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File #: R-2014-210    Version: 1 Name: Bond Underwriter
Type: Resolution Status: Passed
File created: 6/26/2014 In control: Department of Financial Services
On agenda: 7/16/2014 Final action: 7/16/2014
Title: A Resolution Of The City Commission Of The City Of Hollywood, Florida, Authorizing The Appropriate City Officials To Engage Any Combination Of The Three (3) Highest Ranked Bond Underwriting Firms, To Serve As Members Of The City Of Hollywood's Bond Underwriting Teams For An Initial Period Of Two Years, With Two Optional One Year Renewal Periods.
Attachments: 1. Resbondunderwriters.pdf, 2. RFP-4414-14-RD.pdf, 3. RFP-4414-14-RD FINAL EVAL MATRIX 062514.pdf, 4. CitiGroup 2014 RFP vFINAL.pdf, 5. DrexelHalmilton 5-8-14.pdf, 6. EstradaHinojosa UW RFP 2014.pdf, 7. FifthThirdSecuritiesHollywood 2014 RFP response final.pdf, 8. Jefferies Response to the City of Hollywood RFP 4414 14 RD for Bond Underwriters.pdf, 9. JPMorganSecutritiesRFP_5-8-2014[2].pdf, 10. Loop Capital Markets RFP Response to the City of Hollywood_5-8-14.pdf, 11. MerrillLynchResponse to City of Hollywood RFP.PDF, 12. Morgan Stanley Response - City of Hollywood RFP - May 8, 2014.pdf, 13. PNCCapitalMarketsIHollywood Proposal Acknowledgement.pdf, 14. PNCCCapitalMarketsIIHollywood RFP Response.pdf, 15. RaymondJames RFP FINAL 05 08 2014 (2).pdf, 16. RBCCapitalMarketRFP Final.pdf, 17. SamuelRamirez RFP V_FINAL.pdf, 18. SiebertBrandfordResponse to City of Hollywood RFP 5-9-2014 final.pdf, 19. Stifel's Response to Hollywood RFP 5-8-14.pdf, 20. PARTI- TD Securities' Proposal (FINAL).pdf, 21. PARTIITDSecuritiesAppendix E - BrokerCheck Report as of 5-5-2014.pdf, 22. WellsFargo5-8-14 FINAL.pdf, 23. BIS 14-211.pdf
Title
A Resolution Of The City Commission Of The City Of Hollywood, Florida, Authorizing The Appropriate City Officials To Engage Any Combination Of The Three (3) Highest Ranked Bond Underwriting Firms, To Serve As Members Of The City Of Hollywood's Bond Underwriting Teams For An Initial Period Of Two Years, With Two Optional One Year Renewal Periods.
 
 
Body
 
Staff Recommends: Approval of the Attached Resolution.
 
 
Explanation:
The Department of Financial Services desires to engage qualified bond underwriting firms to serve the City of Hollywood as members of the City's bond underwriting teams for the issuance of bonds for a two (2) year term, with two optional one year renewal periods.
 
The RFP document stated that it is the City's intention to establish an underwriting team of three (3) firms which will rotate the roles of Senior Manager and Co-Manager for each City bond issue and also other related issues.
 
There will be no contract upon award as a Bond Purchase Agreement in a form acceptable to the City Attorney will be executed for each bond transaction at the time of sale.
 
On April 1, 2014, Notices of Availability of Request for Proposals (RFP) Number 4414-14-RD were mailed to firms and legally advertised on the City's website and Demandstar.com in accordance with the City's Purchasing Ordinance, Section 38.42(A)(1).
 
RFP-4414-14-RD was opened at 3:00 p.m., Thursday, May 8, 2014, and resulted in responses from seventeen (17) firms:
 
            Drexel Hamilton
            New York, NY
 
            Fifth Third Securities
            Tampa, FL
 
            Samuel Ramirez & Company
            New York, NY
 
 
 
            Loop Capital Markets
            West Palm Beach, FL
 
            Jefferies, LLC
            Orlando, FL
 
            RBC Capital Markets, LLC
            St. Petersburg, FL
 
            JP Morgan Securities, LLC
            Miami, FL
 
            Wells Fargo Bank, NA
            Clearwater, FL
 
            Merrill Lynch, Pierce, Fenner & Smith, Inc.
            Coral Gable, FL
 
            Morgan Stanley & Company, LLC
            Sunrise, FL
 
            Estrada Hinojosa & Company
            Miami, FL
 
            Siebert Brandford Shank & Co., LLC
            Washington, DC
 
            Raymond James & Associates
            Coral Gables, FL
 
            Citigroup Global Markets
            Orlando, FL
 
            Stifel
            Orlando, FL
 
            PNC Capital Markets, LLC
            Orlando, FL
 
            TD Securities (USA) LLC
            Vienna, VA                                                                        
                   
 
Evaluation of the proposals was based upon the criteria as established in the RFP as follows: Experience, Project Organization and Technical Qualifications of the Persons Assigned to the Project, Project Understanding, Proposed Approach and Methodology and References and Successfully Completed Similar Projects.
 
The Evaluation Committee was comprised of the Director of Financial Services, Assistant Director of Budget & Financial Services and the Director of Parking & Intergovernmental Affairs.
 
Procurement Services informed the evaluation committee that the RFP submittals received from Loop Capital Markets, RBC Capital Markets, LLC, JP Morgan Securities, LLC and Morgan Stanley & Company, LLC had been declared non-responsive.  
 
After the evaluation of the responsive thirteen (13) proposals, the Evaluation Committee agreed to shortlist to the three (3) highest ranked firms as follows (Matrix Attached):
  • Merrill Lynch, Pierce, Fenner & Smith, Inc.  
  • Citigroup Global Markets  
  • Raymond James & Associates                                
 
      The Evaluation Committee has recommended that the City Commission authorize the appropriate City Officials to engage any combination of the three (3) highest ranked firms to serve as members of the City's bond underwriting teams.
            
      The City Commission wishes to authorize the appropriate City officials to engage any combination of the three (3) highest ranked firms.  
 
Any of the three (3) highest ranked firms may be assigned as senior manager or co-manager of an underwriting team based on their experience on the type of bonds proposed to be issued, size of the issue, and other factors that will maximize the marketability of such bonds.
 
      Award is subject to the City receiving all insurance required and approved by the City's Risk Manager and other terms and conditions required by the City Manager and the City Attorney.
 
 
 
Recommended for inclusion on the agenda by:
Cathy Swanson-Rivenbark, City Manager
Matthew Lalla, Director, Financial Services
Joel Wasserman, Director, Procurement Services