1. The banking institution (hereinafter referred to as “contractor”) shall provide banking services in accordance with the terms and conditions specified herein. The contractor must have a full service banking facility within the city limits of Cape Girardeau, be chartered under existing Federal or State of Missouri laws, be a member of the FDIC or FSLIC and agree to revise the contract as required by changes in law. Italicized items noted below should be fully described with the offeror’s response. 2. Repurchase Agreement or Alternative 2.1 The contractor must provide the University with a collateralized repurchase agreement (preferred method) or an alternative that complies with Missouri State Statutes to invest daily available cash balances. Describe the method and how interest earnings are calculated. 2.1.1 Statements showing the amount invested, the interest rate, the interest amount, applicable dates, and collateralization as applicable must be provided to the University. 2.1.2 In no case shall the interest rate paid to the University on any of its accounts be less than the published rate paid to other depositors of the contractor for deposits of a similar type and maturity. 3. Bank Accounts 3.1 The contractor must provide the University with five bank accounts as follows: • One (1) zero balance sweep master account for processing deposits, receiving ACH credits, sending wires, etc. (Deposits account) • Three (3) zero balance sweep checking accounts for Accounts Payable, Payroll, and the Show Me Center. • One (1) checking account to service its employee flex benefits (i.e., cafeteria plan) 4. Collateralization 4.1 The contractor must collateralize the University’s cash and investment balances with obligations of the character prescribed by Section 30.270.1 RSMo 2018 as amended. The University’s cash balances are not to be withdrawn without prior authorization of the University. 4.1.1 The market value of pledged securities must be equal to one hundred three percent (103%) of the actual amount of the daily balance less the amount of the insurance provided by an agency of the federal government. 4.1.2 Collateralized obligations must be held by a third party. 4.1.3 The contractor must provide the University with a monthly report summarizing the market value of all securities pledged to the University. 4.1.4 The contractor must provide the University with a means of verifying the market values of the securities as required by the University’s external auditors.
