Banking Custodial Services

Post InformationPosted At:Thu, Apr 18, 2024 4:29 PMSealed Bid Process:Yes (Bids Sealed / Pricing Sealed)Private Bid:NoOverviewSummaryThe City of St. Petersburg is seeking responses from qualified vendors to provide all personnel, supervision, materials, facilities, and travel expenses for providing investment safekeeping, professional custodial services, and invest reporting to include the receipt, delivery, holding, and registration of securities, collection of income, and all communication and reporting necessary to support these activities. As part of this solicitation, the City may consider at its option other pension related services, including producing monthly pension payments, 1099-R reporting and other related duties.The City requires separate custodial services for the following City portfolios:Core Short Term PortfolioCore Long Term PortfolioDebt Trust Fund PortfolioBond Proceeds PortfolioWater Cost Stabilization PortfolioWater Cost Stabilization Alternate PortfolioParks

Preservation (Weeki Wachee) PortfolioKopsick Arboretum PortfolioOther Portfolios as may be requiredIn addition to the above portfolios, the City may also require separate custodial services for one or more of the following portfolios (any or all at the discretion of the individual Pension Boards): Employees’ Retirement System of the City of St. Petersburg, FL (Pension Fund)Pension Fund of the Fire Department of the City of St. Petersburg, FLPension Fund of the Police Department of the City of St. Petersburg, FLAll City Portfolios are required to be included the bidder’s response; each of the three Pension Portfolios are optional and may be separately proposed or included in the combination of all portfolios. BackgroundThe City of St. Petersburg internally manages nine investment portfolios, reporting a September 30, 2023 market value of $1.2 billion, governed by the City's two investments policies that are based on City Ordinance and the Florida state statutes relating to the investment of public funds. It is the policy of the City to manage cash and investments in a manner that preserves principal over time while maintaining liquidity and generating income to meet the City's projected cash needs. It has been the practice of the City to buy and hold investments to maturityThe City's two investment policies - Investment Policy City of St. Petersburg, Florida Municipal Funds and the City of St. Petersburg, Florida Alternated Investment Policy - both require securities purchased or sold to be transferred only under the "delivery versus payment" (DVP); securities will be at the City's Custodial/Safekeeping Agent.The Investment Policy City of St. Petersburg, Florida Municipal Funds includes the following Portfolios:Short Term Portfolio - contains investments in short-term registered money market funds, the State of Florida Local Government Surplus Fund, Florida PALM and other authorized investments with a maturity of one year or less from the date of settlement.Core Portfolio - consists of investment positions whose maturities may not exceed ten years from the date of settlement.Debt Service Portfolio - consists of investment positions related to debt service cash flow.Bond Proceeds Portfolio - consists of investment positions related to bond reserves or trust funds representing bond reserves.Public Utilities Water Cost Stabilization Portfolio - (Water Cost Stabilization Portfolio) the proceeds from the sale of certain assets as governed by City Ordinance and described under bond covenants and consists of investment positions whose maturity may not exceed ten years.The Alternate Investment Policy states the externally managed funds must be invested in permitted investment and a specified diversification structure by external investment managers as laid out in the alternate investment policy. The policy has asset classes, ranges, and targets and includes equity investment funds, real estate investment trusts (RIETS), and fixed income. The external manager and sub-managers are required to comply with the specific ranges for each asset class and the policy defines permitted and non-permitted investment instruments.The City currently has the following four Alternate Investment Policy Portfolios:Water Cost Stabilization Portfolio - internally managed -up to 30% (increasing to 32.5% October 1, 2024 and up to 35% on October 1, 2025 and thereafter) of the proceeds from the sale of certain assets governed by City Ordinance and described under bond covenants.Parks Preservation Portfolio - externally managed -alternative asset mix strategies with permitted asset classes, permitted percentage ranges for each permitted asset class and the percentage targets for each permitted class, based on market value as listed in the Alternate Investment Policy.Gizella Kopsick Palm Arboretum Portfolio - externally managed.Gene Stacy Irrev. Trust Portfolio - externally managed.TimelineSolicitation Published:April 18, 2024Deadline for Questions:April 29, 2024, 12:00pmDeadline for Submittals:May 14, 2024, 3:00pmAnticipated Recommendation of Award to City Council :July 18, 2024