Title
Consider a resolution authorizing the Mayor to execute an Agreement for Professional Consulting Services for investment advisory services with Patterson Capital Management dba Patterson & Associates.
Body
The City's treasury management area has grown both in the daily cash management area of banking as well as the investment area. With the added growth, the City feels hiring an investment advisor to assist with the investing and re-investing of its portfolio is needed at this time in order to maximize the interest income in the continuing long term low interest rate environment. The City will pilot this program for one year to verify the value added to the treasury management area. The pilot program will allow the City to better gage the additional revenue potential by using an investment advisor who can more actively manage the City's portfolio.
The City received two proposals for investment advisor services and has selected Patterson and Associates as the best value to the City. The contract price of $27,000 will be recouped by eliminating third party software in the amount of $7,500 and additional interest revenue of more than the remaining $20,000.
Recommended Action
Staff recommends approval.