Title
A Resolution Of The City Commission Of The City Of Hollywood, Florida, Accepting And Ratifying Staff's Recommendation For Bid No. IFB-190-24-OT, A Bid For A Fiscal Year 2024 Bank Loan; Accepting The Response Of Webster Bank, N.A. For A Loan To Finance The Acquisition Of Municipal Vehicles; Authorizing The Loan And The Related Issuance Of Private Hauler Franchise Fee Revenue Note, Series 2024, In The Aggregate Principal Amount Not To Exceed $6,600,000.00; Awarding The Note; Approving Execution And Delivery Of A Loan Agreement And The Note In Connection With Such Loan; Authorizing Proper Officers And Employees To Do All Things Deemed Necessary In Connection With The Issuance Of The Note; Providing For Severability.
Strategic Plan Focus
Financial Management & Administration
Body
Staff Recommends: Approval of the attached Resolution.
Explanation:
The City desires to obtain a bank loan for the purposes of financing the acquisition of municipal vehicles. Most of the vehicles have already been acquired, and this loan will reimburse the City for those purchases already made.
Resolution No. R-2023-380 authorized the City to seek loan proposals in an amount not to exceed $6,600,000.00. Bid No. IFB-190-24-OT was issued on April 1, 2024 seeking proposals from qualified financial institutions willing to provide the loan. The closing date of the bid was May 6, 2024.
The City received bids from two financial institutions interested in providing the loan to the City, as follows:
Name Interest Rate
Bankfunding LLC 4.890%
Webster Bank, N.A. 4.295%
Upon review of the submittals, Webster Bank, N.A., which submitted an interest rate of 4.295% for the Loan, was determined to be the successful bidder. The bank met the other conditions of the bid such as prepayment and other terms. Staff believe these rates to be reasonable considering current market volatility and recommend award of th
e bank loan to Webster Bank. ...
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