAPCOG should investigate new sources and advertise when feasible in minority publications;

3. When economically feasible, and where not in contravention of competitive bidding requirements, CAPCOG should divide the total requirements into smaller tasks or quantities so as to permit maximum small, MBE, DBE, women-owned businesses and HUB participation;

4. Use the services and assistance of the Small Business Administration, the Office of Minority Business Enterprise of the Department of Commerce, the Minority Business Development Agency in the Department of Labor, the Texas General Services Commission and other similar agencies for locating such businesses;

5. Require that prime contractors take affirmative and meaningful steps towards retaining small, MBE, DBE, women-owned businesses and HUB subcontractors;

6. Procure goods and services from labor surplus areas;

7. If feasible, establish delivery schedules that encourage small, MBEs, DBEs, women-owned businesses, and HUBs to participate; and,

8. Advertise, at least annually, in a newspaper of general circulation for small, MBEs, DBEs, women-owned businesses and HUBs to be added to the Bidders' List.

6-104 For such affirmative steps to be meaningful, CAPCOG should review all solicitations, offers and

bids to confirm that such affirmative action steps have been taken. In addition, steps should be taken to ensure that once a contract is awarded to a small, MBE, DBE, women-owned business,

and/or HUB, or that the award is given to a contractor with such a subcontractor, that such business is retained during the entire performance of the contract.

6-105 Failure of a contractor to take meaningful affirmative steps at soliciting and retaining small,

MBEs, DBEs, women-owned businesses and HUBs may be considered as a factor in evaluating future bids under non-compliance with public policies; however, this factor may not be a consideration in procurements involving purely state or local funds as Texas law requires awards to be made to the lowest responsible bidder.

6-106 For procurements costing more than $3,500 but less than $50,000 the Division Director shall

contact at least two HUBs on a rotating basis, based on information provided by the Texas General Services Commission. If the list fails to identify a historically underutilized business in the area, the CAPCOG is exempt from this section.

ATTACHMENT 3

CERTIFICATION REGARDING DEBARMENT, SUSPENSION, INELIGIBILITY AND

VOLUNTARY EXCLUSION FOR LOWER-TIER COVERED TRANSACTIONS

Instructions for Certification

1. By signing and submitting this Certification, the lower-tier participant (the "Contractor" or

"Subcontractor") is providing the certification set out below.

2. This certification is a material representation of fact upon which reliance was placed when the contract was signed. If it is later determined that the Contractor or Subcontractor knowingly rendered an erroneous certification, in addition to other remedies available to the federal government, the department or agency with which this transaction originated may pursue all available remedies, including suspension and/or debarment.

3. The Contractor or Subcontractor shall provide immediate written notice to CAPCOG if at any time the Contractor or Subcontractor learns that its certification was erroneous when signed or has become erroneous because of changed circumstances.

4. The terms "covered transaction," "debarred," "suspended," ineligible," "lower-tier covered transaction," "participant," "person," "primary covered transaction," "principal," "proposal," and "voluntarily excluded," as used in this Certification, have the meanings set out in the Definitions and Coverages sections of regulations implementing Executive Order 12549. You may contact CAPCOG for assistance in obtaining a copy of those regulations.

5. The Contractor or Subcontractor agrees not to knowingly enter into any lower-tier covered transaction with a person who is debarred, suspended, declared ineligible, or voluntarily excluded from participating in this contract, unless authorized by the department or agency with which this transaction originated.

6. The Contractor or Subcontractor also agrees to include this Certification without modification in all lower-tier covered transactions and solicitations for lower-tier covered transactions.

7. The Contractor or Subcontractor may rely upon the certification of a prospective participant in a lower-tier covered transaction that it is not debarred, suspended, ineligible, or voluntarily excluded from the covered transaction, unless it knows that the certification is erroneous. The Contractor or Subcontractor may decide the method and frequency by which it determines the eligibility of its principals. The Contractor or Subcontractor may, but is not required to, check the Nonprocurement List.

8. Paragraph 7 does not require establishment of a system of records in order to render in good faith the required Certification. The knowledge and information of the Contractor or Subcontractor is not required to exceed that which is normally possessed by a prudent person in the ordinary course of business dealings.

9. Except for transactions authorized under paragraph 5, if the Contractor or Subcontractor knowingly enters into a lower-tier covered transaction with a person who is debarred, suspended, ineligible, or voluntarily excluded from participating in this contract, in addition to

other remedies available to the federal government, the department or agency with which this transaction originated may pursue any available remedies, including suspension and/or debarment.

Certification

The Contractor or Subcontractor certifies, by participating in this contract, that neither it nor any of its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this contract by any federal department or agency.

If the Contractor or Subcontractor is unable to certify to any of the statements in this Certification, the Contractor or Subcontractor shall furnish CAPCOG a written explanation of it inability.

_____________________________________ Contractor or Subcontractor By___________________________________ _____________________________________ Name and Title Date_________________________________

ATTACHMENT 4

CERTIFICATION REGARDING LOBBYING

Certification for Contracts, Grants, Loans and Cooperative Agreements

The undersigned certifies, to the best of his or her knowledge and belief, that:

No federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of an agency, a member of Congress, an officer or employee of Congress, or an employee or a member of Congress in connection with the award of any federal contract, the making of any federal grant or loan, the entering into of any cooperative agreement, or the extension, continuation, renewal, amendment, or modification of any federal contract, grant, loan, or cooperative agreement.

If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of an agency, a member of Congress, an officer or employee of Congress, or an employee of a member of Congress in connection with this federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit to CAPCOG Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions.

The undersigned shall require that this Certification be included in all subcontracts under this contract, and that all subcontractors sign and submit to CAPCOG the Certification.

______________________________________ Contractor or Subcontractor By___________________________________ _____________________________________ Name and Title Date_________________________________

ATTACHMENT 5

PROHIBITION ON CONTRACTS WITH COMPANIES BOYCOTTING ISRAEL

Texas Local Government Code Section 1. Subtitle F, Title 10, Government Code, Chapter 2270 states that a governmental entity may not enter into a contract with a company for goods or services unless the contract contains a written verification from the company that it:

1) does not boycott Israel; and

2) will not boycott Israel during the term of the contract

Pursuant to Section 2270.001, Texas Government Code:

“Boycott Israel” means refusing to deal with, terminating business activities with, or

otherwise taking any action that is intended to penalize, inflict economic harm on, or limit

commercial relations specifically with Israel, or with a person or entity doing business in

Israel or in an Israeli-controlled territory, but does not include an action made for ordinary

business purposes; and

“Company” means a for-profit organization, association, corporation, partnership, joint

venture, limited partnership, limited liability partnership, or any limited liability company,

including a wholly owned subsidiary, majority-owned subsidiary, parent company or affiliate

of those entities or business associations that exist to make a profit. A sole proprietorship is

NOT included in this definition.

This section applies only to a contract that:

1) is between a governmental entity and a company with 10 or more full-time employees; and

2) has a value of $100,000 or more that is to be paid wholly or partly from public funds of the

governmental entity.

If Respondent is required to make a certification pursuant to Section 2270.002 of the Texas Government Code, Respondent certifies that Respondent does not boycott Israel and will not boycott Israel during the term of the contract resulting from this solicitation. If Respondent does not make that certification, Respondent must indicate that in its Response and state why the certification is not required.

______________________________________ Contractor or Subcontractor By___________________________________ _____________________________________ Name and Title Date_________________________________

ATTACHMENT 6

CONFLICT OF INTEREST QUESTIONNAIRE

ATTACHMENT 7

CERTIFICATION OF FAIR BUSINESS PRACTICES

That the proposer has not been found guilty of unfair business practices in a judicial or state agency administrative proceeding during the preceding year. The proposer further affirms that no officer of the proposer has served as an officer of any company found guilty of unfair business practices in a judicial or state agency administrative during the preceding year. Name of Organization/Firm: Signature of Authorized Representative: Date:

ATTACHMENT 8

CERTIFICATION OF GOOD STANDING

TEXAS CORPORATE FRANCHISE TAX CERTIFICATION Pursuant to Article 2.45, Texas Business Corporation Act, state agencies may not contract with for profit corporations that are delinquent in making state franchise tax payments. The following certification that the corporation entering into this offer is current in its franchise taxes must be signed by the individual authorized on Form 2031, Corporate Board of Directors Resolution, to sign the contract for the corporation. The undersigned authorized representative of the corporation making the offer herein certified that the following indicated statement is true and correct and that the undersigned understands that making a false statement is a material breach of contract and is grounds for contract cancellation. Indicate the certification that applies to your corporation: _____________ The Corporation is a for-profit corporation and certifies that it is not delinquent

in its franchise tax payments to the State of Texas. _____________ The Corporation is a non-profit corporation or is otherwise not subject to

payment of franchise taxes to the State of Texas. Type of Business (if not corporation): Sole Proprietor

Partnership

Other I.R.S.Tax Number: __________________________________________ __________________________________________________________ (Printed/Typed Name and Title of Authorized Representative) __________________________________________________________ Signature Date:

ATTACHMENT 9

TEXAS PUBLIC FUNDS INVESTMENT ACT

CERTIFICATION BY BUSINESS ORGANIZATION This certification is executed on behalf of the Capital Area Council of Governments (the Investor) and (the Dealer) pursuant to the Public Funds Investment Act, Chapter 2256, Government Code, Texas Codes Annotated (the Act) in connection with investment transactions conducted between the Investor and Dealer. The undersigned Qualified Representative of the Business Organization hereby certifies on behalf of the Organization that: 1. The Organization Qualified Representative is duly authorized to execute this Certification on behalf of

the Organization, and

2. The Organization Qualified Representative has received and reviewed the Investment Policy furnished by the Investor, and

3. The Organization has implemented reasonable procedures and controls in an effort to preclude investment transactions conducted between the Organization and the Investor that are not authorized by the entity's investment policy, except to the extent that this authorization is dependent on an analysis of the makeup of the entity's entire portfolio or requires an interpretation of subjective investment standards.

Qualified Representative of Business Organization

___________________________________________________ Signature ___________________________________________________ Name (Printed) ___________________________________________________ Title ___________________________________________________ Date

ATTACHMENT 10

ATTACHMENT C CAPCOG Investment Policy

CAPCOG Investment Policy

Page 1 Revised July 12, 2017

ATTACHMENT C

CAPITAL AREA COUNCIL OF GOVERNMENTS Investment Policy

1. Policy

It is the policy of the Capital Area Council of Governments (CAPCOG) to invest public funds in a manner

which will provide the highest investment return with the maximum security while meeting the daily cash

flow demands of CAPCOG and conforming to all state and federal statutes governing the investment of

public funds.

2. Scope

This investment policy applies to all financial assets of CAPCOG. These funds are accounted for in

CAPCOG’s Annual Financial Report and include General Funds, Special Revenue Funds and any new fund

created by the Executive Committee, unless specifically exempted.

3. Prudence

Investments shall be made with judgment and care--under circumstances then prevailing--which persons

of prudence, discretion and intelligence exercise in the management of their own affairs, not for

speculation, but for investment considering the probable safety of their capital as well as the probable

income to be derived.

The standard of prudence to be used by investment officials shall be the “prudent person” standard and

shall be applied in the context of managing an overall portfolio. Investment officers acting in accordance

with written procedures and the investment policy and exercising due diligence shall be relieved of

personal responsibility for an individual security’s credit risk or market price changes, provided deviations

from expectations are reported in a timely fashion and appropriate action is taken to control adverse

developments.

4. Training and Education

In accordance with the Public Funds Investment Act (Chapter 2256, Texas Government Code), the

designated Investment Officer, or those personnel authorized to execute investment transactions, must

attend periodic investment training. CAPCOG shall provide for periodic training in investments for

investment personnel in order to insure the quality and capability of CAPCOG investment officers in

making investment decisions.

State law requires that training relating to investment responsibilities must be provided by an

independent source. Approved sources are:

The Texas Municipal League

Texas State University

The University of North Texas Center for Public Management

The Government Finance Officers Association of Texas.



Personnel authorized to execute or approve investment transactions must receive at least 10 hours of

investment training within each two-year period. Newly appointed investment officers must attain at least

10 hours of instruction relating to the officer’s responsibility under the Act within 12 months after

assuming investment duties.

5. Objectives

The primary objectives, in priority order, of CAPCOG’s investment activities shall be:

Safety: Safety of principal is the foremost objective of the investment program. Investments of

CAPCOG shall be undertaken in a manner that seeks to ensure the preservation of capital in the

overall portfolio. To attain this objective, diversification is required in order that potential losses

on individual securities do not exceed the income generated from the remainder of the portfolio.

Liquidity: CAPCOG’s investment portfolio will remain sufficiently liquid to enable CAPCOG to meet

all operating requirements which might be reasonably anticipated.

Return on Investments: CAPCOG’s investment portfolio shall be designed with the objective of

attaining a rate of return throughout budgetary and economic cycles, commensurate with

CAPCOG’s investment risk constraints and the cash flow characteristics of the portfolio.

6. Delegation of Authority

Authority to manage CAPCOG’s investment program is derived from the Public Funds Investment Act of

1987, as amended. Finance Director is authorized to act as Investment Officer, working under the

direction of the Executive Director. Management responsibility for the investment program is hereby

delegated to the Finance Director, who shall establish written procedures for the operation of the

investment program consistent with this investment policy. Procedures should include reference to:

safekeeping, PSA repurchase agreements, wire transfer agreements, banking service contracts and

collateral/depository agreements. Such procedures shall include explicit delegation of authority to

persons responsible for investment transactions. No person may engage in an investment transaction

except as provided under the terms of this policy and the procedures established by the Finance Director.

The Finance Director shall be responsible for all transactions undertaken and shall establish a system of

controls to regulate the activities of subordinate officials.

7. Ethics and Conflicts of Interest

Officers and employees involved in the investment process shall refrain from personal business activity

that could conflict with proper execution of the investment program, or which could impair their ability

to make impartial investment decisions. Employees and investment officials shall disclose to the Executive

Director any material financial interests in financial institutions that conduct business within this

jurisdiction, and they shall further disclose any large personal financial/investment positions that could

be related to the performance of CAPCOG, particularly with regard to the time of purchases and sales.

An investment officer shall file a disclosure statement with the Texas Ethics Commission and the

Executive Committee if:

The officer has a personal business relationship with a business organization offering to engage

in an investment transaction with the entity shall file a statement disclosing that personal

business interest.



The officer is related within the second degree by affinity or consanguinity, as determined under

Chapter 573, to an individual seeking to sell an investment to the investment officer's entity

shall file a statement disclosing that relationship.

8. Authorized Financial Dealers and Institutions

The Finance Director will maintain a list of financial institutions authorized to provide investment services.

In addition, a list will also be maintained of approved security broker/dealers selected by credit worthiness

who are authorized to provide investment services in the State of Texas. These may include “primary”

dealers or regional dealers that qualify under Securities & Exchange Commission Rule 15C3-1 (uniform

net capital rule). No public deposit shall be made except in a qualified public depository as established by

state laws.

All financial institutions and broker/dealers who desire to become qualified bidders for investment

transactions must supply the Finance Director with the following: audited financial statements, proof of

National Association of Security Dealers certification, trading resolution, proof of state registration,

completed broker/dealer questionnaire, and certification of having read CAPCOG’s investment policy and

depository contracts.

An annual review of the financial condition and registrations of qualified bidders will be conducted by the

Finance Director.

A current audited financial statement is required to be on file for each financial institution and

broker/dealer in which CAPCOG invests.

Investments shall only be made with those business organizations that have provided a written

instruments executive by a qualified representative acknowledging that the business organization has:

a. Received and reviewed CAPCOG’s investment Policy; and

b. Implemented reasonable procedures and controls in an effort to preclude investment transaction

conducted between CAPCOG and the organization that are not authorized by this Investment

Policy.

9. Authorized & Suitable Investments

CAPCOG is authorized to invest in the following types of securities, within the restrictions of the Public

Funds Investment Act. CAPCOG is not required to liquidate investments that were authorized investments

at the time of purchase:

U.S. Government Obligations

State of Texas Direct Obligations

Certificates of Deposit

Collateralized Mortgage Obligations (CMOs)

Commercial Paper

Repurchase Agreements

Investment Pools

Only those investments listed in this section are authorized.



10. Collateralization

CAPCOG requires that all uninsured collected balances plus accrued interest, if any, in depository accounts

be secure in accordance with the requirements of state law. In order to anticipate market changes and

provide a level of security for all funds, the collateralization level will be 102% of market value of principal

and accrued interest. Eligible collateral to secure CAPCOG’s deposits include:

1. United States Treasury Notes, Bills, Bonds or obligations fully and unconditionally guaranteed as to

principal and interest by the full faith and credit of the United States.

2. Obligations of the Federal Home Loan Bank, Federal Home Loan Mortgage Corporation, or the

Federal National Mortgage Association.

3. Obligations of the Government National Mortgage Association.

4. Any obligation of an approved United States government agency which is considered to be an asset-

backed, mortgage-backed, or pooled security.

Collateral will always be held by an independent third party with whom CAPCOG has a current custodial

agreement. A clearly marked evidence of ownership (safekeeping receipt) must be supplied to CAPCOG

and retained. The right of collateral substitution is granted, if CAPCOG is notified in advance of the

substitution.

11. Safekeeping and Custody

All security transactions, including collateral for repurchase agreements, entered into by CAPCOG shall be

conducted on a delivery-versus-payment (DVP) basis. Securities will be held by a third party custodian

designated by the Finance Director and evidenced by safekeeping receipts

12. Diversification

CAPCOG will diversify its investments by security type and institution. With the exception of U.S. Treasury

securities and authorized pools, no more than 50% of CAPCOG’s total investment portfolio will be invested

in a single security type or with a single financial institution.

13. Maximum Maturities

To the extent possible, CAPCOG will attempt to match its investments with anticipated cash flow

requirements. Unless matched to a specific cash flow, CAPCOG will not directly invest operating funds in

securities maturing more than two years from the date of purchase.

Reserve funds may be invested in securities exceeding three years if the maturity of such investments are

made to coincide as nearly as practicable with the expected use of the funds.

14. Internal Control

The Finance Director is charged with the responsibility of including a market report on investment activity

and returns for independent review by an external auditor. This review must include a compliance audit

of management controls on investment and adherence to the investment policy..

15. Performance Standards

The investment portfolio shall be designed with the objective of obtaining a rate of return throughout

budgetary and economic cycles, commensurate with the investment risk constraints and the cash flow

needs.



Investment performance is continually monitored and evaluated by the Finance Director. The Finance

Director shall monitor, on no less than a monthly basis, the credit rating on investments in the portfolio

requiring a rating based upon information from a nationally recognized rating agency. If any security falls

below the minimum rating required by Policy, the Investment Officer shall immediately sell the security,

if possible, regardless of a loss of principal.

Market Yield (Benchmark): The basis used to determine whether market yields are being achieved shall

be the six-month U.S. Treasury Bill.

The Finance Director shall determine the market value of each investment at least quarterly and at a time

as close as practicable to the closing of the reporting period for investments. Such values shall be included

on the quarterly investment reports. The following methods shall be used:

1. Certificates of deposits shall be valued at their face value plus any accrued but unpaid interest.

2. Shares in money market mutual funds and investment pools shall be valued at par plus any

accrued but unpaid interest.

3. Other investment securities may be valued in any of the following ways:

a. the lower of two bids obtained from securities broker/dealers for such security;

b. the average of the bid and asked prices for such investment security as published in the Wall

Street Journal; or

c. the bid price published by any nationally recognized security pricing service.

16. Reporting

The Finance Director will prepare and deliver a report on investment activity and returns to CAPCOG’s

Executive Committee on a quarterly basis. Reports will include performance, market sector breakdown

number of trades, weighted average maturity, and interest earnings. Reports will comply with the

provisions of the Public Funds Investment Act, as amended.

Quarterly reports shall be reviewed by an independent auditor during the audit of CAPCOG’s Annual

Financial Report.

17. Investment Policy Adoption and Review

CAPCOG’s investment policy shall be adopted by CAPCOG’s Executive Committee. The Executive

Committee shall review the policy annually and any modifications made thereto must be approved by the

Executive Committee.



Glossary

AGENCIES: Federal agency securities. ASKED: The price at which securities are offered. (BANKERS’ ACCEPTANCE (BA): A draft or bill or exchange accepted by a bank or trust company. The accepting institution guarantees payment of the bill as well as the issuer. BID: The price offered by a buyer of securities. (When you are selling securities, you ask for a bid.) See Offer. BROKER: A broker brings buyers and sellers together for a commission. CERTIFICATE OF DEPOSIT (CD): A time deposit with a specific maturity evidenced by a certificate. Large-denomination CD’s are typically negotiable. COLLATERAL: Securities, evidence of deposit or other property which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies. COUPON: (a) The annual rate of interest that a bond’s issuer promises to pay the bondholder on the bond’s face value. (b) A certificate attached to a bond evidencing interest due on payment date. DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own account. DEBENTURE: A bond secured only by the general credit of the issuer.. DELIVERY VERSUS PAYMENT: There are two methods of delivery of securities: delivery versus payment and delivery versus receipt. Delivery versus payment is delivery of securities with an exchange of money for the securities. Delivery versus receipt is delivery of securities with an exchange of a signed receipt for the securities. DISCOUNT: The difference between the cost price of a security and its maturity when quoted at lower than face value. A security selling below original offering price shortly after sale also is considered to be at a discount. DISCOUNT SECURITIES: Non-interest bearing money market instruments that are issued a discount and redeemed at maturity for full face value, e.g. U.S. Treasury Bills. DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent returns. FEDERAL CREDIT AGENCIES: Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, e.g., S&L’s, small business firms, students, farmers, farm cooperatives, and exporters.



FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A federal agency that insures bank deposits, currently up to $100,000 per deposit. FEDERAL FUNDS RATE: The rate of interest at which Fed funds are traded. This rate is currently pegged by the Federal Reserve through open-market operations. FEDERAL HOME LOAN BANKS (FHLB): The institutions that regulate and lend to savings and loan associations. The Federal Home Loan Banks play a role analogous to that played by the Federal Reserve Banks vis-a-vis member commercial banks. FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA): FNMA, like GNMA was chartered under the Federal National Mortgage Association Act in 1938. FNMA is a federal corporation working under the auspices of the Department of Housing and Urban Development (HUD). It is the largest single provider of residential mortgage funds in the United States. Fannie Mae, as the corporation is called, is a private stockholder-owned corporation. The corporation’s purchases include a variety of adjustable mortgages and second loans. In addition to fixed-rate mortgages. FNMA’s securities are also highly liquid and are widely accepted. FNMA assumes and guarantees that all security holders will receive timely payment of principal and interest. FEDERAL OPEN MARKET COMMITTEE (FOMC): Consists of seven members of the Federal Reserve Board and five of the twelve Federal Reserve Bank Presidents. The President of the New York Federal Reserve Bank is a permanent member, while the other Presidents serve on a rotating basis. The Committee periodically meets to set Federal Reserve guidelines regarding purchases and sales of Government Securities in the open market; as a means of influencing the volume of bank credit and money. FEDERAL RESERVE SYSTEM: The central bank of the United States created by Congress and consisting of a seven member Board of Governors in Washington, D.C., 12 regional banks and about 5,700 commercial banks that are members of the system. GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae): Securities influencing the volume of bank credit guaranteed by GNMA and issued by mortgage bankers, commercial banks, savings and loan associations, and other institutions. Security holder is protected by full faith and credit of the U.S. Government. Ginnie Mae securities are backed by the FHA, VA or FMHM mortgages. The term “passthroughs” is often used to describe Ginnie Maes. LIQUIDITY: A liquid asset is one that can be converted easily and rapidly into cash without a substantial loss of value. In the money market, a security is said to be liquid if the spread between bid and asked prices is narrow and reasonable size can be done at those quotes. LOCAL GOVERNMENT INVESTMENT POOL (LGIP): The aggregate of all funds from political subdivisions that are placed in the custody of the State Treasurer for investment and reinvestment. MARKET VALUE: The price at which a security is trading and could presumably be purchased or sold. MASTER REPURCHASE AGREEMENT: A written contract covering all future transactions between the parties to repurchase--reverse repurchase agreements that establishes each party’s rights in the transactions. A master agreement will often specify, among other things, the right of the buyer-lender to liquidate that underlying securities in the event of default by the seller-borrower.



MATURITY: The date upon which the principal or stated value of an investment becomes due and payable. MONEY MARKET: The market in which short-term debt instrument (bills, commercial paper, bankers acceptances, etc.) are issued and traded. OFFER: The price asked by a seller of securities. (When you are buying securities, you ask for an offer.) See Asked and Bid. OPEN MARKET OPERATIONS: Purchases and sales of government and certain other securities in the open market by the New York Federal Reserve Bank as directed by the FOMC in order to influence the volume of money and credit in the economy. Purchases inject reserves into the bank system and stimulate growth of money and credit; sales have the opposite effect. Open market operations are the Federal Reserves most important and most flexible monetary policy tool. PORTFOLIO: Collection of securities held by an investor. PRIMARY DEALER: A group of government securities dealers who submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission (SEC) registered securities broker-dealers, banks, and a few unregulated firms. PRUDENT PERSON RULE: An investment standard. In some states the law requires that a fiduciary, such as a trustee may invest money only in a list of securities selected by the custody state—the so-called legal list. In other states the trustee may invest in a security if it is one which would be bought by a prudent person of discretion and intelligence who is seeking a reasonable income and preservation of capital. QUALIFIED PUBLIC DEPOSITORIES: A financial institution which does not claim exemption from the payment of any sales or compensating use or ad valorem taxes under the laws of this state, which has segregated for the benefit of the commission eligible collateral having a value of not less than its maximum liability and which has been approved by the Public Deposit Protection Commission to hold public deposits. RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity on a bond the current income return. REPURCHASE AGREEMENT (RP OR REPO): A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date. The security “buyer” in effect lends the “seller” money for the period of the agreement, and the terms of the agreement are structured to compensate him for this. Dealers use RP extensively to finance their positions. Exception: When the Fed is said to be doing RP, it is lending money, that is, increasing bank reserves. SAFEKEEPING: A service to customers rendered by banks for a fee whereby securities and valuables of all types and descriptions are held in the bank’s vaults for protection. SECONDARY MARKET: A market made for the purchase and sale of outstanding issues following the initial distribution.



SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protect investors in securities transactions by administering securities legislation. SEC RULE 15C3-I: See Uniform Net Capital Rule. TREASURY BILLS: A non-interest bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months, or one year. TREASURY BOND: Long-term U.S. Treasury securities having initial maturities of more than 10 years. TREASURY NOTES: A non-interest bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months or one year. UNIFORM NET CAPITAL RULE: Securities and Exchange Commission requirement that member firms as well as nonmember broker-dealers in securities maintain a maximum ratio of indebtedness to liquid capital of 15 to 1; also called net capital rule and net capital ratio. Indebtedness covers all money owed to a firm, including margin loans and commitments to purchase securities, one reason new public issues are spread among members of underwriting syndicates. Liquid capital includes cash and assets easily converted into cash. YIELD: The rate of annual income return on an investment, expressed as a percentage, (a) INCOME YIELD is obtained by dividing the current dollar income by the current market price for the security. (b) NET YIELD or YIELD TO MATURITY is the current income yield minus any premium above par or plus any discount from par in purchase price, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond.

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