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Home My WebLink About01292 - CROCKER NATIONAL BANK AD 122 1915 BONDS rocker Nat'l Bank - to be pay- y t ng agent for A.D. 122 AGREEMENT #1292 (Orig 3-2-77) A G R E E M E N T NO. Res Yk12116, 3-2-77 THIS AGREEMENT, made and entered into this 2nd day of March , 1977 , by—and-between-the— City of Palm Springs , of the State of California, hereinafter called the "City" , and Crocker National Bank, Los Angeles , California, a national banking association , hereinafter called "Bank". W I T N E S S E T H, T H A T WHEREAS, City has issued City of Palm Springs assessment District No. 122, 1915 Act Improvement Bonds , Series No. 107, Bonds numbered 1 to 96 inclusive, dated December 14, 1976, in the aggregate amount of $477,951 .69, for which City desires to name Bank as Paying Agent; and WHEREAS, Bank desires to act as Paying Agent on said Securities at its office located in the City of Los Angeles ; and WHEREAS, it is mutually desirable that an Agreement be entered into between Bank and City to provide for such paying agency services ; NOW THEREFORE, the parties above named, in consideration of the mutual covenants herein contained, agree as follows : SECTION 1 . Bank shall honor said securities of the City and any coupons pertaining thereto, in accordance with the terms thereof upon presentation of the same to it for payment or for collection upon maturity. City shall assure that sufficient funds are provided to Bank to enable it to honor such securities. This paragraph shall not in any instance require payment or disbursement of any funds in excess of the amount then on deposit in the "Bond Principal and Interest Account" referred to hereinafter. SECTION 2. City agrees to deposit at least five (5) days prior to the next maturity date of bonds and coupons with the Corporate Trust Department of the Bank funds sufficient for the payment thereof. The said funds are to be deposited in trust with the Bank to an account designated "Bond Principal and Interest Account" , maintained by Bank for the benefit of the holders. Such funds shall be held and applied by the Bank in its Corporate Trust Department solely for the payment of said maturing bonds and coupons. From the said funds , Bank agrees to pay at the maturity thereof interest coupons and bonds presented to it or to City for payment. SECTION 3. The Bank shall maintain records and shall report to the City monthly the following information as to both bonds and interest: Previous balance matured and outstanding, maturities during the month , payments made during the month and new balance of matured and outstanding at the end of the month. The total of said new balances so reported shall balance to the cash on hand in the "Bond Principal and Interest Account" . SECTION 4. Bank shall render to City semi-annual destruction certificates detailing the disposed securities by bond number and the disposed coupons in bulk. SECTION 5. The Bank will maintain the "Bond Principal and Interest Account" under its control , subject to the right of the City to have refunds made as requested; provided that funds will only be claimed for bends not presented for payment after the expiration of five years from the maturity of the bonds and for coupons not presented for payment after the expiration cf five years from the final maturity date of the related bond. The request from the City for refund shall designate the amount and the particular maturity or maturities and the amount with respect to bonds and coupons, in order that the Bank will know which bonds and coupons it is no longer authorized to pay. SECTION 6. The Bank shall assume full liability for incorrect payments made by it and errors in reporting payments made by it which result from Bank's negligence. The City will not be called upon to deposit additional funds , once sufficient funds have been deposited to cover maturing bonds and coupons and not withdrawn pursuant to Section 5 above. - 1 - SECTION 7. The City shall pay to the Bank fees pursuant to this agreement at the rates set forth in the following schedules : SCHEDULE A For the payment of bonds of $5,000.00 denomination and coupons therefrom: $1 .50 for each bond, registered or bearer, paid at or prior to maturity, with a minimum of $25.00 for each maturity. . 15 for each coupon paid at maturity, with a minimum of $50.00 for each maturity. SCHEDULE B For accounting, storage and cremating or destroying bonds and coupons: $.05 for each bearer bond cremated or destroyed. .50 for each registered bond cremated or destroyed. .01 for each coupon cremated or destroyed. SCHEDULE C For custody, safekeeping, and clipping of coupons for registered bonds : $1 .00 for each bond registered or released from registration. SECTION 8. In addition to the fees indicated in Paragraph 7, the City shall reimburse Bank for the out-of-pocket expenses necessarily incurred in the performance of Bank' s duties herein provided, to include postage, express , insurance and other incidental expenses. SECTION 9. The Bank shall render a semi-annual statement for the amount of fees due said Bank under this Agreement, and all incidental expenses for which reimbursement is claimed pursuant to Paragraph 8 hereof. Upon receipt of such statement, the City shall pay to Bank all fees under this Agreement and shall reimburse said Bank in accordance with Paragraph 8 hereof. SECTION 10. At least ten (10) days prior to the first payment or disbursement of principal or interest on any issue of bonds under the provisions of this Agreement, the City shall furnish one specimen bond of each interest rate of such issue to the Bank. SECTION 11 . The Treasurer of the City, upon six (6) months written notice to Bank, may terminate this Agreement. SECTION 12. The Bank, upon six (6) months written notice to City, may terminate this Agreement, provided, however, that upon any default in the payment of principal or interest of any issue or issues with respect to which Bank has undertaken to perform any services, as required to be rendered by this Agreement, Bank may immediately terminate this Agreement in its entirety upon giving written notice to the City. SECTION 13. Upon termination of this agreement by either party hereto any funds remaining in the "Bond Principal and Interest Account" shall be paid to the Treasurer of the City. Bonds and Coupons paid prior to termination shall be cremated Or destroyed and a cremation or destruction certificate furnished to the City as specified in Section 4 hereof. SECTION 14. The terms and conditions of this agreement are intended for the mutual benefit of City and Bank, exclusively, and are not intenddd to give any third party any rights or claims, contractual or otherwise, hereunder. - 2 - 10 a 3 10 a 4 y SECTION 15. City agrees that Bank shall not be required to honor any request made by anyone other than the City to make payment or to stop payment on any lost, destroyed, mutilated or stolen bearer Bond or coupon, or to pay any bond or coupon, the ownership of which is disputed. The City may in such instances instruct Bank as to what Bank should do under the circumstances , and hereby agrees to hold Bank harmless from any and all claims whenever Bank acts in accordance with such instructions. SECTION 16. The City may from time to time include existing or future 1915 Act Assessment Bond issues under the terms of this Appointment and Agreement by notifying Bank in writing that it desires the Bank to act as Paying Agent thereon. IN WITNESS WHEREOF, the parties hereto have caused these presents to be duly executed, the day and year first above written. CITY OF PALM SPRINGS ATTEST: By Dallas J. 'Flicek City Treasurer 0201 A. Blu aUgh lerk CROCKER NAT�Of�'AL BANK By o , ' Trusr Officer APPROVED AS TO FORM: BY rown, ss ecretary Raymond, . Ott City torney - 3 -