HomeMy WebLinkAbout2018-0820A Resolution with Prosperity Authorizing extension of depository pledgeRESOLUTION NO. 2018-0820A AUTHORIZING EXTENSION
OF TERM OF DEPOSITORY PLEDGE AGREEMENT
THE STATE OF TEXAS
COUNTIES OF DENTON AND TARRANT §
WHEREAS, TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 (the "District")
is a political subdivision of the State of Texas, operating under Chapters 49 and 54, Texas Water
Code, as amended (the "Code");
WHEREAS, Section 49.156 of the Code provides that the board of directors of a water
district, by order or resolution, shall designate one or more banks or savings associations within the
State of Texas to serve as the depository for the funds of the district, and further provides that the
board may authorize a designated representative to supervise the substitution of securities pledged
to secure the district's funds;
WHEREAS, the Board of Directors of the District previously designated Prosperity Bank
(the "Bank") to serve as a depository for the funds of the District, and in connection therewith,
entered into that certain Depository Pledge Agreement effective October 1, 2015 (the "Depository
Pledge Agreement") between the District, the Bank and the Federal Home Loan Bank of Dallas,
Irving, Texas, as custodian of funds pledged collateralize the deposits of the District at the Bank;
WHEREAS, the term of the Depository Pledge Agreement is three years (expiring
September 30, 2018), but may be extended at the discretion of the District for up to an additional
two (2) year term; and
WHEREAS, the Board of Directors of the District desires to extend the term of the
Depository Pledge Agreement for an addition two (2) year term. NOW, THEREFORE,
IT IS HEREBY RESOLVED BY THE BOARD OF DIRECTORS OF TROPHY CLUB
MUNICIPAL UTILITY DISTRICT NO. 1 THAT:
Section 1: The facts and recitations found in the preamble of this Resolution are
hereby found and declared to be true and correct, and are incorporated by reference herein and
expressly made a part hereof, as if copied verbatim.
Section 2. The selection and designation of Prosperity Bank as a depository for the
funds of the District is hereby approved and confirmed.
Section 3. The Board of Directors hereby approves the extension of the term of the
Depository Pledge Agreement for an additional two (2) year term expiring on September 30, 2020.
Section 4. The General Manager is hereby instructed to deliver a copy of this
Resolution to the Bank and is authorized to take such other actions as may be necessary to extend
the term of the Depository Pledge Agreement in accordance with the terms hereof.
ADOPTED as of th
E1
Steve Fl nn, Secretary
Board of Directors
}
'6 day of f\
, 2018.
Gregory W`i-Isresident
Board of Directors
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4
tsr
PROSPERITY BANK®
August 15, 2018
Trophy Club Municipal Utility District No. 1
100 Municipal Dr.
Trophy Club, TX 76262
Dear Trophy Club Municipal Utility District No.1 Board of Directors,
The Depository Services Contract between Trophy Club Municipal Utility District No.1 and Prosperity Bank will mature
September 30, 2018.
By Resolution No. 2018-0820A it has been agreed to extend the contract for an additional two year term from October 1,
2018 through September 30, 2020.
All terms will remain the same except for the following:
NOW Accounts- Prosperity Bank NOW sheet rate with a floor of 0.50% with an APY of 0.50%
Money Market Accounts- Prosperity Bank Premier Money Market sheet rate with a floor of 0.85% with an APY of 0.85%
We appreciate our business relationship with Trophy Club Municipal Utility District No.I and look forward to working
with you in the future. If you have any questions, please let me know. I may be reached at 817-378-2210 or
Kimberlv.bowden( prosperitvbankusa.com.
Sincerely,
Avid
24121
Kim Bowden
Vice President
Keller Banking Center
'greed and accepted on behalf pf T ophy Club Municipal Utility District No. 1:
pre,k, at t, (9-0 0-14..ej
Trophy (,l b Municipal Utility District No.1 Title Date
Agreed7 d accepted on behalf of Prosperity Bank:
'A4/,� Vice President -Keller
Kiri Bowden Title Date
Member FDIC
Haltom City Banking Center • 3221 Denton Highway • Haltom City, Texas 76117-3718 • 817-378-2230 • Fax: 817-378-2293
website: www.prosperitybanktx.com email: haltomcity@prosperitybanktx.com