HomeMy WebLinkAboutResolution - 042342A - Citizens National Bank's Offer To Account For All City Funds Accepted - 04/23/1942r
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C
R L S 0 L U T I 0 N
WHEREAS, the City of Lu'-)bocl�, has by proper
request, asked the First National Bank, Citizens National Bank
and Luobock National Bank, for a bid on the amount of interest
each would pay the City of Lu000ck- on City funds deposited with
any of said banks, if any of said banks were named City depository;
and..
WHEREAS, no bids have been received and the
Citizens National Bank, the present depository of the City funds
has offered to continue as depository for such funds and to secure
the same with legal securities, but pay no interest therefor;
and,
WHEREAS, a resolution accepting the offer of
the Citizens National Bank of Lubock, Texas, as its depository
and to receipt, properly keep and account for City funds and to
secure the same with collateral permitted under the laws of the
6tate of Texas and permit the City to dispose of the collateral
on default; providing for a contingency of there being enacted
a state law requiring a depository to pay interest and declaring
an emergency on account of inability to secure a bid to properly
secure the funds;
THEREFORE, HE IT RESOLVED by the Citi Commission
of the City of Lubbock, Texas:
FIH.DT: That the offer of the Citizens National
Bank of Lubbock, Texas, to receive and account for all funds of
the City, said Bank to accept negotiable items subject to col-
lection through the regular channels; to pay all lawfully issued
demands on said funds, within the credit of the Cita, on deposit;
to keep the funds separate and to render statements as often as
required; and to deposit with the City lawfully issued security
Lai
admissible under the laws of the State of 'Texas with the right
of the City to require at all tiriies such security to equal in
market value the funds with said Bank; and the further right
of the Gity to dispose of said collateral.security to recoup
itself for any unpaid and unearned demands on it, be and the
same is accepted.
SECOND: That the foregoing agreement of the
deposit and security shall be effective from this date for a
period ending they day of.919�.
ThIhD: Provided: Should there be enacted
during the life of this Resolution a law requiring payment of
interest on daily balances, the City shall receive the minimum
rate during the remainder of the term.
POURTHt The fact that the time has elapsed
within which the depository should have been selected, or the
former contract renewed, and the desire of the City to be
protected, creates an emergency and public necessity, that
tLis resolution be finally passed and enacted at the meeting
of its introduction and IT la SO ORDERED.
?A6,�ED by resolution of the City Commission
and approved by its kayor this the 4 -3 day of April, 1942.
City Secretary